Urban freight activity implications from emerging food industry establishments in an on-demand economy: Evidence from India

Abstract

Urban freight activity generated by the food industry has received surprisingly little research attention despite the unprecedented changes in food ordering behavior because of the advancement of technology. Not only did more consumers take advantage of the options offered online, but it also resulted in the diversification of the food industry into three establishment types: (i) in-person dining restaurants, (ii) hybrid restaurants, and (iii) dark kitchens. While the traditional in-person dining restaurants continue to be major freight trip generators, the emergence of tight-knit networks of small, delivery-only establishments called ‘dark kitchens’ have magnified the overall freight impacts from the food industry. This study attempts to contribute to this emerging research gap in urban freight research by conducting a freight survey in Delhi (India) targeting the above-mentioned food industry establishments to compare and contrast the evolving freight traffic impact generated by hybrid restaurants/dark kitchens relative to the traditional in-person dining restaurants. The freight generation (FTA/FTP) was quantified in this study using a host of models, such as the multivariate ordered probit model, zero-inflated negative binomial model, and hierarchical tree-based regression. Novel explanatory variables such as night-time light and cost of dining are explored for developing actionable, sustainable city logistics policies aimed at regulating delivery at pick-up traffic related to emerging urban freight generators.