Chasing the scarcity: How fear of missing out and motivations drive willingness to pay in collectible markets

This study investigates the interplay between scarcity cues, individual motivations, and consumer behavior in the context of collectible markets, focusing on Popmart's Labubu series. Leveraging Social Comparison Theory, we explore how self-expressive motivation (SEM) and self-presentational motivation (SPM) influence the relationship between scarcity cues and Fear of Missing Out (FoMO), and how FoMO subsequently affects consumers' willingness to pay for premium products. A sample of 442 Labubu collectors participated in the study, providing insights into the psychological and behavioral drivers of purchasing decisions. Results from Partial Least Squares Structural Equation Modeling (PLS-SEM) indicate that scarcity cues significantly increase FoMO, which in turn has a strong positive impact on willingness to pay. SEM and SPM were found to moderate the effect of scarcity cues on FoMO, with SEM reducing and SPM amplifying this relationship. These findings highlight the importance of understanding consumer motivations and social comparison processes in developing effective scarcity-based marketing strategies. Theoretical and practical implications are discussed for brands operating in limited-edition markets.