According to eMarketer, the perception of what constitutes a luxury product is evolving in the U.S. market. Among American adults, the share of those who define luxury based on high-quality materials has declined from 55% in 2021 to 49% in 2025. Conversely, the proportion of consumers who associate luxury with high price has risen to 62%.
This shift has significant implications for both e-commerce and retail brands. Pricing strategies, marketing messages, and value propositions are increasingly influenced by consumers’ perception of exclusivity and cost, rather than purely craftsmanship or material quality. Brands may need to rethink product positioning, messaging, and pricing models to align with these evolving attitudes, especially in online channels where consumers have broader access to comparison and alternatives.
The trend highlights the growing importance of perceived value and brand storytelling in the luxury segment, emphasizing that how a product is marketed and priced can now be as crucial as its intrinsic quality.