Diamonds and gold: The attraction to luxury goods
by Natasha Christou Digital Marketing ConsultantIn the world of the super-rich, diamond
encrusted Rolex watches and costly designer handbag are considered the norm. Of
course, many expensive purchases are made simply because people have the
disposable income to spare – but there are plenty of other reasons for
consumers attraction to luxury goods. In this article, bespoke jewellers Angelic Diamonds
investigate the market for expensive goods and what attracts customers to
purchase a luxury item.
Luxury good reflect social status. In one argument by French philosopher, Pierre Bourdieu, it
was suggested that the things that consumers buy are ways of communicating a
‘symbolic hierarchy’ to others — a way to distinguish their place in society.
Other research found that women purchased designer handbags and shoes in order
to signal status — it can be one way of preventing other women from going near
their man. The attitude of the buyer also determines if they are likely to
make a luxury purchase. Age can affect these attitudes, too. By 2025, Bain & Company predicts that Millennials and
Generation Z will account for 45% of the global personal luxury goods market.
The luxury market is also heavily
influenced by the success of e-commerce. In fact, 70%
of luxury purchases are influenced by online interactions. The availability of
luxury ecommerce also meant that 14% of buyers aged 18 to 24 were found to have
made their first luxury purchase over the internet. A range of things can
determine the price tag of the product. This could be
the quality of materials that were used to make it, the level of craftsmanship
that was required or even just the brand whose product it is. Two materials
that often bump up the cost of an item are diamonds and gold — but why?
Gold has always been associated with
wealth, power and fancy décor, and this opinion has continued to today. Compared
to many of the other elements in the periodic table, gold is one of the
least-reactive. This means that it is less likely to corrode when used. The
metal also doesn’t rust and is aesthetically pleasing, plus it’s versatile!
We’ve seen many items crafted out of gold or fitted with gold plates to add
value. Take a look at the following:
·
Costing $999,999 (£707,799) is
the GoVacuum GV62711. Features include: a 14-inch cleaning nozzle, a weight of 16
pounds and gold plating. There were only 100 of these products made — true
exclusives.
·
Another standard product made
expensive by the addition of gold is the 24-carat gold shoelaces. These cost a
pricey $19,000 (£13,448) or shoppers can opt for the silver shoelaces which
would set them back $3,000 (£2,123)
The price of a diamond is determined by the
four C’s; These are clarity, carat, colour and cut. Clarity refers to the overall
appearance of the diamond, which can be affected by ‘inclusions’ and
‘blemishes’. These are often not visible to the naked eye but are found through
analysis by an expert. The weight of the diamond is expressed through the carat
weight — a metric ‘carat’ is defined by 200 milligrams. Moving over to colour,
a pure diamond is truly colourless and more valuable than one which has a
presence of colour. Lastly, the cut grade of a diamond determines how well it
sparkles due to its interaction with light.
·
Potentially the most expensive
pair of shades in the world are Dolce and Gabbana's DG2027B sunglasses. They
have been crafted with a solid gold frame and studded with diamonds. To buy
this luxury product would set you back $383, 609 (£271,472).
·
One dog collar was valued at an
astounding $3.2 million (£2.26 million). Forbes Magazine called it ‘the Bugatti
of dog collars’ and it’s clear to see why. It was encrusted with 1,600 diamonds
with a seven-carat, D-IF (faultless) colour-graded centrepiece and black
alligator leather for the collar.
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Created on Jan 28th 2020 05:29. Viewed 500 times.