Effects of income and financial strain on risky social behaviour in the COVID-19 era: a comparison of the US and Canada

ABSTRACT

The COVID-19 pandemic has forced marketers to adjust to different consumer responses the world over. Country responses have ranged from complete lockdowns to informal guidelines on avoiding infection. Limiting physical interactions through social distancing is key to mitigating health risks. Yet, some mitigating behaviours such as home delivery versus going to the supermarket come with a higher financial cost. A survey of American and Canadian consumers examined relationships among income, financial strain, and risky social distancing behaviours. Regression analyses found that financial strain had a stronger effect on the incidence of risky behaviours than did income. These relationships were found in the USA but not in Canada. The paper discusses the results and presents the implications for international marketers.

KEYWORDS:

• COVID-19
• financial strain
• income
• social distancing
• risky behaviours

Disclosure statement

No potential conflict of interest was reported by the author(s).

Additional information

Notes on contributors

Michael Frechette

Michael Frechette is an Assistant Professor of Marketing at the Welch College of Business and Technology at Sacred Heart University in Fairfield, CT. He earned a dual Ph.D. in International Business and Marketing from Saint Louis University. Before entering academia, Dr. Frechette lived and worked internationally for over ten years, most of that time in China. While in China, he received his MBA from Tsinghua University in Beijing, where he was the recipient of a Tsinghua University Outstanding Thesis award.

Timothy Reilly

Timothy Reilly studies marketing, primarily in the areas of consumer behavior, consumer psychology, sustainability, environmental marketing, and ethics. His dissertation focused on investigating how consumers respond to hearing negative news about a company – and the ways they go about assigning fault for negative events. Prior to earning his Ph.D. at the University of Nebraska, Dr. Reilly worked as a television news and sports producer. He grew up in Bozeman, Montana.