Integrating high and low-status signals in product design: Effects on luxury brand preference

In recent years, luxury brands have begun using diverse signals to attract consumers. Previous countersignaling model literature has focused on the countersignaling behavior of top performers across various domains; however, the countersignaling phenomenon in the context of luxury brands remains underexplored. To fill this gap, we proposed that, within the context of luxury brands, the combination of status signals in product design influences consumer brand preferences. Through a pilot study and three other studies, we found that when luxury product designs integrate high- and low-status signals (as opposed to singular high-status signals), consumer preference for luxury brands is enhanced. Perceived brand exclusivity mediates the relationship between a combination of status signals in product design and brand preferences. Finally, this research provides empirical evidence that power distance beliefs moderate the main effects observed.