Understanding the consumer's luxury webrooming intention: Moderating role of perceived risk and review

Abstract

This research aims to examine luxury shoppers' webrooming intention, mediating (utilitarian value and hedonic value), and moderating (online perceived risk and reviews) effects. We used the stimulus-organism-response theory to provide a solid and holistic understanding of the concept. We collected 431 original survey data from Indian luxury shoppers who recently purchased luxury products and used structural equation modeling for data analysis. Results show that consumer traits (need for interaction and need for touch) had a positive impact on the perceived values (hedonic and utilitarian value) and webrooming intention. Channel-related factors such as perceived ease of use had a direct impact on the hedonic value, while perceived usefulness had a direct impact on utilitarian value. Perceived values (hedonic and utilitarian values) positively mediated the channel and consumer traits factors and webrooming intent. Online perceived risk and reviews significantly moderated the relationship between perceived value and webrooming intent. This study adds to the knowledge of luxury marketing by analyzing webrooming and channel flipping.