Cancel anytime! How easy cancellation options enhance purchase intentions for services that require long-term commitments

Sohyeon Park, Kacy Kim, Seolwoo Park, Yung Kyun Choi, Sukki Yoon

Research output: Contribution to journalArticlepeer-review

1 Scopus citations

Abstract

The authors recognize that an uncertain environment associated with prolonged pandemic conditions have made consumers reluctant to make long-term contractual commitments in various retail contexts. Hypothesizing that retailers might offer cancellation options to motivate consumers to undertake long-term commitments, the authors conduct two studies in which cancellation messages accompany ads for an online language course and a gym membership. Findings indicate that retailers can alleviate the pressures associated with long-term commitment decisions and can heighten purchase intentions by providing cancel options for consumers who register for services requiring long-term but not short-term commitments. Perceived goal achievability is identified as an underlying mechanism that mediates the effects.

Original languageEnglish
Article number103481
JournalJournal of Retailing and Consumer Services
Volume75
DOIs
StatePublished - Nov 2023

Keywords

  • Cancellation
  • Commitment
  • Goal
  • Promotion

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