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Understanding Customer Preferences of Delivery Services for Online Grocery Retailing in South Korea

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  • Yoon-Joo Park

    (Department of Business Administration, Seoul National University of Science and Technology, Seoul 01811, Republic of Korea)

Abstract

With the rapid growth of online grocery shopping in South Korea, e-grocery retailers have faced intense competition. Consequently, they attempt to differentiate themselves by offering diversified delivery services, such as providing early morning delivery services or eco-friendly packaging. The purpose of this paper is to analyze consumer preferences with regards to delivery services with different delivery times and packaging types targeting South Korea’s online grocery markets. Specifically, six delivery types consisting of combinations of two delivery time options (dawn, daytime) and three packaging types (paper box, market cooler bag, personal icebox) are examined. A survey was conducted in July 2020 with 218 consumers who regularly buy fresh food online. The collected data were analyzed by means of a conjoint analysis and ANOVA. The present study finds that customers most strongly prefer dawn delivery using a personal icebox, followed by dawn delivery using a market cooler bag, with daytime delivery using a paper box being the least preferable. Furthermore, consumers value the packaging type more than the delivery time when selecting a delivery service. Lastly, the preferences of consumers regarding delivery service types differ according to their characteristics. This study is expected to contribute to the establishment of a delivery strategy for online grocery companies.

Suggested Citation

  • Yoon-Joo Park, 2023. "Understanding Customer Preferences of Delivery Services for Online Grocery Retailing in South Korea," Sustainability, MDPI, vol. 15(5), pages 1-22, March.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:5:p:4650-:d:1088703
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    References listed on IDEAS

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    1. Green, Paul E & Srinivasan, V, 1978. "Conjoint Analysis in Consumer Research: Issues and Outlook," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 5(2), pages 103-123, Se.
    2. Dian Palupi Restuputri & Ayun Fridawati & Ilyas Masudin, 2022. "Customer Perception on Last-Mile Delivery Services Using Kansei Engineering and Conjoint Analysis: A Case Study of Indonesian Logistics Providers," Logistics, MDPI, vol. 6(2), pages 1-16, April.
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    1. Prencipe, Luigi Pio & Colovic, Aleksandra & Binetti, Mario & Ottomanelli, Michele, 2024. "Zero-emission vehicle adoption towards sustainable e-grocery last-mile delivery," Research in Transportation Economics, Elsevier, vol. 104(C).
    2. Ashu Kedia & Dana Abudayyeh & Diana Kusumastuti & Alan Nicholson, 2024. "Modelling Consumers’ Preferences for Time-Slot Based Home Delivery of Goods Bought Online: An Empirical Study in Christchurch," Logistics, MDPI, vol. 8(2), pages 1-14, May.
    3. Subramanian Selvakumar & Kathirvel Jeganathan & Krishnasamy Srinivasan & Neelamegam Anbazhagan & Soojeong Lee & Gyanendra Prasad Joshi & Ill Chul Doo, 2023. "An Optimization of Home Delivery Services in a Stochastic Modeling with Self and Compulsory Vacation Interruption," Mathematics, MDPI, vol. 11(9), pages 1-34, April.
    4. Yoon, Sangjun & Kim, Gwang & Shin, Youngchul, 2025. "Next-day demand based last-mile delivery route optimization with collection of reusable bags," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 203(C).
    5. Valentas Gružauskas & Aurelija Burinskienė & Artur Airapetian, 2024. "Digital transformation in food retail: a case study of Lithuania e-grocery buying behaviours," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 11(3), pages 65-84, March.

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