With the rapid growth of e-commerce, the way products are delivered, especially the last mile to the customer, has become a hot topic. This area needs more structured guidelines to ensure better customer experience, sustainability, and efficient product delivery. Recent studies highlight the importance of these factors; however, there is limited focus on direct-from-store (DFS) deliveries using crowdsourced drivers. Our study dives into what customers think about different packaging options available in direct-from-store (DFS) delivery. We collected opinions of various product categories and packaging types through an in-person survey conducted on VT campus. The results will help shape new guidelines for DFS packaging.

Walmart's delivery-from-store service, facilitated by Spark delivery drivers, currently lacks standardized packaging guidelines. There are no clear rules on how products should be packaged. Right now, it’s up to Walmart associates to decide, with not many options for either them or the customers. This study aimed to understand customer priorities in DFS packaging methods and see how things like sustainability, cost, and perks influence their choices.

Literature on last-mile delivery emphasizes sustainability and environmental responsibility, customer experience, and service innovation. Customers are increasingly valuing sustainable practices and positive delivery experiences, with convenience and ease of use also being critical factors. The study also revealed the need for integrating product and packaging decisions to reduce waste and promote sustainability.

Previous studies revealed inconsistencies in packaging methods and their effectiveness across different countries and delivery services. We looked at how delivery methods vary around the world and how they compare to Walmart’s current system. Five product categories were chosen with Walmart: beverages, dry goods, small appliances, family care items, and toys. But results were all over the place, with no clear patterns on what worked best.

To gain more insights, a visit to a Walmart store in Christiansburg was conducted to observe the existing packaging and delivery processes. The visit highlighted the current workflow where associates package items based on customer preferences (plastic bag or no bag) and categorize products using stickers for substitutions, fragile items, or heavy items. However, this process lacks consistency, especially for general merchandise (GMD) orders.

Also, an in-person survey was conducted with Virginia Tech students to gather their preferences for packaging solutions across different product categories. The survey looked at many different aspects of packaging. Participants interacted with real-life packaging examples and ranked them based on ease of transport, price, privacy, product protection, and sustainability.

Survey results showed that about 70% of respondents use DFS delivery less than once a month, indicating its potential higher cost compared to traditional services. The survey also revealed a significant shift in preferences towards original packaging. Respondents preferred just the original packaging for many products, while paper bags or mailers were favored to combine smaller items. Privacy was the least valued factor, whereas product protection and sustainability were highly prioritized. The reusable tote bag was popular but faced resistance due to additional costs. Customers showed a strong preference for sustainable options, but weren’t willing to pay much more for them.

The study highlighted customers' strong preference for paper-based packaging solutions and original packaging over plastic bags and mailers. Recommendations for Walmart include increasing the use of original packaging for larger items and paper mailers for smaller goods. The idea of reusable tote bags is popular, but it might need some creative thinking to manage the cost, like implementing a return system or incentives.

In conclusion, this study provided valuable insights into the packaging systems used for last mile store-to-consumer delivery and consumer perceptions related to these systems. Overall, the results of this study suggest that going green with packaging can make customers happier while contributing to Walmart’s environmental goals. The findings highlight the importance of considering product categories, regional variations, customer preferences, and environmental concerns when designing and implementing packaging solutions for delivery-from-store services. By optimizing packaging materials, focusing on product protection, offering customization options, and investing in sustainable solutions, retailers and delivery services can improve their operational efficiency and enhance customer satisfaction.

Future research should explore the environmental impact of different packaging materials used in last-mile delivery, as well as the feasibility and effectiveness of implementing customizable packaging options. 

last mile delivery

last mile delivery