This was a slideshow I made on Keynote for my Market Research term project (Fall 2009).

1. Luxury Handbags

2. An Introduction to Luxury
Brand Image: Importance of Differentiation
Luxury handbag brands must
differentiate themselves by their high
end traits: quality, heritage of
craftsmanship, recognized style and
design, limited production, global
reputation, unique designs and
particular marketing programs.
Luxury bags are known for their brand image,
and must promote their brand consistently and
constantly.
Customers tend to be loyal to luxury
handbag brands, since the products
satisfy their needs and desires at the
same time.

3. An Introduction to Luxury
“There’s no question that celebrities impact fashion, and
in a very big way.” stated by Ed Cortese, a stylist from
Bazaar and GQ. PERCENTAGE OF WOMEN WHO POINT TO
CELEBRITIES FOR FASHION IDEAS:
Aged 16 to 24 47%
There has been a significant
increase in the percentage Aged 25 to 34 26%
of consumers looking toward (Hayden Panettiere for Dooney and Bourke)
celebrities as fashion inspirations Aged 35 to 55 24%
since 2000. Aged 55 to 70 2%
Source: Cotton Inc.: The Cult of Celebrity
Designers and luxury handbag brands utilize “star power”
through print ads and product placement seen through tabloid
photos and gossip columns.

4. An Introduction to Luxury
The increase in luxury consumption, due to atypical
consumers entering the luxury market, has allowed Secondary research
luxury handbags to seem ‘recession proof’. reveals the importance of:
While new customers have increased the luxury market
share, this threatens the prestige of luxury products. -Brand prestige, image
EXAMPLE: In attempt to combat this issue, Gucci now
produces handbags that range in price from $150 to over and recognition
$3000.
$2,730.00 Gucci Bag $179.00 Gucci Bag -Reaching new target markets while
keeping loyal customers
-The importance of celebrity influence

5. Methodology Propose
Recommendations
for Future Research
Assess Limitations
Analyze the Data
Administer Survey Using Qualtrics.com and
Facebook.com (Questions Geared Toward
both Descriptive and Causal Research)
Finalize Hypotheses and Create Survey
Hold Focus Group (Qualitative Research Approach)
Brainstorm Objectives and Potential Hypotheses

6. Determine which product design is
Objectives
most appealing to consumers. Evaluate the effectiveness of different
marketing strategies (including
advertisements and public relations) for
luxury handbags.
Determine the socioeconomic factors that
influence purchase intent for luxury handbags.

7. Hypotheses
A paparazzi photo of a celebrity using a luxury
handbag in everyday life will have a more positive
H1 effect on purchase intent than a celebrity print advertisement
for the product.
The effect (from the first hypothesis will
H2 decrease the less famous the celebrity is.
Realistic use of a handbag in a print advertisement
H3 (verses unrealistic/stylized placement) will increase
purchase intent
Among consumer whose family annual income is
>$75,000, those who live near major cities (<35 miles)
H4 will have greater purchase intent for luxury handbags
than those who don’t live near majors cities (>35 miles).
An all-over repetition of the brand logo will decrease purchase
H5 intent.

8. Survey

9. Results
= Statistically Significant
= Not Statistically Significant
A paparazzi photo of a celebrity using a luxury
handbag in everyday life will have a more positive Independent sample t-test
effect on purchase intent than a celebrity print advertisement
for the product.
The effect (from the first hypothesis will
ANOVA
decrease the less famous the celebrity is.
Realistic use of a handbag in a print advertisement
(verses unrealistic/stylized placement) will increase Simple Regression
purchase intent
Among consumer whose family annual income is
>$75,000, those who live near major cities (<35 miles)
Independent sample t-test
will have greater purchase intent for luxury handbags
than those who don’t live near majors cities (>35 miles).
An all-over repetition of the brand logo will
Independent sample t-test
decrease purchase intent.

10. Results
ACCEPT
Lindsey Lohan in Print Ad Above/Tabloid Below

11. Results
REJECT
Kate Moss sporting
black Genevieve Jones
purse above; Luxury
handbag consumer
seen left,carrying the
same bag in green.

12. Results
Scarlett Johansson for LV:
Unrealistic Left/Realistic Right
ACCEPT

13. Results
REJECT

14. Results
REJECT

15. Limitations
Time Frame/Resources Poor Sampling Frame: Use of Survey: Spurious
Low External Validity, Association
Sample Selection Error

16. Limitations
Focus Group Survey
-Selection error: few participants, -Magazine readership inconsistany: included
homogeneous group both monthly and weekly publications
-Participants expressed low interest in luxury -Overtly sexual tabloid vs. print ad photos of
handbags Madonna: polarizing results
-Bad sampling frame, low external validity -Glamour effect: quality print ads overshadowing
tabloid photos (eliminating within-subjects design effects)
-Administrative error: inhibiting respondents due
to note taker and video camera -Repeated measures: introduced for realism of ad
question: constancy of conditions
-Focus group yielded poor/useless
results -Time constraints did not allow for a pilot pest

17. Limitations
Deliberate Falsification Possibility: Possibility of Male Respondents
Requirements Unfulfilled for Distance and Income Requirements
Confounding Variable: Purchase Intent for all Tabloids
Against Purchase Intent for all Print-Ads/Not Enough Respondents
to Overcome
Internal Validity Bias: Respondents Saw Two Images for Each Question
vs. Randomly Seeing One Image for Each Question
Likert Scales: Wording and Scaling Inconsistencies

18. Observations
Print ads are an effective way
to influence purchase intent.
Celebrities are less influential on
consumers than anticipated.
More realistic ads should
increase purchase intent.

19. Recommendations
1.Perform on a larger scale with more
resources:
-internal validity could increase as well
-use randomization from a larger image bank
-to overcome moderating variables that
2.
Research could go into a lot more depth
about attitudes toward specific aspects
of each ad or tabloid image that may
influence purchase intent.
These aspects could include:
-Layout
-Environment
-Number of handbags
-Emphasized elements

20. Recommendations
3. The counterfeit handbag industry
should be addressed in more detail.
4.
-Consumer attitudes surrounding ‘fakes’
Research should be applied to other
luxuries.
-Addresses similarities to further
marketers understanding of
purchase intent
-Concentrate on similar fashion
-Who purchases counterfeits and why?
luxuries: Eye wear, Footwear, etc.
-Product attributes that determine
consumer purchases (counterfeit vs. real)

21. We will now take any
QUESTIONS