Do people change their buying behavior during crises? Insights from the COVID-19 pandemic in Sri Lanka

Abstract

Purpose: Panic buying occurs in many countries, including Sri Lanka, due to the recent COVID-19 pandemic, leading to inventory shortages, supply chain disruptions, and many problems in the day-to-day lifestyle of people. This is a relatively new and unexplored area of consumer behavior, especially in the Sri Lankan context. Therefore, this study aims to explore consumer panic buying behavior in relation to Fast Moving Consumer Goods (FMCG), during the COVID-19 pandemic situation in Sri Lanka. Design/methodology/approach: Given the scarcity of available literature and the aim of uncovering genuine customer insights, the study used a qualitative methodological approach. Semi-structured interviews were conducted with twenty-five participants selected using the non-probabilistic purposive sampling method in the Western Province, Sri Lanka. Data were analyzed using the thematic analysis approach. Findings: The study found a change in customers' normal buying behavior during the COVID-19 pandemic, especially at the beginning of the pandemic period. Seven fundamental changes were recognized related to purchasing quantity, mode of purchasing, price sensitivity, shopper, purchasing time, purchasing location, and choice of brands. Additionally, four themes were generated as reasons for adopting such panic buying behavior of FMCG: fear of fear, protective behaviors, social influence, and social trust. Originality: The study adds new knowledge by identifying changes in consumer purchasing behavior, particularly in a pandemic situation, as well as the reasons for such changes, which is a rare phenomenon in the previous literature. Implications: The study informs policymakers on how to implement appropriate policies and strategies to deal with panic buying situations. Retailers can use this expertise to effectively address the various demand conditions without disrupting their internal business practices. Keywords: Panic buying behavior; Pandemic; COVID-19, Sri Lanka