Second-hand Luxury Research Articles

Imbalanced Value Perception Enhances Secondhand Luxury Purchase: Evidence From Chinese Consumers

ABSTRACTThe secondhand luxury market has experienced significant growth in the past few years. Unlike the well‐known knowledge on consumers' luxury consumption, the motivations for purchasing secondhand luxury items remain underexplored. To address this gap, the present study examines how and when Chinese consumers' perceived values affect their purchase intention of secondhand luxury products. We propose that the imbalanced luxury value perception is superior to the balanced one in boosting customer purchase. This hypothesis received convergent support from two studies adopting different methodologies. Specifically, Study 1 was a lab experiment that verified that the imbalance value perception, that is, either a salient financial or symbolic value of a secondhand luxury product, can increase consumers' purchase intention. However, when the two values are highlighted, purchase intention decreases instead. Furthermore, Study 2 adopted a questionnaire survey to test the moderating effects of product risks. Specifically, when the level of product quality (fit) risk is high, a financial‐focused (symbolic‐focused) imbalanced value perception is most effective in improving consumers' purchase intention. This study contributes to the literature on luxury value and risk perception and benefits the marketing practice of secondhand luxury.

Profit or prestige? Strategies for luxury brands to navigate the second-hand market using blockchain technology

Luxury brands are increasingly adopting blockchain technology to combat counterfeiting, yet they face a dilemma in addressing the market of second-hand luxury products. While a luxury brand’s involvement in second-hand sales could diminish its exclusivity, it could also increase the brand’s profits. Motivated by luxury brands’ concerns about venturing into the second-hand market while preserving their brand exclusivity, this study presents an analytical model to investigate how blockchain authentication impacts their strategies in the second-hand market. A distinctive feature of this study is the conceptualisation of aspirational value associated with the luxury brand. Our analysis reveals that premium and mass-market brands can improve brand exclusivity by enhancing second-hand product quality. However, luxury brands may diminish brand exclusivity if the quality of second-hand products is high. Additionally, luxury brands can maintain exclusivity by avoiding the second-hand market when using blockchain for authentication, provided that the authentication cost is below a threshold. Furthermore, our research sheds light on the strategies of various fashion brands (mass-market, premium, and luxury brands), contingent upon their aspirational values, to combat counterfeit products by deploying a blockchain-based authentication mechanism for the second-hand market.

Prediction of Resale Value of Pre-Owned Luxury Cars in the Indian Market Employing Machine Learning Techniques

Abstract: The market for second-hand luxury cars in India is witnessing a significant surge, expected to grow at a rate of 16.30% from 2024 to 2032. This growth is fueled by increased car manufacturing, rising disposable incomes, and a shift in consumer preferences towards luxury brands. However, accurately determining the resale value of these vehicles presents a challenge due to various influencing factors. In this dynamic market, informed decision-making is crucial for luxury car buyers. Digital platforms have revolutionized access to real-time market data, helping both buyers and sellers stay updated on pricing trends. Our research explores the complexities of predicting prices for pre-owned luxury cars and introduces a predictive analytics framework using advanced machine learning algorithms. We collected and preprocessed a comprehensive dataset and conducted an in-depth exploratory data analysis. Various regression techniques, including Linear Regression, Decision Tree, Random Forest, and Extreme Gradient Boosting, were employed to forecast prices. These models were evaluated using metrics such as Mean Absolute Error (MAE), Mean Squared Error (MSE), and Root Mean Squared Error (RMSE) to identify the most accurate predictive model. This study offers a systematic solution for price prediction, enhancing the buying process for stakeholders in the second-hand luxury car market

Purchase intention for second-hand luxury goods: An empirical study of Chinese consumers.

Second-hand luxury goods feature both characteristics of luxury products like perceived value including social, emotional, and quality value, and second-hand goods like price-performance ratio. Enlarging the second-hand luxury market is of significance to protect the environment and save rare and valuable natural resources, and thus investigating the determinants of purchase intention is meaningful. From the perspective of the psychology of consumers, the influence of factors related to consumers (recycling awareness, subjective norms, attitudes, perceived behavioral control) and products (perceived value, price-performance ratio) on the intention to buy second-hand luxury goods is explored in this study through an online survey with Chinese consumers as a sample. The results are analyzed using the structural equation model (SEM) and show that consumers' attitudes, perceived behavioral control, and recycling awareness will promote the intention of purchasing second-hand luxury goods, and the perceived value and price-performance ratio of second-hand luxury goods also have a positive impact on the purchase intention. However, there is no significant relationship between subjective norms and purchase intention. In addition, this study also explores the interrelationship between constructs and draws corresponding conclusions, providing references for the subsequent development of the second-hand luxury market.

Gen Z consumers’ intention to adopt online collaborative consumption of second-hand luxury fashion goods

ABSTRACT Consumption of second-hand luxury fashion goods through online collaborative redistribution channels is prevalent yet under-researched. Drawing on the self-determination theory, this study aims to provide evidence to academia and the luxury resale industry regarding young adult consumers’ beliefs in sustainability and materialism in their adoption of subscribing to, renting, or purchasing second-hand luxury goods. An integrative conceptual model is proposed based on the theory to gauge the role of various factors driving Gen Z consumers’ collaborative consumption of second-hand luxury fashion goods. Using a self-administered online survey, the researchers collected 452 usable responses from Gen Z consumers and analyzed them using structural equation modeling. Results demonstrated that both intrinsic (e.g. the importance of sustainability) and internalized extrinsic factors (e.g. the importance of signaling status, the importance of expressing one’s taste) drive their online collaborative consumption of second-hand luxury goods via subscription and rental services, as well as purchasing such goods. The gap in the literature calls for investigating further motivations and behavioral intentions of Gen Z consumers’ consumption of second-hand luxury goods. By unveiling the multifaceted psychological factors influencing these consumers regarding online collaborative consumption, the researchers offer useful marketing insights for the luxury resale industry and other share-based retail industries.

Exploring barriers to secondhand luxury consumption among Chinese consumers and changes during the COVID-19 pandemic

The purchasing environment for Chinese consumers is rife with rampant counterfeit luxury goods and strong superstitions and stereotypes about secondhand goods. Therefore, this study conceptualized five dimensions of perceived risk (perceived functional, financial, sales-source, physical, and psychosocial–superstitious) to explain Chinese consumers’ reluctance to purchase secondhand luxury goods (SLGs). Due to the sudden onset of the COVID-19 pandemic, this research was divided into two studies: before and during the outbreak. The pre-outbreak results show that, except for financial risk, all perceived risks significantly negatively affected the perceived value of SLGs. Conversely, the second study revealed that all five categories had significant negative effects. Additionally, both studies showed that perceived value positively affected SLG purchase intention, while self-regulatory focus (prevention focus against promotion focus) had a significant moderating effect. This research has several significant theoretical and practical implications for establishing more effective marketing strategies for the sustainable development of SLG markets.

Wiseconsumerchoices inonlinesecondhandluxury(OSHL)shopping: Anintegratedmodel ofmotivations,attitudes, andpurchaseintentions for OSHL aswise,conspicuous, andsustainableconsumption

This study investigates the attitudes and key purchase determinants of online second-hand luxury (OSHL) consumption among Chinese consumers using a mixed-methodological approach across two studies. In Study 1, we applied thematic analysis to informants' narratives about SHL from the Chinese Q&A platform Zhihu. From this analysis, we discovered three distinct attitude dimensions toward OSHL consumption among Chinese consumers: their perceptions of OSHL consumption as wise, conspicuous, and sustainable. Additionally, we identified the key motivational drivers influencing Chinese consumers' OSHL consumption. This encompassed the combination of four product attributes, three personal values, and two online platform features, all of which constituted the purchase determinants shaping Chinese consumers’ positive attitudes toward OSHL consumption. In Study 2, we empirically tested our qualitative findings, demonstrating the key relations between product-, consumer-, and channel-related factors, and OSHL as wise, conspicuous, and sustainable consumption, which subsequently influenced repurchase intention. Further, we proposed and examined income as a potential moderator in the mechanisms of OSHL as a combination of wise, conspicuous, and sustainable consumption. Our study fills critical gaps in the OSHL literature and provides meaningful insights to OSHL marketers who wish to increase online sales and engage with Chinese consumers more effectively in the digital marketplace.

Reform and Innovation in China's E-commerce Marketplace: Case Study of Douyin

The e-commerce market in China has experienced significant growth in recent years, driven by technological advances in the Internet and the Covid-19 pandemic. Douyin, a leading social media platform, has conducted cross-market commerce and managed to gain significant market share in the e-commerce market with its innovative marketing approach and expansion into various product segments. This paper explores the reasons behind Douyin's success, focusing on effectively leveraging the advantages of its unique social e-commerce capabilities and developing two potential markets, second-hand luxury goods and agricultural products. By leveraging its user base and short video plus live streaming format, Douyin has effectively promoted its products and captured market share. In addition, the platform's exploration of promising market segments such as second-hand luxury goods and agricultural products has allowed it to carve out a niche in the e-commerce space. By facilitating direct communication between consumers and sellers, Douyin has revolutionized the buying and selling process, streamlining transactions and increasing transparency.

Exploring young consumer's adoption of secondhand luxury: insights from a qualitative study

PurposeThis study explores reasons for and against secondhand luxury (SHL) fashion adoption among young consumers in an emerging nation, India. As a trend, SHL has witnessed tremendous growth in the past few years, but scholarly interest remains scant.Design/methodology/approachDrawing from an interpretivist paradigm, this study uses an exploratory qualitative approach with 26 semi-structured interviews with SHL buyers, analyzed using NVivo software.FindingsThe findings shed significant light on value drivers and find support for status value, uniqueness value, quality value and monetary value, while adding the role of emotional value in reasons for SHL adoption. The results reveal an interesting trait of Indian consumers: price, fashion and celebrity association outweigh sustainability concerns, where an attitude–behavior gap is observed. Also, the findings add depth to risk perceptions as a major reason against SHL adoption.Originality/valueWhile most existing studies have only focused on the motivational drivers, this study offers in-depth insights into the growing SHL literature by drawing attention to the enablers and equally important inhibitors by applying the novel Behavioral Reasoning Theory. It also intends to enhance practitioner knowledge in understanding a culturally diverse market and developing strategies relevant to a new set of consumers. The study calls for SHL retailers to sensitize young consumers in India about the sustainability aspect of SHL consumption, which is currently less appreciated.

Do consumer values and perceived readiness impact secondhand luxury consumption? A goal-framing theory approach

Purpose Drawing on goal framing theory, this study aims to investigate consumer values and perceived readiness to engage in secondhand luxury consumption, a form of pro-environmental behavior. Design/methodology/approach An integrative conceptual model is proposed based on goal- framing theory to gauge the role of various goals driving Gen Z’s secondhand luxury purchase. Cross-sectional data were collected from 246 Indian secondhand luxury shoppers and analyzed using structural equation modeling and PROCESS Macro. Findings Results demonstrated that both egoistic and altruistic value frames drive secondhand luxury purchase intention through attitude and subjective norms (SNs), respectively. Interestingly, attitude significantly leads to consumer perceived readiness, but readiness does not directly affect purchase intention. Further, risk perceptions moderate the effect of readiness and SNs. Originality/value Academic literature lacks empirical evidence on secondhand luxury as a form of pro-environmental behavior and Gen Z argued to be the most influential generation driving this market has not been investigated so far. Through an emerging economy context, this study contributes important implications for luxury brands entering the secondhand market, secondhand retailers and scholars about what motivates young consumers and drives purchase decisions while engaging with an otherwise stigmatized market.

An Exploration of Chinese College Students' Consumption Motivation on Secondhand Luxury Goods on Douyin Platform

In 2020, the stock size of China's idle high-end consumer goods is 2.87 trillion yuan. The retail market size of idle high-end consumer goods has grown from 16.2 billion yuan in 2016 to 51 billion yuan in 2020, with a compound annual growth rate of 33.2%. The huge stock of unused luxury goods has laid a solid foundation of potential trading sources for the long-term development of the second luxury industry. After the epidemic, a growing number of second luxury platforms have seen the dividends of live streaming. Douyin, as the mainstream live broadcast sales platform in China, is a breakthrough for second-hand luxury goods to enter the live broadcast market. College students are a group that cannot be underestimated in online shopping, and their online consumption frequency is extremely high. This study aims to fill the gap in past research on the consumption of luxury goods, especially second-hand luxury goods, by Chinese university students. By collecting questionnaires, this paper explores the attitudes and consumption patterns of Chinese college students towards Douyin buying second-hand luxury goods. The results illustrated that Chinese college students have a positive attitude towards second-hand luxury goods but do not trust Douyin as a buying channel.

Conceptualizing sharing supply chains – lessons from an exemplary case

PurposeOver the last decade, a “new” sharing economy has emerged. So far, the supply chain literature has focused on platforms delivering crowd-logistics services that connect businesses and consumers (B2C). The literature has paid little attention to platforms that facilitate products exchanges between consumers. This article aims to develop a first supply chain conceptualization for consumer-to-consumer (C2C) product exchanges stimulated by the sharing economy. How to conceptualize C2C product exchanges from an Supply Chain (SC) perspective? Do such C2C product exchanges form what might be called “sharing supply chains”? What are the characteristics of these sharing supply chains?Design/methodology/approachThe authors rely on a single case study of Vestiaire Collective (VC), a C2C platform that links consumers buying and selling second-hand luxury goods. This case was not selected because it is a typical C2C product platform, but because it is an “extreme” case (Yin, 2014) meeting Siggelkow's “talking pig” criterion (2007).FindingsThe authors demonstrate that VC intermediates a “sharing supply chain”, whose features differ from forward and reverse supply chains. The authors stress that strong physical intermediation is crucial in this extreme case. The authors then contrast this extreme case with other forms of sharing supply chains to identify the variables leading to these alternative configurations. Finally, the authors develop theoretical propositions regarding the physical intermediation role that these platforms may play.Originality/valueThe authors' article extends the scope of the supply chain concept by identifying sharing supply chains alongside other types of chains. The article also points to the strategic role of SC dimensions in the sharing economy. The authors hope that this article will lead to further research on sharing supply chains.

How Do Perceived Value and Risk Affect Purchase Intention toward Second-Hand Luxury Goods? An Empirical Study of U.S. Consumers

The second-hand luxury market is currently experiencing rapid growth. Despite the existing knowledge on consumer second-hand luxury shopping behavior, little is known about second-hand luxury consumption in the U.S. The purpose of this study is to investigate how U.S. consumers perceive second-hand luxury goods and the various factors that influence their purchase intentions, including economic, emotional, social, quality, green values, and perceived risk. An online survey was conducted to test the proposed relationships between the related variables in the conceptual model. A total of 340 eligible responses was collected. The psychometric properties of the proposed model were examined, and the multiple regression method was applied to test the hypotheses. Results of this study indicated that perceived emotional value, perceived social value, perceived quality value, and perceived green value positively influence U.S. consumers’ intention to purchase second-hand luxury products. The proposed research model shows a good explanatory power, accounting for 75.4% of variance in U.S. consumers’ purchase intention towards second-hand luxury goods. This research is one of the first attempts to understand the second-hand luxury consumption of U.S. consumers, a critical segment in the luxury resale market. Understanding consumers’ desired values regarding second-hand luxury goods will enable retailers and brands to develop effective marketing strategies and promote sustainable consumption.

A Study on the Effects of Consumers' Perception and Purchasing Behavior for Second-Hand Luxury Goods by Perceived Value

Finding insights into consumers’ perceptions and behavior regarding purchasing second-hand luxury goods could promote the vigorous and sound development of the second-hand luxury industry. The research objectives included: (1) probing into the relationship between consumers’ perceptions and purchase behavior regarding second-hand luxury goods; (2) discussing the current state and future trends of the market for second-hand luxury goods; (3) learning about consumers’ perceived value of second-hand luxury goods so that it can be applied to other types of commodities in the future to develop corresponding second-hand markets; and (4) analyzing the differences between factors that influence different types of consumers’ perceptions and purchase behavior regarding second-hand luxury goods and allowing second-hand dealers in the industry to use them as a reference. This study discussed relevant studies and theories on second-hand luxury goods, perceived value, and consumer behavior, and shed light on the follow-up research and development. It used the method of semi-structured expert interviews of the respondents. The outline of the expert interviews was created according to the current state and future development of the second-hand luxury market, consumer behaviors, and consumers’ perceived value of second-hand luxury goods. The content of the interviews was sampled, analyzed, and summarized according to the research scope to develop a questionnaire for consumers of the survey. Factor analysis was used to carry out statistical data analyses on the statistics converted from the collected questionnaire data. This study sorted out the main factors that consumers consider when purchasing second-hand luxury goods, and at the same time learned how consumers’ purchase behavior is shaped by a good’s perceived value. The factors under consideration included the purchase intention orientation, commodity quality orientation, market cycle orientation, consumption value orientation, individual condition orientation, and environmental sustainability orientation.

Why Do(n’t) We Buy Second-Hand Luxury Products?

Global sales of second-hand luxury products are steadily increasing. To better understand key drivers for purchasing second-hand luxury products, a survey was conducted including 469 respondents. The study not only includes existing customers, but also non-customers and thus potential future clientele. Based on the theory of planned behavior, the components of attitude, subjective norms, perceived behavioral control, and individual motivators (creative, economic, ethical, nostalgic, sustainable) were investigated. Using structural equation modeling, the results support the influence of attitude, past purchase experience, perceived behavioral control, and subjective norms on purchase intention. Attitude, in turn, is mainly impacted by economics and ethics as individual motivators. Further, subjects were asked to state their own definition of luxury and to name individual reasons for and against second-hand luxury products. Thereby, quality turned out to be double-edged: on the one hand, second-hand products were able to prove their quality, on the other hand, the fear of counterfeits and unhygienic products was cited. Overall, consumers of second-hand luxury goods are heterogeneous and have different buying experiences with one or more of the three categories: new luxury goods, second-hand luxury goods, and second-hand products. The study thus expands the understanding of the transformation within the (second-hand) luxury industry.

Social Gratification and Second-Hand Fashion: An Exploratory Study of Luxury Brand Watches in Thailand

Objective - The sales of luxury brands are escalating worldwide and are predicted to have a steady growth. However, the outbreak of COVID-19 epidemic has put a halt on world markets of luxury brand watches, providing the opportunity for the second-hand luxury watches to grow. This study aims at examining the factors impacting consumers’ social gratification of second-hand luxury brand watch. Methodology/Technique - The data were collected from two hundred members of second-hand luxury brand watches Facebook group which is a private and closed group on Facebook in Thailand. Findings – The structural equation model was conducted to analyze the results of the study. The research findings reveal several factors which significantly influence subjects’ social gratification of second-hand luxury brand watch. Novelty - The results also showed that the perceived symbolic value plays an important mediating role between the perceived experiential value and the social gratification. Type of Paper: Empirical JEL Classification: M30, M31 Keywords: Second-Hand Luxury Brand Watch, Social Gratification, Thailand Reference to this paper should be made as follows: Hansanti, P. (2022). Social Gratification and Second-Hand Fashion: An Exploratory Study of Luxury Brand Watches in Thailand, J. Mgt. Mkt. Review, 7(2), 66 – 78. https://doi.org/10.35609/jmmr.2022.7.2(2)

I Am What I Buy: The Role of Identity Expressiveness in Secondhand Luxury

I Am What I Buy: The Role of Identity Expressiveness in Secondhand Luxury

Development Process of Second-hand Luxury Branded Goods Sales Industry

Development Process of Second-hand Luxury Branded Goods Sales Industry

A Study on Second-hand Luxury Goods Buying Behaviors of Chinese Consumers in Online Stores

A Study on Second-hand Luxury Goods Buying Behaviors of Chinese Consumers in Online Stores

“Please don't buy!”: Consumers attitude to alternative luxury consumption

AbstractCollaborative luxury consumption is driven both by product‐related and experience‐related motivations. The present study investigates the underlying factors that drive consumers to acquire and rent vintage and secondhand luxury products, applying a framework based on product‐related and experience‐related motivations. Findings reveal how vintage and secondhand are nurtured by anti‐consumption tendencies and recreational motives, while luxury renting is more driven by utilitarian reasons.