CLICK-AND-DRIVE E-TAILING SERVICE: CONSUMERS’ PERCEIVED CONVENIENCE AND COST

Abstract

E-tailing, coupled with the rise of internet mobility, allows cross-shopping options with different types of methods to receive goods, such as the click-and-drive model, to suit the modern lifestyle. Individuals with time pressures and constraints, such as those subject to long working hours or other commitments that take up much of their day, may find click-and-drive a convenient option. This paper investigates the influences of unobserved factors such as perceived convenience, travel time, travel distance, time pressure, product quality risk, and perceived relative advantage, as well as observed factors such as demographic factors, on the likelihood of using click-and-drive for grocery shopping, based on the utility theory. Ordered probit estimation on cross-sectional data collected from 351 respondents revealed that the potential to save time as well as perceived convenience and relative advantage increase the likelihood of consumers using click-and-drive for their shopping. Perceived product quality risk is a deterrent against the adoption of click-and-drive services. Consumers are generally uncomfortable buying perishable items, such as fish, via online channels. The findings have valuable implications for retailers intending to establish and improve click-and-drive offerings, especially with the aim of achieving contact-free transactions post-COVID-19.