The downside of scarcity: Scarcity appeals can trigger consumer anger and brand switching intentions

Alessandro Biraglia,Bryan Usrey,Aulona Ulqinaku

doi:10.1002/mar.21489

Alessandro Biraglia, Bryan Usrey + Show 1 more

Open Access

https://doi.org/10.1002/mar.21489

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Abstract

AbstractBrands often use scarcity appeals to promote sales. However, there is limited research investigating how consumers react when they are unable to obtain items that are advertised using scarcity appeals in terms of limited quantity. In two studies, experimental and correlational, we show that consumers who do not get the product associated to scarcity appeals (vs. not) have higher intentions to switch to competitor brands. This effect is mediated by consumer anger. We present theoretical contributions in research on scarcity appeals and consumer emotions (i.e., anger) and we discuss managerial implications of how scarcity appeals can sometimes backfire and lead to consumers switching to other competitor brands when they fail to obtain the product advertised as limited in quantity.

Highlights

Scarcity appeals and limited availability have been shown to be an important heuristic that can aid in choice desirability (e.g., Goldsmith et al, 2017; Inman et al, 1997; Ku et al, 2012; Van Herpen et al, 2009; Worchel et al, 1975)
We aim to examine how not getting an item advertised using scarcity appeals can induce higher consumer anger and instill a desire to get the same item from a competitor brand
In Study 2 we aimed to provide further support for H1 and H2, which suggest that consumers who do not get an item because it was scarce experience heightened levels of anger

Summary

Introduction

Scarcity appeals and limited availability have been shown to be an important heuristic that can aid in choice desirability (e.g., Goldsmith et al, 2017; Inman et al, 1997; Ku et al, 2012; Van Herpen et al, 2009; Worchel et al, 1975). While there has been research that suggests that scarcity can have positive effects, including arousal and further heuristic processing (Cialdini, 1993), additional literature has suggested that scarcity appeals may push consumers to display higher levels of consumer aggression to purchase the target product (Kristofferson et al, 2017), presenting the possibility that such feelings may have negative consequences for brands. In their recent research, Cannon et al (2019) found that individuals need to resolve resource scarcity through different reparation techniques. The research aim of this paper is to investigate and demonstrate the effects of scarcity appeals on consumers and the averted feelings and compensatory consumption that may be the result of it

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