Influencing factors that determine the usage of the crowd-shipping services

Tho V. Le and Satish V. Ukkusuri

Papers from arXiv.org

Abstract: The objective of this study is to understand how senders choose shipping services for different products, given the availability of both emerging crowd-shipping (CS) and traditional carriers in a logistics market. Using data collected from a US survey, Random Utility Maximization (RUM) and Random Regret Minimization (RRM) models have been employed to reveal factors that influence the diversity of decisions made by senders. Shipping costs, along with additional real-time services such as courier reputations, tracking info, e-notifications, and customized delivery time and location, have been found to have remarkable impacts on senders' choices. Interestingly, potential senders were willing to pay more to ship grocery items such as food, beverages, and medicines by CS services. Moreover, the real-time services have low elasticities, meaning that only a slight change in those services will lead to a change in sender-behavior. Finally, data-science techniques were used to assess the performance of the RUM and RRM models and found to have similar accuracies. The findings from this research will help logistics firms address potential market segments, prepare service configurations to fulfill senders' expectations, and develop effective business operations strategies.

Date: 2019-02
New Economics Papers: this item is included in nep-upt
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Published in TRR, 2019

Downloads: (external link)
http://arxiv.org/pdf/1902.08681 Latest version (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:arx:papers:1902.08681

Access Statistics for this paper

More papers in Papers from arXiv.org
Bibliographic data for series maintained by arXiv administrators ().