Short answer
Differentiate your brand's core message and product development focus based on whether you are targeting symbolic or functional consumer needs.
- Field
- Innovation & Markets
- Source
- Advances in economics, business and management research/Advances in Economics, Business and Management Research (2023)
- Method
- Comparative market analysis
- Evidence
- Strong effect
Luxury brands should emphasize symbolic value and innovation, while everyday brands must prioritize functionality and practicality to resonate with their distinct consumer bases. This innovation & markets research insight is drawn from a 2023 study published in Advances in economics, business and management research/Advances in Economics, Business and Management Research. Using Comparative market analysis, researchers explored how this design variable affects real-world outcomes. The key design takeaway: Differentiate your brand's core message and product development focus based on whether you are targeting symbolic or functional consumer needs.
Symbolic vs. Functional: Tailoring Marketing for Luxury and Everyday Brands
Luxury brands should emphasize symbolic value and innovation, while everyday brands must prioritize functionality and practicality to resonate with their distinct consumer bases.
Advances in economics, business and management research/Advances in Economics, Business and Management Research · 2023
Key Findings
- 01Both luxury and everyday brands engage in customer marketing, brand image building, and product distinctiveness.
- 02Consumers choose luxury brands for personal and symbolic meanings.
- 03Consumers choose everyday brands for practical and functional meanings.
- 04Luxury brands focus on symbolism and innovation.
- 05Everyday brands focus on functionality and practicality.
Application
Design takeaway
Differentiate your brand's core message and product development focus based on whether you are targeting symbolic or functional consumer needs.
How to apply
When developing a new product or rebranding an existing one, clearly define whether its primary appeal is symbolic or functional and tailor all design and marketing efforts accordingly.
Project actions
- 01When comparing brands, clearly define what constitutes 'luxury' and 'everyday' for your chosen market.
- 02Consider how visual design, material choices, and feature sets communicate symbolic versus functional value.
Method & Evidence
Variables
Strengths & Limitations
Strengths
- +Provides a clear distinction between two major market segments.
- +Offers actionable insights for tailoring marketing and product development.
Limitations
The specific brands and markets studied are not detailed, making it difficult to generalize findings across all industries.
Reliability & validity
The study's validity relies on the accuracy of its market analysis and the assumption that consumer motivations are consistently tied to brand type. Reliability could be improved by specifying the methodology for analyzing marketing strategies and consumer data.
Think critically
To what extent can a single brand successfully appeal to both symbolic and functional needs, and what strategies might be employed to achieve this?
Design Principles
"Align product attributes and marketing narratives with the primary consumer motivation (symbolic/functional) to achieve optimal market resonance."
Understanding the core motivations behind consumer choices for different brand tiers is crucial for effective market positioning and resource allocation. This insight allows design and marketing teams to develop targeted strategies that align with consumer expectations, ultimately driving brand loyalty and market share.
What This Means for Your Design
Luxury items are bought for how they make you feel or what they say about you (symbolic), while regular items are bought because they work well and are useful (functional). Marketing should match this.
How to use in your project
- 1.Use this research to justify design decisions related to product aesthetics, features, and branding, explaining how they cater to symbolic or functional needs.
Add to My Project
Quick Cite
Paragraph starter
Research indicates a clear divergence in consumer motivation between luxury and everyday brands, with luxury purchases driven by symbolic and personal meaning, and everyday purchases by practical and functional needs. Consequently, design and marketing efforts for luxury brands should emphasize symbolism and innovation, while those for everyday brands should prioritize functionality and practicality to effectively capture their respective target markets.
Source
Advances in economics, business and management research/Advances in Economics, Business and Management Research
Marketing Comparison between Luxury Brands and Everyday Brands
journal · 2023
View sourceQuestions About This Research
- What does the research say about symbolic vs. functional: tailoring marketing for luxury and everyday brands?
- Differentiate your brand's core message and product development focus based on whether you are targeting symbolic or functional consumer needs. Evidence: Advances in economics, business and management research/Advances in Economics, Business and Management Research (2023).
- Why does "Symbolic vs. Functional: Tailoring Marketing for Luxury and Everyday Brands" matter for design?
- Understanding the core motivations behind consumer choices for different brand tiers is crucial for effective market positioning and resource allocation. This insight allows design and marketing teams to develop targeted strategies that align with consumer expectations, ultimately driving brand loyalty and market share.
- How can designers apply this research?
- Differentiate your brand's core message and product development focus based on whether you are targeting symbolic or functional consumer needs.
- What were the main findings?
- Both luxury and everyday brands engage in customer marketing, brand image building, and product distinctiveness.. Consumers choose luxury brands for personal and symbolic meanings.. Consumers choose everyday brands for practical and functional meanings.. Luxury brands focus on symbolism and innovation.
- What research method was used?
- Comparative market analysis.
- How strong is the evidence?
- Evidence strength is rated Strong effect, based on a 2023 journal from Advances in economics, business and management research/Advances in Economics, Business and Management Research.
- What should I do differently in my next project?
- When developing a new product or rebranding an existing one, clearly define whether its primary appeal is symbolic or functional and tailor all design and marketing efforts accordingly.
- What are the limitations?
- The study does not specify the particular markets or product categories analyzed, which could influence the findings.