Merchandising/Marketing/Retailing: Management

Does Sophisticated AI Ease or Inflame Luxury Decision Fatigue and Purchase Postponement? The Moderated Serial Mediation Effect of Service Embarrassment

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Abstract

This study explores how varying levels of sophisticated AI impact luxury consumers’ purchase postponement and decision-making processes. Despite its critical importance, purchase postponement has received limited attention, and the role of AI in addressing this issue remains underexplored. Drawing on the theory of mind perception, this study investigates whether highly sophisticated AI, with greater cognitive and emotional capabilities, can help reduce consumers’ decision fatigue and purchase delays. Two online experiments were conducted. Study 1 found that high-sophisticated AI reduced purchase postponement, particularly among consumers who are satisfied with a “good enough” state. Study 2 further examined the underlying mechanisms, revealing that consumers perceived high-sophisticated AI as more trustworthy and empathetic, thereby alleviating decision fatigue and postponement. Moreover, service embarrassment moderated these effects, with increased embarrassment further mitigating postponement. This study contributes to luxury retailing research and offers practical insights for integrating sophisticated AI to facilitate luxury consumer purchase decisions.

Keywords: artificial intelligence, AI, luxury, decision fatigue, purchase postponement

How to Cite:

Li, J. & Kang, J., (2025) “Does Sophisticated AI Ease or Inflame Luxury Decision Fatigue and Purchase Postponement? The Moderated Serial Mediation Effect of Service Embarrassment”, International Textile and Apparel Association Annual Conference Proceedings 81(1). doi: https://doi.org/10.31274/itaa.18820