Individual and Social Factors Impacting Chinese Millennials’ Luxury Consumption

Abstract

This study examined individual and social determinants that impact Chinese Millennials’ desire for luxury status consumption which eventually influences their purchase intent of luxury fashion goods. Whether income derived differences in regard to the determinants exist or not was further investigated. A self-administered survey was employed to collect data from undergraduate and graduate students at a large university in Hong Kong, China. A series of regression analyses were utilized to test hypotheses. The findings of the study indicate that both individual (i.e., materialism) and social elements (i.e., need for uniqueness and social comparison) positively influence Chinese millennials’ desire for status consumption of luxury fashion goods, while social factors are the key drivers of low income group’s desire for status consumption. These findings provide major implications to academics and practitioners.