JOURNAL ARTICLE
How Should Time Estimates Be Structured to Increase Customer Satisfaction?
Published In: Management Science (INFORMS), 2025, v. 71, n. 9. P. 7497 1 of 3
Database: Business Source Ultimate 2 of 3
Authored By: Hu, Beidi; Gaertig, Celia; Dietvorst, Berkeley J. 3 of 3
Abstract
This article investigates how the format of time estimates—point estimates versus range estimates—affects customer satisfaction in inherently uncertain contexts such as food delivery and GPS navigation. Across eight preregistered experiments involving over 5,300 participants, the research consistently finds that customers report higher satisfaction when time estimates are communicated as ranges rather than single point estimates, provided the ranges are not excessively wide. The preference for ranges is attributed to customers’ expectations of greater variability in outcomes, which reduces the perception that actual times violate their expectations. These findings hold across different domains, time durations, and outcome distributions, and are supported by an incentive-compatible study where participants preferred models providing range estimates. The research suggests that companies can enhance customer satisfaction by transparently communicating uncertainty through reasonably informative range estimates rather than precise point estimates.
Additional Information
- Source:Management Science (INFORMS). 2025/09, Vol. 71, Issue 9, p7497
- Document Type:Article
- Subject Area:Business and Management
- Publication Date:2025
- ISSN:0025-1909
- DOI:10.1287/mnsc.2023.00137
- Accession Number:188078592
- Copyright Statement:Copyright of Management Science (INFORMS) is the property of INFORMS: Institute for Operations Research & the Management Sciences and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)
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