The aim of this study is to investigate the influence of different LED colors on leather color shift to prevent misleading purchases. Six light sources consisting of three color temperatures (2700 K, 4000 K, and 6000 K) and two illuminances (750 lux and 1500 lux) were used. Red and brown leathers, common in the luxury goods market, with or without grain, were studied. The colors and patterns resulted in four leather surfaces for a color shift cognition experiment. The results indicated that: (1) Color temperature, illuminance, and leather color significantly affected color shift perception. (2) Two-factor combinations of color temperature and grain as well as color temperature and leather color generated interaction toward color shift. (3) The three-factor combination of color temperature, grain, and leather color also generated interaction toward color shift. The criticalness of factors affecting leather color shift was such that leather color > color temperature > illuminance > grain. The results can serve as references for the luxury goods and fashion industry in the management of retail display illumination and for color control of leather products under different illumination environments, thereby promoting the sustainability of leather product consumption.