Proceedings of ICLT 2022

Delivery Price Adjustment for Increasing Customer Satisfaction, Income, and Utilization of Resources

Jutamat Jintana; Nivit Charoenchai; Yanin Patsopa; Teevara Waidee; Sakgasem Ramingwong

Department of Logistics Engineering Department of Industrial Engineering Logistics and Cross-border Trade; Faculty of Innovation Technology and Faculty of Engineering Management; Creativity Chiang Mai University Faculty of Science and Social Sciences; The Far Eastern University Chiang Mai, Thailand Burapha University Sakaeo Campus; Department of Social Sciences Supply Chain and Engineering

International Conference on Logistics & Transport 2022, Krabi, Thailand, pp. 106-109

Download PDF | View interactive page

Abstract

The paper presents an approach to understanding and accommodating customer requirements in terms of delivery service of the case study company. Assuming that the delivery price is set too high, the paper investigates transportation management cost, delivery cost and price setting to see if the price can be reduced. As a result, the delivery price adjustment can be made, according to the historical data. This can increase customer usage as well as increase resource utilization of the company while the delivery price can be decreased by 1-34%. When the resource utilization and the delivery usage can be increased, the simulation showed an expectable increase in income by 6-17%.

Keywords

transportation management; transportation management cost component; delivery cost and price setting

Citation

Jutamat Jintana; Nivit Charoenchai; Yanin Patsopa; Teevara Waidee; Sakgasem Ramingwong (2022). Delivery Price Adjustment for Increasing Customer Satisfaction, Income, and Utilization of Resources. Proceedings of the International Conference on Logistics & Transport (ICLT 2022), Krabi, Thailand, pp. 106-109.