When compensatory consumption backfires: The asymmetric effect of self-threat on consumption preference and satisfaction

Abstract

Compensatory consumption behaviors occur when a threat to one’s self-concept is followed by the choice of goods and experiences intended to bolster the self against the threat. While the shift in preferences is well documented, how satisfied consumers are with the chosen compensatory option remains an open question. This research identifies when and why compensatory consumption is likely to backfire (i.e., a self-threat that increases consumers’ preferences for a compensatory option at the choice stage can decrease their subsequent satisfaction with that option at the consumption stage). We find that within-domain compensatory consumption (e.g., buying something that makes one feel smart after a threat to one’s intelligence) is more likely to backfire compared to cross-domain compensatory compensation (e.g., buying something that makes one feel beautiful after a threat to one’s intelligence). Rumination on the threat at the consumption stage is identified as the underlying mechanism for this backfire effect.