E-commerce deliveries have experienced substantial growth over the past decade, leading to increased environmental impacts. As e-commerce expands, it becomes critical to integrate sustainability into its operations, particularly in last-mile deliveries. A recent study explores the factors influencing consumer decision-making when choosing delivery options. Using stated preference data collected in the United States, respondents evaluated delivery alternatives based on various operational and behavioral attributes.
Several strategies have been proposed that might reduce the carbon footprint of last-mile deliveries, categorized into operational and behavioral measures.
Operational measures focus on adopting green vehicle technologies, such as low-emission, electric, alternative fuel, and e-cargo cycles. While these technologies reduce emissions, they do not alleviate congestion or vehicle numbers and face challenges like limited range, frequent recharging, and payload restrictions. Additionally, operational strategies include order consolidation or increasing drop density, which allows retailers to deliver more parcels per stop by encouraging consumers to accept longer delivery times or change delivery locations.
Behavioral measures aim to nudge consumers to adopt these changes, supporting the efficiency and sustainability of last-mile delivery operations. Encouraging consumers to adopt alternative delivery methods, such as pick-up options, can effectively promote behavioral changes in online deliveries. Highlighting the associated environmental benefits of these methods is crucial, as deliveries to pick-up locations offer greater operational efficiency and environmental advantages compared to home deliveries.
Interestingly, disclosing the environmental impact of delivery options does not significantly influence consumer decisions, but revealing the type of delivery vehicle does. The analysis highlights that consumers’ willingness to adopt sustainable delivery options depends on receiving additional benefits, with preferences varying across socio-economic groups. Moreover, elasticity and substitution rate analyses demonstrate that while consumers value convenience and are willing to pay for it, they are generally resistant to behavioral changes.
These findings provide valuable insights for incentivizing the adoption of sustainable alternatives in last-mile deliveries. The paper concludes with recommendations for key urban stakeholders to promote more environmentally friendly delivery practices.
For Retailers and Carriers:
- Advertise Low-Emission Vehicles (LEVs): Highlight the emissions saved by LEVs to increase demand for greener delivery options.
- Promote Sustainable Carriers: Provide information on carriers using low-emission technologies to influence consumer choices positively.
- Encourage Delivery Lockers and Pick-Ups: Offer incentives, such as discounts or free shipping, to make these options more appealing, especially to younger, educated, and female consumers.
- Target Urban and High-Income Consumers: Focus on providing sustainable options to environmentally conscious groups.
- Discourage Fast Deliveries: Avoid promoting rapid delivery times, which hinder order consolidation and sustainability.
- Green Delivery Partnerships: Partner with carriers using or expanding low-emission fleets, prioritizing sustainability over cost in carrier contracts.
- Introduce Delivery Days: Consolidate multiple orders to reduce trips, emissions, and congestion.
- Reward Green Consumer Behavior: Create recognition programs that benefit consumers who consistently choose sustainable delivery methods.
For Public-Sector Decision-Makers:
- Support LEV Adoption: Implement subsidies and infrastructure programs to encourage carriers to adopt cleaner technologies, moving toward higher environmental standards.
- Develop Public-Private Partnerships for Lockers: Establish common carrier ‘white label’ parcel lockers for use by multiple e-retailers to maximize efficiency.
- Introduce Delivery Fees for Home Deliveries: Implement a tax or fee on frequent home deliveries to encourage order consolidation. Revenue generated could fund infrastructure improvements for LEV operations.
These initiatives aim to align operational efficiency with environmental goals, fostering a shift towards sustainable last-mile delivery practices.
Remark editor: more research is necessary to find alternatives that are truely sustainable for all stakeholders.