EXPLORATION OF LATENT DEMAND FOR CRAUDSHIPPING SERVICE USING FACTOR ANALYSIS
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Keywords:
e-commerce, delivery system, crowdshipping, factor analysis.Abstract
This paper presents the experimental study results on exploring the latent demand for crowdshipping service. Factor analysis has been used as the key methodology to reveal the basic attributes of the demand. Given the absence of crowdshipping-based services in Ukraine we focused on evaluation the intentions of online shoppers to use the proposed delivery system. To do this we used five-point Likert scale to evaluate 15 statements in regard to pros and cons attitudes towards crowdshipping. Pros online shopping behavior has been considered as the basic component to promote the crowdshipping service. In this case the formed statements for pros crowdshipping have been described the time, cost, ecology, flexibility of the proposed delivery service. In turn the anti-online shopping intentions have been presented with enjoy of physical stores visiting, social interaction needs, browsing the products and etc. As the results of the factor analysis, we revealed four factors and one of them has been identified as “ProCrowdShoppers”. This factor covers 38 % of variance for all data of the study. Such a high value allows us to make conclusion about high potential of crowdshipping deployment in Ukraine. The second factor has been identified as “Con_sustainable_shoppers” which covered people that do not care about ecology during the delivery fulfilment. This group allowed us to make conclusion that ecological problem and sustainable city development paradigm did not penetrate yet all social groups. The second factor covers 12 % of variance for data that should be taken into account when the crowdshipping service will be deployed in Ukrainian cities. The third factor has been identified as “Store_lovers” covering 8.99 % of variance. And the fourth factor was revealed as “Windows_shoppers”. So, the third and the fourth factors reflect the people’s intentions to remain shopping in the physical stores. The total variance covered by these two factors is 16.26 %. Summarizing we can say that crowdshipping has a high opportunity to be deployed in Ukrainian cities. To become widely used it should be grounded on flexible, reliable and ecologically friendly basis. Along with that the time saving should also be provided to compete with commercial delivery services.
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