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Online Luxury Resale Platforms and Customer Experiences: A Text Mining Analysis of Online Reviews

Author

Listed:
  • Chuanlan Liu

    (Department of Textiles, Apparel Design, and Merchandising, College of Agriculture, Louisiana State University, Baton Rouge, LA 70803, USA)

  • Sibei Xia

    (Department of Textiles, Apparel Design, and Merchandising, College of Agriculture, Louisiana State University, Baton Rouge, LA 70803, USA)

  • Chunmin Lang

    (Department of Textiles, Apparel Design, and Merchandising, College of Agriculture, Louisiana State University, Baton Rouge, LA 70803, USA)

Abstract

There are long-standing arguments that challenge the resale business as a circular fashion model. Considering the whole fashion industry and market, luxury resale is still quite small. To scale the industry, it is critical to attract more consumers to embrace fashion resale and circular fashion. However, many of the customers most likely to embrace resale might have already opted into the market, indicating that online or in-store resale businesses are competing for a limited pool of customers. As a result, it is challenging for the industry to scale. Therefore, it is imperative to understand how consumers engage with luxury resale platforms, what value they are looking for, and to what degree resale customers’ desires for fashion clothing and sustainability can be met in a reconciling manner. Such understanding will facilitate luxury resale platforms to grow their customer base and scale up the industry. This exploratory study focuses on understanding online luxury platform customers and their consumption experience to determine what key attributes affect customer value and engagement. The research explores customer experience using a text-mining approach to provide answers to identified research questions: (1) How do online luxury resale platforms provide customer value to buyers and sellers? What are the driving values for consumers to buy or sell pre-owned products? (2) Are there any issues regarding buying and selling pre-owned products using online luxury resale platforms? (3) Does sustainability play a role in individuals’ consumption using online luxury resale platforms? The article discusses the implications of the study, its limitations, and future research directions.

Suggested Citation

  • Chuanlan Liu & Sibei Xia & Chunmin Lang, 2023. "Online Luxury Resale Platforms and Customer Experiences: A Text Mining Analysis of Online Reviews," Sustainability, MDPI, vol. 15(10), pages 1-19, May.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:10:p:8137-:d:1148916
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    References listed on IDEAS

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    1. Xingqiu Lou & Ting Chi & Justin Janke & Gianna Desch, 2022. "How Do Perceived Value and Risk Affect Purchase Intention toward Second-Hand Luxury Goods? An Empirical Study of U.S. Consumers," Sustainability, MDPI, vol. 14(18), pages 1-16, September.
    2. Luri Minami, Adriana & Ramos, Carla & Bruscato Bortoluzzo, Adriana, 2021. "Sharing economy versus collaborative consumption: What drives consumers in the new forms of exchange?," Journal of Business Research, Elsevier, vol. 128(C), pages 124-137.
    3. Birte Balck & Daniel Cracau, 2015. "Empirical analysis of customer motives in the shareconomy: a cross-sectoral comparison," FEMM Working Papers 150002, Otto-von-Guericke University Magdeburg, Faculty of Economics and Management.
    4. Inhwa Kim & Hye Jung Jung & Yuri Lee, 2021. "Consumers’ Value and Risk Perceptions of Circular Fashion: Comparison between Secondhand, Upcycled, and Recycled Clothing," Sustainability, MDPI, vol. 13(3), pages 1-23, January.
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    1. Zhongjie Wang & Chuanlan Liu, 2023. "Mining Chinese Consumer Minds: Motivations for Selling Unwanted Fashion Items in Online Resale Marketplaces," Sustainability, MDPI, vol. 15(16), pages 1-16, August.
    2. Sujun Liu & Chuanlan Liu & Chunmin Lang, 2024. "Consumer Engagement in Fashion Circularity in China: Exploring Consumer Online Fashion Resale through the Lens of Social Practice Theory," Sustainability, MDPI, vol. 16(11), pages 1-19, June.

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