Thematic analysis shows value co-creation failures in Amazon luxury stores, indicating new approaches for digital customer experience design.
Purpose Amazon’s failed luxury stores initiative offers a critical case for examining the incompatibility between mass-market digital strategies and high-end service environments. This study extends the TCQ (touchpoints, context, qualities) framework by introducing a luxury-centric variant (L-TCQ), illuminating how symbolic, hedonic and prestige-driven value co-creation processes are undermined when convenience overtakes exclusivity. Design/methodology/approach A thematic analysis was conducted on qualitative data from 35 international MBA students specializing in luxury brand management. Participants evaluated Amazon luxury stores in real-time, generating experiential feedback based on structured digital journey immersion. Findings The results reveal that Amazon failed to deliver critical luxury-specific experiential qualities, including immersion, personalization and brand legitimacy. The study introduces “nonlinear process sequence” as a luxury-specific construct describing the nonlinear and symbolic navigation of digital services by high-end consumers. Practical implications Luxury service providers should design digital platforms using the L-TCQ framework to foster symbolic engagement, emotional immersion and prestige signaling – key elements absent from mainstream customer experience (CX) design. Originality/value This research contributes to services marketing by proposing the L-TCQ model, a theoretical refinement that incorporates luxury-specific service dimensions into the TCQ framework. It advances the field by theorizing how experiential, contextual and symbolic co-creation failures explain Amazon’s shortcomings and offers an actionable roadmap for digital luxury CX design.
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Klaus et al. (2026) studied this question.
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