Customer reactions to self-checkout discontinuance

Tapani Rinta-Kahila, Esko Penttinen, Ashish Kumar and Ramkumar Janakiraman

Journal of Retailing and Consumer Services, 2021, vol. 61, issue C

Abstract: Self-service technologies (SSTs) increasingly permeate retail space. Yet, sometimes retailers decide to revert to human-delivered service mode by discontinuing their incumbent SST. In this study, we examine how self-checkout (SCO) discontinuance affects customers’ perceptions of SCO technology and purchase behavior. We conduct a natural field experiment by surveying two groups of customers pre- and post- SCO discontinuance: treatment group (who experience discontinuance) and control group (who do not experience discontinuance). Leveraging difference-in-differences analyses, we find that SCO discontinuance results in decreases in customers’ satisfaction with technology, intentions to use technology, perceived simplicity of technology, and basket size. Our results inform managers of the potential downsides of discontinuing SST and provide corroborating evidence of the technology’s benefits.

Keywords: Technology discontinuance; Retailing; Self-service technology; Signaling effect; Natural field experiment (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:joreco:v:61:y:2021:i:c:s0969698921000643

DOI: 10.1016/j.jretconser.2021.102498

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