An analysis of the relationship between risk perceptions and willingness-to-pay for commodities during the COVID-19 pandemic

The novel coronavirus disease of 2019 (COVID-19) has had a significant impact on the global retail market. Nonetheless, consumers will eventually return to the market once the pandemic is effectively controlled. Therefore, it is critical to consider which features closely linked to COVID-19 may affect consumer behavior. The present study thus addresses this gap by investigating the relationship of risk perceptions regarding COVID-19 with an important component of consumer behavior-namely, willingness-to-pay (WTP)-and further explores the underlying mechanisms behind this relationship. Data collected from 480 Chinese participants were analyzed using structural equation modeling. Results showed that those with a greater risk perception regarding COVID-19 were more likely to exhibit a higher WTP for various commodities, which can be driven by awe and perceived loss of control induced by COVID-19. The present study delineates the effect that public health emergencies have on the consumption intentions of the general public.