What drives people to panic buy during times of crisis: A new study sheds light on the psychology of consumers
During the pandemic, this took the form of panic buying as people flocked to stores to stock up on essential goods.
- During the pandemic, this took the form of panic buying as people flocked to stores to stock up on essential goods.
- Some even sought to profit off of shortages by price gouging toilet paper and hand sanitizer.
Psychological traits of consumers
- We examined the following factors in our study: narcissism, psychological entitlement, status consumption, fear of embarrassment, and fear of missing out.
- Psychological entitlement refers to the belief that one is inherently deserving of special treatment or privileges.
Unique types of consumers
- Our study identified four distinct consumer groups, each with unique psychological traits that drove their purchasing habits.
- Egalitarians displayed low levels of narcissism and psychological entitlement compared to the other groups.
- Egalitarians are the type of individuals who volunteer at local food banks or participate in community clean-up events.
- In terms of purchasing, agentic egoists are willing to spend more on items that directly benefit them.
- For instance, they might buy the last three bottles of an expensive, brand-name cough syrup, without considering that others might need it, too.
What this means for consumers
- If you’ve ever found yourself filling your shopping cart to the brim in a moment of panic, you’re not alone.
- Recognizing these traits in ourselves can be a wake-up call, encouraging us to shop more responsibly, especially in times of fear and panic.
What this means for retailers
- It’s a way to guide businesses in serving communities ethically and effectively, especially in times of crisis.
- For example, if most of your customers tend to follow the crowd (conformists), consider offering reliable public health information in your stores.
- As we reflect on the challenges we’ve faced, retailers have an opportunity to plan for a future where their actions benefit not only their business, but society as a whole.
The authors do not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.