LAUSR

Abstract This study explored the importance of luxury value in the context of first-class flights. More specifically, it was proposed the role of luxury value in the formation of outcome variables. In addition, the moderating role of alternative attractiveness was suggested during the theory-building process. Lastly, this study tried to investigate significant differences in luxury value based on first-class passengers’ demographic characteristics. Data were collected from 201 first-class passengers in the United States. The results indicated that three dimensions of luxury value (i.e. functional, individual, and social values) have a positive influence on first-class attachment, which in turn positively affects both willingness to pay a price premium and word-of-mouth. In addition, alternative attractiveness plays an important moderating role in the relationship between first-class attachment and word-of-mouth. Lastly, there were significant differences in luxury value according to demographic characteristics such as gender, age, education, income level, and occupation.