I've made this point before, but here goes......
Speaking as one who spent many years working with mishandled and lost luggage at Heathrow, I'd say external bag tags are next to useless.
Anyone looking for a particular bag will be looking for the following luggage attributes in descending order of usefullness:
- Type and colour of bag - easy from a distance
- Flight tag (Airline, Flight Number, Tag Number, Name) - absolute confirmation
- If still unsure (which is unlikely), then a personal tag will help - if flight tag is missing (although most check-ins use secondary stickers these days)
In the case of cabin baggage, a simple distinguishing feature is all you need. I personally have a small plastic tie around the base of the handle.
However, as has been pointed out, blatant status displayed will generally have the opposite to desired effect. The best advice has always been to have your name and contact details easily accessible inside the bag - believe me there is no locking mechanism that is a barrier when dealing with mishandled bags (customs randomly need these bags opened on clearance).
My gold tags go straight in the dustbin whenever they arrive each year.