Abstract:  Payment and checkout at retail stores are increasingly being replaced by automated systems. One recent technological invention in this area is mobile self-scanning in which customers carry a mobile scanner while shopping. Mobile self-scanners give real-time feedback on spending, potentially increasing customers' attention to prices and also facilitate keeping track of the amount spent. Using a  field experiment, we test if mobile self-scanning affects shopping behavior. Consumers of two grocery stores were allocated randomly to use a mobile self-scanner or not. We find that the response to using the scanner is heterogeneous. In particular, we find that individuals with low self-control significantly reduce both their spending and number of items bought when using the mobile scanner. Moreover, we find that consumers with low self-control are more likely to use self-scanner than individuals with high self-control. Taken together, our results suggest that sophisticated individuals, that is, individuals who are aware of their self-control problem, use the scanner to keep control of their spending.

Authors: Natalia Montinari, Emma Runnemark and Erik Wengström

Speaker: Erik Wengström, Lund University