This paper is about the expectations of targeted customer segments towards food-logistics-services for online grocery shopping. In recent years, the food retail sector in Germany entered the market with a new business model, which can be called "online-grocery-shopping". Unlike in other European countries, this business model is still at its beginning and encounters some challenges to develop and scoop its potential entirely. The research status mostly seems to consider just the trader, but little to no emphasis is on the transport service provider.
Especially the processes of them must ensure that sensitive groceries are handled and delivered with maximum care until the goods reach the final customer. Also, the German population is a sophisticated customer base, due to their high expectations regarding quality and service. Furthermore, the younger people are represented by high internet affinity, and they count as one of the present and future purchasing powers. This thesis utilizes a questionnaire to study 18-35-year old people regarding their expectations towards the transportation of groceries to contribute to the development of this business model. An assessment by the participants helps to identify the essential expectations.
Since Germans are tough customers, an ordinal logistic regression contributes to examine the identified expectations further. This reveals which properties of the customer, whether these are of demographic or fundamental nature, are affecting the expectations. Further, cross-pair comparisons of these properties are executed to crosscheck, how exactly is a property affecting an expectation. After this, based on the results, recommendations for action are stated as specific as possible to help the transport service provider compensate the identified expectations.
Table of Contents
1 INTRODUCTION
1.1 Description of the Initial Situation and Study Overview
1.2 Research Questions and Methodology
1.3 Objective and Structure of this Thesis
2 DEFINITION AND CLASSIFICATION OF BASIC TERMINOLOGY
2.1 Transportation
2.1.1 Transport Vehicles
2.1.2 Transport Gadgets
2.2 Food Retail Trade
2.2.1 Definition
2.2.2 Distribution-Types and Business Models within the Food Retail Trade
2.3 Electronic Business
2.3.1 E-Business Relationships
2.3.2 Electronic Commerce
2.4 Online-Food-Retailing
2.4.1 Definition
2.4.2 Business Models
2.4.3 German Online-Food-Retailing
3 RESEARCH DESIGN OF THE APPLIED METHODOLOGY
3.1 Research Questions and Hypotheses
3.2 Data Acquisition
3.2.1 First Question Pool – Core Fundamentals
3.2.2 Second Question Pool – Demographic Properties
3.2.3 Third Question Pool – Evaluation of Aspects
3.2.4 Selection of Sample
3.3 Methodology of Data Analysis
3.3.1 Development of Data
3.3.2 Development of Preliminary Expectation
3.4 Methodology of Examination
3.4.1 Requirements of Ordinal Logistic Regression
3.4.2 Cross-pair Comparisons
3.5 Development of Recommendations
4 DATA ANALYSIS
4.1 Quota-Scheme Sample
4.1.1 Gender and Age Groups
4.1.2 Household Properties
4.1.3 City and Community types
4.1.4 Core Fundamentals
4.1.5 Awareness
4.2 Selection of Expectation – Confidence Intervals
4.2.1 Delivery
4.2.2 Marketing
4.2.3 Service
4.2.4 Price
4.3 Identified Expectations, affecting Properties and Assumption Testing
4.3.1 Delivery
4.3.2 Marketing
4.3.3 Service
4.3.4 Price
4.4 Cross-Pair Comparisons of Properties
4.4.1 Delivery
4.4.2 Marketing
4.4.3 Service
4.4.4 Price
5 RECOMMENDATIONS TO COMPENSATE THE EXPECTATIONS
5.1 Delivery
5.2 Marketing
5.3 Service
5.4 Price
6 DISCUSSION
6.1 Discussion of Results
6.2 Critical Appraisal and Implications for follow-up Studies
6.3 Outlook for the Future
7 CONCLUSION
Research Objectives and Thematic Focus
This thesis aims to identify and analyze the expectations of targeted consumer segments (aged 18-35 in Germany) regarding food-logistics services, with a specific focus on the transport service provider's role in the online grocery shopping business model. It further seeks to determine which demographic and fundamental properties influence these expectations and provides actionable recommendations for logistics providers to better meet customer needs.
- Analysis of consumer expectations toward transport service providers in online grocery shopping.
- Evaluation of influencing demographic and fundamental consumer properties using ordinal logistic regression.
- Focus on the specific logistical challenges of transporting sensitive grocery goods.
- Development of concrete recommendations for transport service providers to improve customer satisfaction and retention.
Excerpt from the Book
1.1 Description of the Initial Situation and Study Overview
It is not a new insight that every market, or moreover every business model, is undergoing a constant transformation and that suppliers of products and services need to adapt to the change. More current than ever is the topic of E-Commerce, which according to Metzger, Kollmann, and Sjurts (2018) is about the distribution of goods through various online platforms and is considered a part of E-Business. E-Commerce has been communicated in recent years as a decisive trend in the retail sector and statistics show that this sector generates more than 40 billion euros in Germany (cf. Statista, 2017). In addition to that, on the one hand, Handelsverband Deutschland (2014) claims the online non-food retail industry enjoys continuously dynamic growth whereas on the other hand, according to Rasch (2018), the German online food retailing is lagging behind.
While a study by Syndy (2015) indicates, that in other European countries such as in the UK and France can already be spoken of a significant business model with a market share of 4.4% and 3.6%, Germany can only achieve a market share of about 0.8% in online grocery shopping. In an interview, the managing director of AllyouneedFresh, one of the German online food providers, said that the market share increased to 1-2% in 2017, with a well over 10% growth each year (Graf, 2018a).
Numerous studies give a good summary of the state of research. A population survey by PWC (2018) demonstrates that consumer acceptance of this new business model is increasing, with more than 40% of German consumers planning to order groceries online within the next 12 months. A survey conducted by EY (2017) shows that 16% of consumers in Germany buy food online and that every 70th consumer makes half of their food purchases online.
Summary of Chapters
1 INTRODUCTION: This chapter introduces the topic of online grocery shopping and highlights the research gap regarding the role of transport service providers in this sector.
2 DEFINITION AND CLASSIFICATION OF BASIC TERMINOLOGY: This section defines core terms like transportation, food retailing, and e-commerce to establish a theoretical foundation for the analysis.
3 RESEARCH DESIGN OF THE APPLIED METHODOLOGY: The chapter details the empirical approach, including research questions, hypotheses, data acquisition via online surveys, and the use of ordinal logistic regression.
4 DATA ANALYSIS: This part analyzes the survey results, characterizing the sample and presenting the identified expectations and the statistical tests conducted.
5 RECOMMENDATIONS TO COMPENSATE THE EXPECTATIONS: Based on the research findings, this chapter provides specific and general recommendations for transport service providers to improve their delivery and service offerings.
6 DISCUSSION: The chapter discusses the results, offers a critical appraisal of the study, and provides an outlook on the future of environmentally friendly grocery delivery.
7 CONCLUSION: The final chapter summarizes the core findings, noting that while awareness is high, actual purchasing frequency remains low, and emphasizes the need for better communication of service advantages.
Keywords
Transport Service Provider, German Food Retail, Online-Grocery-Shopping, E-Commerce, Ordinal Logistic Regression, Consumer Expectations, Logistics, Last-Mile Delivery, Customer Segmentation, Market Research, Service Quality, Cold Chain, Sustainability, Grocery Distribution, Data Analysis
Frequently Asked Questions
What is the primary objective of this research?
The study aims to explore the expectations of the 18-35 age group in Germany regarding logistics services for online grocery shopping and to provide recommendations for transport providers to enhance this business model.
What are the central themes of this work?
The core themes include the dynamics of online grocery retailing, the critical role of transport service providers in handling sensitive goods, and the impact of demographic factors on consumer service expectations.
Which scientific methodology does the author use?
The author employs quantitative empirical research, specifically conducting an online survey and using ordinal logistic regression to examine how various independent variables (demographics, etc.) affect consumer expectations.
What does the main body of the text cover?
The main body covers the theoretical definitions of e-commerce and food logistics, the design and execution of the consumer survey, the statistical analysis of the data, and the final formulation of strategic recommendations for service providers.
What are the key findings regarding delivery speed?
The study finds that while same-day delivery is a desired feature, many consumers in the target demographic are willing to accept 24-hour delivery, and the expectation level is influenced by factors like gender and income.
How are the keywords defined for this research?
The keywords, such as Transport Service Provider and Ordinal Logistic Regression, characterize the focus on logistical operations and the statistical framework used to validate the consumer-based hypotheses.
What role does the 'return of empty bottles' play in the study?
The return of empties is identified as a significant service expectation, particularly for specific demographic groups, and represents an opportunity for service differentiation by logistics providers.
How does the author view the 'cold chain' transparency?
Transparency in the cold chain is highlighted as a critical factor for building trust among consumers purchasing fresh or frozen food online, especially for those living in smaller communities or larger households.
- Arbeit zitieren
- Sebastian Neumann (Autor:in), 2018, The Expectations Of Targeted Customer Segments Towards Food-Logistics-Services For Online Grocery Shopping. An Empirical Analysis with Recommendations for Action, München, GRIN Verlag, https://www.grin.com/document/918404
