Is Luxury Fit with Sustainability? The Role of Perceive Value and Scarcity

Abstract

Fashion sustainability is exploring co-branding by releasing limited edition products to create scarcity and attract new consumers while maintaining their exclusivity. Research on the role of scarcity marketing on consumer purchase intentions has been carried out. However, the results still show inconsistencies. This study aims to fill the gap and provide new insights into the major distinctions intrinsic in the two different shortage messages by mediating the role of perceived value, thus impacting purchase intention. This study uses a quantitative approach by distributing online questionnaires to 240 respondents who have never bought fashion brands in Jakarta. Partial Least Squares Structural Equation Modeling (PLS-SEM) is used as a data analysis procedure. The results reveal that perceived value has functioned effectively as a mediator between limited quantity, limited time scarcity, and purchase intention. However, limited quantity has no significant effect on purchase intention, although limited time has a positive effect.