Connect with us

BizNews

Does self-checkout impact grocery store loyalty?

Self-checkout systems, despite their advantages in terms of speed, ease of use, and cost reduction, can result in lower customer loyalty compared to regular checkout systems, especially when the number of purchased items is relatively high (e.g., more than 15 items)

Published

on

In an effort to reduce costs and improve customer satisfaction, retailers have implemented self-checkouts in stores across the country. They have become increasingly popular, but some brands like Walmart are removing self-checkouts in some locations while adding more in others. There are many advantages and disadvantages of self-checkout for both the customer and the retailer, but little formal research has investigated the impact of self-checkout on customers’ shopping experience. This led researchers from Drexel University’s LeBow College of Business to look at how self-checkout systems in grocery stores influence customer loyalty compared to regular checkout systems.

Yanliu Huang, PhD, an associate professor in LeBow, and a former Drexel graduate student, Farhana Nusrat, PhD, now an assistant professor at the University of San Diego, conducted five studies that showed customers are more likely to remain loyal to the grocery store when using regular checkout service. They found loyalty is demonstrated by an increased likelihood of returning to the store in the future.

These findings and the full study were recently published in the Journal of Business Research.

Huang and Nusrat established that the perceived ease of checkout and a sense of entitlement played a role in explaining the effect of loyalty. They also noted the number of items purchased during the shopping trip also affects how the type of checkout influences customer loyalty.

“Our findings indicate that self-checkout systems, despite their advantages in terms of speed, ease of use, and cost reduction, can result in lower customer loyalty compared to regular checkout systems, especially when the number of purchased items is relatively high (e.g., more than 15 items),” said Huang.

Specifically, they noted that the perceived saved effort during the checkout process and the customers’ sense of entitlement explain the effect of checkout type on customer loyalty. Extra effort required to checkout and bag purchases and the expectation of being served by the store were negative consequences of self-checkout and decreased loyalty to the store. But, when shoppers viewed the extra effort in self-checkout as a rewarding experience, their store loyalty matched that of regular checkout shoppers.

Huang and Nusrat’s research is a compilation of five studies of data collection through crowdsourcing platforms. In the first study, they surveyed people who reported grocery shopping within the last seven days about their most recent grocery shopping trip and were asked to indicate which checkout method they used, followed by customer loyalty questions. This study demonstrated that regular checkout customers reported higher loyalty to the store than self-checkout customers.

In the second, third and fourth studies, Huang and Nusrat used hypothetical scenarios to have participants imagine that they took a grocery shopping trip to a supermarket and made purchases. In the regular checkout condition, participants were told that a cashier helped them at the checkout counter with the scanning and bagging process. In the self-checkout condition, participants were told that they scanned and bagged all items themselves at checkout. Then participants were shown a screen displaying the price of some items and the savings made.

In all five studies loyalty to the grocery store was measured, as well as perceived saved effort during the checkout process and customer entitlement in the third study. Results from the third study showed that customers’ perceived saved effort during the checkout process and their sense of entitlement, explain the effects of the checkout system on customer loyalty to the store. While the fourth study demonstrated that the effect of checkout type on customer loyalty will most likely happen for a high basket size, when the number of items purchased during a shopping trip is greater than 15.

In the fifth study – a field study – Huang and Nusrat introduced an intervention by encouraging participants to associate the extra effort involved in self-checkout with rewards. Specifically, in the first stage, participants who indicated that they would visit a supermarket to grocery shop within the next five days took part in the study and were randomly assigned to read either a neutral passage about trees or a passage about how self-completing a task that requires effort can make them feel accomplished and rewarded. The purpose of this intervention was to influence participants’ perception of self-checkout, making them think of the extra effort involved in self-checkout as rewarding and satisfactory. Participants were then asked to go grocery shopping within the next five days, upload the receipt of that shopping trip, indicate which checkout method they used, and answer store loyalty questions.

“We found that when customers were encouraged to think of the extra effort involved in self-checkout as a rewarding experience, their perceived loyalty to the store was similar to those of regular checkout shoppers,” said Huang.

Haung and Nusrat noted this research can help inform retailers on whether they should install or remove self-checkout systems, and how to better manage the self-checkout systems to ensure positive customer experiences.

“For example, to overcome the negative impacts of using self-checkout on customer loyalty, retailers should attempt to make the self-checkout experience more rewarding, like encouraging shoppers to think the extra effort involved in self-checkout is a rewarding experience,” said Huang. “Doing so offers retailers a solution to improve their self-checkout customers’ overall shopping experience, which in turn will facilitate higher customer loyalty.”

The researchers added that there is opportunity for similar studies to broaden the focus on other retail settings, including clothing, home improvement and luxury stores, as well as other forms of self-service technologies, such as self-checkout with RFID, scan-and-go apps, smart carts and self-service kiosks to measure customers’ experience.

BizNews

Structure of online reviews shapes their helpfulness

Reviews that grow increasingly positive are most helpful to readers, while those that turn negative are least helpful. For average-rated products, progressively negative trajectories enhance helpfulness, whereas reviews that start negative and grow positive are least effective.

Published

on

A study of nearly 200,000 Amazon reviews shows that the usefulness of online product reviews depends not only on what is said, but on how the information is structured.

The researchers, from the Universities of Cambridge and Queensland, studied Amazon reviews for products ranging from clothing to food to electronics. They found that how the information is organised matters as much as what is said, and that different review structures are more or less helpful, depending on how highly the reviewer has rated the product.

Their results, published in the journal Scientific Reports, could help companies and third-party review platforms design their review pages to prompt the sort of reviews that will be most helpful to potential customers.

For example, a reviewer assessing a laptop might praise its performance and design while criticising its battery life, so how should such information be structured to be most useful to the reader? Should the review begin with criticism and end on a positive note, or start positively before turning to drawbacks?

“Any target of evaluation typically has both positive and negative aspects, which makes crafting evaluative messages challenging,” said co-author Dr Yeun Joon Kim from Cambridge Judge Business School. “The key question is how to structure these elements within a single message. For example, one might present criticism upfront and then move to praise, or instead integrate negative points within an otherwise positive evaluation. Yet research has paid little attention to this structural dimension.

“We wanted to understand whether certain structures are consistently more effective, or whether their effectiveness depends on the performance of the target being evaluated.”

The study was based on 195,675 reviews of 5,487 distinct products, and assessed performance and related factors, and a helpfulness score as measured by reader votes.

The researchers identified nine possible structures of online reviews ranging from Type A reviews that start positive and become more positive as they go along, to Type I reviews that start negatively and become even more negative – with lots of variance in between.

For highly-rated products, reviews that grow increasingly positive are most helpful to readers, while those that turn negative are least helpful. For average-rated products, progressively negative trajectories enhance helpfulness, whereas reviews that start negative and grow positive are least effective. For low-rated products, reviews are judged most helpful when they open constructively before introducing criticism.

“The results are nuanced but very clear,” said co-author Dr Luna Luan from the University of Queensland, who carried out the research while earning her PhD at Cambridge Judge Business School. “Looking at the overall sentiment of reviews does not fully translate into message effectiveness. It is the broader structure of sentiment – how positivity and negativity evolve throughout the review – that shapes how readers interpret online reviews.”

“Our findings have practical implications for how platforms and companies can design review pages in order to elicit the sort of reviews that will be most helpful to readers based on how highly products are rated,” said Kim. “For example, instead of simply asking ‘Write your review here’, the online review form could instead include micro-prompts that guide how reviewers structure feedback in a way recipients find most helpful.”

The researchers found the most commonly used review styles are not necessarily the most helpful to readers. In particular, for average- and low-rated products, the structures that reviewers tend to adopt often differ from those that readers find most useful.

This mismatch likely reflects different underlying motivations. Reviewers are not always writing to maximise usefulness for others, but may instead be expressing their own experiences, frustrations or emotions – especially when evaluating products of moderate or poor quality. As a result, review writing often serves both as information sharing and as a form of self-expression. This helps explain why widely used review styles do not always align with what readers perceive as most informative or helpful.

Continue Reading

BizNews

Reversible words can lower consumer disbelief in ads

A simple word choice in marketing messages can significantly impact how confident consumers feel about believing – or not believing – a claim.

Published

on

It’s estimated that consumers experience hundreds if not thousands of marketing messages daily. While the exact number can depend, how much someone believes the message can be more important for marketing success than the number of messages they see. 

A new study reveals that a simple word choice in marketing messages can significantly impact how confident consumers feel about believing – or not believing – a claim. Researchers found that when words differ in their “reversability,” or how easily people can think of their opposites, it can trigger different mental processes when consumers evaluate marketing language. 

Imagine the messaging options for a new sunscreen designed specifically for those who like a strong scented product. The first product description reads, “The scent is prominent,” while the second notes, “The scent is intense.” The word “prominent” is uni-polar, meaning people tend to negate it by adding “not” to the original statement.

“Intense,” though, is a bi-polar word, meaning readers can easily come up with its opposite meaning and negate the statement by replacing it with its antonym. In this example, “The scent is mild,” instead of, “The scent is intense.” 

“When people encounter easily reversible words, like ‘intense’, in messages processed as negations (mild), they experience lower confidence in their judgements compared to words that are hard to reverse, like ‘prominent,’” explained Giulia Maimone, a postdoctoral scholar in marketing at the University of Florida Warrington College of Business. 

Across two experiments of more than 1,000 participants, the research demonstrated that this effect occurs because negations of bi-polar, or reversible, words engage a more elaborate cognitive process requiring additional mental effort, resulting in lower confidence of the statement’s truthfulness. 

Based on their findings, the researchers suggest that marketers take this advice when crafting language: for new products, use affirmative statements with easily reversible words, like ‘The scent is intense’ in the sunscreen example, which most consumers will judge as true with high confidence. Importantly, this language would also minimize the confidence of consumers who will be skeptical about the message, as they will process it via a more complex cognitive process that reduces confidence in those consumers’ disbelief. 

“This simple lexical choice could help companies maximize confidence in their desired messaging and minimize confidence among the doubters,” Maimone explained. 

Continue Reading

BizNews

If you’re a perfectionist at work, your boss’ expectations may matter more than your own, research finds

Help your employees by clarifying expectations through regular feedback and performance conversations to reduce role ambiguity, as doing so can provide employees with a better understanding of role expectations and enhance mutual understanding of those standards.

Published

on

If you’re among the 93% of people who struggle with perfectionism at work, new research suggests that your experience may depend less on your own high standards and more on whether those standards meet your supervisor’s expectations. 

Researchers from the University of Florida Warrington College of Business found that whether perfectionism helps or harms employees depends largely on whether employees’ personal standards align with their supervisors’ expectations. 

Specifically, they looked at the connection between employees’ self-oriented perfectionism, or the expectations of flawlessness they set for themselves, and supervisors’ other-oriented perfectionism, which reflects the extent to which they set excessively high standards for and critically evaluate their employees’ performance. 

Using data from more than 350 employees and about 100 supervisors, the researchers found that perfectionism’s impact depends on whether employees’ standards align with what their supervisors expect and how clearly those expectations are understood. 

When employees’ personal standards are aligned with their supervisors’ expectations, they tend to experience less role ambiguity, meaning they have less uncertainty about the expectations and standards for their role, why those standards matter and the consequences of not meeting them. This clarity in their work is linked to better performance, lower burnout and higher job satisfaction. 

“Problems between employees and their supervisors are more likely to arise when these expectations don’t match,” explained Brian Swider, Beth Ayers McCague Family Professor.

The most difficult situation occurs, Swider and his colleagues found, is when supervisors expect higher levels of perfectionism than employees expect from themselves. In these cases, employees reported greater uncertainty about their roles, along with worse work outcomes including higher burnout and lower job satisfaction.

“If you’re an employee who struggles with perfectionism at work, our findings suggest that understanding your supervisor’s expectations may be just as important as managing your own tendencies towards perfectionism,” Swider said. “Talking to your supervisor about priorities, standards and how your performance will be evaluated can help reduce uncertainty and ensure you both share a clear understanding of what success looks like.”

The researchers have similar recommendations for employers: help your employees by clarifying expectations through regular feedback and performance conversations to reduce role ambiguity, as doing so can provide employees with a better understanding of role expectations and enhance mutual understanding of those standards.

The researchers also recommend that organizations should consider how employees and supervisors are paired, as mismatched expectations can increase stress, reduce job satisfaction and ultimately impact performance. 

The research, “The influence of employee-supervisor perfectionism (in)congruence on employees: a configurational approach,” is published in Organizational Behavior and Human Decision Processes

Continue Reading
Advertisement
Advertisement

Like us on Facebook

Trending