The Moderating Role of Brand Price Skimming on High-Net-Worth Consumers’ Purchase Intentions: A Dual-Path Analysis via Scarcity Perception and Identity Identification

Abstract

In the context of a period characterized by the gradual deceleration of market growth and the emergence of dynamic shifts in consumer demand, how luxury brands can employ pricing strategies to maintain their high-end customers has become a significant concern. Focusing on High-Net-Worth (HNW) consumers, this study investigates how brand skimming pricing strategies (i.e. setting high initial prices to attract the first wave of target customers) influence purchase intentions through the dual pathways of perceived scarcity and identity identification. The paper employs a multi-case comparative design, selecting Hermès (luxury), Tesla (high-end technology), and Rimowa (high-end lifestyle) for the purpose of within-case and cross-case analyses. The study posits that scarcity and identity identification interact with each other. Cross-case analysis demonstrates that the strength of the two paths varies according to different contextual factors. This research enriches theories of luxury brand marketing and offers managerial insights for brands to develop differentiated pricing and customer relationship strategies. Moreover, this research also discusses the limitations of a limited focus on high-end brands, external validity of multi-case study, and proposal for future research direction.