Value of Autonomous Last-mile Delivery: Evidence from Alibaba

Lixia Wu, Peng Li, Brian Rongqing Han, Meng Li, Yanan Zhang

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

This paper provides the first empirical evidence of consumer responses to autonomous last-mile delivery using Alibaba’s recent implementation in Chinese university campuses as a case study. The study leverages customer-level data from three universities over three years, employing a difference-in-differences (DID) approach combined with dynamic matching to estimate the impact of autonomous delivery adoption on order quantities. The results reveal a significant increase in the number of orders following autonomous delivery adoption with a 21% growth. The efficiency and flexibility of autonomous vehicles reduce consumers’ travel costs, driving long-term usage and increased sales. However, the value of autonomous delivery diminishes when a fee is charged. The study contributes to our understanding of the value of autonomous last-mile delivery and its potential advantages over traditional courier delivery.

Original languageEnglish (US)
Title of host publicationInternational Conference on Information Systems, ICIS 2023
Subtitle of host publication"Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies"
PublisherAssociation for Information Systems
ISBN (Electronic)9781713893622
StatePublished - 2023
Event44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023 - Hyderibad, India
Duration: Dec 10 2023Dec 13 2023

Publication series

NameInternational Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies"

Conference

Conference44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023
Country/TerritoryIndia
CityHyderibad
Period12/10/2312/13/23

Keywords

  • autonomous vehicles
  • difference-in-differences
  • Empirical operations
  • last-mile delivery

ASJC Scopus subject areas

  • Computer Science Applications
  • Information Systems

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