Affiliation:
1. Department of Marketing Clemson University Clemson South Carolina USA
2. Marketing Department Illinois State University Normal Illinois USA
3. Marketing Department University of St. Thomas Saint Paul Minnesota USA
Abstract
AbstractGiven persistent challenges faced by subscription box retailers in acquiring and retaining customers, there is an urgent need to understand decision‐making and sources of value at each stage of the subscription box customer journey. As extant research has frequently focused on the customers' decision to subscribe, relatively little work has explored why they choose to continue or cancel their subscriptions. We contend that a way forward in understanding subscription box customer journeys is to adopt a utilitarian–hedonic perspective when looking at each stage of such journeys. We conduct phenomenological in‐depth interviews with 26 subscription box customers and use the thematic insights to introduce a processual framework of subscription boxes as consumption steams. We posit that the subscription box customer journey comprises three key decision stages (initiation, immersion, and egression) with each stage characterized by distinct themes that add to or subtract from the utilitarian and hedonic value at that stage. Collectively, these themes provide a more nuanced understanding of the factors that shape customer decisions to start, renew, or cancel a subscription box. We conclude by noting how our findings contribute to marketing theory and practice and suggest some avenues for future research.