'End of Bling is Nigh' warns new study

Jun 10, 2009

New research at the University of Leicester reveals that the recession will bring with it a new ‘economic ethic’ which will curtail the display of ostentation and conspicuous consumption.

The study reveals the recent global financial crisis seems to have a huge impact on consumers’ motivation to compete for social status.

The doctoral study by Georgios Patsiaouras, of the University of Leicester, School of Management, is entitled ‘Luxuries or necessities? Economic and its impact on conspicuous consumption.’

Patsiaouras argues that individuals consume and demonstrate products and services in order to achieve a desired status designation. Manufacturers, sellers and advertising agencies produce and promote goods that aim to satisfy consumers’ tendency to emulate ‘superior’ lifestyle groups.

But the recession has changed the normal state of play. Says Patsiaouras: “The recent global financial crisis seems to have a huge impact on consumers’ motivation to compete for social status and the game of conspicuous economic display will be played with different rules. The dominance of a competitive consumer ethos, especially amongst middle-income individuals, supported by bank credit facilities, surfeit of advertising messages and unprecedented conformity to emergent ‘lifestyles’ is over. Experiencing harder economic times, consumers’ desire to differentiate themselves via the exhibition of luxurious brands will be suppressed by financial constraints, and ethical considerations.”

“Sliding into the depths of a global financial recession, the levels of heightened materialism and ostentatious economic display will be reduced.”

Emerging from these straitened times will be a new type of economic consumer: “Perhaps, a ‘moderate’ consumer who distances himself from excessive and ostentatious consumption activities will emerge as an archetype of advertising strategies,” says Patsiaouras.

Source: University of Leicester (news : web)

Explore further: Education Dept awards $75M in innovation grants

add to favorites email to friend print save as pdf

Related Stories

Are men hardwired to overspend?

Dec 08, 2008

(PhysOrg.com) -- Bling, foreclosures, rising credit card debt, bank and auto bailouts, upside down mortgages and perhaps a mid-life crisis new Corvette—all symptoms of compulsive overspending.

Subprime problems signal trouble ahead, research shows

Sep 18, 2007

If it seems as though sub-prime mortgage loans stirred up trouble in the financial markets, just wait until debt problems spill over onto household spending. According to economists Barry Cynamon and Steven Fazzari, America's ...

Recommended for you

Research band at Karolinska tuck Dylan gems into papers

Sep 29, 2014

(Phys.org) —A 17-year old bet among scientists at the Karolinska Institute has been a wager that whoever wrote the most articles with Dylan quotes before they retired would get a free lunch. Results included ...

A simulation game to help people prep for court

Sep 25, 2014

Preparing for court and appearing before a judge can be a daunting experience, particularly for people who are representing themselves because they can't afford a lawyer or simply don't know all the ropes ...

When finding 'nothing' means something

Sep 25, 2014

Scientists usually communicate their latest findings by publishing results as scientific papers in journals that are almost always accessible online (albeit often at a price), ensuring fast sharing of latest ...

User comments : 2

Adjust slider to filter visible comments by rank

Display comments: newest first

gopher65
2 / 5 (2) Jun 10, 2009
Something similar happened in the 80s. People use to brag about how much they paid for their new TV. Then, after the recession, people were bragging about how little they'd paid. It was a polar reversal in consumer habits (and it led to the rise of walmart and company). I wonder how things will change this time.
COCO
5 / 5 (1) Jun 11, 2009
be great to see in this post-shock world that there would be a critical review of our spiritual selves - revealing the myths of ALL relgions and their child-like silliness would help the planet as much as careful consumption.