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Customer reactions to self-checkout discontinuance

Author

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

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.

Suggested Citation

  • Rinta-Kahila, Tapani & Penttinen, Esko & Kumar, Ashish & Janakiraman, Ramkumar, 2021. "Customer reactions to self-checkout discontinuance," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).
    • Handle: RePEc:eee:joreco:v:61:y:2021:i:c:s0969698921000643
    DOI: 10.1016/j.jretconser.2021.102498
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    2. Kang, David Yeonjun & Hur, Won-Moo & Shin, Yuhyung, 2023. "Smart technology and service employees’ job crafting: Relationship between STARA awareness, performance pressure, receiving and giving help, and job crafting," Journal of Retailing and Consumer Services, Elsevier, vol. 73(C).

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