1. 1. Discount Effect on Consumer Perception in Luxury Market Fergan Kitapl Master Thesis Defense
2. 2. Agenda 1. Introduction - Research Question 2. Current situation - New Luxury 3. Examples - Implications 4. Results - Managerial Implications & Theoretical Contribution
3. 3. Research Question Does discount create negative effect on consumer perception in luxury market?
4. 4. Old Luxury Over expensive Traditional Rare Inaccessible Opulence Upper class New Luxury Upper premium Contemporary Prevalent Accessible Status Middle class
5. 5. Current Situation Democratization of Luxury Luxurification of Society Shift to Emerging Market Different Customer Expectations Fight with Counterfeit Market
6. 6. Discount Implications Scenario 1 Scenario 2 Real Estate Istanbul Sapphire Residence 8M $ penthouse vs. 800K $ studio Same service & Different satisfaction Luxury Fashion Gucci 5K $ beginning of the season vs. 2,5K $ end of the season Same product & Different usage time
7. 7. Discount Implications Scenario 3 Automotive industry Ferrari Difference of pleasures Million dollar car vs. hundred dollar keychain Same brand & Different products
8. 8. Results Entry-level Product Brand / Line Extension New Brand Outlet Store Pop-up Store Online Flash Selling Customized Discount
9. 9. Discount can be applied to Luxury; The Conceptual Model