🧠 Identity = “This is who I am.”
People buy to express their inner self ( their values, beliefs, or lifestyle.)
Example: “I wear Patagonia because I care about the planet.”
Example: “I drive a Tesla because I believe in innovation.”
➡️ It’s internal: tied to self-image and authenticity.
👑 Status = “This is how I want others to see me.”
People buy to signal success, taste, or belonging to a higher group.
Example: “I wear Rolex because I want to be seen as successful.”
Example: “I dine here because it shows I can afford it.”
➡️ It’s external: tied to social image and recognition.
In short: Identity is who you are to yourself. Status is who you are to others. Both drives buying behaviour but identity builds loyalty, while status drives impulse.