AMM 4630 Apparel Research Project

How Blockchain Technology Changes Consumer Perception Within the Luxury Consignment Market

By Jenny Chen, Huey Wong, Christen Yee, Denise Gonzalez, Pricella Stanbury

May 17, 2022

Blockchain in Luxury Consignment PPT

Presentation Poster at The Cal Poly Pomona Student Research, Scholarship & Creative Activities Conference (CPP Student RSCA Conference).


This research focuses on identifying and analyzing the key factors affecting changes in buyer perception on blockchain implementation as an authentication process in luxury consignment. The model of this research is knowledge based with TAM (Technology Acceptance Model) with additional elements of Perceived Risk and User Innovativeness as mediator. A quantitative research method is utilized, incorporating a 3 x 2 factorial design where participants were presented with stimuli of: no information, a testimonial script, and a formal infographic. Participants over the age of 18 were sent an electronic survey via text, email or social media platforms, a total of 100 valid responses were collected and analyzed for the study. The data processed and analyzed using SPSS for Descriptive Statistics, Preliminary Analysis (Factor Analysis & Reliability Test), Cronbach's Alpha, Manipulation Test, Pearson Correlation Analysis, and MANOVA. Research results suggest that knowledge on blockchain technology has a positive impact on Perceived Usefulness and Perceived Ease of Use toward Buying Intention, while Perceived Risk has a negative influence. These results can be an incentive for luxury consignment to adopt blockchain technology as an authentication tool as it shows that as long as consumers are presented with knowledge of the technology it can lead to purchasing intention.

Keywords: Behavior Intention, Blockchain Technology, Luxury Consignment, Technology acceptance model.

1. Introduction

Blockchain is a decentralized digital ledger that records information and assets in a manner that makes it difficult to revise or hack (euromoney, n.d.). Many fashion brands are now integrating blockchain technology into their supply chains. Brands such as H&M and Kering are some of the first fashion players that have used blockchain technology in their programs. For example, H&M is working with Arket, a subsidiary of H&M to improve the traceability of products along with VeChain (Saha, 2020). Utilizing distributed ledger technology, they are striving to provide their customers with a system that determines the authenticity and quality of products. Blockchain technology is relatively new, and the benefits it brings to the fashion industry are uncounted for.

With transparency as its most significant benefit, this technology can help luxury consignment stores provide their consumers with an easier authentication process, “blockchain can unite the currently fragmented data across the supply chain”(Jordan & Rasmussen, 49). The use of blockchain for these companies can not only encourage traceability and transparency of where the products have been but also helps to increase the desirability of purchasing an authenticated product. Buying second-hand luxury goods is a sustainable solution that promotes longevity for many fashion products. Currently, luxury consignment resellers are faced with the problem of appropriately identifying genuine and counterfeit luxury goods. Mistakenly selling counterfeit items can be detrimental to a company causing them to have a tarnished brand image which can cause consumers to lose interest in purchasing second-hand luxury designer goods. With the help of blockchain technology, the authentication process can be made simpler.

Problem Statement

Consumers are reluctant to use luxury consignment websites and services due to the lack of assurance of authentic products. The luxury industry is currently seeing an all-time high of believable counterfeits, “Authentication company Entrupy claims a 99.1 percent accuracy rate after training its image-recognition technology on a self-built database of hundreds of thousands of items” (CNA Luxury, 2021). Our research focuses on consumer perception and trustworthiness of blockchain technology applications in luxury products, especially from consignment resellers. The participants of our study will be given information about blockchain technology usage within the luxury goods market and we will examine the change in perception of people who may not have considered purchasing second-hand luxury products before; once they know the benefit of blockchain technology.

Purpose of the Study

The broad research statement of our study is to identify how luxury resale can be positively affected by decentralized blockchain technology. This study will also aim to look at how various ways of presenting information about this technology can impact consumers' opinion of whether they think blockchain technology can be of importance when it comes to luxury consignment. Within recent years there has been a growth of about 12% per year in online resale retailers (Oliver Abtan et al., 2019). Investigating the process of consignment and authenticity is important to analyze how more small businesses can also easily be a part of this new fashion sector as well as how consumers can benefit. With the use of new technology like blockchain we aim to research how it changes the perceptions of individuals when it comes to the making of designer goods specifically for a much more efficient and reliable way of reselling luxury items.

Significance of the Study

This study will mainly benefit consignment companies and possible luxury consignment consumers. Finding out consumers' perceptions and newfound willingness to purchase more second-hand goods could lead to a boom in the luxury consignment market. With the rise of a safer and more secure channel of purchasing authentic goods, consumers will be more willing to give consignment resellers more of a chance. This boom in the market will directly benefit the companies as they will have more consumers. Additionally, it will benefit the consumers by providing a more trusting and secure luxury consignment environment.

2. Literature Review

2.1 Background literature

What is Blockchain?

Blockchain refers to a database that keeps and stores data on a digital secure network (Nofer et al., 2017). The blockchain works in a system of databases where data and information are stored in blocks and whenever that information updates a new block is formed and added to the original, this forms a chain of blocks of information, hence a blockchain. This system/blockchain is best known for its use in cryptocurrency systems. As stated in the article titled Blockchain, “A blockchain consists of data sets which are composed of a chain of data packages (blocks) where a block comprises multiple transactions” (Nofer, Gomber, Hinz & Schiereck, 2017). This forms a timeline that will only move forward and continue as information is added. Once new information is uploaded to the network of databases it cannot be changed or altered, it can only be added on. This also creates a level of transparency within the chain. Nothing can ever be faked or altered to look like something that it is not. Making blockchains trusted by millions to guarantee decentralized, secure, and untraceable transactions within the cryptocurrency industry. This leaves the system of decentralized blockchain with a high level of strong credibility amongst many.

A decentralized blockchain refers to the data and information being spread across a wide variety of computers and databases, this allows for a system of checks and balances. If one computer or database gets tampered with, that computer's information would then get cross-referenced among the other data, once it is flagged as false that information would no longer be valid. This protects the integrity of the good or property within that block, blockchains have been theorized to be used in many different formats, protecting many different types of property. According to Ravid and Monroy, blockchain technology could be used to protect intellectual property by creating a crypto-legal structure of protective laws and self-executing smart contracts.

Tanisky-Ravid and Monroy explain how the intellectual property in a fashion design industry viewpoint can be protected using a decentralized blockchain. This is a similar take on how the implementation of the decentralized blockchain can work within the luxury consignment. Implementing ​​legitimacy laws and checks could ensure many levels of security within the buying and selling process. The whole chain is also extremely accessible to the public, you can view all transactions made in the history of that chain. This gives consumers transparency on the goods they are buying and selling. If all goods across the board had their history easily traceable, if any tampering or forging were to happen, the culprit or item can easily be found on the timeline.

What is Luxury Consignment?

Luxury consignment items are designer goods that have already been pre-owned and are then resold either in consignment shops, online, or by individuals who own the items. With an increased awareness of the poor state of our environment, consumers are trying harder to do their part to be more sustainable. Repurposing older designer items and giving them an even longer wear life has become a way of implementing sustainability practices within the designer shopping experience. The Real Real is a luxury consignment store as well as an online selling platform and they created a study to help find how much buying second-hand designers is contributing to helping the environment. The study demonstrated how this company was able to help contribute positively to the environment by saving millions of car miles worth of greenhouse gasses and energy. (Malik, 2018) To help measure how much they are helping the environment by consigning, The Real Real has created a weight system that weighs each item and measures how great of an impact each item is making. Using a scale like this can be of great help to many other growing consignment businesses.

There is a desire in the second-hand luxury market to purchase vintage items from fashion houses because of their exclusivity and rareness. There was a study done by Aurelie Kessous and Pierre Valette Florence which examined consumers' motivations behind purchasing luxury second-hand designer items. The study demonstrated how there are varying influencing factors of second-hand luxury and they include sustainability, great deals, unique pieces, and pre-loved treasures.(Kessous & Florence, 2019) There are many consumers who are motivated to purchase luxury consignment for many different reasons ranging from a better deal to unique finds further demonstrating how this industry holds an important role in the fashion world.

Previously luxury consignment was known to originally be sold in smaller independently owned consignment shops that would receive goods from secondary sellers. Many of these shops were small businesses that would sell vintage goods which had been bought off individuals who no longer wanted the item. Secondary sellers are those who own the designer item and would like to sell their piece so they then take the item to a consignment shop where they can resell the item for them while taking a portion of the profits for themselves.

Popularity in Second Hand Luxury

Within recent years the second-hand clothing industry has taken off, along with thrifting, trading, and finding ‘preloved’ items many online and offline have expressed their renewed interest in buying second-hand. The same can be said for the high-end luxury fashion industries. Second-hand luxury goods have seen a rise in recent years. This can be attributed to many factors ranging from discounted prices on items, uniqueness of items, and sustainability impact. Along with the take-off of second-hand goods comes the setbacks of fakes and counterfeits. Many companies, such as The RealReal, Far Fetched, and Vestiaire Collective, have found ways to verify the item's legitimacy, however, there is always a chance of a product or a few fakes slipping through.

What we are looking to do is to see how the consumers' perception of the concept of a decentralized blockchain in luxury consignment can change. The implementation could better protect their purchases and investments.

How has Luxury Consignment evolved in recent years?

The luxury consignment sector has continued to expand and there are now many well-established luxury consignment shops that are trusted by consumers.There are many different ways in which these types of stores try to guarantee real pieces and some can be through serial numbers of an item or having professionals try to authenticate. One of the fastest-growing luxury resale stores is The Real Real which started off online but now has various brick and mortar locations. The Real Real is a luxury consignment retailer that aims to guarantee authentic items for its consumers. The method of authentication used by The Real Real is having a team of people who specialize in the authentication process but they have stated that there is not any secret or special information that they have about the consignment supply chain. (Malik 2018) Another luxury consignment shop that has various locations around the U.S, as well as an online presence, is 2nd Street. Both of these stores are more established and operate at a greater scale in comparison to consignment shops from the past.

Although the primary way of purchasing luxury consignment has been through brick and mortar locations there are now many online retailers that provide the same products and consumers can actually compare prices to one another. There are now various online retailers that sell vintage/designer items that are secondhand which include The Real Real, Vestiaire Collective, Tradesy, and Re-bag. Another way to purchase consignment items is from the secondary seller directly if they add their items to their social media platforms or online shopping apps like Depop or Thredup. There is a risk that a consumer poses when purchasing from an individual which is a possibility of a fake item and there is no guarantee of reimbursement the way there is when purchasing off of a trusted website or store.

How can a decentralized blockchain affect the luxury consignment industry?

A decentralized blockchain can allow potential buyers peace of mind when purchasing their items, they can be assured that they will receive an authentic product. It provides a trustworthy and unique log that displays historical information on an item like when it was made and the variety of owners it has had (Yuan, Xu, & Shen, 2020). Having the ability to track all buying and selling of items, particularly exclusive and unique items, can be beneficial not only to the sellers but also to buyers as it guarantees authenticity. Many consumers of second-hand luxury goods are interested in the history of the goods they are purchasing. Knowing the purchasing history of an item can be beneficial to the vintage luxury market. If they are not interested in history, being able to verify the validity of the luxury item will provide consumers with peace of mind. A decentralized blockchain allows for a transparent and secure network of authentic goods and because it cannot be modified or altered it creates assurance for the consumer. It will benefit the seller as well because it will reduce external costs associated with lack of trust like returns. Knowledge of this technology has the potential to build a trustful relationship between the buyers and sellers by minimizing risks and uncertainty, which may make informed consumers more inclined to purchase second-hand goods from luxury consignments.

2.2 Theory

Technology Acceptance Model (TAM)

The use of the technology acceptance model shows the process of how individuals come to accept new technology and thus use it (Kim & Crowston, 2012). This theory was first developed by Fred Davis over three decades ago (Sauro, 2019). Two main factors that will determine whether a technology will be accepted by potential users are perceived usefulness and perceived ease of use. The key feature is the behavioral intention factor in this model that leads people to use the new technology that is introduced to them. Under TAM, two other theories are also integrated to measure the adoption of technology-based on customer attitudes. Both Theory of Reasoned Action and Theory of Planned Behavior by Martin Fishbein and Icek Ajzen have been used in studies to conduct research on cyber-infrastructure adoption.

The technology acceptance model is used prevalently throughout many pieces of research. Along with the use of TRA and TPB, researchers mainly use these theories to tap into individuals’ behavioral responses to new technologies. For example, TAM was used in a study by applying it in the context of online auctions and introducing new consumer-oriented variables (Stern et al, 2008). It examines eBay, one of the first most successful online auction sites to show that its business is the technology that fuels growth and increases its profits. Then it discusses how TAM variables were applied in business contexts. Another research also used TAM to explore user experience, their intention, and the user behavior of a portal created for clients (Portz1 et al, 2019). The aim of this study was to see how older patients feel about the use of patient portals. It also researches the portal user interface, UI, and UX preferences of older adults with multiple chronic conditions to improve accessibility and adoption of patient portals. Both these studies used TAM as their theory to support their research and successful outcomes were concluded.

The technology acceptance model will allow us to understand the intention and tendency of consumers to adopt new technology. We will be able to see whether their perception of luxury consignment stores has changed or not by implementing blockchain in the authentication process. The reason we chose to go with this model for our theory is that blockchain is a new technology that is being introduced into the market and many research papers based on technology have used adoption theories as support. Since our research taps into the consumer’s behavior, using adoption theories would allow us to see their opinions change throughout pre-adoption, adoption stage, and post-adoption. With this model, we will be able to gain a new perspective on how blockchain decentralization can improve the efficiency and sustainability of smaller luxury resale companies.

2.3 Hypotheses Development

Knowledge on Blockchain Technology in Luxury Consignment

2.3.1 Perceived Knowledge and Actual Knowledge

Perceived knowledge refers to the self-assessment of knowing the information (Park, Gardner, Meryl, Thukral, & Vinod, 1987). Actual knowledge is one awareness of facts and conditions on the information. Perceived knowledge and actual knowledge play an important role in this study between participants that receive stimuli and those that do not. We will be able to analyze if the perception of blockchain technology within luxury consignment is impacted by the level of knowledge on the topic. A study has found that when consumers have prior knowledge about topics beforehand, the knowledge leads to increases in self-confidence and competence, which has a significant impact on fashion consumerism. (Lee & Hwang, 2019). Although Blockchain is a complicated topic and we are uncertain about consumer self-confidence and competence of their knowledge of the actual usage and benefit of blockchain within luxury consignments. We expect consumers with high perceived and actual knowledge to respond stronger than those that have low perceived and actual knowledge.

H1: High perceived and actual knowledge of blockchain technology application in luxury fashion has a positive impact on perceived usefulness toward the perception of luxury consignment resellers that utilize blockchain technology.

H2: High perceived and actual knowledge of blockchain technology application in luxury fashion has a positive impact on perceived ease of use toward the perception of luxury consignment resellers that utilize blockchain technology.

H3: Low perceived and actual knowledge of blockchain technology application in luxury fashion has a negative impact on perceived risk toward the perception of luxury consignment resellers that utilizes blockchain technology.

2.3.2 Type of information

Customer-generated content is generally viewed as more trustworthy than manager-generated content (Sparks, Perkins, & Buckley, 2013). Consumer-generated information, and testimonial, is more likely to have a stronger impact on participant perception of usefulness, ease of use, and risk than manager-generated content, or infographic. While infographics may attract more attention from curious consumers due to segmentation and graphic arrangement of information content, it may cause some skepticism of trustworthiness in information according to theories of attitude formation and persuasion. While consumer-generated content, testimonials, with the same information, are more likely to be perceived as more trustworthy and informative (Dickinger, 2011). Consumers are more likely to perceive manager-generated content as more biased toward topics (Senecal & Nantel, 2004). Consumers' trust in information leads to confidence and significantly impacts buying behavior.

H4: Consumer testimonials about blockchain technology application in luxury consignment testimonials will have a greater positive impact on perceived usefulness than infographics.

H5: Consumer testimonials about blockchain technology application in luxury consignment testimonials will have a greater positive impact on perceived ease of use than infographics.

H6: Consumer testimonials about blockchain technology application in luxury consignment testimonials will have a negative impact on perceived risk than infographics.

Measurable Variable

2.3.3 Perceived Usefulness

Perceived usefulness is the degree to which a person believes that using this technology would yield benefit (Davis, 1989). Blockchain technology can help enchant consumer shopping efficiency at luxury consignment resellers. The benefits of blockchain technology include record keeping, product history, transparency in sustainability, authentication, and efficiency. However, all of these benefits are not very apparent to everyday consumers and we don’t know which factors would be perceived as more useful than others or create a positive use-performance relationship. Thus, providing knowledge about blockchain technology applications within luxury consignments should theoretically increase consumer awareness of the usefulness of the technology.

H7: Perceived usefulness has a positive impact on behavior intention toward the perception of luxury consignment resellers that utilize blockchain technology.

2.3.4 Perceived Ease of Use

Perceived ease of use is the degree to which a person believes that using this technology would be free of effort (Davis, 1989). Customers would be more likely to accept the use of blockchain technology in the second-hand luxury market if they believe that the technology will make authentication of luxury products more efficient e.g. self-authentication vs. having to go to the luxury brand boutique to authenticate the products. The real-life usage example that provides stimuli will increase consumer knowledge about blockchain technology, thus increasing perception toward buying intention.

H8: Perceived ease of use has a positive impact on behavior intention toward the perception of luxury consignment resellers that utilize blockchain technology.

2.3.5 Perceived Risk

Perceived risk is defined as the person who believes that using this technology would result in consequences (Renn, O. & Benighaus, C., 2013). Blockchain is still a new technology that brings uncertainty about the technology and its usage. If consumers believe that blockchain technology would bring more negative consequences either directly or indirectly than benefits, then consumers are less likely to buy products with blockchain technology. Provenance knowledge can create an assurance that comes from the origin, authenticity, custody, and integrity of the products that helps reduce risks perceptions (Plangger, K., Montecchi, M., & Etter, M., 2019)

H9: Perceived risk has a positive impact on behavior intention toward perception on luxury consignment resellers that utilize blockchain technology.

Moderating Effect

2.3.6 User Innovativeness

User innovativeness is the degree to which a person's interested in trying new technology (Hu et al., 2019). A high level of user innovativeness on perceived usefulness offsets the effect of perceived risk (Yu, Lee, Ha, & Zo., 2017). Highly innovative consumers are more likely to be more informed about new technology than those with low innovativeness, thus knowing more about the usage of blockchain technology applications in luxury consignment usefulness. They have the ability to forecast future demand regardless of current market size and uncertainty level.

H10: Relationship between knowledge and perceived usefulness of luxury consignment resellers that utilize blockchain technology would be stronger among people with high innovativeness.

H11: Relationship between knowledge and perceived ease of use about luxury consignment resellers that utilize blockchain technology would be stronger among people with high innovativeness.

H12: Relationship between knowledge and perceived risk about luxury consignment resellers that utilize blockchain technology would be weaker among people with high innovativeness.

2.4 Conceptual Model

The conceptual model in this study is based on TAM with the addition of variables from other studies they deem beneficial and related to blockchain technology usage in the luxury consignment market. The figure below summarizes this paper's purpose of research and hypothesis to examine the intention to purchase luxury consignments that utilizes blockchain technology by using concepts of perceived knowledge and actual knowledge, and the type of information provided as a stimulus. We then examine consumers' perceived usefulness, perceived ease of use, and perceived risk, and provide user innovativeness and personal experience as a moderator in between relationships.

Figure 1

Conceptual Model

3. Methods & Procedures

To analyze consumer perception toward blockchain technology application in the luxury consignment market, a quantitative approach was used. An online survey with closed-ended questions and demographic information was distributed to participants that may have been interested in fashion, technology, and/or blockchain.

3.1 Sample

A convenience sample of at least 100 participants were recruited for this survey. Participants were 18 years of age and older, the Cal Poly Pomona student body and staff as well as family and friends. The sample was recruited through emails and texts. All participants were asked to volunteer to take the survey and to answer all the questions.

3.2 Survey Design and Procedure

An online survey was presented, it consisted of closed-ended questions as well as demographic information. Prospective participants received an invitation email with a weblink and a short description detailing the purpose of the survey. The invitation email stated both the purpose of the study and the confidentiality information. Upon clicking on the web-link URL in the invitation email, participants provided consent to participate in the survey. Depending on their given stimuli participants received an infographic, providing them with a clear definition of blockchain technology and its potential to affect the luxury consignment market. Another stimuli that was presented is a testimonial script presented as a review with similar information as that of the information provided on the infographic, it was also visually similar. Both the infographic and testimonial script presented were based on information we have researched about blockchain technology and luxury consignment. There were a total of eight close-ended questions and a total of six questions regarding demographics. The questions will aim to assess how different types of stimuli used can alter the responses and opinions of individuals depending on their understanding of blockchain technology and luxury consignment. The measures will include perceived usefulness, perceived ease of use, perceived risk, and user innovativeness.

Survey Link:

3.3 Measurement Instrument

The measurement instrument used in the survey was based upon prior theories and studies, which then was modified to fit this study in luxury consignment and blockchain technology.

Untitled spreadsheet

4. Data Analysis & Results

4.1 Descriptive Analysis

There were a total of 168 participants in the study conducted on Blockchain technology and luxury consignment. There were five participants who did not consent to take the survey and the other 64 participants were not counted because they were a part of the trial survey or because the survey was completed incorrectly. In the end, a total of 100 usable data was collected. The average age of the participants ranged from 18-24 and there were 32 males (32%), 61 females (61%), 4 others (4%), and 3 (3%) who preferred not to say. Most of the participants were Asian (48%) and the next group following were Hispanics (25%). There was a large portion of people who preferred not to state their household income (30%) and the rest varied from less than $25,000 to over $200,000. The employment status of the participants pertained to a majority being employed full time (34%) with the next largest group being students (30%).

Sample characteristics

4.2 Preliminary Analysis - Measurement (Factor Analysis & Reliability Test)

Results of Preliminary Analysis

Cronbach’s Alpha coefficient analysis is used to estimate the reliability of our data. The results of the reliability analysis show that the Cronbach’s Alpha coefficient of all the variables except Perceived Knowledge and Familiarity is greater than .70. Perceived usefulness and Buying Intention both received a coefficient of over .9, therefore they have excellent internal consistency. Perceived Ease of Use, Perceived Risk, and User Innovativeness all scored between .8 and .9, receiving overall good internal consistency. Familiarity was placed in the questionable range of internal consistency as it scaled between .6 and .7. Lastly, Perceived Knowledge was deemed poor on the internal consistency because it scaled at .506 and bordered the range of being considered unacceptable.

In our analysis, the factorability of 24 items was examined. It is observed that 23 of the 24 items correlated at least .757 with at least one other item, indicating that there is a strong correlation and reasonable factorability. Additionally, commonalities were all above .5, which suggests that each item shares a similar variance with the other items with the factor. Overall, the data suggest that the factor analysis is satisfactory among all 24 items.

The data suggest that in relation to Perceived Usefulness, factor loadings of 0.7 and above show a positive correlation. Item 3 had the highest factor loading in Perceived Usefulness, therefore it had the most positive correlation within the factor. Perceived ease of use contained 3 items that had a factor loading of above .7, all indicating the positive correlation between the item and the factor with Item 3 having the most positive correlation. Perceived Risk also scored above .7 with Item 1 having the most strongest and positive correlation at .920 and Item 3 having the lowest relation within the group at .757. Perceived knowledge had a positive correlation that scaled identically while Familiarity has a wider range. Analysis of Familiarity displays Item 2 had the most positive and strong correlation at .907, while Item 2 scaled moderately in its correlation at .641.

User Innovativeness all scales above .7 with Item 2 having the strongest correlation and Item 4 having the weakest correlation within the factor. Additionally, one item was removed due to low factor loading. Buying Intention scale is particularly high with Item 4 having the most positive and strongest correlation and Item 2 having the weaker of the strong correlations.

Overall, based on the analyses it is suggested the factors were strongly consistent and the data is appropriate for the analysis.

4.3 Manipulation Test

Table 4. Results of Manipulation Test

Variable Sig.

Manipulation .006

The t-test result showed that Independent Variable 1, the testimonial manipulation was successful as the significant value was above 0.05 ( p < 0.05). Participants did recognize Condition A. Participants were able to view the testimonial condition as a testimonial and the formal condition as formal.

4.4 Correlations

Table 5. Results of Pearson Correlation Analysis

Results of Pearson Correlation Analysis

The correlation analysis showed that the dependent variables were related at a moderate to a strong level. Thus, MANOVA was conducted with all the dependent variables together.

4.5 Hypothesis Testing

Table 6. Results of Hypothesis Test

Results of Hypothesis Test

A Multivariate (generalized linear model), two-way MANOVA, was conducted to examine the effect of participants' familiarity, type of infographic presented, and user innovativeness. There was no statistically significant interaction effect between the effects of type of information and user innovativeness on the combined dependent variables, p is greater than .05. However, the individual effect of Type of Infographic and User Innovativeness showed a significant effect on independent variables since p= <.001. This means that the type of infographic presented (no infographic, testimonial infographic, and formal infographic) affects the dependent variables, this is true also for those with high innovativeness and low innovativeness.

Tests of Between-Subjects Effects

Table 7. Results of Between-Subjects Effects

Results of Between-Subjects Effects

A Multivariate (generalized linear model), two-way MANOVA, was conducted to examine the effect of participants' familiarity, type of infographic presented, and user innovativeness on behavior intention, perceived risk, perceived ease of use, and perceived usefulness of blockchain technology within luxury consignment.

The result showed that there is statistically significant information on the type of Infographic on behavior intention, p = <.001. perceived risk p = .023, perceived ease of use p = <.001, and perceived usefulness p = .007.

There is statistically significant information on the user's innovativeness on behavior intention, p = .002. perceived risk p = <.001, perceived ease of use p = <.001, and perceived usefulness p = .004.

There is statistically significant information on familiarity on perceived ease of use p = .017 but there is no statistically significant on behavior intention, p = .887. perceived risk p = .491, and perceived usefulness p = .477.

There is no statistically significant interaction between the effects of type of information and user innovativeness on behavior intention, p = .170, perceived risk p = .612, perceived ease of use p = .071, and perceived usefulness p = .076.

5. Conclusion

5.1 Discussion

Our research was conducted to find an answer to the question: “How has knowledge of blockchain technology affected consumer’s buying intention in luxury consignment?”. To investigate the change in the perception of consumers, we referenced the Technology Acceptance Model (TAM) along with the Theory of Reasoned Action and Theory of Planned Behavior.

We predicted that participants who were presented with testimonials would have greater buying intention toward luxury consignments that utilize blockchain technology. We also predicted that participants with high innovativeness will also be more likely to have high buying intentions toward luxury consignments that utilize blockchain technology. Supporting predictions, our data from the survey showed that when participants were presented with infographic formal or testimonials, they had a more positive outlook of blockchain usefulness and ease of use within luxury consignment. Although there were no significant differences between those who were presented with formal or testimonial infographics, there are marginally significant differences between those with high innovativeness compared to those with low innovativeness in buying intention. This finding suggested hypotheses 1 and 2 are supported by the data we collected. Having high perceived and actual knowledge of blockchain technology application in luxury fashion has a positive impact on the perceived usefulness and perceived ease of use toward the perception of luxury consignment resellers that utilize blockchain technology. Hypothesis 4,5,and 6 were a “casual form of information presentation has a positive impact on a. perceived usefulness, b. perceived ease of use, and c. perceived risk” and this hypothesis was rejected. The outcome of H2 showed the P value to fall at greater than 0.01 meaning that the significance level was not statistically significant and therefore the form of information did not matter regardless if it was formal or casual. Hypothesis 10, 11,and 12 were about, “User Innovativeness factors having a positive impact on a. perceived usefulness, b. perceived ease of use, and c. perceived risk leading to buying intention regardless if there was information presented or not” and the hypothesis was also rejected. During our research we expected for consumers to have a higher buying intention when having a better understanding of blockchain technology since it would mean they are educated on the new technology and would be open to using it. Our results showed the opposite and this could be due to the fact that consumers might actually be more weary of this technology now that they understand it and can find possible risks associated with it.

5.2 Implications

With our research, we looked into whether it would be of benefit to help consumers understand this process and if the way in which the information is presented is of importance. Regardless of the information type, having the knowledge that blockchain technology can affect consumer buying intention of luxury consignment can determine if businesses should put effort into using this new technology to help increase their sales and aid consumers in their decision to potentially purchase a consigned luxury goods. Given what we found, marketers and luxury consignment owners should consider workshops/webinars/quick info videos to present to consumers on blockchain usage. Our research is specific to the luxury consignment sector of the fashion industry because it focuses on the authenticity of luxury goods while using blockchain and all information used when testing consumer knowledge on blockchain focused on explaining how this technology may be used in luxury consignments only.

5.3 Limitations & Future Research

A limitation of the current research is that our research does not involve the actual purchasing of products. Our research focused on consumer perception and behavior, in which intention can be different from purchasing action. Nevertheless, there is enough correlation in our finding that to believe that some behavior intention does reflect into actual action. The research also did not target a specific group of generations, but rather ages 18 and up. A possible change in outcome could be conducting research on a specific generation as well. This way we could better understand how each age group reacts toward such advanced technology. Recruiting different age groups can change the outcome because each generation has different shopping habits and may be more or less inclined to trust the technology. A factor to consider as well would be presenting the information types on blockchain technology in a different way, such as in a video format, which could also be applied to future research.

Another limitation is that our research question may have been too broad. Since this study was focused on the luxury consignment business in general, future research can compare the different types of luxury consignment products or even the size of the businesses. When it comes to luxury consignment, the question of authenticity mostly correlates with handbags. Since this category of fashion accessories takes a big part of the luxury consignment industry, this could be the focal point of future studies. Presenting information types on blockchain technology in a different way, such as in a video format, could also be applied to future research.


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