Perceived scarcity raises the value people assign to an option.
In the classic cookie-jar experiments by Worchel, Lee and Adewole in 1975, scarce cookies were rated more desirable, and cookies that had become scarce were valued more than cookies that had always been scarce. Cialdini popularised and synthesised the principle in 1984.
In practice
- The cleaner version distinguishes newly scarce from always scarce.
- A ticket that has just sold out is valued far more than one that was never widely available, and the second is often the better seat.