Omni-channel apparel logistics: Click & Collect reduces environmental impact by prioritizing customer proximity

Why It Matters

As consumer purchasing habits evolve towards blended online and physical retail experiences, understanding the environmental footprint of these new models is crucial. Designers and businesses must consider the lifecycle impact of their logistics strategies to align with sustainability goals and consumer expectations.

Key Finding

The study found that 'Click & Collect' is more environmentally friendly than 'Mobile Shopping in Store' primarily because it reduces travel distances. The closer a customer is to the store, the lower the environmental impact.

Key Findings

• Mobile Shopping in Store (MSiS) is less sustainable than Click & Collect (C&C).
• Transportation is a major contributor to the environmental impact in both MSiS and C&C.
• Customer proximity to the store is the most critical factor influencing environmental impact for both models.
• Customer profile and location (urban vs. extra-urban) are significant factors, especially for MSiS.

Research Evidence

Aim: To quantitatively model and assess the environmental impact of omni-channel apparel purchasing, focusing on the logistics of 'Click & Collect' and 'Mobile Shopping in Store' models.

Method: Activity-based modelling and simulation

Procedure: Developed an activity-based model to assess the environmental impact of two omni-channel purchasing processes (Click & Collect and Mobile Shopping in Store) from both retailer and customer perspectives. Applied the model to a representative apparel industry case and conducted sensitivity analyses.

Context: Apparel industry, omni-channel retail, logistics, environmental impact assessment

Design Principle

Minimize transportation externalities by optimizing logistics to customer proximity in omni-channel retail.

How to Apply

When designing or evaluating omni-channel retail systems, model the environmental impact of different logistics scenarios, paying close attention to customer travel distances and the efficiency of pickup versus in-store mobile shopping.

Limitations

The model's accuracy is dependent on the quality of input data regarding customer behaviour, transportation modes, and energy consumption. Generalizability to all apparel markets may vary.

Student Guide (IB Design Technology)

Simple Explanation: When people buy clothes online and pick them up from the store (Click & Collect), it's better for the environment than when they use their phones in the store to buy things. This is because the travel distance is usually shorter for Click & Collect.

Why This Matters: Understanding the environmental impact of different retail channels helps in making informed design decisions that contribute to a more sustainable future for the fashion industry.

Critical Thinking: How might the environmental impact of 'Mobile Shopping in Store' be mitigated to approach the sustainability of 'Click & Collect'?

IA-Ready Paragraph: This research highlights that omni-channel apparel purchasing, particularly through 'Click & Collect' models, offers a more sustainable logistical approach compared to 'Mobile Shopping in Store' due to reduced transportation requirements. The proximity of the customer to the retail point is a critical factor in minimizing environmental impact, suggesting that strategic placement of fulfillment centres and retail outlets is essential for eco-conscious design in the apparel sector.

Project Tips

• When researching omni-channel strategies, consider the environmental impact of different logistics options.
• Use modelling to compare the sustainability of various purchasing methods, like Click & Collect versus home delivery.

How to Use in IA

• Reference this study when discussing the environmental impact of e-commerce and omni-channel logistics in your design project.
• Use the findings to justify the selection of a more sustainable logistics model for your product or service.

Examiner Tips

• Ensure your analysis of omni-channel strategies includes a discussion of their environmental implications.
• Quantify the impact of logistics choices on sustainability where possible.

Independent Variable: ["Purchasing model (Click & Collect vs. Mobile Shopping in Store)","Customer-store distance","Customer location (urban/extra-urban)"]

Dependent Variable: ["Environmental impact (e.g., CO2 emissions from transport)"]

Controlled Variables: ["Apparel industry context","Retailer and customer perspectives considered","Logistics activities"]

Strengths

• Provides a quantitative model for assessing omni-channel sustainability.
• Considers both retailer and customer perspectives.
• Identifies key factors influencing environmental impact.

Critical Questions

• What are the assumptions made about customer travel behaviour and vehicle efficiency in the model?
• How would the findings change if different types of apparel (e.g., fast fashion vs. high-end) were considered?

Extended Essay Application

• Investigate the environmental impact of different delivery or pickup options for a specific product.
• Develop a model to compare the sustainability of various supply chain configurations for a chosen industry.

Source

Modelling the environmental impact of omni-channel purchasing in the apparel industry: the role of logistics · International Journal of Logistics Systems and Management · 2019 · 10.1504/ijlsm.2019.103514