Consumers' trade-offs on delivery attributes

• Main Author: Chai, Qing Hua
• Other Authors: Teo Chee Chong
• Format: Final Year Project
• Language: English
• Published: Nanyang Technological University 2022
• Subjects: Business::Operations management::Business planning; Engineering::Maritime studies
• Online Access: https://hdl.handle.net/10356/163786
• Institution: Nanyang Technological University

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.