The definition of the word “luxury” changes very rapidly. What was considered a luxury product yesterday is commonplace the next day. On a certain Tuesday only rich people could be seen wearing a certain brand of clothing. Two days later, everyone is wearing it.
Some experts call this phenomenon “product migration.” Another term used is “product devolution.” Simply put, it is “movement.” Luxury products move down because lots of people want to own them. They do not own them because they cannot afford them. So they work hard to improve themselves and their skills. They may start their own business. The result is they make more money. When they do, the first thing they do is “move up.” They go out and buy the luxury items they always wanted, but could not afford.
People move up as soon as they can. This upward movement toward luxury products and services tends to pull the definition of “luxury” down. As more and more people obtain a luxury product, the product loses its luster. It is not as exclusive as it once was. In fact, it becomes almost commonplace. It becomes “affordable luxury,” which is an oxymoron, because the term “luxury” implies exclusivity. If people who make $50,000 per year are now buying it, technically, it is no longer a luxury product. And the company marketing and selling a luxury product that has become “affordable luxury” is no longer marketing and selling luxury. They are now selling a product that affluent customers perceive as ordinary. When this happens, affluent customers, who are just like everyone else, move up. They begin looking around for luxury products that are exclusive. Affluent customers always move up, never down.