IDEAS home Printed from https://ideas.repec.org/a/kap/jbuset/v183y2023i3d10.1007_s10551-021-04981-3.html
   My bibliography  Save this article

Luxury Ethical Consumers: Who Are They?

Author

Listed:
  • Joëlle Vanhamme

    (EDHEC Business School)

  • Adam Lindgreen

    (Copenhagen Business School
    University of Pretoria’s Gordon Institute of Business Science)

  • Gülen Sarial-Abi

    (Copenhagen Business School)

Abstract

Building on a model of the biological, socio-psychological, and structural drivers of luxury consumption, this article explores when and why luxury consumers consider ethics in their luxury consumption practices, to identify differences in their ethical and ethical luxury consumption. The variables proposed to explain these differences derive from biological, socio-psychological, and structural drivers, namely, consumers’ (1) age, (2) ethicality, (3) human values, (4) motivations, and (5) assumptive world. A cluster analysis of a sample of 706 U.S. adult luxury consumers reveals five segments of luxury consumers, each reflecting a specific persona, that engage in both ethical and ethical luxury consumption to varying extents. The five segments differ in the extent to which they exhibit features related to four discriminant functions (immorality, ego-orientation, and strain; altruistic-orientation; conservation, in control, and positivity; and youth and luxury savvy), which vary across the biological, socio-psychological, and structural drivers. The findings thus indicate which segments of luxury consumers are most relevant for luxury firms pursuing a long-term sustainability agenda and suggest practical actions to reach those goals.

Suggested Citation

  • Joëlle Vanhamme & Adam Lindgreen & Gülen Sarial-Abi, 2023. "Luxury Ethical Consumers: Who Are They?," Journal of Business Ethics, Springer, vol. 183(3), pages 805-838, March.
  • Handle: RePEc:kap:jbuset:v:183:y:2023:i:3:d:10.1007_s10551-021-04981-3
    DOI: 10.1007/s10551-021-04981-3
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10551-021-04981-3
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1007/s10551-021-04981-3?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Kapferer, Jean-Noël & Laurent, Gilles, 2016. "Where do consumers think luxury begins? A study of perceived minimum price for 21 luxury goods in 7 countries," Journal of Business Research, Elsevier, vol. 69(1), pages 332-340.
    2. Bernard Dubois & Sandor Czellar & Gilles Laurent, 2005. "Consumer Segments Based on Attitudes Toward Luxury: Empirical Evidence from Twenty Countries," Marketing Letters, Springer, vol. 16(2), pages 115-128, April.
    3. Vince Mitchell & George Balabanis & Bodo Schlegelmilch & T. Cornwell, 2009. "Measuring Unethical Consumer Behavior Across Four Countries," Journal of Business Ethics, Springer, vol. 88(2), pages 395-412, August.
    4. Jeffery Bray & Nick Johns & David Kilburn, 2011. "An Exploratory Study into the Factors Impeding Ethical Consumption," Journal of Business Ethics, Springer, vol. 98(4), pages 597-608, February.
    5. Rosellina Ferraro & Baba Shiv & James R. Bettman, 2005. "Let Us Eat and Drink, for Tomorrow We Shall Die: Effects of Mortality Salience and Self-Esteem on Self-Regulation in Consumer Choice," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 32(1), pages 65-75, June.
    6. Catherine Janssen & Joëlle Vanhamme & Adam Lindgreen & Cécile Lefebvre, 2014. "The Catch-22 of Responsible Luxury: Effects of Luxury Product Characteristics on Consumers’ Perception of Fit with Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 119(1), pages 45-57, January.
    7. Caroline Moraes & Marylyn Carrigan & Carmela Bosangit & Carlos Ferreira & Michelle McGrath, 2017. "Understanding Ethical Luxury Consumption Through Practice Theories: A Study of Fine Jewellery Purchases," Journal of Business Ethics, Springer, vol. 145(3), pages 525-543, October.
    8. Sarah Steenhaut & Patrick Kenhove, 2006. "The Mediating Role of Anticipated Guilt in Consumers’ Ethical Decision-Making," Journal of Business Ethics, Springer, vol. 69(3), pages 269-288, December.
    9. Stefan Schaltegger & Markus Beckmann & Kai Hockerts, 2018. "Sustainable entrepreneurship: creating environmental solutions in light of planetary boundaries," International Journal of Entrepreneurial Venturing, Inderscience Enterprises Ltd, vol. 10(1), pages 1-16.
    10. Jean-Noël Kapferer & Anne Michaut-Denizeau, 2014. "Is luxury compatible with sustainability? Luxury consumers' viewpoint," Post-Print hal-00977183, HAL.
    11. Schade, Michael & Hegner, Sabrina & Horstmann, Florian & Brinkmann, Nora, 2016. "The impact of attitude functions on luxury brand consumption: An age-based group comparison," Journal of Business Research, Elsevier, vol. 69(1), pages 314-322.
    12. Nailya Ordabayeva & Pierre Chandon, 2011. "Getting Ahead of the Joneses: When Equality Increases Conspicuous Consumption among Bottom-Tier Consumers," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 38(1), pages 27-41.
    13. Belk, Russell W, 1988. "Possessions and the Extended Self," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 15(2), pages 139-168, September.
    14. Naomi Mandel & Dirk Smeesters, 2008. "The Sweet Escape: Effects of Mortality Salience on Consumption Quantities for High- and Low-Self-Esteem Consumers," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 35(2), pages 309-323, May.
    15. Yajin Wang & Vladas Griskevicius, 2014. "Conspicuous Consumption, Relationships, and Rivals: Women's Luxury Products as Signals to Other Women," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 40(5), pages 834-854.
    16. S. Steenhaut & P. Van Kenhove, 2006. "The Mediating Role of Anticipated Guilt in Consumers’ Ethical Decision-Making," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 06/370, Ghent University, Faculty of Economics and Business Administration.
    17. Camilla Barbarossa & Patrick Pelsmacker, 2016. "Positive and Negative Antecedents of Purchasing Eco-friendly Products: A Comparison Between Green and Non-green Consumers," Journal of Business Ethics, Springer, vol. 134(2), pages 229-247, March.
    18. Victoria-Sophie Osburg & Iain Davies & Vignesh Yoganathan & Fraser McLeay, 2021. "Perspectives, Opportunities and Tensions in Ethical and Sustainable Luxury: Introduction to the Thematic Symposium," Journal of Business Ethics, Springer, vol. 169(2), pages 201-210, March.
    19. Tania Bucic & Jennifer Harris & Denni Arli, 2012. "Ethical Consumers Among the Millennials: A Cross-National Study," Journal of Business Ethics, Springer, vol. 110(1), pages 113-131, September.
    20. Sandor Czellar & Gilles Laurent & Bernard Dubois, 2005. "Consumer Segments Based on Attitudes Toward Luxury: Empirical Evidence from Twenty Countries," Post-Print hal-00458399, HAL.
    21. Palihawadana, Dayananda & Oghazi, Pejvak & Liu, Yeyi, 2016. "Effects of ethical ideologies and perceptions of CSR on consumer behavior," Journal of Business Research, Elsevier, vol. 69(11), pages 4964-4969.
    22. Debbie Haski-Leventhal & Mehrdokht Pournader & Andrew McKinnon, 2017. "The Role of Gender and Age in Business Students’ Values, CSR Attitudes, and Responsible Management Education: Learnings from the PRME International Survey," Journal of Business Ethics, Springer, vol. 146(1), pages 219-239, November.
    23. Jonah Berger & Morgan Ward, 2010. "Subtle Signals of Inconspicuous Consumption," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 37(4), pages 555-569, December.
    24. Derek D. Rucker & Adam D. Galinsky & David Dubois, 2012. "Power and consumer behavior: How power shapes who and what consumers value," Post-Print hal-00724231, HAL.
    25. Katherine White & Jennifer J. Argo & Jaideep Sengupta, 2012. "Dissociative versus Associative Responses to Social Identity Threat: The Role of Consumer Self-Construal," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 39(4), pages 704-719.
    26. Jean-Noël Kapferer & Vincent Bastien, 2009. "The specificity of luxury management: Turning marketing upside down," Post-Print hal-00493180, HAL.
    27. Felix Septianto & Yuri Seo & Amy Christine Errmann, 2021. "Distinct Effects of Pride and Gratitude Appeals on Sustainable Luxury Brands," Journal of Business Ethics, Springer, vol. 169(2), pages 211-224, March.
    28. Zou, Lili Wenli & Chan, Ricky Y.K., 2019. "Why and when do consumers perform green behaviors? An examination of regulatory focus and ethical ideology," Journal of Business Research, Elsevier, vol. 94(C), pages 113-127.
    29. Gwarlann de Kerviler & Carlos Rodriguez, 2019. "Luxury brand experiences and relationship quality for Millennials: The role of self-expansion," Post-Print hal-02114441, HAL.
    30. Witkowski, Terrence H. & Reddy, Sabine, 2010. "Antecedents of ethical consumption activities in Germany and the United States," Australasian marketing journal, Elsevier, vol. 18(1), pages 8-14.
    31. Marina Leban & Thyra Uth Thomsen & Sylvia Wallpach & Benjamin G. Voyer, 2021. "Constructing Personas: How High-Net-Worth Social Media Influencers Reconcile Ethicality and Living a Luxury Lifestyle," Journal of Business Ethics, Springer, vol. 169(2), pages 225-239, March.
    32. Chandon, Jean-Louis & Laurent, Gilles & Valette-Florence, Pierre, 2016. "Pursuing the concept of luxury: Introduction to the JBR Special Issue on “Luxury Marketing from Tradition to Innovation”," Journal of Business Research, Elsevier, vol. 69(1), pages 299-303.
    33. Shin, Hyunju & Eastman, Jacqueline K. & Mothersbaugh, David, 2017. "The effect of a limited-edition offer following brand dilution on consumer attitudes toward a luxury brand," Journal of Retailing and Consumer Services, Elsevier, vol. 38(C), pages 59-70.
    34. Hansen, Jochim & Wänke, Michaela, 2011. "The abstractness of luxury," Journal of Economic Psychology, Elsevier, vol. 32(5), pages 789-796.
    35. Jean-Louis Chandon & Gilles Laurent & Pierre Valette-Florence, 2016. "Pursuing the concept of luxury : Introduction to the JBR Special Issue on “Luxury Marketing from Tradition to Innovation”," Post-Print halshs-01374043, HAL.
    36. Karatzas, Stelios & Kapoulas, Alexandros & Priporas, Constantinos Vasilios, 2019. "Consumers' perceptions on complexity and prospects of ethical luxury: Qualitative insights from Taiwan," Australasian marketing journal, Elsevier, vol. 27(4), pages 224-232.
    37. Chao, Angela & Schor, Juliet B., 1998. "Empirical tests of status consumption: Evidence from women's cosmetics," Journal of Economic Psychology, Elsevier, vol. 19(1), pages 107-131, February.
    38. Arnold Tukker, 2004. "Eight types of product–service system: eight ways to sustainability? Experiences from SusProNet," Business Strategy and the Environment, Wiley Blackwell, vol. 13(4), pages 246-260, July.
    39. Iain Davies & Zoe Lee & Ine Ahonkhai, 2012. "Do Consumers Care About Ethical-Luxury?," Journal of Business Ethics, Springer, vol. 106(1), pages 37-51, March.
    40. Carlos J. Torelli & Alokparna Basu Monga & Andrew M. Kaikati, 2012. "Doing Poorly by Doing Good: Corporate Social Responsibility and Brand Concepts," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 38(5), pages 948-963.
    41. Thomas Dyllick & Kai Hockerts, 2002. "Beyond the business case for corporate sustainability," Business Strategy and the Environment, Wiley Blackwell, vol. 11(2), pages 130-141, March.
    42. Remi Trudel & Jill Klein & Sankar Sen & Niraj Dawar, 2020. "Feeling Good by Doing Good: A Selfish Motivation for Ethical Choice," Journal of Business Ethics, Springer, vol. 166(1), pages 39-49, September.
    43. Jean-Louis Chandon & Gilles Laurent & Pierre Valette-Florence, 2016. "Pursuing the concept of luxury: Introduction to the JBR Special Issue on “Luxury Marketing from Tradition to Innovation”," Post-Print hal-01796016, HAL.
    44. Catherine Janssen & Joëlle Vanhamme, 2015. "Theoretical Lenses for Understanding the CSR–Consumer Paradox," Journal of Business Ethics, Springer, vol. 130(4), pages 775-787, September.
    45. Achabou, Mohamed Akli & Dekhili, Sihem, 2013. "Luxury and sustainable development: Is there a match?," Journal of Business Research, Elsevier, vol. 66(10), pages 1896-1903.
    46. Aaron C. Ahuvia, 2005. "Beyond the Extended Self: Loved Objects and Consumers' Identity Narratives," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 32(1), pages 171-184, June.
    47. Jean-Louis Chandon & Gilles Laurent & Pierre Valette-Florence, 2016. "Pursuing the concept of luxury: Introduction to the JBR Special Issue on “Luxury Marketing from Tradition to Innovation”," Post-Print hal-01998198, HAL.
    48. Gene M. Grossman & Carl Shapiro, 1988. "Foreign Counterfeiting of Status Goods," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 103(1), pages 79-100.
    49. de Kerviler, Gwarlann & Rodriguez, Carlos M., 2019. "Luxury brand experiences and relationship quality for Millennials: The role of self-expansion," Journal of Business Research, Elsevier, vol. 102(C), pages 250-262.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gurzki, Hannes & Woisetschläger, David M., 2017. "Mapping the luxury research landscape: A bibliometric citation analysis," Journal of Business Research, Elsevier, vol. 77(C), pages 147-166.
    2. Pillai, Kishore Gopalakrishna & Nair, Smitha R., 2021. "The effect of social comparison orientation on luxury purchase intentions," Journal of Business Research, Elsevier, vol. 134(C), pages 89-100.
    3. Shahid, Shadma & Paul, Justin, 2021. "Intrinsic motivation of luxury consumers in an emerging market," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).
    4. Chandon, Jean-Louis & Laurent, Gilles & Lambert-Pandraud, Raphaëlle, 2022. "Battling for consumer memory: Assessing brand exclusiveness and brand dominance from citation-list," Journal of Business Research, Elsevier, vol. 145(C), pages 468-481.
    5. Mbaye Fall Diallo & Norchène Ben Dahmane Mouelhi & Mahesh Gadekar & Marie Schill, 2021. "CSR Actions, Brand Value, and Willingness to Pay a Premium Price for Luxury Brands: Does Long-Term Orientation Matter?," Journal of Business Ethics, Springer, vol. 169(2), pages 241-260, March.
    6. Farhad Aliyev & Taylan Urkmez & Ralf Wagner, 2019. "A comprehensive look at luxury brand marketing research from 2000 to 2016: a bibliometric study and content analysis," Management Review Quarterly, Springer, vol. 69(3), pages 233-264, September.
    7. Sharma, Amalesh & Soni, Mauli & Borah, Sourav Bikash & Haque, Tanjum, 2022. "From silos to synergies: A systematic review of luxury in marketing research," Journal of Business Research, Elsevier, vol. 139(C), pages 893-907.
    8. Karatzas, Stelios & Kapoulas, Alexandros & Priporas, Constantinos Vasilios, 2019. "Consumers' perceptions on complexity and prospects of ethical luxury: Qualitative insights from Taiwan," Australasian marketing journal, Elsevier, vol. 27(4), pages 224-232.
    9. Aurélie Hemonnet-Goujot & Pierre Valette-Florence, 2022. "“All you need is love”. From product design value perception to luxury brand love: An integrated framework," Post-Print hal-03562015, HAL.
    10. Sara Alghanim & Nelson Oly Ndubisi, 2022. "The Paradox of Sustainability and Luxury Consumption: The Role of Value Perceptions and Consumer Income," Sustainability, MDPI, vol. 14(22), pages 1-22, November.
    11. Adıgüzel, Feray & Donato, Carmela, 2021. "Proud to be sustainable: Upcycled versus recycled luxury products," Journal of Business Research, Elsevier, vol. 130(C), pages 137-146.
    12. Hemonnet-Goujot, Aurélie & Valette-Florence, Pierre, 2022. "“All you need is love” from product design value perception to luxury brand love: An integrated framework," Journal of Business Research, Elsevier, vol. 139(C), pages 1463-1475.
    13. Silvia Ranfagni & Wilson Ozuem, 2022. "Luxury and Sustainability: Technological Pathways and Potential Opportunities," Sustainability, MDPI, vol. 14(9), pages 1-12, April.
    14. Choi, Dayeon & Seo, Yuri & Septianto, Felix & Ko, Eunju, 2022. "Luxury customization and self-authenticity: Implications for consumer wellbeing," Journal of Business Research, Elsevier, vol. 141(C), pages 243-252.
    15. Kauppinen-Räisänen, Hannele & Björk, Peter & Lönnström, Alexandra & Jauffret, Marie-Nathalie, 2018. "How consumers' need for uniqueness, self-monitoring, and social identity affect their choices when luxury brands visually shout versus whisper," Journal of Business Research, Elsevier, vol. 84(C), pages 72-81.
    16. Chailan, Claude, 2018. "Art as a means to recreate luxury brands' rarity and value," Journal of Business Research, Elsevier, vol. 85(C), pages 414-423.
    17. Janssen, Catherine & Vanhamme, Joëlle & Leblanc, Sina, 2017. "Should luxury brands say it out loud? Brand conspicuousness and consumer perceptions of responsible luxury," Journal of Business Research, Elsevier, vol. 77(C), pages 167-174.
    18. Seo, Yuri & Buchanan-Oliver, Margo, 2019. "Constructing a typology of luxury brand consumption practices," Journal of Business Research, Elsevier, vol. 99(C), pages 414-421.
    19. Marina Leban & Thyra Uth Thomsen & Sylvia Wallpach & Benjamin G. Voyer, 2021. "Constructing Personas: How High-Net-Worth Social Media Influencers Reconcile Ethicality and Living a Luxury Lifestyle," Journal of Business Ethics, Springer, vol. 169(2), pages 225-239, March.
    20. Loussaïef, Leïla & Ulrich, Isabelle & Damay, Coralie, 2019. "How does access to luxury fashion challenge self-identity? Exploring women's practices of joint and non-ownership," Journal of Business Research, Elsevier, vol. 102(C), pages 263-272.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:jbuset:v:183:y:2023:i:3:d:10.1007_s10551-021-04981-3. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.