Cost Analysis for Last-mile Delivery with Parcel Lockers for a B2C e-Commerce Business: A Case Study of the Company A
DOI:
https://doi.org/10.53848/jlsco.v11i3.275663Keywords:
Cost analysis, Parcel locker, Last-mile delivery, B2C e-Commerce, Self-collectionAbstract
This research aims to 1) analyze shipping costs using parcel lockers in a cost-per-order (CPO) model and 2) examine the benefits of locker usage for Thai consumers and businesses in the e-Commerce sector. Quantitative research methods were employed. The analysis utilized average shipping cost data and total online product deliveries within Bangkok from Company A in 2022, focusing on the 5 months with the highest orders. The analysis was conducted using Microsoft Excel for comparative purposes. The findings revealed that: 1) the average CPO for all distribution costs, including home delivery and locker options, indicated that home delivery CPOs were cheaper than those for parcel lockers. Parcel locker usage requires a rental fee, and fixed shipping costs from the warehouse to the locker location. However, locker deliveries boasted a better success rate and fewer failed deliveries. When the shipping cost through lockers is below 20 baht, there is a 10% demand for lockers among total orders. And 2) An additional benefit of locker usage was identified, including cost efficiency, processing time, speed, punctuality, reliability, safety, and service level. Therefore, Company A could consider adopting lockers to meet increasing demand, reduce re-transportation costs due to failed deliveries, and save on fuel expenses, ultimately resulting in cost savings.
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