TY - JOUR
T1 - How Do Crazy Rich Asians Perceive Sustainable Luxury? Investigating the Determinants of Consumers’ Willingness to Pay a Premium Price
AU - Lim, Xin-Jean
AU - Cleah, Jun-Hwa
AU - Ngo, Liem Viet
AU - CHAN, Kara K W
AU - Ting, Hiram
N1 - Funding Information:
Although originally rooted in environmental psychology, the VBN theory has found widespread application across various disciplines to investigate human behavior, including sustainable tourism (Van Riper and Kyle, 2014), sustainable transportation (Jakovcevic and Steg, 2013; Xie et al., 2020), the workplace (Gkorezis, 2015), and retailing (Kim and Seock, 2019; Patel et al., 2020). However, a review of the literature reveals that the utilization of the VBN theory as a theoretical basis for non-Western consumers’ sustainable luxury behavior remains limited. In one exception, Jung et al. (2016) used the VBN theory to explain the factors that influence the acceptance of green leather products among consumers in China and Korea. Another exception is Kim, Oh, and Jung's (2015) study, which explicated Korean consumers’ intentions to purchase eco-friendly fashion products. Considering this gap, the main goal of our study was to provide preliminary support for the adoption of the VBN theory in addressing the following interrelated research questions: (i) How do PSI and CPV affect consumers’ WPP for sustainable luxury fashion products?; (ii) How does engagement mediate the effects of PSI and CPV on WPP?; and (iii) How does myopia moderate these relationships? Table 1 offers a concise overview of all the constructs employed in the study. Meanwhile, Fig. 1 illustrates the research framework, and the hypotheses related to the study are explained in subsequent sections.
Publisher Copyright:
© 2023 Elsevier Ltd
PY - 2023/11
Y1 - 2023/11
N2 - Motivated by the increasing media coverage of environmental disasters and growing evidence of humans’ detrimental impacts on the natural environment, the key aim of this study was to examine consumer interest in buying sustainable luxury products. Rooted in the Value-Belief-Norm (VBN) theory, a research framework incorporating pro-environmental self-identity (PSI), consumer pro-environmental values (CPV), engagement, and willingness to pay a premium price (WPP) was proposed. To better understand the sustainable behavior of consumers, this study modelled myopia as a personality trait that moderates the aforementioned relationships. Partial least squares path modelling (PLSPM) was employed to analyze data collected from 296 Chinese consumers who had purchased luxury fashion products. The results highlighted the influential role of CPV in shaping both consumer engagement and WPP, surpassing the impact of PSI. Also, the study established the positive effect of engagement on WPP and confirmed its mediating role in the relationship between CPV and WPP. The incorporation of myopia as a moderator further enhanced the explanatory power of the VBN theory in understanding sustainable consumption evaluations. The findings revealed that the positive links between PSI, CPV, engagement, and WPP were particularly pronounced among non-myopic consumers, suggesting that a clear vision of long-term consequences strengthens the connections between these constructs. These findings offer valuable insights to both academics and practitioners, particularly in the realm of luxury fashion brands within Chinese culture. They provide a foundation for designing targeted marketing communication strategies that effectively leverage and cultivate consumers' pro-environmental self-identities and values. By aligning brand messaging with these values, luxury fashion brands can enhance consumer engagement and foster a willingness to invest in sustainable products. Ultimately, this study contributes to the growing body of knowledge on sustainable consumption and offers practical implications for promoting environmentally responsible choices in the luxury fashion industry.
AB - Motivated by the increasing media coverage of environmental disasters and growing evidence of humans’ detrimental impacts on the natural environment, the key aim of this study was to examine consumer interest in buying sustainable luxury products. Rooted in the Value-Belief-Norm (VBN) theory, a research framework incorporating pro-environmental self-identity (PSI), consumer pro-environmental values (CPV), engagement, and willingness to pay a premium price (WPP) was proposed. To better understand the sustainable behavior of consumers, this study modelled myopia as a personality trait that moderates the aforementioned relationships. Partial least squares path modelling (PLSPM) was employed to analyze data collected from 296 Chinese consumers who had purchased luxury fashion products. The results highlighted the influential role of CPV in shaping both consumer engagement and WPP, surpassing the impact of PSI. Also, the study established the positive effect of engagement on WPP and confirmed its mediating role in the relationship between CPV and WPP. The incorporation of myopia as a moderator further enhanced the explanatory power of the VBN theory in understanding sustainable consumption evaluations. The findings revealed that the positive links between PSI, CPV, engagement, and WPP were particularly pronounced among non-myopic consumers, suggesting that a clear vision of long-term consequences strengthens the connections between these constructs. These findings offer valuable insights to both academics and practitioners, particularly in the realm of luxury fashion brands within Chinese culture. They provide a foundation for designing targeted marketing communication strategies that effectively leverage and cultivate consumers' pro-environmental self-identities and values. By aligning brand messaging with these values, luxury fashion brands can enhance consumer engagement and foster a willingness to invest in sustainable products. Ultimately, this study contributes to the growing body of knowledge on sustainable consumption and offers practical implications for promoting environmentally responsible choices in the luxury fashion industry.
KW - Sustainable luxury
KW - Pro-environmental self-identity
KW - Consumer pro-environmental values
KW - Engagement
KW - Myopia
KW - Willingness to pay a premium price
UR - http://www.scopus.com/inward/record.url?scp=85165587253&partnerID=8YFLogxK
U2 - 10.1016/j.jretconser.2023.103502
DO - 10.1016/j.jretconser.2023.103502
M3 - Journal article
SN - 0969-6989
VL - 75
JO - Journal of Retailing and Consumer Services
JF - Journal of Retailing and Consumer Services
M1 - 103502
ER -
