Do buyer–seller personality similarities impact compulsive buying behaviour?

Photo : Do buyer–seller personality similarities impact compulsive buying behaviour?

Compulsive buying refers to consumers’ proclivity for an obsession with shopping, and a weak impulse control with regards to shopping. Generally, compulsive buyers cannot stop their shopping urges, and thus, often experience shame, guilt, and regret after excessive shopping episodes. As a result, they tend to avoid social interactions with other buyers, including sales personnel. However, in service encounters where buyer–seller interactions are inevitable, it is still unclear how this unavoidable interaction will influence compulsive buying in this dyadic situation.

Considering that buyers and sellers interact closely during service encounters, the ways in which both their psychological characteristics would collectively influence compulsive buying behaviour in a dyad setting is worth exploring. One way of applying such combined approach is to examine the effects of buyer-seller Big Five personality similarities (dissimilarities) on compulsive buying behavior.

To obtain this purpose, the author collected data from both buyers and sellers in beauty service outlets. The results showed that buyer–seller similarities in agreeableness increase the compulsive buying behaviour. On the other hand, buyer–seller similarities in openness and neuroticism reduce compulsive buying. Overall, compulsive buyers have interpersonally different buying behaviours when their personalities match (differ) with their corresponding sellers’.

Businesses in services industries may increase their sales volume by matching similar sellers with agreeable buyers; and reduce their losses by grouping dissimilar sellers with open-minded and neurotic buyers. The policymakers should educate compulsive buyers on how to carefully manage their expenditures in order to avoid huge amount of debts in an unstoppable urge for unplanned shopping.

The research of Zubair Tauni.

Author(s)
  • Photo :

    Zubair Tauni Muhammad Zubair Tauni is an Associate Professor in Finance. He joined EM Normandie in 2020. He has a PhD in Finance from Dongbei University of Finance and Economics, China awarded in 2017. His thesis focuses on how the similarity (dissimilarity) between investor and advisor personality influences investors’ behavior in the Chinese stock market. His main research area is to identify the investors’ irrational behavior explained by various psychological characteristics and mitigating this irrational behavior through financial literacy and financial planning.

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