296 Int. J. Business and Emerging Markets, Vol. 12, No.

3, 2020

Application of ‘masstige’ theory and approaches for

the marketing of smartphone brands in India

Ruturaj Baber*
Prestige Institute of Management,
Gwalior, Madhya Pradesh, India
Email: [email protected]
*Corresponding author

Yogesh Upadhyay
School of Studies in Management,
Jiwaji University,
Gwalior, India
Email: [email protected]

Rahul Pratap Singh Kaurav

Prestige Institute of Management,
Gwalior, Madhya Pradesh, India
Email: [email protected]

Prerana Baber
School of Studies in Management,
Jiwaji University,
Gwalior, India
Email: [email protected]

Abstract: ‘Masstige’ is term emerged in the early years of the present century
as an answer to the question – how the organisations are planning to penetrate
in the emerging economies? ‘Mass prestige’ is commonly known as ‘masstige’.
Masstige marketing, evolved as a strategic activity, which focuses on effective
market penetration and creating a competitive edge over competitors. The
article measures masstige score of Apple, Xiaomi and Samsung using masstige
mean index (MMI) developed by Paul (2018). Using a survey questionnaire,
data was collected from 613 respondents from four major cities of central India.
The data was collected from smartphone users owning Apple, Xiaomi, and
Samsung brands. The results indicated that Apple, a US brand, had highest
masstige score, in comparison to Xiaomi and Samsung. The results also
indicated that gender, income, and age had a significant difference in opinion
for brand masstige, brand perception, and propensity to pay premium prices for
smartphone brands. The findings offer smartphone manufacturers with useful
strategies and tactics to increase sales of smartphones in India depending upon
mass prestige perceived by consumers. This study provides much needed
empirical evidences about masstige which can be useful for developing
marketing strategies in emerging economies.

Copyright © 2020 Inderscience Enterprises Ltd.

 Application of ‘masstige’ theory and approaches 297

Keywords: mass prestige; masstige; brand management; smartphones;

marketing strategies; emerging markets.

Reference to this paper should be made as follows: Baber, R., Upadhyay, Y.,
Kaurav, R.P.S. and Baber, P. (2020) ‘Application of ‘masstige’ theory and
approaches for the marketing of smartphone brands in India’, Int. J. Business
and Emerging Markets, Vol. 12, No. 3, pp.296–312.

Biographical notes: Ruturaj Baber is an Assistant Professor of Management

from the Prestige Institute of Management, Gwalior. He specialises in fields
like consumer decision-making, research methodology and market orientation.
He has more than 30 published papers in national and international journals.

Yogesh Upadhyay is a Professor of Management from the Jiwaji University.

He has been an Exemplary Scholar having specialised in fields like consumer
decision modelling, business analytics, managing, and others. He has more than
60 published papers in national and international journals. He has presented
papers at IIM Ahmedabad, ISB Hyderabad, IIM Bangalore, and internationally
at many Universities including Harvard.

Rahul Pratap Singh Kaurav is an Assistant Professor of Management from the

Prestige Institute of Management, Gwalior. He specialises in fields of
tourist decision-making behaviour, destination marketing, business research
methodology and internal marketing. He has more than 40 published papers in
national and international journals.

Prerana Baber is a Lecturer of Management Jiwaji University, Gwalior,

Gwalior. She specialises in fields like marketing and financial management.
She has more than ten published papers in national and international journals.
She also has presented papers in various national and international conferences.

1 Introduction

‘Mass prestige’ has been now termed as ‘masstige’. In the era of globalised markets,
there has been a particular emphasis on brand management and penetration of markets for
better performance of the firms (Paul, 2018). Kumar et al. (2019) reviewed the evolution
of masstige strategy, which evolved as a marketing strategy for premium brands. At
present times, there lies the biggest question in front of the marketers, how to increase
market share. The present piece of research examines the role of strategic marketing,
which results in brand management. Paul (2015b) redefined masstige as “a market
penetration strategy for medium and large enterprises, particularly in foreign markets.”
Silverstein and Fiske (2003) identified it as an essential strategy, supported by the fact
that the number of middle-class consumers is on the phenomenal rise, and these
consumers also desire luxury products. Kim et al. (2018) stated that masstige brands have
evolved to retort the requirement of making luxury brands accessible to the mass market.
Truong et al. (2009) stated that masstige brands are just a step below traditional luxury
brands and a step above mid-priced brands with regards to price and prestige.
Consequently, masstige marketing could be defined as an activity in which products are
having slightly high prices are marketed to a large number of consumers by generating
mass prestige without dropping the prices or without offering discounts. Baristas,
298 R. Baber et al.

Café Coffee Day, Maruti Suzuki Baleno or Apple iPhone, can be taken to understand this
approach. Brand positioning is an essential tool aimed towards the development of a mass
prestige value of the brand. Consequently, the brand managers of mid-priced products
can use the masstige strategy to enhance sales but not by adopting any of the sales
promotion offers. Jiang et al. (2016) mentioned that Chinese technology firms had
developed expertise in creating products which not only are mass manufactured but also
offer a luxurious experience to users.
The consumer culture has been affected by globalisation in no small extent (Paul,
2018). Schroeder (2009) commented that brands have transformed into pivotal opinion
for both manufacturers and consumers, consenting with Keller and Lehman (2006). For
example, major smartphone manufacturers like Samsung, Apple, and Xiaomi have
established manufacturing plants in foreign countries, to reach global consumers faster
and decrease the costs of production and logistics.
Nguyen et al. (2013) commented that brand prestige, along with brand love, attracted
attention in the area of research of branding and consumer behaviour. Scholars in the past
have researched on masstige strategy and developed measures that explain the degree of
success of marketing efforts and failures associated with the method of developing brand
equity, prestige, and love (Paul, 2018; Qiao and Wang, 2019). Irrespective of the research
undertaken over the last two and a half decades, critical questions on brand equity
generally were unanswered. There is a requirement of extensive research and remarkable
advances towards understanding brand equity.
The concept of masstige is comparatively new. There are gaps in the theoretical
development of the concept too. Researchers have also suggested that it may be linked to
brand management. Therefore, this piece of research contributes towards extending
knowledge to the theory and practice of the ‘masstige’ marketing and strategy for
managing brands during the times of globalisation in an emerging economy.
In this study, an effort has been made to measure mass prestige value of smartphone
brands in India using the masstige mean index (MMI), developed by Paul (2015b). The
researchers present MMI as a tool to examine the effectiveness of marketing strategies of
smartphone brands in India and calculate the ‘masstige’ value of South Korean,
American, and Chinese smartphone brands in India, through this study. The objective of
this empirical examination is to develop and enhance knowledge of marketing
performance grounded in the mass prestige approach just as clarifying these practical
experiences for strategists. This article stretches out earlier research, with the particular
research objectives as pursues:
• Objective 1: To measure and compare the perceived mass prestige value of
American, South Korean, and Chinese smartphone brands in India using MMI.
• Objective 2: To examine whether opinion form different groups of gender, income,
and age – significantly differ for brand masstige, brand perception, and propensity to
pay premium prices.

2 Conceptual framework

Belk (1988) stated that consumers associate themselves with a brand, with a deep-rooted
belief that through their possessions, they can achieve their ideal self. Kirmani et al.
(1999) through their study, established that owners of luxury brands responded positively
 Application of ‘masstige’ theory and approaches 299

if the brands showed a desire to increase prestige. They reasoned that the extension of
brands enabled mass marketing by firms, which they considered as a critical step towards
the creation of mass-prestige, which Silverstein and Fiske (2003) defined as masstige.
Based on the notion developed over the period, Nijman (2006) commented that
consumers tend to have upper mobility.
Silverstein and Fiske (2003) used the term ‘masstige’ for the first time for the brands
which offered a vast range of prices in their products and customers belonged to various
income groups. As the masstige model was introduced, further, a dimension was added to
brand equity for its measurement. Brand equity could also be functionalised with the
inception of masstige marketing. Yeoman and McMahon-Beattie (2006) focused on
premium pricing and luxury markets. The focus of various organisations is now
developing luxury for the masses. Granot et al. (2013) further extended this definition by
proposing a new paradigm for luxury, which they refer to as ‘populence’. They stated that
firms have now developed luxury goods and services intending to reach a broader target
audience. Baek et al. (2010) found that perceived quality, information costs saved, and
perceived risk mediated the relationship between brand credibility and brand prestige
with purchase intention. With the association of prestige, the chance of consumers buying
the product also increases (Steenkamp et al., 2003; Baek et al., 2010).
Mróz-Gorgoń (2016) developed discourse theory and highlighted the importance of
campaigns, intending to enhance corporate brand equity. It was proposed that corporate
brands create co-brand relationships to transfer positive associations of one company’s
product or brand to another and results from the research indicated that co-branding is a
masstige.
Kautish and Sharma (2018) examined relationships among customer values on
fashion consciousness and behavioural intentions in online fashion apparel retailing.
Surprisingly it was found that both instrumental and terminal values affected fashion
consciousness. Behavioural intentions were affected by fashion consciousness. The
researchers suggested that the main focus of fashion brands and online stores should be
on creating methods to integrate the consumer value disposition in terms of terminal and
instrumental aspects.
Kim et al. (2018) examined masstige brand advertising effectiveness using
symbolism in fashion advertising. The research recognised identity values that are
specific to masstige brands, which were commonly shared with luxury brands. The
results indicated that high-order social and hedonic needs are satisfied by both masstige
and luxury brands.
Adebeshin (2015) explored the role of advertising themes for marketing masstige and
luxury products. For the purpose, the semiotic method was utilised by researchers. It was
found that both masstige and luxury fashion brands shared five implicit themes (pride,
exclusivity, accomplishment, independence, sophistication) of advertising. It indicated
that the selection of themes for advertising the masstige brands could be utilised as a
strategy for promotion.
Paul (2015b) redefined the ‘masstige marketing’ strategy and examined the
effectiveness of the masstige marketing strategy regarding marketing mix theory. In this
article, the researcher developed a pyramid model and introduced the masstige mean
score scale (MMS) to measure the masstige score of mass-produced luxury brands. The
author found that by creating a proper mix of the very popular four Ps of marketing,
through which brands can create mass prestige.
300 R. Baber et al.

Truong et al. (2009) confirmed that it is because of accurate pricing, luxury fashion
brands are perceived closer to the level of prestige in comparison to traditional brands
than middle-range brands. They also stated that even when mass targeting strategy is
pursued, a manufacturer can maintain brand prestige. Paul (2015a) agreed with the
statement by Truong et al. (2009) and re-examined the term ‘masstige’ marketing
strategy and developed a masstige model for brand management. With the help of the
developed scale, the author suggested that brand equity could be measured in different
countries. The author proposed a hexagon and three-stage model for marketing luxury
and mass prestige products.
Parguel et al. (2014) investigated the influence of price display on low-end brands in
the luxury sector. The authors conducted two studies altogether. The results of study one
indicated that display of prices is related to, uniqueness, conspicuousness, and higher
perceived quality for a fictional low and middle-range luxury products. The results of
study one was parallel to the results of a study undertaken by Truong et al. (2009). The
results of study two indicated that in the case of higher-priced luxury brands, the
perceptions of consumers are positive about the quality of products.
Mason et al. (2017) examined the role of lipstick effect on consumer behaviour. The
effect explains that, during an economic crisis, consumers tend to buy less expensive
luxury products. Using responses from consumers of the Italian jewellery retail chain, it
was found that income levels moderated the relationship between service quality and
behavioural intentions. Interestingly, results indicated that lower-income consumers had a
great emphasis on materialistic attributes of the products.
Paul (2018) examined and compared the MMI of American and Japanese car
manufacturers in the USA. The results surprisingly indicated that Japanese car
manufacturers had higher MMS in the USA. Through the study, the author also suggested
marketing strategies for car manufacturers in the USA.
As mentioned earlier, ‘masstige’ is a term suggesting the positioning of brands in
terms of mass prestige and focuses on the downward extension of the brand. It is a
combination of mass and prestige. From the knowledge gained from the reviewed
literature, new dimensions and views were developed for current article.

3 Smartphone brands and marketing strategies

3.1 Apple
The first generation Apple iPhone was launched on 29 June 2007 in the USA. Until now,
iPhone has launched 16 models. Initially, the iPhone was available only in
North America and a few selected countries, but as for now, it is sold all across the globe.
Apple embodies a strong customer base and brand equity. Apple has adopted the blue
ocean strategy to differentiate itself from other smartphone players in the market (Bhasin,
2018).

3.2 Xiaomi
‘Xiaomi’, a Chinese smartphone manufacturer started its’ operation on 6 April 2010. It is
a China-based mobile internet company, which researches and develops top-end
smartphones (Shih et al., 2014). Presently, Xiaomi owns four smartphone brands
 Application of ‘masstige’ theory and approaches 301

serving different consumer segments. Xiaomi’s promotional campaigns include press

conferences, social media, and technology shows. The smartphone brand focuses on mass
marketing and social media business model (fan-centric) developed by Berthon et al.
(2012).

3.3 Samsung
Samsung is a South Korean multinational company which entered into the smartphone
arena on 29 June 2009 with a Galaxy range of smartphones. It offers entry-level and
high-end smartphones (Djatmiko and Pradana, 2016). At the end of 2018, it was having a
19% global share in the smartphone market (White, 2019). Being part of the highly
competitive marketplace, the pricing is also extremely competitive in comparison to its
competitors like Apple, Sony, etc.

4 Hypotheses

Hypothesis 1 US smartphone brands have high mass prestige value in the Indian
market, in comparison to other foreign brands.
The researches undertaken in the past have shown a significant influence of gender
selection of brands by the consumers and their pattern of consumption too (Paul, 2018;
Granot et al., 2013; Stokburger-Sauer and Teichmann, 2013; Baek et al., 2010). The
higher perceived symbolic and social value of prestige brands has traditionally been more
important for women than men (Stokburger-Sauer and Teichmann, 2013). Kumar and
Paul (2018) also examined massitge of American and Asian laptop brands. They found
that US laptop brands had higher masstige value in comparison to Asian laptop brands
emerging economies. Lee (2019) also in the study conducted on electronic products
origins, found that US electronic products have created brand value and agreed with
findings of Kumar and Paul (2018) about US brands having higher masstige value.
Halkias et al. (2016) in an empirical examination, found that US soft drink brands (like
Coca-Cola, Pepsi) had higher brand value and were well known in other countries. Thus,
this research proposes the following hypotheses:
H2a Gender influences the mass prestige of a smartphone significantly.
H2b Gender does influence brand perception due to mass prestige.
H2c Gender does influence the propensity to pay a premium for a smartphone brand as
a status symbol.
The consumption of prestige brands (whose price is high by usual standards) is viewed as
a signal of status and wealth (Vigneron and Johnson, 1999; Silverstein and Fiske, 2003;
Stokburger-Sauer and Teichmann, 2013; Baek et al., 2010). This implies that low-income
consumers would find it challenging to purchase prestigious brands. Therefore, the
following hypotheses are proposed:
H3a The income level of the consumer significantly influences the purchase of
prestigious brands.
302 R. Baber et al.

H3b The income level of the consumer significantly influences brand choice due to
mass prestige.
H3c The income level of the consumer significantly influences the propensity to pay a
premium for a brand as a status symbol.
The consumption of products that are highly priced is also affected by the age of the
customers (Eastman and Liu, 2012). This implies that according to age, there will be a
difference in opinion among the consumers related to the purchasing of prestigious
brands. Therefore, the following hypotheses are proposed:
H4a The age of the consumer significantly influences the purchase of prestigious
brands.
H4b The age of the consumer significantly influences brand choice due to mass
prestige.
H4c The age of the consumer significantly influences the propensity to pay a premium
for a brand as a status symbol.

5 Research methodology

In this research article, the authors have utilised MMI to examine smartphone
manufacturers’ effectiveness of masstige marketing strategies. For the desired purpose,
MMS was calculated. The smartphone industry in India is dominated by foreign brands,
namely, American, Chinese, and South Korean. For the study, the authors have assumed
that the smartphone brands with moderate and high prices can fall into the category of the
masstige. Masstige brands do not need to be luxurious (Paul, 2015b). Three brands of
smartphones (Apple, Xiaomi, and Samsung) were selected, namely, because they
together have nearly 60% market share (Anon, 2018) and are the most renowned brands
in India.
This study is both exploratory and descriptive. Primary data was collected using the
MMI Instrument developed by Paul (2015b). Researchers administered the survey in
major four malls and public places in four urban settings of Madhya Pradesh, namely,
Bhopal, Indore, Jabalpur, and Gwalior. The data was collected through non-probability
purposive sampling technique undermining mall intercept survey where the respondents
were intercepted in a hypermarket or other public spaces. A particular subset of the
population (smartphone users out of mobile phone users) was targeted for the data
collection. Respondents were asked to rate smartphone brands they used on the masstige
scale. The criteria were to select those respondents who own one of the smartphone
brands included for this study (Xiaomi, Apple, and Samsung). Various magazines,
articles from journals, books, public sources, annual reports, and websites were used to
collect secondary data.
The study utilised the MMI developed by Paul (2015b). The responses were recorded
using a Likert type seven-point scale. Since normality tests with ordinal data are not
possible, there was a lack of both normality and homoscedasticity in the collected
data. Therefore, non-parametric assumptions were applied. The significance of
demographic variables was tested using Mann-Whitney U-test and Kruskal Wallis H-test.
Non-parametric tools were applied as the collected data was not complying with
 Application of ‘masstige’ theory and approaches 303

imperatives of normality. The Mann-Whitney test compares differences between the

means of only two independent variable groups, when the dependent variable could
be either ordinal or continuous, without normal distribution. On the other hand, a
Kruskal-Wallis test is utilised, where at least three certain independent groups are
considered; however, it additionally functions two categorical groups also. A necessity, in
any case, is observation independence, implying that no connection between observations
in each gathering or between the groups exists. The important feature of both of the
non-parametric statistical tools is that they are similarly effective and negligibly affected
by the presence of outliers.
In the past studies, the response rate varied from 70% to 90% (Truong et al., 2009;
Hong et al., 2010; Paul, 2015b, 2018). In total, 644 respondents from Bhopal, Indore,
Jabalpur, and Gwalior who used Xiaomi, Apple, and Samsung smartphones were
contacted using a mall intercept survey technique. Overall, 613 responses were deemed to
be useful, with a 90.2% response rate. The response rate was well over 60%, which is
considered to be good (Babbie, 2013).
Table 1 Profile of the respondents

N %age
Gender
Male 333 54.3
Female 280 45.7
Age Group
18–25 years 244 39.8
26–35 years 145 23.7
36–45 years 108 17.6
46 years or more 116 18.9
Income
Below Rs. 2.5 lakh per annum 279 45.5
Rs. 2.5 to Rs. 5 lakh per annum 189 30.8
Rs. 5 lakh to Rs. 7.5 lakh per annum 73 11.9
Rs. 7.5 lakh per annum or above 72 11.7
Brand
Xiaomi 194 31.6
Apple 201 32.8
Samsung 208 35.6
N = 613

5.1 Respondent’s profile

From Table 1, it can be known that out of 613 respondents, 333 respondents (54.3%)
were males, and 280 respondents (45.7%) were females. Two hundred forty-four
respondents (39.8%) belonged to the age group of 18 to 25 years. One hundred forty-five
respondents (23.7%) were aged between 26 and 35 years. One hundred eight respondents
(17.6%) were in a group of 36.46 years and 117 respondents (18.9%) were 46 years or
304 R. Baber et al.

more. The majority of the respondents 279 (45.5%) were belonging to the income group
of below Rs. 2.5 lakh per annum. Next, 189 respondents were having an annual
household income of Rs. 2.5 to Rs. 5 lakh per annum. 73 respondents (11.9%) belonged
to the income group of Rs. 5 lakh to Rs. 7.5 Lakh per annum. Also, respondents from
income groups of Rs. 7.5 lakh per annum or above were only 72 in number (11.7%). One
hundred ninety-four respondents (31.6%) owned Xiaomi smartphones. Two hundred one
respondents (32.8%) owned the Apple brand of smartphones and 201 respondents
(35.6%) owned the Samsung smartphones.

6 Results and analysis

6.1 Reliability of instrument

The reliability of the instrument was calculated using Cronbach’s alpha coefficient.
According to Nunnally (2010), the threshold is 0.7, which is considered good, and the
data collected from the scale could be further used for analysis. The value of α = 0.893,
which was higher than 0.7. The results indicated that items need not be deleted.
Table 2 Mean scores of smartphone brands (statement wise)

S. Samsung Xiaomi Apple

Statement
no. Mean score
1 I would buy this brand because of its masstige. 5.6239 5.6392 5.5473
2 I believe that individuals in my country, state or 5.5872 5.4433 5.6119
district perceive this brand as prestigious.
3 I consider this brand a top-of-mind brand in my 5.3945 5.4021 5.6915
country, state or district.
4 I would recommend this brand to friends and 5.7661 5.6959 5.7711
relatives.
5 I like this brand because of its prestige. 5.4037 5.5567 5.6368
6 I believe this brand meets international standards. 5.6651 5.6753 5.7413
7 I believe this brand is known for its high quality. 5.7569 5.8557 5.8856
8 I love to buy this brand regardless of price. 5.2523 5.3351 5.4527
9 Nothing is more exciting than this brand. 5.0046 4.7629 5.1294
10 I tend to pay a premium for this brand as a status 4.9771 4.8299 4.9104
symbol.
Valid N (list wise) 218 194 201

Table 2 indicates mean scores of the statements utilised in MMI for the studied
smartphone brands in India. The responses of the smartphone users show that the
international smartphone brands marketing their products in India were well received and
were generally positive towards them. The lowest score was in item 10, indicating that
users were less inclined to pay a premium for their brand of smartphone considering it as
a status symbol.
 Application of ‘masstige’ theory and approaches 305

6.2 Validity of the instrument

To examine the validity of the scale used for collecting data from the factors extracted,
we took the factor loadings, squared and divided them by the total number of statements.
If this value is greater than 0.5, the research instrument (MMS scale) has construct
validity (Table 3). The validity of the scale utilised for collecting the data from which the
factor has extracted the sum of squared factor loadings was divided by the number of
items (ten in this case). The value which was obtained was greater than 0.5; it indicated
that the research instrument (MMI) had construct validity (Table 3).

[(0.785)2 + (0.759)2 + (0.751)2 + (0.723)2 + (0.722)2 + (0.694)2

+(0.694) 2 + (0.693) 2 + (0.688) 2 + (0.656) 2 = 0.51452] (Paul, 2018)

Table 3 Component matrix

Items Component 1
Nothing is more exciting than this brand 0.785
I tend to pay a premium for this brand as a status symbol. 0.759
I believe this brand is known for high quality. 0.751
I consider this brand a top-of-mind brand in my country, state or district. 0.723
I like this brand because of its prestige. 0.722
I love to buy this brand regardless of price. 0.694
I would recommend this brand to friends and relatives. 0.694
I would buy this brand because of its masstige. 0.693
I believe that individuals in my country, state or 0.688
district perceive this brand as prestigious.
I believe this brand meets international standards. 0.656
Notes: Extraction method: principal component analysis.
When exploratory factor analysis (EFA) was applied, the ten items in the scale (MMI)
converged into one factor.

6.3 Masstige mean index

The MMI and its factors relating to Apple, Samsung, and Xiaomi are given in Tables 4
and 5. It was proposed in Hypothesis 1 predicted that Apple (USA) smartphone brand
had generated high mass prestige value in the Indian market, in terms of mass prestige
value, in comparison to Samsung (South Korean) and Xiaomi (Chinese) smartphone
brands. The estimated MMI for the US brand, Apple, is 55.378, respectively, which
implies that they have succeeded in the Indian market in terms of brand value creation,
according to the proposition made in Hypothesis 1. It was also implied that Samsung and
Xiaomi also have succeeded in developing their strong brands, along with establishing
pivotal brand awareness.
Table 5 indicates the factors of MMI as per Paul (2018). Factor one, mass prestige of
brand has five items, factor two brand perception has three items and factor three, the
propensity to pay premium price has two items.
306 R. Baber et al.

Table 4 Masstige mean index

Brand Masstige mean scale

Apple 55.378
Samsung 54.431
Xiaomi 54.195

Table 5 Factors of MMI

S. no. Statement Factors of MMI

1 I would buy this brand because of its masstige. Mass prestige of a
2 I believe that individuals in my country, state or brand
district perceive this brand as prestigious
3 I consider this brand a top-of-mind brand in
my country, state or district.
4 I would recommend this brand to friends and relatives.
5 I like this brand because of its prestige.
6 I believe this brand meets international standards. Brand perception
7 I believe this brand is known for high quality.
8 I love to buy this brand regardless of price.
9 Nothing is more exciting than this brand. The propensity to pay a
10 I tend to pay a premium for this brand as a status symbol. premium

6.4 Opinion differences in the groups of gender using Mann-Whitney U-test

For examining the difference between the opinion of the ‘gender’, Mann-Whitney test
was utilised. It is a non-parametric test, which was used to compare two sample means
(males and females) that had come from the population of the smartphone users.
Mann-Whitney U-test exhibits examining the influence of gender on mass prestige,
brand perception, and propensity to pay premium prices for the Xiaomi brand of
smartphones all the proposed hypotheses were supported. The difference between mean
ranks for H2a (W = 3,622.500, p < 0.05), H2b (W = 3,920.500, p < 0.05) and H2c
(W = 3,754.000, p < 0.05). The results indicate that mass prestige, brand perception, and
propensity to pay premium prices for the Xiaomi brand are accepted.
Mann-Whitney U-test exhibits examining the influence of gender on mass prestige,
brand perception, and propensity to pay premium prices for the Apple brand of
smartphones. The difference between mean ranks for H2a (W = 3,622.500, p < 0.05), H2b
(W = 3,920.500, p < 0.05) and H2c (W = 3,754.000, p < 0.05), the results indicate that
mass prestige, brand perception, and propensity to pay premium prices for the Apple
brand are accepted.
Further, Mann-Whitney U-test unveils the influence of gender on mass prestige,
brand perception, and propensity to pay premium prices for the Samsung brand of
smartphones. The difference between mean ranks for H2a (W = 5,137.500, p > 0.05) was
not accepted. H2b (W = 4,640.000, p < 0.05) and H2c (W = 4,483.000, p < 0.05), the
results indicate that brand perception and propensity to pay premium prices for the
Samsung brand are accepted.
 Application of ‘masstige’ theory and approaches 307

The results indicate that gender does influence mass prestige, brand perception and
propensity to pay a premium for the smartphone significantly. The proposed hypothesis
was accepted for Apple and Xiaomi, but rejected for Samsung, in case of gender’s
influence on mass prestige. In the case of gender’s influence on brand perception, the
hypothesis was accepted for Apple, Xiaomi, and Samsung. Furthermore, finally, gender’s
influence on the propensity to pay a premium price was accepted for Apple, Xiaomi, and
Samsung.

6.5 Opinion differences based on income groups using Kruskal-Wallis test

For examining the difference between the opinions based on ‘income group’,
Kruskal-Wallis H-test was utilised. It is a non-parametric test, which was used to
compare means of more than two samples that had come from a population of Xiaomi,
Apple, and Samsung smartphone users.
The effect of income was compared among users of the Xiaomi smartphone brand. It
can be inferred that, out of the three hypotheses, only one was accepted for the Xiaomi
brand of smartphones. The results indicated that the income level of the consumer did not
significantly influence the purchase of prestigious brands (H(3) = 1.564, p = 0.668) and
brand choice due to mass prestige (H(3) = 3.571, p = 0.312). The results indicated that
the income level of the consumer significantly influenced the propensity to pay a
premium for a brand as a status symbol (H(3) = 8.707, p = 0.033).
The effect of income was compared among users of the Apple smartphone brand. It is
anecdotal that, out of the three hypotheses, none were accepted for Apple brand of
smartphones. The results indicated that the income level of the consumer did not
significantly influenced purchase of prestigious brands (H(3) = 0.834, p = 0.841), brand
choice due to mass prestige (H(3) = 3.923, p = 0.270) and propensity to pay a premium
for a brand as a status symbol (H(3) = 6.507, p = 0.089).
The effect of income was compared among users of the Samsung smartphone brand.
It is inferred that out of the three hypotheses, none were accepted for the Samsung brand
of smartphones. Surprisingly, the results indicated that the income level of the consumer
did not significantly influence the purchase of Samsung smartphones due to mass prestige
(H(3) = 0.281, p = 0.964), Samsung brand choice due to mass prestige (H(3) = 0.950,
p = 0.813) and propensity to pay a premium for Samsung brand as a status symbol
(H(3) = 2.614, p = 0.455).
It can be summarised that income of the consumers does not affect purchase decision
indicating income levels did not influence the purchase of prestigious brands
significantly. Same is found for brand choice, it is not affected by income. Surprisingly,
for the Xiaomi smartphone brand, consumers had the propensity to pay premium prices
as it is considered as a status symbol in India.

6.6 Opinion differences based on age groups using Kruskal-Wallis H-test

For examining the difference between the opinion based on ‘age group’ Kruskal-Wallis
H-test was utilised to compare means of more than two samples that had come from a
population of Xiaomi, Apple, and Samsung smartphone users segregated based on age.
The effect of age was compared among users of Xiaomi smartphone brand. The
results reflected that out of the three hypotheses, none were accepted for Xiaomi brand of
308 R. Baber et al.

smartphones. The results indicated that age group of the consumer did not significantly
influenced purchase of prestigious brands (H(3) = 3.907, p = 0.272), brand choice due to
mass prestige (H(3) = 4.522, p = 0.210) and propensity to pay a premium for a brand as a
status symbol (H(3) = 0.713, p = 0.870).
The effect of age was compared among users of Apple smartphone brand. It is
inferred that out of the three hypotheses, none were accepted for Xiaomi brand of
smartphones. The results indicated that age group of the consumer did not significantly
influenced purchase of prestigious brands (H(3) = 5.033, p = 0.169), brand choice due to
mass prestige (H(3) = 4.335, p = 0.228) and propensity to pay a premium for a brand as a
status symbol (H(3) = 4.521, p = 0.210).
The effect of age was compared among users of Samsung smartphone brand. It can be
observed that all of the three hypotheses were accepted for the Samsung brand of
smartphones. The results indicated that age group of the consumer significantly
influenced purchase of prestigious brands (H(3) = 8.440, p = 0.038), brand choice due to
mass prestige (H(3) = 10.793, p = 0.013) and propensity to pay a premium for a brand as
a status symbol (H(3) = 10.254, p = 0.017).
Looking at the above results it can be summarised that both young and old consumers
gave more weightage to Samsung brand of smartphones which influenced their brand
choice, purchase decision and propensity to pay premium prices, but this was not in the
case for Apple and Xiaomi brand of smartphones.

7 Discussion

The results demonstrate that Asian smartphone brands Samsung and Xiaomi have done
well and created mass prestige in the Indian market, attaining a 54.431 and 54.195 MMI,
respectively. On the other hand, Apple has obtained a 55.378 MMI, respectively,
implying that these US firms in India are appreciated and have robust brand equity. It has
created top-of-the-mind awareness (TOMA) in the cities in which the study was
conducted (the benchmark for MMI was defined by Paul, 2015b).
Subsequently, there is a smartphone brand-specific discussion of findings.
Researchers found that the Apple brand of smartphones has the maximum masstige value
in terms of MMI. Apple’s smartphone brand was on top-of-the-mind and was perceived
of good quality by meeting international standards according to the users. Whereas,
Xiaomi in India was considered as the practical option. The users considered it as a
source of mass prestige and offered the right quality products at low prices. With
reverence to quality all, Apple, Samsung, and Xiaomi were considered excellent.
Xiaomi’s focus is on offering high quality technologically advanced products at
affordable prices rather than a luxury. It is observed in Table 5, as Xiaomi was placed last
on MMI. Samsung has the second-highest masstige value in India in terms of MMI. Just
like Apple, respondents consider Samsung a high quality and technology brand but were
willing to pay a premium for its smartphones. In terms of masstige, Xiaomi ranks third
from the three brands that researchers examined. Respondents believe that Xiaomi also
meets international standards and are recommending it to their relatives and friends.
However, just like in Apple’s and Samsung’s case, respondents were less willing to pay a
premium for this brand. Unexpectedly it was found, that age was one of the critical
aspects which influenced the purchase of prestigious brands, brand choice, and tendency
 Application of ‘masstige’ theory and approaches 309

to pay premium prices for brands acknowledging them as a status symbol. However, it
was not found in the case of Xiaomi and Apple users.

8 Theoretical implications

For researchers in luxury marketing, the research offers empirical evidence of masstige
strategies of smartphone brands. The findings have confirmed that the three smartphone
brands were perceived by consumers to be much closer to the level of prestige of
traditional brands. However, their prices are much closer to those of middle-range brands.
The most direct and significant implication for researchers is that current empirical
studies seem to explore on to the traditional products, rather than smartphone brands as
luxury products. Luxury brands were often considered exclusive and expensive; thus the
brand image was maintained via limited accessibility in socio-demographical terms. With
the emergence of smartphone brands, it seems that brand prestige can be developed even
when a mass targeting strategy is adopted. At the same time, a suitable premium price
should be levied to ensure the limited accessibility of the brands to the masses.

9 Practical implications

Apart from this, the study would also be useful for other smartphone brands present in the
market to appraise and adjust their marketing strategies in terms of mass prestige value.
This study is not only limited to smartphones. The MMI can be used to counter
competition posed by various smartphone brands. Based on the level other domestic and
international smartphone brands must formulate strategies for ensuring survival and
growth so that they could compete with the highly accepted brands in India as the
examined brands together have more than 50% market share. Examination of the MMI by
brands along with the competitor’s brands, will enable them to scrutinise and assess the
success of their marketing strategies.

10 Limitations and directions for future research

None of the studies is without limitations. This study was conducted among smartphone
users from Bhopal, Indore, Jabalpur, and Gwalior major cities in the state of Madhya
Pradesh, India. There would have been variation in the results if a country-wide survey
was conducted. Because of the reason mentioned before, generalisation for the Indian
smartphone market is inadequate to some extent. The measure’s impact of gender
(Hypothesis H2a–H2c); however, the sample distribution is somewhat skewed in favour of
males with females accounting for only 46% of the sample. Since the primary goal of this
article in addition to the existing theory of masstige marketing with the help of statistical
tools, grounded in the previous work and developed measures. Another important fact
here is concerning the selection of the product, smartphones were selected with an
assumption that despite being prices below the US $1,000 they’ve become a symbol of
luxury, which has created a lot of scopes for exploring various constructs of masstige.
310 R. Baber et al.

Drawing parallel with the findings of Paul (2015b), an opportunity has been
developed for MMI as an alternative measure of brand equity has created new avenues
for future research. The researchers can also examine whether the findings of this
research could be replicated in other surrounding with the large and national sample of
consumers in India or the milieu of other developing or developed countries. The sample
could also be sourced from consumers belonging to different religions or ethnicity.
Cross-sectional studies can also be undertaken by selecting brands from the services
industry, such as hospitality, online communities, personal services, etc. MMI of these
brands in the services industry could be measured and compared with the competitors.

11 Conclusions

According to the MMI analysis done by the researchers, it was found that international
smartphone brands (the USA, Chinese, and South Korean) are successful in creating mass
prestige in India. It is signifying that these brands have established a dominant position
and created brand equity in the Indian smartphone market. Achieving an acceptable MMI
would result in the creation of desire among the consumers to pay premium prices for
luxury offered by these brands, as well as entry/mid-level models of these brands. Based
on the findings of the research, researchers urge using MMI to estimate brand equity in
terms of mass prestige. Practitioners and researchers can prolong the scope to measure
mass prestige value of brands among various products and services such as televisions
(Mi, Sony, LG, Apple), watches (Tag Heuer, Titan, Swatch), laptops (HP, Dell, Lenovo),
apparels (Levis, Spykar, Pepe), restaurants chains (Pizza Hut, Dominoes, Marriot Group)
personal services (VLCC, Talwarkars, Planet Fitness), etc. in different countries,
particularly in emerging countries. The relationship between corporate image, country of
origin image, and mass prestige value for brands from various developing countries such
as India, in different segments, would offer exciting insights into the field. The
researchers expect that this piece of research has opened up the entirely new dimensions
for brand managers.

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