Why Do We Overbuy? Value From Engagement and the Shopping-Consumption Discrepancy

Dilney Goncalves, INSEAD, France
People often purchase things they do not consume, what we call overbuying. We investigate a new source of overbuying: a discrepancy in valuation between shopping and consumption occasions. Engagement can amplify the value of objects. For many purchases, people get relatively engaged in the purchase process. Consumption occasions may be less engaging than shopping, creating a difference in valuation between the time of purchase and the time of consumption, which may lead to purchasing things and not consuming them. Two experiments show that consumers mispredict consumption but not shopping experiences and that an engaging choice task elicits greater willingness-to-pay.
[ to cite ]:
Dilney Goncalves (2009) ,"Why Do We Overbuy? Value From Engagement and the Shopping-Consumption Discrepancy", in NA - Advances in Consumer Research Volume 36, eds. Ann L. McGill and Sharon Shavitt, Duluth, MN : Association for Consumer Research, Pages: 865-865.