Introduction

Shopping is an activity cherished by many, often considered a stress-reliever. However, constraints such as the COVID-19 pandemic prevented people from indulging in shopping for months or years, leading to pent-up emotions and frustrations.

The Concept of Revenge Shopping

Revenge shopping refers to the phenomenon where consumers compensate for lost time by splurging extravagantly after prolonged periods of restraint. They seek to make up for the “lack of luxury” by purchasing magnificent items and indulging in lavish experiences.

A Global Trend: Examples of Revenge Shopping

Consumers across the globe have embraced revenge shopping, favoring luxury brands like Gucci, Hermès, and Chanel, or planning extravagant vacations. This trend was evident in China, where Hermès’ Guangzhou flagship store reported $2.7 million in single-day sales after reopening in April 2020. Other luxury brands witnessed sales surges of 40–45% during the first half of 2020 compared to pre-pandemic levels.

The Psychology Behind Revenge Shopping

Revenge shopping stems from the desire to break free from restrictions, making up for the forced austerity of lockdowns. Additionally, when goods become inaccessible for some time—like the Maggi ban in 2015—consumers impulsively stock up upon their return due to a fear of missing out.

Contrasting Economic Scenarios

While millions lost their jobs and faced economic challenges during COVID-19, a significant portion of society saved more due to reduced spending opportunities. For example, excess savings amounted to $1.7 trillion in the USA and $66 billion in France, fueling post-pandemic spending.

Will India Witness Revenge Shopping?

India’s middle-class population accounts for one-fourth of its demographics, with luxury spending being mostly driven by high-income and upper-middle-class segments. As the pandemic fear subsides, India’s high-income groups are likely to follow the global trend of revenge shopping, boosting luxury markets.

Conclusion

Revenge shopping has emerged as a critical recovery driver for retailers, providing hope for overcoming pandemic-induced losses. This global phenomenon signifies consumers’ yearning to reclaim normalcy and indulge in previously denied luxuries.