This study is based on young adults’ identity in Japan and Hong Kong and its relation to conspicuous consumption. The purpose of this study is to explore how conspicuous consumption influenced the young adults’ identities in Japan and Hong Kong. In order to study this phenomenon, we created a conceptual model, we named “Young Adults Conspicuous Consumption Identity” (YACCI), which is based on previous research on identity and luxury values. The research is based on a qualitative study and the empirical data was gathered through 11 semi-structured interviews with young adults from Hong Kong and Japan. Findings show that the identities of young adults in Japan and Hong Kong are heavily influenced by the society that surrounds them. The results of the societal pressures force them to keep up with a certain standard of image which increase their conspicuous consumption behaviour. This study has contributed to a further understanding of underlying factors that influence young adults’ identities in Japan and Hong Kong.