I respect and thank Roy Kouwenber for giving me the opportunity to examine in this topic of the factors influencing the purchase decision of luxury bags of Thai consumers all the support and guidance that made me complete the thematic paper on time. This thematic paper has examined the factor influencing the purchasing decision of luxury handbags for consumer in Thailand. This research used the quantitative method by conducting a survey of 99 respondents to see which factors are most important to Thai consumers.
The finding showed that Thai consumers are motivated to buy luxury bags by the quality factor. Over the past few years until now, luxury handbags have played a major role in the luxury goods market. In addition, it is very interesting to know what factors determine these consumers' decision to buy luxury bags.
This research project was designed to investigate the factors influencing the purchasing behavior and perception of luxury handbags of consumers in Thailand. What are the factors influencing the purchase decisions of Thai consumers in Thailand towards luxury bags. In the study, questionnaires will be used to explore the factors influencing the purchasing behavior of luxury handbags among Thai consumers.
At the same time, consumer perception would be explored through interviews and observations with consumers who lived in Thailand.
Research Scope
Expected Benefit
LITERATURE REVIEW
Definitions
Second, consumers are influenced by the attractive communication and images that marketers provide in their products. When used to describe consumer behavior towards luxury goods, the word 'luxury' itself means "indulgence and enjoyment of a rich, comfortable and luxurious life". Cheng's said that "luxury goods are high-end goods with high-quality products, aesthetic design, supported by excellent service, which are purchased by people with a higher income class" (p. 24).
In earlier days, the term 'luxury' was used for products that were rare and rare and available to a small segment of people.” (Sriviroj, 2007, p. 59) Luxury goods were once beyond the reach of the common man. However, with increasing globalization, luxury goods are becoming more affordable and are widely used by many groups of people today. The role of gender in the purchase of luxury brand products is considered one of the most important factors.
Gender usually refers to the social process of dividing people and social practices along the lines of gender identities. Depending on the context, discriminatory characteristics vary from gender to social role to gender identity” (“Gender” . Wikipedia). Gender identity has intrigued and puzzled researchers of consumer behavior for more than four decades." (Spence 1984, p. 83) This means that gender identity has long been used to study consumer behavior.
Gender identity, also called an individual's psychological sex, is defined as the "fundamental, existential sense of one's masculinity or femininity." (Spence 1984, p. 83) “Since gender is culturally derived, gender identity is similarly rooted in cultural beliefs about what it means to be male or female.” (Firat 1991, Lerner 1986). Women seem to buy luxury brand products more often than men because they shop more. Women consider shopping as important in their lives because they can have their own personal space and a sense of self-worth.” (Falk and Campbell, 1997, p. 67) One of the main reasons women shop is because they want to express self-love and gain identity.
The association of women with adornment and appearance confirmed and reinforced early psychoanalytic views on the naturalness of female narcissism.” Feminine attentive to both self and others, they are expected to respond positively to both agentic and communal advertising calls. In conclusion, there are seven major factors that influence customers' purchasing decision on luxury goods, including social need, price, brand, trend, quality, styling and design, and self-image.
METHODOLOGY
- Method Selection
- Questionnaire Design
- Research Procedure
- Data collection
The next section deals with specific questions that will be more specific about the drivers of luxury bag purchasing behavior. The flow of the questionnaire moves from factors to factors that include price, brand, trend, quality, style and design, social needs and self-image. Finally, the demographic questions consisted of quantitative questions containing the respondents' demographic and personal information, including: gender, education level, monthly income, and frequency of shopping.
Once all the questionnaires were collected, they would be analyzed using the statistical methods. Finally, the analyzed data would be presented in the form of tables and figures. The information from this study was collected through both forms of data including primary and secondary data.
The primary data was collected from Thai consumers who use luxury bags through personal questionnaires and the Internet through a Google survey. These data sources provided useful background information on luxury goods and consumer purchasing behavior.
FINDINGS AND DISCUSSIONS
- The Respondent Demographic
- General Information of the Respondents
- Descriptive Statistic
- Factor Analysis
- Related framework of Decision Making on Buying Luxury bags
- Answering research questions
- Research Question 1
- Research Question 2
To analyst Figure 4.5 – 4.7 as follows, Figure 4.5 showed that most of the respondents decided to buy new luxury goods when more than 12 months. After summarizing the average of the variable, the research will analyze the data through Factor Analysis which specific questions tend to be correlated, then summarizing scale to show the relationships between each variable and know which are the important key factors that the behavior of purchasing a luxury bags. The first part investigated seven factors including price, brand, trend, quality, styling and design, social need and self-esteem on the buying behavior on luxury bags of Thai users.
There are 3 factors grouped as quality, self image and trend that are important to consumers making decisions about luxury bags. The factor loading of this question "I buy luxury bags because of their long shelf life" is 0.914. The factor loading of this question "I buy luxury bag because of the craftsmanship and use of quality material" is 0.9.
Factor loading of this question "I buy certain luxury bags because I saw them in an advertisement." is 0.871. The question “I buy luxury bags because of their long durability” has a factor loading of 0.914 and a mean of 3.26. Thai consumers associate high-priced luxury bags with superior quality, as suggested by prestige pricing theory.
They appreciate the uniqueness and neatness of the craftsmanship and ensure that these luxury bags are worth their money. This is evident from the response of one of the respondents: “Although luxury bags are expensive, the stylish design, durability and quality raw materials used are worth the money.” The result of the linear regression model shows that the factors are related to the intention to purchase the question: “How likely are you to buy a new luxury bag in the next twelve months?” The factor related to the dependent variable is quality, which has significance at 0.022.
I found that preference for high quality is the most important variable that explains which Thai consumers intend to buy new luxury bags. I then test what factors in any way influence the budget consumers have available to purchase luxury bags. Therefore, we can conclude that consumers who appreciate the latest trend and design usually have a larger budget to buy new luxury bags.
From the analysis of the questionnaires, we found that there are seven main factors that influence the purchasing decisions of Thai consumers towards luxury bags. According to both analyses, respondents considered quality as the main factor for the decision to purchase luxury bags.
CONCLUSION
Recommendations for Further Research
Limitations
APPENDICES
Appendix A: Sample of Questionnaire
Price) The cost of luxury branded products and associated costs. limited edition makes bags more attractive 2. Price)If products appeal to me, I buy them. Trend)Celebrities or famous people can do that. influences the purchasing behavior of a luxury bag 7. Trend)I buy certain luxury bags because. Quality)I buy luxury bags because of them. craftsmanship and the use of high-quality materials 10. Quality)I buy luxury bags because of their quality.
Design)I buy luxury bags because of the unique character of the collection and the limited quantities. Self-Image)I believed that people would consider me 'high society' if I buy or use luxury bags.
