Consumers' trade-offs on delivery attributes

Over the past decade, the use of online food delivery (OFD) platforms has grown rapidly due to ever-changing consumer behaviour. The uncertainty caused by the Covid-19 pandemic has caused an unexpected surge in the use of OFD platforms. To better understand consumer behaviour, this report aims to ex...

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Bibliographic Details
Main Author: Chai, Qing Hua
Other Authors: Teo Chee Chong
Format: Final Year Project
Language:English
Published: Nanyang Technological University 2022
Subjects:
Online Access:https://hdl.handle.net/10356/163786
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Institution: Nanyang Technological University
Language: English
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Summary:Over the past decade, the use of online food delivery (OFD) platforms has grown rapidly due to ever-changing consumer behaviour. The uncertainty caused by the Covid-19 pandemic has caused an unexpected surge in the use of OFD platforms. To better understand consumer behaviour, this report aims to examine the trade-offs on delivery attributes in Singapore. A discrete choice experiment (DCE) will be conducted to evaluate the trade-offs and consumers’ willingness to pay (WTP) for delivery services provided by OFD platforms. A survey was designed and administrated in Singapore, and 386 usable responses were collected. The results showed that self-pickup is the most preferred mode of delivery, followed by dine-in, takeaway, and delivery. Respondents’ WTP for a unit decrease in waiting time is approximately $0.22. The results also revealed that respondents are still fearful of contracting Covid-19, which moderately influences their choices. These results provide critical insights for OFD companies in improving their service quality to gain market shares.