Question

MARKETING

Using consumer behaviour concepts explain "panic buying"

Consumers "panic buying" toilet paper and other supermarket items. Using a relevant concept or theory explain the panic buying phenomenon. Please ensure that you clearly link the observed behaviour to theory, and provide a reference to your source(s) if appropriate.

Answer 1

Panic Buying is the buying of large amounts of good by consumers in the event of an emergency or anticipation of an emergency or due to knowledge that certain essential items supply may run out in stores. Panic buying is a group behaviour which gets reinforced. The reinforcement of panic happens because everyone is buying excess stock and this results in stock depletion which reinforces their assumption that essential supplies are dwindling and this again results in panic buying at other stores.

The theory which can explain panic buying is Maslow's hierarchy of needs where Maslow states that safety needs are the basic level of needs that a person desire. Hence, due to the panic buying, people want to stock up on essential to feel safe during a crisis and escape from the situation. Having a lot of essentials and safety at their immediate disposal makes them feel safe and secure. Therefore, this psychology if security makes them buy thing and buy as much as possible securing themselves first.