Panic Buying: Modeling What Drives it and How it Deteriorates Emotional Well-being

Area of Science:

• Consumer Psychology
• Behavioral Economics
• Sociology

Background:

• Pandemic outbreaks often trigger abnormal consumer behaviors, such as panic buying.
• Understanding the psychological and social drivers of panic buying is essential for mitigating its negative consequences.

Purpose of the Study:

• To develop and test a model explaining the driving forces and adverse consequences of panic buying.
• To investigate the role of social learning via traditional and social media on consumer fear and panic buying.

Main Methods:

• Data collected from 415 U.S. consumers during the pandemic.
• Structural equation modeling used for data analysis.

Main Results:

• Social learning via traditional media did not significantly impact fear or panic buying.
• Social learning via social media significantly influenced both fear of product shortage and panic buying.
• Panic buying was found to trigger increased negative emotions in consumers.

Conclusions:

• Social media plays a critical role in amplifying panic buying behavior during crises.
• The negative emotional consequences of panic buying highlight its significance as a societal issue.
• Interventions targeting social media influence may be effective in managing panic buying.