Despite the fact that online is predicted to become the major channel for luxury purchases by 2025, there is scant literature related to online luxury buying behavior, mainly in the context of Generation Y (Gen Y) consumers in emerging societies like India. Therefore, the primary objective of this study is to empirically test the theoretical framework developed to assess the factors influencing luxury consumers' online shopping behavior based on the stimulus-organism-response model and technology acceptance model (TAM).
Data were collected from 233 Gen Y luxury consumers in India via purposive sampling method. The study used AMOS and PROCESS SPSS Macro to establish the overall fit of the measurement model and examine the hypotheses.
The findings revealed that perceived usefulness of buying online, perceived ease of buying online, economic benefit and webstore quality have significant impact on online luxury purchase intention. The perceived experiential values and perceived functional values mediate the influence of antecedent variables on online luxury purchase intention. Bandwagon luxury consumption behavior (BLCB) moderates the relationship between perceived functional values and online purchase intention.
This is one of the pioneer studies conducted to understand the influence of BLCB on value–intention relationship in online space among Gen Y luxury consumers. This study will help luxury retailers to create targeted strategies for this segment.
