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This study aims to develop and validate a measure for conspicuous compensatory consumption. Compensatory consumption phenomenon is gaining increased significance in consumer behavior literature. In a symbolic-rich culture, the use of possessions creates a perfect venue for self-construction and self-repairing to make up for one’s psychological deficiencies and inadequacies.

A mixed research design of qualitative and quantitative methodologies is adopted by using elicitation techniques, interviews and survey data. Extensive development and validation procedures are used. A series of studies, encompassing a total sample of 1,782, are reported.

The current study offers a valid and reliable measure for conspicuous compensatory consumption by chronologically following the stages of the scale development process. Compensatory consumption had a negative influence on subjective happiness and a positive influence on negative affect and satisfaction with life. Respondents with high materialism scores had significantly higher compensatory tendencies than the low materialism group. The low self-compassionate group had significantly higher compensatory tendencies than the high self-compassionate group.

The current study provides theoretical contributions to consumer behavior research by providing a valid and reliable measure for conspicuous compensatory consumption. Contrary to past scales that followed a mood-alleviation perspective where therapeutic shopping is used to regulate negative emotions, this scale is novel in adopting a self-completion approach where products are pursued for a tactical effort to offset threatened self-concepts.