A Dynamic Pricing Model for Time Slot Management in Attended Home Delivery Logistics
نویسندگان
چکیده
In this paper, we propose a dynamic pricing model, with the objective of maximizing the total expected revenue of a provider of attended home deliveries, while also improving the matches between customers’ preferred delivery time and price and carriers’ desirable time slots and charge fees. The models are formulated to determine the optimal posted price and the minimum acceptable bid price for each time slot, which is determined by an insertion-based vehicle routing problem with time windows (VRPTW). The study starts from a typical dynamic pricing model with three kinds of customers’ behaviors (i.e. price-taker, bidders, and leave-without-pay) and then considers heterogeneous characteristics of peak and off-peak time slots. Through a series of case studies, the model has shown its ability to determine a price movement which is efficient in response to changed conditions.
منابع مشابه
Choice-Based Demand Management and Vehicle Routing in E-fulfilment
Attended home delivery services face the challenge of providing narrow delivery time slots to ensure customer satisfaction, whilst keeping the significant delivery cost under control. To that end, the firm can try to influence customers when they are booking their delivery time slot so as to steer them towards choosing slots that are expected to result in cost-effective schedules. We estimate a...
متن کاملA Multi-Objective Fuzzy Approach to Closed-Loop Supply Chain Network Design with Regard to Dynamic Pricing
During the last decade, reverse logistics networks received a considerable attention due to economic importance and environmental regulations and customer awareness. Integration of leading and reverse logistics networks during logistical network design is one of the most important factors in supply chain. In this research, an Integer Linear Programming model is presented to design a multi-layer...
متن کاملDeveloping a Mixed Integer Quadratic Programing Model with Integer Numbers for Designing a Dynamic closed-loop Logistics Network
Logistics Network Design includes network configuration decisions having long-standing influences on other tactical and operational decisions. Recently, regarding environmental issues and customer awareness and global warming closed-loop supply chain network design is taken into consideration. The proposed network for the integrated forward and reverse logistics is developed by formulating a cy...
متن کاملA DSS-Based Dynamic Programming for Finding Optimal Markets Using Neural Networks and Pricing
One of the substantial challenges in marketing efforts is determining optimal markets, specifically in market segmentation. The problem is more controversial in electronic commerce and electronic marketing. Consumer behaviour is influenced by different factors and thus varies in different time periods. These dynamic impacts lead to the uncertain behaviour of consumers and therefore harden the t...
متن کاملIntegrated model for pricing, delivery time setting, and scheduling in make-to-order environments
Usually, in make-to-order environments which work only in response to the customer’s orders, manufacturers for maximizing the profits should offer the best price and delivery time for an order considering the existing capacity and the customer’s sensitivity to both the factors. In this paper, an integrated approach for pricing, delivery time setting and scheduling of new arrival orders are prop...
متن کامل