How would you like to pay? Consumers’ reaction to crypto-based vs . traditional e-payment methods for luxury vs. mass-market fashion products in e-commerce stores

Abstract

Purpose This paper investigates how cryptocurrency-based e-payments, compared to traditional methods, influence consumers’ willingness to purchase online. Specifically, we explore whether paying with cryptocurrencies enhances perceived brand credibility, thus increasing purchase intentions. Additionally, we examine how the type of product – luxury vs. mass-market – moderates this effect, expecting a stronger positive impact on luxury products. Design/methodology/approach The study is based on an experimental design involving 1,362 international participants. Respondents were randomly assigned to scenarios varying the type of electronic payment method (cryptocurrency-based vs. traditional) and the product category (luxury vs. mass-market), using a fictitious fashion brand. Participants’ willingness to buy, perceived brand credibility and reactions to the payment conditions were measured through validated scales. A mediated-moderation analysis was conducted to examine the causal mechanisms underlying the effects and the interaction between payment type and product category. Findings Results show that cryptocurrency-based payments, compared to traditional methods, significantly enhance perceived brand credibility, leading to increased willingness to buy. Furthermore, this positive effect is amplified for luxury products. Consumers perceive brands offering crypto-payment options as more “credible and trustworthy”, particularly when purchasing luxury rather than mass-market items. Practical implications The study is grounded in signalling theory and the literature on brand credibility in technology-mediated retail environments and extends these frameworks by demonstrating how cryptocurrency-based payments can operate as credibility-enhancing signals in fashion e-commerce. E-commerce managers should consider integrating cryptocurrency-based payment methods to enhance brand credibility, particularly when dealing with luxury fashion products, since, differently from some research streams, we demonstrate how such an approach may enhance luxury perceptions (instead of diluting them). Social implications The adoption of cryptocurrency payments contributes to the technological evolution of fashion e-commerce by expanding consumers’ transactional choices and reducing dependence on traditional intermediaries. This enhances accessibility for users outside conventional banking systems and supports more inclusive digital consumption. The transparency and traceability of blockchain-based payments may also strengthen trust in online transactions, facilitating their integration into emerging omnichannel retail models. Originality/value This paper uniquely contributes to consumer behaviour research by empirically examining how cryptocurrency-based e-payments affect willingness to buy through perceived brand credibility. It extends existing literature by identifying product type (luxury vs. mass-market) as a significant moderator, highlighting conditions under which crypto-payments are particularly advantageous. Thus, the study provides valuable insights into integrating cryptocurrencies into e-commerce strategies, offering practical recommendations for businesses aiming to leverage blockchain technology.