The enormous Internet diffusion of the past decade has enabled firms to undertake new ways of doing business. A popular Internet application is that of employing what is known as e-distribution: direct and online product selling not hampered by the intervention of physical storage problems. The kinds of advantages offered to firms by such distribution channels are these greater market presence, lower transaction costs, fewer stocks and the opportunity to provide direct and customised marketing. The advantages offered to customers are that prices are usually lower, home ordering and product delivery is made possible and the product assortment is larger. However, e-distribution also seems to be more transport intensive than traditional distribution channels which has negative consequences for environment, the accessibility of cities and safety. This side-effect is partly temporary since the logistical concepts currently employed are far from optimal. But what will more mature logistical concepts look like? And what will all of this mean for goods transport flows? An analysis of two retail sectors that have been partially "virtualised" reveals that future logistical concepts will be less transport intensive than current ones but nevertheless still more transport intensive than traditional channels. (A)
Abstract