Beyond the Choice - A quantitative study on the ultimate impact of default delivery options on customer choice satisfaction

Abstract: The dramatic rise of e-commerce has put pressure on online retailers to reduce the CO2 emissions of their increasing last-mile deliveries. One strategy retailers might apply in this context is the use of green defaults to push the customer's choice of delivery mode in a more sustainable direction. While the effectiveness of default policies has been proven, no previous research has looked at reactions beyond the customer's behavior. The purpose of this thesis was thus to examine if a default meant to alter customer choice also has an effect on customer choice satisfaction. An experimental scenario-based role-playing design was used in which participants were randomly allocated to one of four choice situations in an online checkout context. Two variables were manipulated: the default delivery option was either green or non-green, and the participant was either made aware of his or her conflicting motives in the situation or not. The study showed that defaults indeed alter customer choice of delivery mode in a predictable manner. That choice, in turn, has an impact on choice satisfaction: customers who choose a green delivery mode are more satisfied with their choice than those who choose a non-green delivery mode. This relationship was shown to be partly moderated by the customer's awareness of his or her conflicting situational motives. Whether the choice of delivery mode was made actively (i.e., to opt out a default) or inactively (i.e., to stick to a default), however, did not affect the customer's choice satisfaction. This thesis thus offers an extension of the research on choice architecture by examining the impact of default rules beyond the choice of compliance or defiance. The findings suggest that retailers are free to use the default delivery option of their choice. However, if that default option is green, more customers are likely to choose it, and by choosing a green delivery mode, they are also more satisfied with their choice. Thus, defaults are not only an efficient tool to help reduce the CO2 emissions of the last mile but ultimately also a way to increase customer satisfaction.