Analysing the diffusion of a mobile service supporting the e-grocery supply chain

Abstract

Purpose – The purpose of this paper is to propose a systemic methodology to assess the potential of and facilitate policies for the diffusion of a smartphone based service enabling supply chain (SC) operations in the e-grocery sector. Design/methodology/approach – A System Dynamics (SD) model combining the Bass paradigm for innovation diffusion and an inventory management framework is developed. Semi-structured interviews are conducted to understand the industry business processes; a simple SD model is designed to capture the most important variables together with the relationships among them; a detailed SD model is calibrated and simulation outcomes are analysed. Findings – The efficiency and reliability of the service drive its diffusion among producers and consumers, who in turn persuade retailers to adopt. The assessment methodology can be part of feasibility studies and marketing investigations in order to understand the impact of e-commerce tools on SC processes. Research limitations/implications – This contribution stresses the need to analyse how mobile information technologies may benefit all the business processes of the e-grocery SC, and not just one single process or stakeholder. Practical implications – The approach offers a roadmap to identify the factors influencing the diffusion of mobile e-grocery services as well as the associated impacts on SC processes. Originality/value – The work contributes to overcoming the lack of approaches studying the diffusion of e-grocery by taking into account all the relevant aspects and stakeholders involved and not only the consumer perspective.