Online Retailing and the “Click and Collect” Retail Model!
Exploring Retailing Facts on Society Impacts for Immediate Acts.
Continuing with the effect of online retailing and adding a newer “click and collect” model of retailing for Customers, retailers, and society. The “click-and-collect” retailing model of online and offline shopping has raised social and environmental issues, like traffic congestion, carbon emissions, and waste generation. This part will evaluate the effect of online retailing and the “click and collect” model on society. I will examine how online retailing and the “click and collect” model have contributed to traffic congestion, carbon emissions, and waste generation. I will also explore the possible solutions to mitigate these impacts, such as green logistics, a circular economy, and social responsibility.
“Click and Collect” Retailing Model Definition
A new retail model emerged that offers a hybrid solution between online and offline shopping: “click and collect.” This model enables customers to order products online from a retailer with a network of branches and distribution centers across states and even countries. The retailer then reserves the product for the customer in the nearest store or delivers it from the closest distribution center. The customer can pick up the product from the store the next day, or maybe more.
The Effects of Online Retailing and the “Click and Collect” Retailing Model.
A society is a collection of individuals who share a common culture, history, or values and reside in a certain region or nation. Numerous elements, including political, social, environmental, and economic impacts on society, online shopping, and “click and collect” ways and methods, impact several variables, including traffic congestion, carbon emissions, and waste generation.
Traffic congestion is one of the effects of online retailing and the “click-and-collect” model on society. Traffic congestion is where demand for road space exceeds supply, resulting in slower speeds, longer travel times, and increased frustration. Numerous variables, including population expansion, urbanization, car ownership, and road infrastructure, play a part in traffic congestion. Online retailing and the “click and collect” model contribute to traffic congestion by increasing the number and frequency of vehicles on the road, such as delivery trucks, vans, or cars. For example, a study by INRIX found that delivery traffic increased by 10% in 2020 due to the surge in online shopping during the COVID-19 pandemic.
Carbon emissions are another effect of online retailing and the “click and collect” model on society. Carbon emissions are the release of carbon dioxide (CO2) and other greenhouse gases (GHGs) into the atmosphere, which cause global warming and climate change. Various sources, including garbage, industry, agriculture, and fossil fuels, will produce carbon emissions. Online retailing and the “click-n-collect” model generate carbon emissions by consuming energy and fuel for their operations, such as logistics or fulfillment platforms. For example, a report by Transport & Environment estimated that online shopping in Europe emitted 32 million metric tons of CO2 in 2018, equivalent to 4% of road transport emissions.
Waste generation is a third effect of online retailing and the “click and collect” model on society. Waste generation is the generation of unwanted or unusable materials or substances that must be disposed of or recycled. Various factors, including consumption habits, production processes, and waste management systems, contribute to waste generation and garbage formation. Online retailing and the “click and collect” model produce waste using materials and resources for their products or packaging, such as plastic, cardboard, or paper. For example, a study by Oceana revealed that Amazon generated 465 million pounds of plastic packaging waste in 2019, which could end up in oceans or landfills.
Mitigating the Impacts
Online retailing and the “click and collect” model also have potential solutions to mitigate these effects, such as green logistics, a circular economy, and social responsibility.
Green logistics is a solution that aims to reduce the environmental impact of logistics activities by using more efficient modes, routes, or vehicles for transportation. Online retailers and the “click n collect” model can use green logistics to reduce traffic congestion and carbon emissions by optimizing delivery networks, using electric or hybrid vehicles, or collaborating with other stakeholders. For example, UPS is a logistics company that uses green logistics to save fuel, time, and money using advanced technology, such as route optimization software, telematics systems, or alternative fuel vehicles.
A circular economy is a solution that aims to minimize waste generation and maximize resource utilization by designing products or services that are durable, repairable, or reusable. Online retailers and the “click and collect” model can use a circular economy to reduce waste generation by adopting more sustainable practices, such as using biodegradable or recyclable materials, offering product take-back or repair services, or promoting product sharing or leasing. For example, IKEA is an online retailer that uses a circular economy to extend the life cycle of its products by offering furniture rental, refurbishment, or recycling services.
Social responsibility is a solution that aims to improve the social welfare of society by addressing social issues or problems that affect people or communities. Online retailers and the “click and collect” model can use social responsibility to enhance their reputation and relationship with society by engaging in philanthropic or ethical activities, such as donating money or goods, supporting social causes or movements, or adhering to social standards or norms. For example, Zappos is an online retailer that uses social responsibility to positively create an impression on society by donating shoes and clothing to homeless shelters, supporting animal welfare organizations, or fostering a culture of happiness among its employees and customers.
Ending
Online retailing and the “click and collect” model affect society, which suffers from negative impacts such as traffic congestion, carbon emissions, and waste generation. However, they also have some positive opportunities, such as green logistics, a circular economy, and social responsibility. Online retailing and the assistance of new retailing models, such as “click and collect,” have been the new norm recently for various reasons; the most important reason was the COVID-19 pandemic. Therefore, businesses everywhere that use those types of retailing must be aware of their effects and how to mitigate them and overcome any future challenges.
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