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Psychology

The Psychology of Scarcity and Impulse Buying

Quick fact

When a product is labeled 'limited edition' or 'only a few left,' consumers often rate it as more valuable and are more likely to buy it immediately—even if the scarcity is artificial. This is due to a cognitive bias called the scarcity effect.

Why this is interesting

Ever felt a sudden urge to buy a product when the timer hit 'only 3 left'? Why does a limited supply make you want it more?