THE EFFECT OF LUXURY BRANDS’ CO-BRANDING STRATEGY WITH DISNEY ON THE PERCEPTION OF LUXURY AND PURCHASE INTENTION AMONG GEN Z

• Main Author: Putri Eka, Amalia
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/83975
• Institution: Institut Teknologi Bandung

Luxury brands, known for their prestige, exclusivity, and craftsmanship, are increasingly adopting the "masstige" strategy by offering high-quality products at more affordable prices to appeal to aspirational middle-class consumers. This study investigates the impact of co-branding between luxury brands and Disney on Gen Z's perception of luxury and purchase intention, focusing on two (masstige) strategies: born-masstige and luxurymasstige. Using a quantitative approach with non-probability sampling (400 respondents) and PLS-SEM for data analysis, the study reveals that extension favorability (EF) significantly enhances purchase intention, brand prestige, and brand desirability for both strategies. Specifically, higher EF positively affects purchase intention and brand prestige for born-masstige brands, aligning with Gen Z's preference for accessible yet aspirational products. In contrast, luxury-masstige brands show significant effects on purchase intention and desirability, though the impact on brand exclusivity is less pronounced. By bridging the gap in understanding Gen Z’s perception of luxury, this study expands knowledge of co-branding strategies and consumer attitudes, highlighting the differential impacts of these strategies on brand prestige, desirability, and exclusivity. These findings offer practical insights for marketers, indicating that strategies aligning with brand values and resonating with the target audience can boost purchase intentions and enhance market positioning.