AutoShip, or the automatic delivery of products or services on a monthly basis primarily serves two functions: 1) To create consistent consumption and repeat purchases of that product or service by the consumer; 2) Customer convenience, by eliminating the need for the customer to have to repeatedly reorder the same products or services over and over again.
Unfortunately, the benefits of AutoShip for either of the above purposes are vastly overrated. It is true that network marketing companies would love to see their customers continue to come back month after month to make repeat purchases. However, in reality, it simply doesnt work that way. Unless you have a product or service that by nature is generally delivered via ongoing subscription, i.e., newspapers and magazines, utilities (including communications and Internet), insurance, loans, financial services, etc., just getting the customer to agree to go on AutoShip is no guarantee that they wont cancel it.
Many companies and their representatives like to rely on the fact that a certain percentage of customers will indeed stay on AutoShip for extended periods for no other reason than habit, and/or because they...
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