A Duo-Theme DEMATEL approach for exploring the driving factors of online luxury goods sales: E-retailers’ perceptions

Abstract Factors affecting online luxury goods sales are complicated and intertwined. To stimulate online luxury goods sales, understanding of key influencing factors and causal relationships among the intertwined factors is of essential importance. To this end, this study first divides factors affecting online luxury goods sales into two distinct aspects: perceived benefits (PB) and perceived risks (PR), and then introduces a duo-theme Decision Making Trial and Evaluation Laboratory (DEMATEL) approach for the depiction of the driving factors that have the most effects on others in both aspects. An example of online luxury bags sales, from e-retailers’ perceptions, is presented. Results show that “wider selection” is the foremost driving factor, followed by “convenience,” “better price,” and “cost” in the PB aspect; whereas “trust and security” is the most influential driving factor, followed by “uncertainty” in the PR aspect. Accordingly, the luxury bags e-retailers are suggested to offer more information about the choices available, easier for ordering, and lower search and transaction costs through the Internet. In the meantime, they should also provide warranty of security for personal/financial information and product quality.

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