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July 16, 2005 Is premium the new mainstream?
My research says premium brands are becoming more mainstream, and there are mainstream brands with the traits of premium ones. Hence, the distinction between the two are blurred. My theory is that the brand is paramount, and if strong enough, it need not matter which income group it ultimately serves. At the most visible, you have Hollywood types buying Toyota Priuses. And you have BMW 1-series competing with Volkswagen Golfs. But there are some studies to show otherwise: that the rich would prefer to indulge in conspicuous consumption (and screw sustainability). Are these studies merely furthering old ideas of income strata to preserve the ideas of old (i.e. pre-Beyond Branding), or will the rich always indulge because they can? Any thoughts out there?
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