The Distinction Between Status And Luxurious Manufacturers
The American Express Centurion Card and its sibling, The Platinum Card, are just as prestigious as the Chase Sapphire Reserve and the J.P. Morgan Reserve Credit Card. These cards can buy luxury. A Regal Cruise is luxurious with a wide variety of luxurious amenities. A Venicci Shadow 2-in-1 stroller is a very prestigious seat for your child. An Oscar is a prestigious award. But what is prestige? What is luxury? These two concepts – prestige and luxury – are not the same. However, they are often used as synonyms. This is a marketing mistake.
The misuse or confusion of these two concepts – prestige and luxury – is a problem for luxury brands and for reputable brands. The two ideas are different and describe different brand and cultural experiences.
Prestige is about the image of the owner; it is awarded; it is given; it is used. Luxury is about the product or the service. A high quality and high priced product can be a luxury. A high status product can be prestigious. A luxury brand is not necessarily a prestigious brand. However, a brand can have the elements of both.
While the two concepts are not mutually exclusive, they offer different functional, emotional, and social benefits. And the values of the target customer can be very different. For example, a power seeker may want to associate with goods and services that convey a sense of upliftment towards others. This does not mean that this power seeker refuses to buy luxury goods. What it means is that the power seeker is using prestigious items for stature and standing.
Bernard Dubois of the HEC School of Management, a French Grande Ecoles ("Grandes Ecoles" are elite, private, and yes prestigious schools that serve top-level graduates in French public and private companies and the government) wrote a magazine article in 2002 on this subject of prestige and luxury. He reported, "… prestige is based on unique human achievement" while luxury refers to "the benefits of refinement and aesthetics". His research has shown that prestige and luxury have different consumer perceptions that, if ignored, have “significant ramifications” for a brand. Prestige is associated with admiration for a person, while luxury reflects the perception of comfort, quality, and beauty.
Professeure Elyette Roux teaches at the Paul Cézanne University at the IAE Business School in Aix-en-Provence. Professeure Roux is considered France's most renowned (luxury) brand researcher. Before that, Professeure Roux was LMVH professor at ESSEC Business School, another of the most selective “Grandes Ecoles” in France.
In 1999 Professeure Roux wrote a “white paper” on the understanding of luxury, in which the difference between prestige and luxury was described. According to their analysis, “Prestige is the act of fueling the imagination, demanding respect and admiration. Prestige implies that one seeks power over others, imposes power over others. “Luxury is not about gaining power over others. "Luxury refers to pleasure, sophistication and perfection, as well as rarity and the costly appreciation of what is not necessary."
American sociologist and author of The Power Elite, C. Wright Mills, wrote, "Prestige is the shadow of money and power." Examples of synonyms for prestige are status, standing, stature, standing, standing, standing, fame, note, standing, honor, esteem, notoriety, importance, notoriety, influence, eminence, and more. These are not synonyms for luxury. Examples of synonyms for luxury are premium, lavish, indulgence, expensive, extravagant, wealth, opulent.
According to the French, and they should know, luxury is “a way of life represented by high spending to show elegance and sophistication… it is a way of being rather than a way of appearing.” Professeure Roux regrets that the concept of luxury is connected with pomp, which is all about "showing".
A McLaren P1 GTR costs $ 3.4 million. The McLaren P1 GTR is a highly respected brand despite being close to the ground and small inside. Yes, it is a fast, beautifully designed, aerodynamic eye-catcher, especially on city streets or when parking. The McLaren gives the owner an image of notoriety, distinction and importance. Think of the Concorde SST. It was very prestigious to be an SST passenger. In fact, the SST was a long, thin silver tube. If you were over 5'8 ”you had to bend over to go down the aisle to your cramped, uncomfortable seat.
The Mercedes S-Class is considered a luxury vehicle. The copy that describes the S-Class sedan drips with luxury: “… The S-Class cab is shaped, sewn, fitted and equipped to not only offer unparalleled comfort and convenience, but also to stimulate your senses and to calm down. Especially your sense of satisfaction. “This state-of-the-art 2020 S Class Convertible is worth over $ 138,600.
The cloudy effect of the amalgamation of luxury and prestige
The merger agreement between Tiffany and LVMH is financially motivated. LVMH wants out of there. However, Tiffany is suing LVMH. Tiffany claims that her brand is very prestigious. For example, the robin's blue box confers all sorts of statuses. LVMH is a holding company with some of the world's most luxurious brands such as Dior, Loro Piana, Patou, Bulgari, Moët Chandon and Hennessey. In its most recent counterclaim, LVMH concludes that Tiffany's poor performance, poor management, and questionable future have hurt Tiffany's prestige.
According to Professeur Dubois, prestige takes a long time to build up and is “… difficult to acquire. It's easy to lose, however. A negative experience is enough to exclude the brand from the area of prestige. “Prestige is about the power of personal respect, status and prestige. Luxury is "a world of creations that make life more beautiful".
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