AI Summary of Peer-Reviewed Research

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Joint pricing and matching lowered crowd-shipping delivery costs

Research area:Operations researchIndustrial and Manufacturing EngineeringUrban and Freight Transport Logistics

What the study found

The study found that a joint policy for matching orders to shoppers and setting delivery compensation can reduce delivery costs in a crowd-shipping system that uses in-store customers as couriers. The authors report that allowing multi-drop routing and flexible delivery delays also lowers operational costs.

Why the authors say this matters

The authors conclude that these results support dynamic, forward-looking policies for crowd-shipping systems. They say the findings offer practical guidance for urban logistics operators facing last-mile delivery needs.

What the researchers tested

The researchers studied a centralized crowd-shipping system in a brick-and-mortar retail setting, where shoppers were offered compensation to deliver time-sensitive online orders. They modeled uncertain order arrivals, uncertain crowd-shipper arrivals, and the chance that delivery offers would be accepted using a Markov Decision Process, or MDP, a mathematical framework for decision-making under uncertainty. Their solution combined Neural Approximate Dynamic Programming, or NeurADP, for order-to-shopper assignment with a Deep Double Q-Network, or DDQN, for dynamic pricing.

What worked and what didn't

The integrated NeurADP + DDQN policy achieved up to 6.7% savings compared with NeurADP using fixed pricing, and about 18% savings compared with myopic baselines. The study also reports that flexible delivery delays reduced operational costs by 8%, and multi-destination routing reduced them by 17%.

What to keep in mind

The abstract does not describe detailed limitations beyond the modeled assumptions and experimental setting. The findings are reported for a centralized retail crowd-shipping system and may be specific to the tested setup.

Key points

  • The study examined crowd-shipping that uses in-store customers as delivery couriers.
  • A joint assignment-and-pricing policy reduced delivery costs compared with fixed-pricing and myopic baselines.
  • The reported savings were up to 6.7% versus NeurADP with fixed pricing and about 18% versus myopic baselines.
  • Flexible delivery delays reduced costs by 8%.
  • Multi-destination routing reduced costs by 17%.

Disclosure

Research title:
Joint pricing and matching lowered crowd-shipping delivery costs
Authors:
Arash Dehghan, Mücahit Çevik, Merve Bodur, Bissan Ghaddar
Institutions:
Maxwell Institute for Mathematical Sciences, Metropolitan University, Metropolitan University, University of Edinburgh, Western University
Publication date:
2026-04-22
OpenAlex record:
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