Last-mile logistics in the sharing economy: sustainability paradoxes

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Btissam Moncef ◽  
Marlène Monnet Dupuy

PurposeThe purpose of this paper is to explore sustainability paradoxes in sharing economy initiatives by focusing on logistics management in last-mile logistics.Design/methodology/approachIn this exploratory study, a total of 10 case studies were conducted in three categories of companies: anti-waste platforms, food delivery platforms and bicycle delivery companies. Twenty-seven face-to-face interviews with founders and/or managers and contractors (couriers, logistics service providers or volunteers) were the primary source of data collection. The heterogeneity of the sample enabled the authors to build an understanding of sustainability paradoxes in the logistics of sharing economy initiatives.FindingsThe findings indicate how logistics management impacts the sustainability of sharing economy initiatives in last-mile delivery. The authors identify seven paradoxical tensions (five of them social) generated by the contradictions between the organizations' promised environmental and social values and the impacts of their operations.Research limitations/implicationsThis exploratory research is based on a qualitative study of 10 cases and 27 interviews from heterogeneous samples; further empirical research is needed to ensure generalization.Practical implicationsThe paper increases the understanding of environmental and social paradoxical tensions and awareness of logistics challenges.Social implicationsThe paper helps identify ways to reconcile promised values and impacts generated by sharing economy initiatives while managing last-mile delivery.Originality/valueThe results enrich the literature about the paradoxes in sharing economy initiatives by providing illustrations in last-mile logistics and exposing the underlying challenges for sharing economy logistics actors.

Author(s):  
Johannes Wollenburg ◽  
Alexander Hübner ◽  
Heinrich Kuhn ◽  
Alexander Trautrims

Purpose The advent of grocery sales through online channels necessitates that bricks-and-mortar retailers redefine their logistics networks if they want to compete online. Because the general understanding of such bricks-and-clicks logistics systems for grocery is still limited, the purpose of this paper is to analyze the internal logistics networks used to serve customers across channels by means of an exploratory study with retailers from different contexts. Design/methodology/approach A total of 12 case companies from six European countries participated in this exploratory study. Face-to-face interviews with managers were the primary source for data collection. The heterogeneity of the sample enabled the authors to build a typology of logistics networks in grocery retailing on multiple channels and to understand the advantages of different warehousing, picking, internal transportation and last-mile delivery systems. Findings Bricks-and-mortar grocery retailers are leveraging their existing logistics structures to fulfill online orders. Logistics networks are mostly determined by the question of where to split case packs into customer units. In non-food logistics, channel integration is mostly seen as beneficial, but in grocery retailing, this depends heavily on product, market and retailer specifics. The data from the heterogeneous sample reveal six distinct types for cross-channel order fulfillment. Practical implications The qualitative analysis of different design options can serve as a decision support for retailers developing logistics networks to serve customers across channels. Originality/value The paper shows the internal and external factors that drive the decision-making for omni-channel (OC) logistics networks for previously store-based grocery retailers. Thereby, it makes a step toward building a contingency and configuration theory of retail networks design. It discusses in particular the differences between grocery and non-food OC retailing, last-mile delivery systems and market characteristics in the decision-making of retail networks design.


2021 ◽  
Vol 33 (3) ◽  
pp. 912-928
Author(s):  
Jiseon Ahn ◽  
Jookyung Kwon

Purpose From the perspective of relationship theory, customers tend to build a positive attitude toward a company with a strong connection. While previous tourism and hospitality studies acknowledged the strategic importance of a strong relationship between customers and brands in enhancing company performance probability, the potential benefits derived from mobile commerce experience deserves further investigation. Thus, this study aims to examine how multidimensional relationships between customers and service providers affect brand performance. Design/methodology/approach Using a sample of food delivery application customers in the USA, the structural equation modeling (SEM)-partial least squares (PLS) path modeling is used to examine the impact of economic exchange, social exchange, mutual-interest and self-interest, on brand equity and loyalty intention. Findings The PLS-SEM results indicate that customers’ perceived economic exchange, social exchange and mutual interests with food delivery applications influence their perceived equity, which, in turn, enhances their loyalty intention toward brand applications. However, self-interest does not enhance customers’ perceived brand equity. Practical implications Accordingly, food delivery service providers must value their relationship with customers to achieve sustainable organizational growth and develop appropriate promotion activities to enhance economic exchange, social exchange and mutual interests. Originality/value The current study contributes to the literature by empirically demonstrating the consequences of customer-brand relationships in the emerging service context (i.e. food delivery applications).


2019 ◽  
Vol 14 (4) ◽  
pp. 1088-1104
Author(s):  
Hanyu Xiao

Purpose This study aims to describe the general picture of the competition in multichannel expert services in duopoly market and discuss how the quality difference may affects the competition between service providers with different quality levels, where both providers offer face-to-face channel and one of providers offers online channel additionally and service quality that consumers have heterogeneous preferences for is vertically differentiated. These results can be used to determine which service providers should offer online expert services and understand the competition in multichannel expert services in duopoly. Design/methodology/approach This paper uses the stylized vertical differentiation model to investigate the role of quality in expert services market, assuming that two services providers offer the same services with different quality levels and one of them having additional online services. Taking into account the differences of services from products and the particularity of online service, this paper extends the vertical differentiation model to expert services market. Findings The quality difference is the key factor in the competition of expert services. Service prices and the profits of providers, independent of the quality levels, are positively related to the quality difference, whereas the demand of online services is in the opposite direction regardless of which provider offers online channel. It demonstrates that provider with low-quality level should open online channel from the point of view of social welfare if it is closely related to the expert services, even though any provider can make more profits by opening online channel. Research limitations/implications This extended vertical differentiation model, taking into account the importance of vertical differentiation in expert service, ignores the horizontal differentiation. More accurate strategies for multichannel expert services providers with what level of the quality a provider should offer is needed in future work. Moreover, this paper does not consider the different waiting costs of consumers in face-to-face channel and assumes that their problem will be solved eventually. Originality/value To the best of the author’s knowledge, no study has focused on the quality difference in multichannel expert services market or discussed how to offer online expert services in the duopoly market. This study extends the vertical differentiation model to the multichannel expert service market. Therefore, it fills this research gap and extends research to expert services market in the new network environment, aiming to help understand the competition in multichannel expert services.


2019 ◽  
Vol 38 (3) ◽  
pp. 718-736 ◽  
Author(s):  
Abdullah Sultan

Purpose The purpose of this paper is to study the effect of staged customer experiences on customer switching costs in the banking industry. Design/methodology/approach Brand touchpoints in the banking industry are identified by exploratory research using focus group sessions with bank customers and staff and refined by exploratory factor analysis using an independent sample of bank customers to form the staged customer experience construct. The proposed research model is then validated by confirmatory factor analysis with an independent sample using structural equation modeling. Findings Customer experience in the banking industry consists of four related but distinct stages (i.e. pre-touch, in-touch, post-touch and service failure). The first three stages have direct and indirect effects on switching costs that are partially mediated by relationship quality. Research limitations/implications Customer experience is an industry-specific construct with complicated effects on switching costs. Thus, the staged customer experience construct should be examined in different industries and applications to understand its implications. Practical implications Bank customers demand experiences that achieve desirable results in everyday situations and switch to other service providers easily if this demand is not met. Banks should focus on brand touchpoints that are both important to customers and increase switching costs to keep customers from defecting. Originality/value This research expands upon findings in the customer experience literature by exploring factors that link staged customer experiences with switching costs in the banking industry. In addition, a paradox is identified in the staged customer experience model that requires managers’ attention in order to design an effective customer experience strategy.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Stefan Hecker

PurposeFrom a synthesis of literature, the purpose of this paper is to present a conceptual service development methodology showing the impact of 3D printing as a disruptive technology to the service portfolio. The methodology is designed to support practitioners and academics in better understanding the impact of disruptive technologies may have to the service portfolio and participate in the technology.Design/methodology/approachA literature review is conducted and based on these findings a conceptual framework has been developed.FindingsThe design of a methodology for the development of 3D printing services is used to evaluate the disruption potential of 3D printing and to implement the technology in the service portfolio of a logistics service provider. The disruption potential of 3D printing influences a logistics manager by make to order decisions. In addition, it could be proven the service portfolio was diversified.Research limitations/implicationsLiterature directly dealing with technology-based service development for decision making in logistics management is rare and thus the methodology is built on insights, compiled from the distinct research areas. Further research should be performed on this nascent topic.Practical implicationsLogistics service providers may use the developed methodology to revise their service portfolio by the consideration of disruptive technologies, in order to reduce strategic misdecisions regarding the range of services.Originality/valueThis paper looks specifically at decision making for implementing disruptive technologies to the service portfolio.


2020 ◽  
Vol 14 (2) ◽  
pp. 175-188
Author(s):  
Evelyn Lim Chua ◽  
Jason Lim Chiu ◽  
Candy Lim Chiu

Purpose The sharing economy is described as a community marketplace, particularly home sharing such as Airbnb, which is more prevalent. Airbnb changed the way renters and tourists find places to stay when they are traveling. The company introduced innovations in business models and technologies. So, Airbnb requires specific factors that will influence consumers’ trust because consumers intuitively seek out trusting factors to make judgments on innovative service providers. Thus, the purpose of this study is to understand the factors that influence travelers’ trust to use Airbnb within the three ASEAN nations. Design/methodology/approach The data were collected from both qualitative and quantitative methods. The questionnaire was the main data-gathering instrument used in this study and supplemented by informal interviews. A self-administered questionnaire was provided to 130 Airbnb users from the Philippines, Indonesia and Singapore using Hayes’ Process Macro as the statistical tool. Findings The correlation test was carried out to determine the strength and relationships among the independent, mediating and dependent variables. All independent variables are positively correlated with the mediating variable. The results reveal that ease of use, convenience, information social influence, normative social influence and security have a significant impact on trust and behavioral intention to use Airbnb. Originality/value This study contributes to the field of sharing economy, particularly home sharing, by examining different factors that influence trust and behavioral intention. This study focused on the case of Southeast Asian consumers, so this study is useful for marketing practitioners to enhance their marketing strategies in catering to this segment of the market.


Kybernetes ◽  
2019 ◽  
Vol 49 (4) ◽  
pp. 1267-1284 ◽  
Author(s):  
Yandong He ◽  
Xu Wang ◽  
Fuli Zhou ◽  
Yun Lin

Purpose This paper aims to study the vehicle routing problem with dynamic customers considering dual service (including home delivery [HD] and customer pickup [CP]) in the last mile delivery in which three decisions have to be made: determine routes that lie along the HD points and CP facilities; optimize routes in real time, which mode is better between simultaneous dual service (SDS, HD points and CP facilities are served simultaneously by the same vehicle); and respective dual service (RDS, HD points and CP facilities are served by different vehicles)? Design/methodology/approach This paper establishes a mixed integer linear programing model for the dynamic vehicle routing problem considering simultaneous dual services (DVRP-SDS). To increase the practical usefulness and solve large instances, the authors designed a two-phase matheuristic including construction-improvement heuristics to solve the deterministic model and dynamic programing to adjust routes to dynamic customers. Findings The computational experiments show that the CP facilities offer greater flexibility for adjusting routes to dynamic customers and that the SDS delivery system outperforms the RDS delivery system in terms of cost and number of vehicles used. Practical implications The results provide managerial insights for express enterprises from the perspective of operation research to make decisions. Originality/value This paper is among the first papers to study the DVRP-SDS. Moreover, this paper guides the managers to select better delivery mode in the last mile delivery.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohammed T. Nuseir

PurposeThis paper investigates the impact of blockchain technology on the Bricks and Mortar (B&M) grocery sector from a technological and functional perspective.Design/methodology/approachThe research adopted an exploratory research design and the data comprises 17 semi-structured interviews with personnel at the top grocery retail chains in the United States, for example, Wal-Mart, Tesco, Stop and Shop and Meijer. Additionally, two major US-based blockchain service providers are included – SumatoSoft and Accubits.FindingsBlockchain technology affects the business processes of B&M grocery retail by offering payment via tokens, secure payments and contracts between stakeholders, an end-to-end solution in the supply chain and secure management of the stock. However, this process is hampered by a number of challenges such as integrity and security concerns, difficulty in adapting sound logistics, lack of adequate skills and resistance to change by store managers and employees. This can be addressed by imparting education/training and creating awareness about the benefits of blockchain and generating industry-wide collaboration in which regulations can work.Practical implicationsThe research has benefits for B&M grocery stores, governments and the wider society. For example, the findings of this study will help B&M grocery retailers to confront the competition by online retailers such as Amazon, AliExpress or eBay and promote the development of a systematic collaboration to achieve the changes they need.Originality/valueThe study is original and innovative in that no research to date has focused on how blockchain can help the B&M grocery sector and address its challenges.


2017 ◽  
Vol 27 (1) ◽  
pp. 2-20 ◽  
Author(s):  
Jyh-Shen Chiou ◽  
Szu-Yu Chou ◽  
George Chung-Chi Shen

Purpose Consumers display complex shopping behaviors in the multichannel environment, which includes traditional retail stores and the internet. The purpose of this paper is to examine the effects of the customer-sales associate relationship, customers’ receptiveness to online store shopping, and their interaction effects on the customer’s attitude toward multichannel shopping behavior when the firm decides to establish an online store as the online channel. The authors also examine how customers’ multichannel shopping behavior affects their future spending intentions. Design/methodology/approach Survey data were collected by soliciting 231 customers who purchased cosmetics in department stores within the past three months. Subjects were asked to give their overall evaluation of their offline and online shopping experiences in the last three months. Findings Results show that the customer-sales associate relationship significantly reduces customers’ attitude toward searching offline but purchasing online. Receptiveness to online store shopping has significant effects on customers’ attitude toward multichannel shopping behaviors regardless of whether they search or purchase via the online channel. The customer-sales associate relationship also moderates the relationship between customers’ receptiveness to online store shopping and multichannel shopping behaviors. Finally, unlike other types of online and offline multichannel shoppers who display higher future spending intentions when the physical store decides to open an online store, those who prefer physical stores for both information searching and product purchasing display lower spending intentions. Originality/value To the best of the authors’ knowledge, this paper is the first to use customer-sales associate relationships to investigate consumers’ attitude toward multichannel shopping behavior. The findings provide meaningful implications for service providers that use sales associates to increase consumers’ value via face-to-face service, but find it challenging to go online.


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