Infectious diseases have been posing frequent and significant threats to us. However, research on how disease threat affects consumer behavior, especially sensory responses, is still limited. In this study, drawing on the theory of compensatory consumption, we show that consumers under disease threat are less willing to buy products presented in a dense display. This is because disease threat activates a high‐density avoidance mindset, which is carried over to the way in which products are placed. Moreover, this effect is mitigated when diseases are noninfectious or when disinfectant products are displayed. A set of four studies, which adopt lab and field settings, using different manipulations and measures, provide convergent evidence for these effects. Specifically, Study 1 examines the main effect of disease threat on product display. Study 2 tests the mediating role of high‐density avoidance mindset as well as the moderating role of disease infectiousness. Study 3 proceeds to explore product type as the other boundary condition. Finally, Study 4 provides real world evidence through a field experiment. Furthermore, in these studies, five alternative explanations were ruled out to further clarify the psychological process. These findings offer valuable insights for retailers regarding product display strategies.