A new report from the Groundwork Collaborative found that the U.S. "annoyance economy" costs American families around $165 billion in lost time annually by making it difficult for consumers to cancel subscriptions and access customer service. The left-leaning think tank analyzed how companies profit from creating barriers to cancellation and service.

"It's really part of the business model to make it difficult to unsubscribe, difficult to provide customer service if you need help. This is what makes these companies profitable," said Chad Maisel, one of the report's authors.

"It's so easy to make a purchase, to opt into a service, often with just a click of a button. But when it comes time to getting help with modifying, with opting out, there are all these hoops and hurdles that get in your way, waste your time, and stop you from going from where you need to go," Maisel said.

According to the report, companies receive additional revenue when customers do not cancel subscriptions due to difficulty or annoyance in the cancellation process.

The report's findings relate to consumer experiences with service barriers. A health insurance company sent a letter to one recipient stating it had sent a $50 paper check that had not been cashed. The letter required the recipient to mail back a completed form to receive a replacement check, with no option to request it online.

Christine Hargrove, a clinical assistant professor at the University of Georgia and assistant director of the university's Love and Money Center, described the psychological impact of these interactions. "Engaging in any conversation with somebody where you feel like you're going in with one set of expectations and you know that the other person's goal is unrelated to yours, it can be really difficult to try to find that point of connection. It just leads to this increased feeling of futility and isolation, and you feel like you just don't have any options," Hargrove said.

Michael Kara, a 52-year-old father of three who lives in the Midwest and previously worked in IT phone support, observed changes in customer service practices. "That seems to be gone. So let's hide behind AI, let's hide behind automation, and let's do the bare minimum," Kara said.