The market for luxury brands is expanding rapidly in India, thanks to economic deregulation, rapid GDP growth, increasing consumption, and a growing young and upper middle-class working population, who can be classified as closet consumers. Closet consumers are those who have not been born wealthy and are just experimenting with luxury, as yet with a middle-class and conservative mindset. The aim of this study was to explore the impact of consumer personality traits on preferences towards luxury brand market segments. Using Exploratory Factor Analysis (EFA), 16 selected luxury consumer personality traits have been reduced to five major factors, namely, modernity, eccentricity, sincerity, competence and excitement. The findings show that some consumer personality traits are significantly related to preferences towards particular luxury brand market segments. The results offer marketers a basic framework for the development of a luxury brand personality.

India has a tradition of luxurious living among the rich. The Maharajas and the Nawabs of yore had sophisticated tastes and were connoisseurs of luxury. The luxury market in India has gained keen attention and is sometimes seen as a sign of India’s having ‘arrived’. The focus is on the new-found spending power of the Indian consumer and the flashy consumption culture. India is a huge potential market for luxury products, yet many marketers face serious growth challenges and make money with great effort.

Closet consumers are those who have not been born wealthy, but have moved up the social ladder based on their own efforts. They experiment with luxury products, as yet with a middle-class mindset. Some researchers describe these individuals as ‘new age high net worth individuals’, who are quite discriminating about luxury items. While India accounts for less than 2% of the global luxury market, it is interesting to watch new wealth emerging, particularly since many of these individuals still have a conservative mindset. The new Indian luxury buyer is quite aware of brands. While he values and buys international luxury brands, he is also strongly influenced by his Indian roots and culture.

Brand Management Journal, Consumer Personality Traits, Luxury Brand Market, Empirical Study, Exploratory Factor Analysis (EFA), Exploratory Factor Analysis (EFA), Rotated Component (Factor) Matrix, Closet Consumers.