Recent reports indicate that the “mass luxury strategy” that rejuvenated many top-tier brands in recent years is no longer performing well. So, what’s going on? And, what are the implications for consumers, investors, and firms that have adopted a “mass luxury” strategy? We’ll explain.
In the early years of the 21st century, middle-class consumers discovered the pleasure and prestige of owning upper-class products. There were at least three reasons: