Without doubt, RDV4R, but status in the eyes of ones peers, not in the eyes of other passing cyclists and motorists. That's why the top income bracket still perceive themselves as poor (
http://www.splashlife.com/article/more-money-more-problems-why-wealthy-feel-poor) - benchmarking is against peers and not the general public.
There are other reasons too, as well as status. This is, of course, anecdotal but I'll warrant it's common amongst those who own "halo" bikes:
- For those of us who no longer race, the only competition is our riding group. Performance level variations within one's
core riding group tend to be very small - eg +/- 5% because over time the composition of the core self-selects. Therefore, equipment that gives even a minor actual or perceived (the effect of confidence on performance is well known) benefit has a greater
relevant impact. In combination, it can be the difference between getting beat and doing the beating.
- "Rewarding" oneself with halo items is one of the few ways to make a discretionary spending decision purely for oneself. And for those whose other purchases are for the family (ie property, school fees, travel, credits cars for the wife etc), buying something purely for oneself is disproportionately pleasurable.