Grocery or @grocery: A stated preference investigation in Rome and Milan

Ila Maltese, Michela Le Pira, Edoardo Marcucci, Valerio Gatta and Christos Evangelinos

Research in Transportation Economics, 2021, vol. 87, issue C

Abstract: Despite the huge growth in online purchases, e-grocery (i.e. ordering grocery online) was still limited in scope in Italy so far. More recently, its growth has been substantial and 2020 witnessed a huge increase due to COVID-19-related mobility restrictions. In principle, e-grocery could reduce the number of shopping trips, yet an exponential increase in shipping and deliveries could have a negative impact on the environment. In order to explore the willingness to e-grocery, and delivery preferences (self-delivery, home delivered grocery or collected in a specific place) - and estimate their market shares - a stated preference survey was carried in Rome and Milan. Respondents were asked about their grocery shopping habits and to choose among different shopping and delivery options. Discrete choice modelling allows investigating preference heterogeneity and estimating willingness to pay measures. Main results indicate that respondents, characterised by distinct socio-economic, attitudinal, and geographical elements, react differently to attribute variations for alternative grocery shopping channels. Scenario simulations can help in defining successful business-strategies and possible solutions to external costs. Under this respect, results suggest that the best strategy to increase e-grocery shares in the two cities should be non-monetary, but rather aimed at expanding the product range available online.

Keywords: e-grocery; Last mile delivery; Home delivery; click&pick; City logistics; Discrete Choice Models; Multinomial Logit; Consumer behaviour (search for similar items in EconPapers)
JEL-codes: R22 R41 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (10)

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DOI: 10.1016/j.retrec.2021.101096

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