Tim Böttger

Subscription commerce emerged as an up-and-coming phenomenon in retailing that enables shoppers to automatically receive recurring deliveries of consumer goods. One important dimension along which subscription services differ is the degree to which the content of each delivery is surprising. This paper focuses on two archetypes at opposite ends of this dimension, namely predefined and curated surprise subscriptions, and juxtaposes them to conceptualize surprise as a retail mechanism. It is hypothesized that curated surprise subscriptions carry an inherent risk to receive unappealing products, as consumers outsource the decision-making process to the subscription provider, which can influence consumers’ choices and attitudes. Three studies explore the role of risk perception in consumers’ evaluation of consumer goods subscriptions. First, it was found that consumers prefer shorter delivery intervals for predefined subscriptions and longer delivery intervals for curated surprise subscriptions, in line with Prospect Theory. Second, empirical evidence for perceived risk as a mediating variable in this relation is provided. Finally, it is shown how retailers can manipulate associated risk through the introduction of a free-return option. The article is concluded by introducing a new typology of subscription services and discussing implications for managerial practice as well as avenues for future research.

Subscription models have become a popular new way for consumers to do their shopping. This paper presents a taxonomy of the three main archetypes of subscription models and develops a classification scheme with type-specific features relevant to their successful management. An implementation framework offers managers a guideline to introduce subscription models of their own.

The purpose of this conceptual paper is to provide input for the study of self-services technologies (SST) from the perspective of the retail industry. Drawing on existing literature an improved typology of SST technologies for retailer is developed. Further, the potential ways to increase profitability through SST for retailers and the role of the retailer's business model are discussed. Finally, it is proposed that retailers should consider all three phases in the purchase process, when implementing SST. Real-life examples of SST applications in each phase in the purchase process are provided for all three business models. Possible future research directions are offered.

This research aims to examine anticipated surprises, which we define as the deliberate purchase and anticipation of surprise items.

New technologies, such as autonomous smart-home devices and consumer goods subscriptions, allow for the automation of consumers’ shopping. When using autonomous commerce, consumers practically outsource their decision making, whereby it is machines or firms making purchase decisions on consumers’ behalf. Algorithm aversion, however, might prevent consumers from using automated commerce and thereby stymie this promising technology. This research project applies principal-agent theory, a theory mostly used in B2B contexts, to the consumer behavior realm to analyze consumers’ willingness to accept service failure in automated retailing schemes. While consumers are less forgiving towards agents in situations with specific expectations (predefined automation), they are more forgiving and actually accepting of service failures in situations with vague expectations (surprise automation). This project, thus, seeks to identify ways for firms to increase consumers’ acceptance of service failures in agency situations and increase lifetime value in automated commerce.