Unlike normal products whose demand increase as price decreases, goods with snob effect have the opposite effect. The graph shows the demand curve for a normal product, whose demand keeps decreasing as price increases. However, after a point the demand increase when price increases and these goods are the snob goods and this phenomena is called snob effect.
The situation arises with a desire to possess unique, expensive or unusual goods. These goods generally have high economic value but low practical value.
Example: example of “snob” goods are branded accessories like Rolex watches or Louis Vuitton bags. These accessories are priced at a very high premium and such products are brought by the rich because of its expensiveness and exclusivity.