Dr. Bonnie Knutson, a Professor in The School of Hospitality Business in the Broad College of Business for Michigan State University discusses how key drivers and cultural forces creating this shift in how luxury is defined are all intertwined.
- Economic Growth…beginning post WWII…manufacturing
- Economic Democracy (equal rights for everybody). If you have the money you can buy/have it (Cadillac dealer). Used to have to stay in your “class” (Titanic).
- Accessibility/Democracy of information (TV commercial to internet) (food channel).
- Changing expectations of consumers…TV shows, internet, everyone feels they have a right to luxury.
- Yesterday’s luxury (want) becomes today’s necessity (need)…bathrooms, cars, education, massage.