Lab-grown vs. natural diamonds
: a moderated mediation analysis of how brand type and perceived scarcity influence consumer purchase intentions

  • Maria Teresa Beatrice Nicole Balthasara Habsburg-Lothringen (Student)

Student thesis: Master's Thesis

Abstract

This study explored the influence of diamond origin (lab-grown vs. natural) on purchase intention through perceived scarcity, with brand type as a moderator. Given the recent rising prominence of lab-grown diamonds in the jewelry market, this research investigates how perceived scarcity influences purchase intention and whether luxury brands can increase the perceived scarcity of lab-grown diamonds. A 2x2 factorial design between-subjects experiment was conducted, involving 253 participants who were randomly presented with one of four scenarios regarding diamond origin (lab-grown vs. natural) and brand type (luxury vs. no-name). The study employed a moderated mediation analysis using Hayes9 PROCESS macro (Model 7). The findings show that diamond origin is directly associated with perceived scarcity, proving that lab-grown diamonds are perceived as less scarce than natural diamonds. Furthermore, perceived scarcity is positively associated with purchase intention, confirming that scarcity plays a crucial role in driving consumer demand. However, the moderating effect of brand type was found to be non-significant, suggesting that brand prestige does not significantly influence the relationship between diamond origin and perceived scarcity or purchase intention. These findings contribute to the understanding of how lab-grown diamonds are perceived in the luxury jewelry market and provide valuable insights for marketers looking to position sustainable alternatives within traditional luxury frameworks.
Date of Award14 Oct 2024
Original languageEnglish
Awarding Institution
  • Universidade Católica Portuguesa
SupervisorKurt Paul Munz (Supervisor)

Keywords

  • Lab-grown diamonds
  • Natural diamonds
  • Scarcity
  • Luxury brands

Designation

  • Mestrado em Gestão e Administração de Empresas (mestrado internacional)

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