Upgraded social status and consumption: An exploratory investigation of differences between consumers who experienced and consumers who did not experience upgraded status

The purpose of this dissertation was to explore differences in consumption behavior between consumers who experienced upgraded social status and consumers who did not experience such change. The study was designed to offer marketers information about changes in consumption behavior that occur when consumers attain a higher social status level than their parents. Social status was determined by three variables: occupational status, educational status and income level. A significant difference in all three variables was considered indicative of upgraded social status. Consumers who experienced such status change (i.e. these consumers achieved a higher social status level than their parents) were compared to consumers who had not attained a higher social status level than their parents. Results from the study indicate that consumers who experienced upgraded social status differ significantly in their consumption behavioral patterns from consumers who did not experience increased social status. It was found that consumers who achieved a higher social status level than their parents bought more prestigious brands than their parents while consumers who did not achieved a higher social status than their parents bought brands with similar prestige level as the brands their parents bought. Moreover, as compared to the latter group, consumers with upgraded social status were motivated by brand-intrinsic qualities when selecting clothes, had a greater likelihood of purchasing prestigious brands and were more influenced by their friends than by their parents when selecting brands for grocery as well as big ticket items. These consumers were also more likely to change brands when hosting an important dinner party, had a greater likelihood of purchasing luxury brands with discretionary income and perceived Americans as owning/enjoying more consumer goods/services than consumers who did not achieve a higher social status level than their parents. This exploratory study underscored the significance of social status as a segmentation too.