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Paradigm Challenge  /  Economics

Ordering your groceries online isn't just lazy—it actually helps you and the store waste way less food.

Contrary to the assumption that delivery leads to more waste, the digital model encourages 'frequent replenishment' where shoppers buy smaller amounts more often. This behavior matches actual consumption better than massive weekly in-store trips, preventing the common problem of buying bulk perishables that end up rotting in the fridge.

Original Paper

When Perishables Go Online: The Impact on Waste, Welfare, and Profit

Jimin Park, Yanchong Zheng

SSRN  ·  6283718

<div> Reducing food waste, particularly at the downstream stages of the supply chain, has become a global priority. At the same time, online grocery shopping has expanded rapidly. This raises an important question: how does the adoption of online grocery shopping influence food waste at the consumer and retail levels? <span>To address this question, we develop a bi-level optimization framework in which the lower level captures consumers’ repeat-purchase decisions and the upper level models the r