This paper analyzes the multifaceted effects of social media on luxury consumption. Specifically, the paper delves into the impact of (1) e-WOM derived from social media on the brand equity of luxury brands; (2) consumers’ social media usage on conspicuous consumption of luxury brands and (3) social self-esteem and (4) expected social return obtained from social media usage on conspicuous consumption of luxury brands.
Three survey-based studies were conducted in Portugal with three samples to test the proposed research model.
Social media is compatible with the exclusivity positioning of luxury brands. On the one hand, e-WOM nurtures the brand equity of luxury brands. On the other hand, consumers’ social media usage and the expected social self-esteem and social return obtained from social media favor the conspicuous consumption of luxury brands.
This study sustains with Western samples that, despite the ubiquity of social media, the exclusivity positioning of luxury brands can be nurtured through social media e-WOM, with effects on brand equity and conspicuous consumption, because of the expected social self-esteem and social return. Fashion brands should design social media content that encourages e-WOM to enhance consumers’ social self-esteem and social return.
Introduction
The digital transformation has led to a marketing disruption, requiring brands to adapt to interact with consumers through social media (Godey et al., 2016). Luxury brands initially resisted the online presence (Okonkwo, 2009) because of the risk of losing the exclusivity positioning (Balasyan and Casais, 2018; Hennigs et al., 2012). However, they had to implement digital strategies to target consumers in the online environment (Bao et al., 2025; Kaskas and Kitchen, 2024; Sharma, 2024) and engage digitally native and tech-savvy audiences (Holmqvist et al., 2020).
Research on the online presence and social media marketing of luxury brands has intensified (Arrigo, 2018; Creevey et al., 2022; Kim and Lee, 2019; Oliveira and Fernandes, 2022; Shah and Ali, 2024; Zha et al., 2023), showing the positive effects on consumer attitudinal and behavior responses (Godey et al., 2016). Overall, it is recognized that digital marketing strategies are crucial for luxury fashion brands to engage customers and intensify the perception of glamor and rareness (Tam and Lung, 2025). The exclusive positioning is perceived by consumers motivated to engage in social media co-creation and participate in electronic word-of-mouth (e-WOM) (Pentina et al., 2018). The communication of luxury brands on social media positively affects brand equity (Godey et al., 2016) and purchase intention (Gautam and Sharma, 2017), even in the case of masstige luxury because it is considered a gratification from social media (Bilro et al., 2022).
E-WOM in social media is considered an important antecedent of brand equity (Khan et al., 2024), although mediated by review helpfulness (Upadhyay and Tripathi, 2023). However, recent findings show that the communication of scarcity on social media by luxury brands negatively affects consumer interest and perceived brand exclusivity, although mitigated by brand familiarity (Nechaeva et al., 2024). In fact, social media engagement in luxury fashion marketing is complex (Bazi et al., 2020) and depends on cognitive and affectional motivations (Huang and Zhou, 2024). Considering the important attribute of exclusivity in luxury and the possible misalignment of content gratification expected on social media (Nechaeva et al., 2024), we inquire the effects of e-WOM and social media usage on the perceived brand equity of luxury brands. Previous findings show that the attitude towards the brand is not affected consider the existence of gratification from social media (Bilro et al., 2022) and the elements of brand engagement in luxury brand equity (Godey et al., 2016). Thus, luxury brands need to understand the outcomes of e-WOM and social media usage for luxury brands. This question is particularly relevant when brands do not follow masstige strategies and are concerned with maintaining the premium positioning of exclusivity.
This paper aims to discuss whether it is possible to maintain a ubiquitous online presence while retaining the exclusivity inherent in this type of brand by researching the impact of e-WOM derived from social media on the brand equity of luxury brands. Further, this research considers the connection between social media and conspicuous consumption (Bainotti, 2024; Dinh and Lee, 2024). Previous research has shown that, from the consumer’s perspective, social media usage contributes to self-esteem and conspicuous consumption, which are highly related to purchasing luxury products (Burnasheva and Suh, 2021; Siepmann et al., 2022). This paper assesses these effects within different nomological models relative to the conspicuous consumption of luxury brands, further illuminating the mentioned relationships. Moreover, the concept of social return obtained from social usage (Boley et al., 2018; Russell et al., 2022) and e-WOM (Chen, 2017) is still under-researched in the case of luxury products. Additionally, this paper also identifies the effect of expected social return obtained in social media in the conspicuous consumption of luxury brands.
The objectives of the paper are to assess the impact of (1) e-WOM derived from social media on the brand equity of luxury brands; (2) social media usage on conspicuous consumption of luxury brands and (3) social self-esteem and (4) expected social return obtained from social media on conspicuous consumption of luxury brands.
The research offers a nuanced understanding of how social media strategies can be leveraged to generate conspicuous consumption without sacrificing the luxury brand’s exclusivity, contributing to both academic literature and practical applications in luxury marketing, which deals with such ambivalence in digital marketing strategies (Tam and Lung, 2025). The paper reports three studies with different samples obtained in Portugal, contributing to expanding knowledge on the geographical scope of the phenomenon of digital marketing in luxury fashion brands, as most research in this field is conducted in Asian countries (Aliyev et al., 2019).
Theoretical background
This study builds upon key theories in luxury branding (Ko et al., 2019): the theory of conspicuous consumption, the self-concept theory, the social comparison theory and the concept of extended self in the consumer culture theory.
Conspicuous consumption, introduced by Veblen (1899), emphasizes that individuals often consume to impress others by signaling wealth and gain social recognition of financial well-being, prestige and social status (Sahin and Nasir, 2022). This theory is commonly used to explain the motivations to purchase luxury products (Clingingsmith and Sheremeta, 2018; Cristini et al., 2017; Oh, 2021; Siepmann et al., 2022). Conspicuous consumption co-occurs with the need for self-esteem, i.e. the individual’s perception of their worth or value within a social context (Oh, 2021). Truong and McColl (2011) found that buying luxury goods as a reward can fulfill self-esteem needs. The self-concept theory relates to how people feel about themselves and luxury brands activate this need, especially expressed by individuals with higher interdependency to feel good about themselves through the possession of goods (Gil et al., 2012). Self-esteem also relates to how individuals believe others perceive them and how they fit into social groups. This phenomenon is explained by the social comparison theory (Festinger, 1954; Morse and Gergen, 1970), which highlights the human tendency to evaluate one’s own abilities and circumstances in relation to others, influencing behavior and decision-making, particularly regarding luxury purchase intentions (Pillai and Nair, 2021). This theory is also relevant to explain the anxiety effects of social media usage (Caliskan et al., 2024), considering that social comparison with others affects self-esteem (Abdellatif, 2022; Jiang and Ngien, 2020), with implications on consumer attitudes and behaviors (Liang et al., 2024; Liu et al., 2024). The concept of extended-self posits that individuals use goods to project a desired image to others (Vigneron and Johnson, 1999). This perspective is closely related to the theory of conspicuous consumption and suggests that individuals believe they can signal qualities to others by using goods that embody certain attributes (Sun et al., 2020).
Together, these theories provide a robust framework for understanding how individuals’ luxury consumption patterns are shaped by both the desire to convey status and the propensity to compare themselves to others and support the proposed hypotheses below.
Literature review and hypotheses development
The research delves into e-WOM, which refers to sharing with others in the digital realm positive or negative perceptions or attitudes about brands and products, for example, a digital review (Daugherty and Hoffman, 2014). Social media is a fertile space to generate e-WOM (Daugherty and Hoffman, 2014), influencing e-reputation (Castellano and Dutot, 2017) and brand equity, which, in turn, affects purchase intention (Khan et al., 2024; Lin et al., 2023; Siu et al., 2016). Brand equity consists of the perceived value of the brand based on the drivers of loyalty, perceived quality, notoriety and brand associations (Keller, 1993). The relationship between e-WOM and brand equity is well established in the literature (Sun et al., 2021), since credible online reviews, social media mentions, blogs and customer testimonials, for example, impact the perception of the brand’s credibility, reliability and overall value, which are key components of brand equity (Chakraborty and Bhat, 2018; Christodoulides and de Chernatony, 2010; Severi et al., 2014). In the luxury industry, social media also impacts brand equity and consumer behavior (Godey et al., 2016).
The effect of social media e-WOM on brand equity of luxury brands
Luxury goods represent quality, exclusivity, status and premium price, being designed and manufactured in such a way that transforms objects into exclusive iconic symbols through a focus on branding, aesthetics, experience and storytelling (Cristini et al., 2017; Ko et al., 2019). However, the luxury industry had difficulty migrating to the online environment and digital communication (Okonkwo, 2009). The paradox of luxury brand exclusivity versus the ubiquity of the internet (Hennigs et al., 2012) has been discussed in the literature, highlighting the need for a well-managed strategy to ensure that the luxury positioning is not lost in the online environment (Balasyan and Casais, 2018), for example with websites communicating the premium position of the brand (Shen et al., 2016).
Systematic literature reviews about the use of social media by luxury brands have revealed positive consumer attitudinal and behavioral outcomes, specifically regarding brand awareness, brand value, consumer-brand engagement and customer relationship marketing (Arrigo, 2018; Creevey et al., 2022). In fact, there are positive effects on customer engagement derived from authentic and high-quality visual content shared on luxury brands’ social media (Gautam and Sharma, 2017; Huang and Zhou, 2024; Oliveira and Fernandes, 2022; Shah and Ali, 2024; Pentina et al., 2018). This is because luxury marketing requires a perceived parasocial relationship between the consumer and luxury brands, reinforced by the top-quality social media brand visual content and e-WOM from social media influencers (Zha et al., 2023).
Research about the influence of e-WOM derived from social media on brand equity in the context of luxury brands is scarce. Kim and Ko (2012) found a positive relationship. The development of social media interaction to date and the recent inconsistent research findings about the outcomes of e-WOM, call for further research. This is a relevant research question, considering that e-WOM in luxury brands is driven by a status-seeking need derived from brand involvement (Pangarkar et al., 2023). This motivation leads to brand engagement (Brandão et al., 2019) and generates positive e-WOM for luxury brands (Nyadzayo et al., 2020). This assumption limits the influence of social media e-WOM within the brand’s online community. Thus, it is relevant to clarify the impact of social media e-WOM beyond the brand community, as brand familiarity also mitigates the negative effects on the perceived brand exclusivity obtained by the communication scarcity of luxury brands on social media (Nechaeva et al., 2024).
E-WOM influences the perception of the quality of a luxury brand and the attitude toward such brand (MajlesiRad and Haji pour Shoushtari, 2020), generating consumer brand engagement (Brandão et al., 2019) and the reinforcement of the perception of the luxury concept in such brands (Grassi, 2020). This generates brand awareness and brand image, which are dimensions of brand equity (Godey et al., 2016). To sustain this connection in the context of luxury brands, we formulate hypothesis 1.
Electronic word-of-mouth (e-WOM) positively affects luxury brand equity.
Conspicuous consumption, self-esteem and social return through social media
E-WOM positively influences luxury brands’ purchase intentions (Park et al., 2021). Status frequently influences consumption choices (Clingingsmith and Sheremeta, 2018) and Siu et al. (2016) have established the connection between exclusive brand equity and conspicuous consumption. social media posts allow individuals to display their conspicuous products and lifestyles (Thoumrungroje, 2018). Building upon the theory of conspicuous consumption and to reinforce previous research about the effect of consumers’ social media usage on conspicuousness in the context of luxury products (Burnasheva and Suh, 2021; Siepmann et al., 2022) and with the purpose of enhancing luxury brands’ understanding of consumer behavior outcomes of social media marketing strategies, we propose the following hypothesis:
The use of social media positively impacts conspicuous consumption of luxury products.
Emotions derived from social media usage affect self-esteem and both high and low self-esteem may lead to conspicuous consumption (Burnasheva and Suh, 2021), depending on the social class (Oh, 2021). On the one hand, high social classes with high self-esteem may look for social recognition through conspicuous consumption; on the other hand, when individuals feel excluded or undervalued, there will be a positive tendency toward conspicuous consumption (Liang et al., 2018). Again, to reinforce the findings of previous literature in the context of social media (Burnasheva and Suh, 2021) and the tenets of the social comparison theory, the following hypothesis was formulated:
Social self-esteem positively impacts the conspicuous consumption of luxury products.
Social return refers to the expected positive feedback through likes, comments, shares and interactions derived from posting on social media (Boley et al., 2018, 2024; Russell et al., 2022). The concept thus refers to the symbolic value of the shared experiences in social networks by making the poster look popular, unique and stand out (Boley et al., 2018). Expected social return captures an important motivation to post online. Studies about social return are restricted to posting travel destinations (Soares et al., 2025). However, the expected increase in the social status of individuals related to conspicuous consumption (Beall et al., 2021) can also be found in the case of luxury products. Therefore, we hypothesize that by displaying luxury items and lifestyles on social media, individuals aim to enhance their social standing and receive positive social feedback. Therefore,
Expected social return positively impacts the conspicuous consumption of luxury products.
These hypotheses are particularly relevant considering the recent findings of Husain and Khan (2022), who found the positive effect of social media marketing activity, brand equity, status consumption and brand trust on purchase intention of luxury products. In this sense, the effect of e-WOM on brand equity is particularly relevant to explore in the field of this luxury marketing. Similarly, the positive impact of consumers’ social media usage and social self-esteem on conspicuous consumption (Burnasheva and Suh, 2021) underscores the importance of examining the effect of expected social return on conspicuous consumption. Figure 1 presents our research model.
The flowchart begins with four text boxes arranged in a vertical series on the left, labeled from top to bottom as follows: “E-WOM,” “Social Media Usage,” “Social Self-Esteem,” and “Social Return.” “E-WOM” and “Social Media Usage” are enclosed in a rectangle labeled “Social Media.” A rightward arrow labeled H 1 from “E-WOM” points to a fifth text box on the right labeled “Brand Equity.” Rightward arrows labeled H 2, H 3, and H 4 from “Social Media Usage,” “Social Self-Esteem,” and “Social Return,” respectively, point to a rectangle on the right labeled “Conspicuous Consumption.”Conceptual model with the four hypotheses of the research. Source: Created by the authors
The flowchart begins with four text boxes arranged in a vertical series on the left, labeled from top to bottom as follows: “E-WOM,” “Social Media Usage,” “Social Self-Esteem,” and “Social Return.” “E-WOM” and “Social Media Usage” are enclosed in a rectangle labeled “Social Media.” A rightward arrow labeled H 1 from “E-WOM” points to a fifth text box on the right labeled “Brand Equity.” Rightward arrows labeled H 2, H 3, and H 4 from “Social Media Usage,” “Social Self-Esteem,” and “Social Return,” respectively, point to a rectangle on the right labeled “Conspicuous Consumption.”Conceptual model with the four hypotheses of the research. Source: Created by the authors
Research design
Three separate studies were conducted to test the four hypotheses. Using a multi-study design strengthens confidence in the findings and aligns with scientific standards for replication (Lynn, 2017). Each study used a distinct survey distributed online in Portugal. The three studies used convenient samples, considering the specificities of the population of interest. We sustain the value of convenient samples with the findings from Winton and Sabol (2022). Each sample answered a small questionnaire about the specific constructs of the hypotheses analyzed in the respective study, increasing the potential of obtaining completed responses. The diversification of samples increases the variability of data sets, reduces the bias of sampling techniques in convenient sampling procedures and increases the power of statistical analysis, which is particularly relevant in a complex conceptual model that incorporates scales of different constructs. The Portuguese samples illuminate the phenomenon of luxury marketing in a Western context, complementing existing research most prevalent in Asia (Aliyev et al., 2019). Study 1 tested H1 with a sample of 365 individuals. Study 2 tested H2 and H3 with a sample of 180 individuals. Study 3, with a sample of 347 individuals, tested H3 again in a different research model and also tested H4. The sample sizes in the three studies are appropriate to support the proposed multivariate model, considering the criteria of at least five observations per item of independent variables (Hair et al., 2019). The first study has a ratio of 14 observations per item, the second study has a ratio of 22.5 observations and the third study has a ratio of 28.9 observations per item. Results from the three studies were analyzed using the Statistical Package for Social Sciences (SPSS). Factor and regression analysis were conducted to test the proposed hypotheses.
Study 1
To test Hypothesis 1, an online survey was applied with a convenience snowball sampling technique to target participants from different demographic segments. The survey used existing scales about three constructs: e-WOM, brand equity and exclusivity of luxury brands. The scale developed by Castellano and Dutot (2017) measured e-WOM dimensions (see Table 1): Strength of Social Ties, Homophily, Trust, Credibility of the Source, Quality of the Message, Degree of Influence, Valence, Quality of the Content. Regarding brand equity, to reduce the response time and improve the response rate’s potential, we adapted the scale proposed by Keller (1993) to one question for each dimension – Loyalty, Perceived Quality, Brand Awareness, Brand Associations (see Table 2). As mentioned by Fisher et al. (2016, p. 2/3) “(a)lthough multiple item scales are more likely to have superior psychometric properties, there are a number of compelling reasons why researchers might consider the use of single items (e.g. minimizing respondent burden, reducing criterion contamination, increasing face validity).” This decision is also in line with the use of alternative brand equity measures with fewer items to simplify implementation, advocated by France et al. (2025). However, it should be stressed that our decision to use one question for each of the four dimensions of brand equity has not sacrificed reliability (0.785 of Cronbach Alpha) (Hair et al., 2019). All the items were measured by a Likert scale from 1 to 5 – with 1 corresponding to “Strongly Disagree” and 5 to “Strongly Agree”. A pre-test with 18 participants allowed the estimation of time required to answer the questionnaire and ensure that there were no comprehension issues.
e-WOM scale
| Items of the e-WOM scale |
|---|
Strength of social ties
|
| Homophily In general, the contacts on my “friends list” on any social media
|
Trust
|
Credibility of the source
|
Message quality
|
Degree of influence
|
Valence (positive)
|
Quality of the content
|
Items of brand equity
| Items of brand equity |
|---|
| Loyalty |
|
| Perceived quality |
|
| Brand awareness |
|
| Brand associations |
|
Study 2
Study 2 aimed to test Hypotheses 2 and 3. Such hypotheses had been studied in previous literature (Burnasheva and Suh, 2021; Siepmann et al., 2022), but our study considers a different set of nomological relationships. Specifically, this study tested a model encompassing the impact of materialism and sociodemographics (in addition to the variables used for these hypotheses) in conspicuous consumption of luxury products.
The scale developed by Burnasheva and Suh (2021) was used to measure consumers’ social media usage (see Table 3). For social self-esteem we used the validated adaptation to Portuguese by Ramos (2014) of the Heatherton and Polivy’s (1991) scale. Finally, the scale used to measure conspicuous consumption was the ten-item scale of Sun et al. (2020).
Scales of social media usage, social self-esteem and conspicuous consumption
| Items of the scales |
|---|
Items for social media usage (Burnasheva and Suh, 2021)
|
Items for social self-esteem (Burnasheva and Suh, 2021)
|
Items for conspicuous consumption (adapted from Sun et al., 2020)
|
The questionnaire was distributed online to a convenience sample after a pre-test with five respondents who identified typos and misunderstandings that occurred with translations from the original scales to Portuguese and estimated time to answer the questionnaire.
Study 3
Study 3 aimed to assess Hypotheses 3 and 4. To prepare the survey, we re-used the adaptation of the Heatherton and Polivy (1991) scale to Portuguese language (Ramos, 2014) to measure social self-esteem, similarly as in study 2 (Table 3). Expected social return was measured by adapting the scale proposed by Boley et al. (2018) to luxury products (Table 4). This adaptation has five items instead of six because the experience characteristic of the original scale in the context of tourism does not fit with the luxury product context. Both scales used a five-item Likert measurement scale, ranging from 1 to 5, where 1 represents “Strongly Disagree” and 5 represents “Strongly Agree”. The adaptation of the scale of conspicuous consumption from Sun et al. (2020) used in study 2 (Table 3) was replicated in this study.
Scale of social return
| Items of the scale of social return |
|---|
Social media posts in Instagram of a luxury product make …
|
A pre-test with three individuals allowed the detection and correction of typo errors.
Data analysis and results
Study 1
This study obtained 365 valid responses. 64.5% of the sample are women, 32.1% are between 46 and 55 years old and 64.9% were employed or self-employed (13.4%). We started by carrying out factor analysis for the e-WOM and brand equity variables. Using the criteria of communalities above 0.5, three factors were obtained for e-WOM and one factor for Brand Equity of Luxury Brands, explaining 66.9% and 61.8% of the total variance, respectively. Upon inspection of the component variables, the factors of e-WOM were labeled Influence, Proximity to the Source and Homophily. Then, a linear regression was conducted to assess the first hypothesis (see Table 5). Brand Equity of luxury brands is explained in 12.9% by the e-WOM variables, evidencing the influence relationship of the second over the first.
Regression analysis
| R | R2 | Adjusted R2 | Error |
|---|---|---|---|
| 0.369a | 0.136 | 0.129 | 0.720 |
Predictors: Homophily, Influence, Proximity to the source
To analyze the significance of the linear regression, a one-way Analysis of variance (ANOVA) demonstrated that there is a statistically significant difference in brand equity between Influence, Homophily and Proximity to the source, F (3,364) = 18,952, p = 0.000. Specifically, while 12.9% of Brand Equity of Luxury Brands is explained by e-WOM (Influence, Proximity to Source and Homophily), the Influence factor is the one that most contributes for the variation of Brand Equity of Luxury brands (β = 0.253; p = 0.000). The results showed in Table 6 support that if exclusivity is an inherent factor in luxury (Cristini et al., 2017; Ko et al., 2019), it is possible to maintain such association in more ubiquitous contexts, such as social media, by controlling the source of e-WOM regarding the power of influence, proximity to source and homophily. Thus, the balance between exclusivity and ubiquity can dictate the success of luxury brands, as stated in previous literature (Balasyan and Casais, 2018; Hennigs et al., 2012).
Coefficients
| Sum of squares | gl | Square average | F | Sig. | |
|---|---|---|---|---|---|
| Regression | 29.436 | 3 | 9.812 | 18.952 | 0.000ab |
| Residue | 186.901 | 361 | 0.518 | ||
| Total | 216.336 | 364 |
| Coefficients no standardized | Coefficients standardized | t | Sig. | ||
|---|---|---|---|---|---|
| B | Error standard | Beta | |||
| (Constant) | 2.528 | 0.159 | 15.856 | 0.000 | |
| Influence | 0.217 | 0.049 | 0.253 | 4.421 | 0.000 |
| Proximity to the source | 0.095 | 0.060 | 0.099 | 1.588 | 0.113 |
| Homophily | 0.091 | 0.053 | 0.099 | 1.721 | 0.086 |
Note(s): aDependent Variable: Brand Equity of Luxury Brands
Predictors: (Constant), Homophily, Influence, Proximity to Source
Study 2
While 284 answers were collected, only 180 participants responded positively to the filter question regarding purchasing luxury products. Most respondents were women (68.9%), were aged 21–26 years (58.9%) and had higher education (68.5).
Results were analyzed using multiple linear regression. The model, which also included materialism, was found to be statistically significant F(1.178) = 66.908; p < 0.001; R2 = 0.365, showing that the independent variables (materialism, self-esteem and use of social networks) explain around 36.5% of the variation in conspicuous consumption of luxury products (dependent variable). Specifically, the three variables: materialism (β = 0.334; p < 0.05; t = 4.787), use of social networks (β = 0.315; p < 0.05; t = 4.713) and social self-esteem (β = 0.138; p < 0.05; t = 2.007) are predictors of conspicuous consumption.
Regarding the impact of social media usage on conspicuous consumption (H2), our findings are consistent with existing research (Thoumrungroje, 2018; Burnasheva and Suh, 2021). Increased social media usage leads individuals to engage more in conspicuous consumption and to publicly showcase their purchases on these platforms as a means of social signaling. Regarding H3, the results indicate a positive influence of social self-esteem on consuming conspicuous luxury products. While there are divergences in the literature about the positive or negative correlation between these constructs (Liang et al., 2018), although it depends on the social class (Oh, 2021), our findings align with the positive impact of self-esteem on conspicuous consumption (Lewis and Miguel, 2016; Burnasheva and Suh, 2021). A possible explanation for this result is that individuals with higher levels of self-esteem tend to feel more confident and are, therefore, more inclined to purchase visible luxury products, often willing to pay for goods that enhance their social status.
Study 3
This study has a convenience sample of 347 individuals with a higher prevalence of young people, which is suitable for the purpose of the study, given the high predisposition of young people to value conspicuous consumption (Shin et al., 2017). 79% of the participants fall between 18 and 40 years of age, 51.3% are women and around 69.5% are graduated or have postgraduate education.
Data were analyzed using multiple linear regression in a model that also included the variable of growth mindset. This variable was used because people with low self-esteem tend to signal higher status toward others (Liang et al., 2018; Sun et al., 2020). However, a growth mindset was not statistically significant in our predictive model of conspicuous consumption. The analysis of the model resulted in a statistically significant model since F (3, 206) = 16.222; p < 0.01; R2 = 0.191. Both expected social return (β = 0.287; t = 4,349; p < 0.05) and social self-esteem (β = 0.258; t = 3.880; p < 0.05) significantly predict conspicuous consumption. Besides supporting H4, this study reinforced the findings of study 2 regarding H3, with a sample of younger people, contributing in this sense to the robustness of the finding about the effect of high self-esteem on conspicuous consumption (Burnasheva and Suh, 2021).
Conclusion
The research shows that social media e-WOM positively impacts luxury brand equity. Consumer social media usage, social self-esteem and expected social return are predictors of conspicuous consumption. This study reinforces our understanding of the important role of social media in the marketing of luxury products. Specifically, the ubiquity of social media allows for maintaining the exclusivity positioning of luxury products.
Theoretical implications
This paper reinforces the important role of social media in luxury marketing (Arrigo, 2018; Creevey et al., 2022). The positive effect of e-WOM on the brand equity of luxury brands expands the existing understanding of brand equity drivers within the luxury sector and extends previous insights about the importance of developing online communities for luxury brands (Brandão et al., 2019). The relationship found between e-WOM and brand equity sustains the idea that the ubiquity of social media maintains the exclusivity positioning of luxury products (Godey et al., 2016), though it might seem a paradox. The results also reinforce, with Western samples, previous findings about social media usage (Husain and Khan, 2022) and self-esteem (Burnasheva and Suh, 2021) as predictors of conspicuous consumption. This result suggests that the pursuit of status through consumption is influenced by online interactions and the personal self-perception derived from navigation in social media. A novel contribution of this research is the identification of expected social return as an antecedent of conspicuous consumption. This finding underscores the sociological dimension of conspicuous consumption, positing that individuals engage in such behaviors not merely for personal gratification but with an expectation of tangible or intangible social benefits, such as enhanced social standing, recognition or group acceptance. The paper suggests that social media is a favorable environment to generate conspicuous consumption due to the social visibility obtained online. While this phenomenon had already been researched in tourism (Boley et al., 2018; Soares et al., 2025), this finding expands this idea to the luxury context. Overall, the paper contributes to a more nuanced theoretical understanding of brand equity in the luxury market, the importance of social media for conspicuous consumption, with the understanding of its psychological drivers and social motivations.
Practical implications
The presence in social media is of major importance because consumers are actively influenced by social media usage and the expectation of social return through social media derived from using luxury products. That is why luxury marketers need to strategically invest in social presence to create awareness and engagement with customers, leveraging brand equity and conspicuous consumption. Marketing managers of luxury brands should utilize social media to generate positive e-WOM, as a driver of luxury brand equity. This can be achieved by content marketing that activates the perception of exclusivity of the brand and encourages satisfied customers to share their experiences online, perhaps through exclusive loyalty programs or incentives for sharing. Techniques like micro-storytelling and episodic content benefit from being easily shareable online by engaged users. Content that encourages consumers to share their purchased products and best looks can be used to capitalize on the expected social return and foster conspicuous consumption. Marketers should continuously monitor online conversations about their brand to identify and address negative sentiment responses to turn a negative experience into a positive brand interaction. The collaboration with selected influencers whose values align with the brand may also generate authentic e-WOM. Content should also emphasize the elevated status, unique experiences and self-expression associated with products, appealing to consumers’ desires for social recognition and self-enhancement. Fostering exclusive online communities where customers can connect, share experiences and reinforce the brand’s social value may also address the need for social validation that drives conspicuous consumption.
Limitations and future research
Although three studies with three samples generate more robust results, future research may use structural equation modeling with all the variables. The positive effect of social self-esteem on conspicuous consumption found in Study 2 and Study 3 did not consider social class as a mediating variable (Oh, 2021). Future research may recall this point and distinguish the effect of positive and negative e-WOM on the brand equity of luxury brands.
