Kristine
From luxury fashion items to seasonal coffee drinks, nothing seems to excite people more than limited-edition products. When customers are met with a curated selection of limited goods each time they venture out to their local thrift store or fancy boutique, it makes every shopping experience feel like a mini-adventure.
While you may feel a sense of excitement when discovering a special, limited-edition product during your weekly Target run, this brief “high” is likely caused by strategic marketing tactics rather than your superior bargain-hunting abilities. When you feel compelled to buy something that appears to be rare or unique, you may be falling for the tricks of scarcity marketing.
FOMO and Scarcity Marketing
Business consultant Steven J. Wilson explains that most people frequently experience some level of FOMO or the “fear of missing out,” and scarcity marketing is designed to take advantage of this anxiety. By reducing the number of products available, marketers can use this information to encourage customers to buy the items as soon as possible. When paired with a special discount or other appealing offers, scarcity marketing can be extraordinarily powerful. But, as Wilson notes, “It is not the discount that triggers people to make the purchase. It’s the urgency.”
The Thrill of the Hunt
Another aspect of scarcity marketing has to do with the perceived uniqueness of a product. For example, Trader Joe’s frequently introduces limited-time products to their stores to “make each shopping trip feel like a treasure hunt.” Discovering specialty items each time you visit a store can turn an ordinary grocery run into an experience that you genuinely enjoy and look forward to. With fun product names, experimental new items, and a curated selection of grocery essentials, Trader Joe’s has excelled at creating an almost cult-like following.
Furthermore, Bryant University business professor Michael Roberto explains that the frequent product rotation inherently generates a sense of FOMO for Trader Joe’s shoppers. When people notice a new item that they think they’ll enjoy, Roberto says that they know they won’t be able to get it anywhere else, and it may not be there next time they return to the store. This leads to a major increase in impulse purchases, which is great for the store, but perhaps not for your wallet.
The Power of Packaging
If you’ve ever snapped a photo of a red Starbucks cup during the holidays or purchased a bottle of Coke with your name on it, you were directly compelled by limited-edition product packaging. According to visual marketing firm Coloredge, seasonal or limited-time packaging can enhance the emotional connection that customers feel towards a specific brand by establishing traditions and making people feel unique or special. Additionally, a post by Coloredge states that “…limited-time-only rollout of personalized packaging has the ability to create unique connections with consumers who might be mulling a purchase.”
The appeal of limited-edition products can compel even the most reasonable shoppers to give in and buy something they don’t need from time to time. In the new year, strive to remember that the “rare” thing advertised to you probably isn’t as rare or special as it’s made out to be.
