The Bristol-Bath Freight Consolidation Centre

The Bristol-Bath Freight Consolidation Centre

Analysis of impacts from the perspective of its users

Daniela Paddeu, Miriam Ricci, Gianfranco Fancello, Paolo Fadda, Graham Parkhurst

Università degli studi di Cagliari

Targets and Outcomes

Targets Evaluate the range of impacts associated with the BBFCC, focusing in particular on the perspective of its users: the participating retailers Outcomes • Deliveries flows and frequencies • Retailers satisfaction and claims


City Logistics : the urban flows logistics

Planning, organizing, coordinating and controlling…

…goods' physical and information

flows

… to find a compromise

between :

an efficient goods distribution in

urban areas and…

… the protection of the

environment

City Logistics

Stakeholders


Possible interventions

Access Regulation to urban areas for goods vehicles

Urban Freight Consolidation Centres

DHL Packstation

Last mile solutions


Urban Freight Consolidation Centre Università degli studi di Cagliari


Freight Consolidation Centre

Types of Freight Consolidation Centres (a) serving all or part of an urban area (e.g. Bristol and Bath)

(b) serving large sites with a single landlord (e.g. Heathrow airport)

(c) Construction project UCC (e.g. London Construction Consolidation Centre)

Business Model

Initial public funding

(feasibility studies and

trials; specially for the (a))

Less financial issues for

the (b) and (c) FCC

(contractual conditions of

the site access)

Who benefits from the UFCC

Suppliers (Time savings, Number of

vehicles reduced, Money savings)

Retailers (Security of the delivery, Less

storage and more selling space, Set delivery

time, Additional services, Just-in-time

service)

Citizens (Reduction in pollution and noise,

Increase in pedestrian/cyclist safety,

Increase in quality of life)

Freight Transport in Urban Areas

Benefits

• Economic efficiency

of production and industry's competitiveness

• Key role in the industrial and commercial activities, which are essential for prosperity and well-being

• Convenient : availability of goods when we want

• Support our current lifestyles

Negative Externalities

• Environmental impacts: polluting emissions (CO, CO2, NOx, PM10)

• Social impacts : impacts of pollution on public health, noise, visual intrusion, reduction of pedestrian safety (increase of accident)

• Economic impacts : more congestion with a connected decrease in the level of service

In sum: economic, social and

environmental costs of transport


Freight transport negative externalities

13,000 deaths among children aged 0-4 years in Europe can be attributed every year to exposure to particulate matter (PM10)

[European Commission]

Only in London it is estimated to result in 4,300 premature

deaths per annum [Transport for London , 2012]

Transport of London declared that half of all cyclists fatalities in

London are due to accidents involving freight vehicles

[Transport for London , 2012]

Noise pollution produces at European level external costs for

45,644 million euro, of which over the 88% is attributable to road

transport [European Commission]


Università degli studi di Cagliari The Location

This is the first consolidation

centre in the UK serving two

cities

Stakeholders

Bristol City Council

Bath & North East Somerset

Council

DHL

Retailers :

o81 in Bristol

o25 in Bath

Bristol and Bath Freight Consolidation Centre

Bristol Round trip: 16 miles on

average (approximately 26 Km)


The vehicle

• Two Smith Newton 9ton electric vans

• Load factor of the electric vehicles is 5ton ( equivalent to 8 pallet spaces or 15 cage spaces)

• They are able to travel for 120 km (74.5 miles) per charge with a maximum speed of 50 mph, but normally operate between 20 and 40 mph

• Quiet vehicle: reduces noise, but potential danger for pedestrians

Bristol and Bath freight consolidation centre

At most

500 Kg


19%

6%

24% 8%

6% 7%

27%

3% Population : 81 retailers in Bristol Clothing and footwear

Cosmetics

Entertainment andtechnologyHousehold goods

Jewellery

Hotels and restaurants

Food and drinks

Stationary

Studying the impacts of the participating retailers

Research Questions

• What services, and with what frequency, do participating retailers receive from the Consolidation Centre?

• What are the advantages & disadvantages for the participating retailers?

• Are the retailers satisfied with the Consolidation Centre service?

Methodology

• Interviews with DHL and Bristol City Council

• Questionnaire structure: open-ended questions, closed questions, multiple choice answers

• Pilot questionnaire

• Questionnaire administration:

– with DHL delivery vehicle on 30th of January and on 7th of March (No of surveyed retailers 18)

– Independently visited: 9

• No usable completed questionnaires: 21 (out of 27)

Delivery frequency

4-6 times aweek

1-3 times aweek

1-3 times amonth

Series1 1 18 2

0

10

20

Delivery frequency

Monday Tuesday Wednesday Thursday Friday

Series1 9 4 12 6 14

0

2

4

6

8

10

12

14

16

Nu

mb

er

of

de

live

rie

s

Delivery frequency in the week

Clothing/Footwear

CosmeticsEntertainme

nt andTechnology

Food andDrink

HouseholdGoods

Jewellery

Total 5 3 8 2 2 1

0

5

10

Sample Characteristics (N=21)


Satisfaction

5%

0% 14%

29% 52%

Satisfaction with delivery time on a scale from 1 (Not at all satisfied ) to 5 (Very

satisfied)

1.Not at all satisfied 2. 3. 4. 5.Very satisfied

Delivery to stockroom

Security ofdelivery

Staff safetyDuration of

deliveryStaff time saved

per deliverySet delivery time

Additionalservices provided

Sales Costs

Series1 10 7 1 2 3 5 4 0 1

0

2

4

6

8

10

12

Advantages/benefits/improvements to the retailers interviewed business


6%

50%

44%

Perception of punctuality: “On time deliveries” (Scale 1 to 5)

Sometimes Most of the Times Always

Satisfaction

0% 0%

19%

14%

67%

Satisfaction with delivery frequency on a scale from 1 (Not at all satisfied ) to 5 (Very

satisfied) 1.Not at all satisfied 2. 3. 4. 5.Very satisfied

19%

71%

10% 0% 0%

Security of delivery: How often have you experienced damages/shortage with the

deliveries made by the Consolidation Centre?

Never Very few times Sometimes Most of the times Always

19%

14% 67%

Overall service evaluation on a scale from 1 (Not at all satisfied) to 5 (Very satisfied)

1.Not at all satisfied 2. 3. 4. 5.Very satisfied


Key methodological issues Surveying retailers

• Difficulties encountered in identifying the RIGHT person to interview

• Very difficult to approach due to lack of confidence from the retailers

• Store managers often unable to know how/what orders and deliveries are made (head office decision)

• A few store managers unaware of DHL and the BBFCC

• Willingness to participate to the survey depended on type of product sold (jewels : delivery details are high level security information) and on the company ethics

Understanding the BFCC business model

• Limited availability of information on costs, benefits and subsidies received because they are commercially sensitive/confidential


Summary • Most of the retailers receive frequent deliveries (1-3 times

a week) and most of these deliveries are made between 8 and 9 a.m., never after 3p.m.

• Most frequently mentioned benefits are delivery to stock room and security of delivery

• Most are very satisfied with time and frequency of the deliveries

• DHL staff considered friendly and professional

• 81% of the sample report high satisfaction level with overall delivery service provided by BBFCC


Conclusions The delivery service provided by the BBFCC works well and retailers perceive it as high quality service

Retailers’ QUALITATIVE comments


Qualitative comments on satisfaction with service

“Very friendly and always willing to take time with the delivery. They go the extra

mile; the manager delivered in his car once as we needed

stock”

“It comes in on time”

“Friendly, accommodating and faster”

«The delivery team is very friendly, helpful and always

professional»

«Never any issues»


Conclusions The delivery service provided by the BFCC works well and retailers perceive it as high quality service



Considering that the scheme provides benefits for the city centre …

Reductions in polluting emissions

From January 2011 to end of May 2012: CO2 16,999.80 Kg

CO 106.37 Kg

NOx 552.48 Kg

PM10s 112.53 Kg

Reductions in number of

vehicles

From January 2011 to May 2012 it

was recorded a vehicles reduction

of 1332

0,1

1

10

100

1000

10000

Jan

-11

Feb

ruar

y

Mar

ch

Ap

ril

May

Jun

e

July

Au

gust

Sep

tem

ber

Oct

ob

er

No

vem

ber

Dec

em

ber

Jan

-12

Feb

ruar

y

Mar

ch

Ap

ril

May

Monthly emissions reduction in Bristol (Kg)

CO2

NOx

PM10

CO 0

50

100

150No of deliveries to/from Consolidation Centre per month

Delivery to site Delivery from site Reduction

Conclusions The delivery service provided by the BFCC works well and retailers perceive it as high quality service


… to involve more retailers in the project(and so reduce/avoid subsides) it might be done

A bigger marketing campaign highlighting

benefits coming from the service

A sensible Customer Care survey in order to highlight the areas that

retailers perceive as the worst and improve them (loyal customer

theory)


Considering that the scheme provides benefits for the city centre …

Thanks for your attention!

Any questions?


Entertainment & Humor

The Bristol-Bath Freight Consolidation Centre