Significance of face-to-face service quality in last mile delivery for e-commerce platforms

Abstract

This study aims to clarify how the quality of face-to-face service in last mile delivery affects consumer use of e-commerce (EC) platforms. We implemented a questionnaire survey for Japanese EC users and obtained 1137 valid responses. Based on this dataset, we implemented the following statistical analysis procedures: (1) We employed clustering of the dataset based on the respondents’ sensitivity to pricing, product variety, delivery period, and face-to-face service quality at delivery within the context of a customer’s journey of EC platform use; consequently, five clusters were established. (2) For each cluster, we statistically calculated the influence of face-to-face service quality on EC platform use. (3) Additionally, we statistically analyzed which factors are considered as important in last mile delivery by the users belonging to the cluster requiring high quality of face-to-face service. The results suggested the following: Low level of face-to-face service quality generally reduces EC platform use among customers in all clusters. High level of face-to-face service quality increases EC platform use in one cluster that included approximately 19% of the users. However, two clusters including approximately 41% of the users exhibited decreased EC platform use in the condition of high-level service quality; Second, users in a cluster desiring high quality face-to-face service do not necessarily demand receiving parcels face to face. Rather, such users showed a significantly high acceptance of the self-pickup option. Consequently, we discuss how platform firms should manage face-to-face service quality in last mile delivery on EC platforms.