The Ultimate Guide to FOMO in the Fashion Industry

February 28, 2024

Have you ever panic-bought an item last minute at the online store that sends you marketing emails every week, because it was 50% off?

Many people have been victims of FOMO (the Fear Of Missing Out), and companies always capitalize on this phenomenon. It has become a common occurrence in the fast fashion industry, and to fully understand the psychological implications, we must first understand the source of it all.

People who have a positive attitude towards fast fashion are more likely to feed into this impulse buying.

According to a research study conducted in 2017, "impulse-buying behavior was related to negative post-purchase emotional response."

This can imply that many people regret their purchase afterwards even if they didn't miss out on sales or discounts. So what does this mean for companies?

If you stop for a moment to ask yourself why so many fashion retailers are always having sales so frequently, everything will start to piece together. Most of these retailers create an illusion of "scarcity" by showcasing 'limited edition' or 'low in stock' products, which is usually what people usually see first when browsing these stores, whether physically or online. This sense of urgency and exclusivity is what triggers the phenomenon in most people.

Younger people are more inclined to make uninformed decisions before making purchases, as they generally hold fewer financial responsibility. This is another determinant factor that makes young people the main audience and target consumers of these retail companies. Especially in recent times, a huge amount of shopping for clothing items has taken place online and is stimulated by social media. As younger age groups have a greater social media presence, companies find effect in making targeted advertisements for this demographic.

The strong desire amplified by social media to stay current and trendy is another tool leveraged by many companies when planning out their social media marketing campaigns. Young people may generally feel more inclined to indulge in these fast moving trends.

This cycle can be broken with the right practices. Small habits like setting a budget or creating a shopping list can make a clear difference. Thrifting is an alternative solution to fast fashion problems that affect consumers, while promoting environmental sustainability. Opting for second-hand clothing significantly reduces the demand for new garments, thereby lessening the environmental impact associated with the production, transportation, and disposal of fast fashion items.

People can bypass the relentless cycle of chasing trends and feeling the need to constantly update their wardrobe to keep up with fleeting styles. Thrifting encourages a shift towards a more mindful and deliberate approach to fashion, where the emphasis is placed on self-expression and creativity rather than conformity to societal norms.

Written by Jessica Ilok

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References

Cook, S. C., & Yurchisin, J. (2017). Fast fashion environments: consumer’s heaven or retailer’s nightmare? International Journal of Retail & Distribution Management, 45(2), 143–157. https://doi.org/10.1108/ijrdm-03-2016-0027

Heba Abdel Wahab, Naglaa Mohamed Diaa, & Sahar Ahmed Nagaty. (2023). Demographic Characteristics and Consumer decision-making styles: Do They Impact Fashion Product involvement? Cogent Business & Management, 10(2). https://doi.org/10.1080/23311975.2023.2208430