The Psychology Behind Irrational Luxury Consumption: Impact of Brand Marketing and Secondhand Solutions

Siying Wu

doi:10.54254/2754-1169/2025.20726

Research Article

Open access

Published on 8 February 2025

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Wu,S. (2025). The Psychology Behind Irrational Luxury Consumption: Impact of Brand Marketing and Secondhand Solutions. Advances in Economics, Management and Political Sciences,164,41-49.

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The Psychology Behind Irrational Luxury Consumption: Impact of Brand Marketing and Secondhand Solutions

Siying Wu *^,1,

¹ Oaks Christian School, 31749 La Tienda Rd, Westlake Village, United States

* Author to whom correspondence should be addressed.

https://doi.org/10.54254/2754-1169/2025.20726

Abstract

Luxury goods consumption is often driven by irrational behaviors due to emotional, psychological, and social factors. This research explores the central question of how psychological influences shape irrational luxury consumption and examines the role of marketing strategies employed by luxury brands and secondhand markets. Previous studies have investigated concepts like conspicuous consumption, identity signaling, and emotional drivers as critical aspects of luxury consumer behavior. Addressing this topic is essential because it sheds light on unsustainable consumption patterns while offering solutions like secondhand markets to mitigate financial and environmental impacts. Using a combination of theoretical analysis and case studies, this research evaluates the psychological, sociological, and economic dimensions of luxury consumption. Findings reveal that irrational consumption stems from a convergence of social status desires, emotional needs, and scarcity tactics, while secondhand markets offer a sustainable alternative by extending product life cycles and expanding access to luxury goods. The insights emphasize the importance of cultivating responsible consumer practices and promoting the growth of secondhand markets to balance individual desires with economic and environmental sustainability.

Keywords

Irrational Consumption, Luxury Goods, Consumer Behavior, Secondhand Market, Sustainability

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Cite this article

Wu,S. (2025). The Psychology Behind Irrational Luxury Consumption: Impact of Brand Marketing and Secondhand Solutions. Advances in Economics, Management and Political Sciences,164,41-49.

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About volume

Volume title: Proceedings of the 4th International Conference on Business and Policy Studies

Conference website: https://2025.confbps.org/

ISBN：978-1-83558-951-9(Print) / 978-1-83558-952-6(Online)

Conference date: 20 February 2025

Editor：Canh Thien Dang

Series: Advances in Economics, Management and Political Sciences

Volume number: Vol.164

ISSN：2754-1169(Print) / 2754-1177(Online)

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