Evaluating the Suitability of Crowd-Shipping Platforms for Small and Medium-Sized Enterprises

Crowd-shipping platforms have the potential to serve as flexible and low-cost logistics solutions for small and medium-sized enterprises (SMEs), which tend to have proportionally higher logistics costs than large companies. By increasing visibility and access to underutilized vehicle capacity, crowd...

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Bibliographic Details
Published in:Sustainability 2022-11, Vol.14 (21), p.14177
Main Authors: Mittal, Anuj, Marusak, Amy A, Krejci, Caroline C, Sadeghiamirshahidi, Narjes, Rogers, K. Jamie
Format: Article
Language:English
Subjects:
Automation
Business
Case studies
Coronaviruses
Costs
COVID-19
Delivery services
Emissions
Emissions control
Logistics
Pandemics
Postal & delivery services
Sharing economy
Shipping industry
Small & medium sized enterprises-SME
Small and medium sized companies
Small business
Software
Startups
Sustainability
Sustainable development
Transportation services
Visibility
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Summary:Crowd-shipping platforms have the potential to serve as flexible and low-cost logistics solutions for small and medium-sized enterprises (SMEs), which tend to have proportionally higher logistics costs than large companies. By increasing visibility and access to underutilized vehicle capacity, crowd-shipping platforms can offer lower rates than traditional delivery services. Leveraging excess capacity on premeditated delivery trips can also improve logistics efficiency and reduce emissions. However, high platform fees, insufficient carriers, and difficulty finding suitable platforms are common barriers to widespread adoption. This research evaluates the degree to which existing commercial crowd-shipping platforms can provide suitable transportation solutions for SMEs. A systematic search yielded 400 platforms, which were evaluated for SME suitability by requesting quotes for delivery service from each platform, based on typical shipping requirements of two agriculture-based SMEs in Texas. The responses and quotes that were received, as well as feedback from the case study SMEs, indicate that most existing platforms are unlikely to meet the needs of SME shippers. The results suggest ways in which crowd-shipping platform managers could take advantage of this market opportunity by tailoring the services and features of their platforms to better meet the expectations of SMEs.
ISSN:2071-1050
2071-1050
DOI:10.3390/su142114177