This study presents an analysis of the growing market for groceries and other foodstuffs ordered via theinternet or telephone for delivery to the customer's home. TThe research utilizes data from surveys of over2,000 customers of five different home delivery grocers. The analysis utilizes two moderating variables(customer experience level and order picking method) and five primary constructs (service quality, productquality, internet quality, time-savings and behavioral intentions). The results indicate that customerperceptions of the primary constructs generally improve as they gain experience with this new method ofordering and receiving groceries. Furthermore, the operational choice of picking method is also shown tohave a large impact on customer perceptions – in particular, more experienced customers generally rate theprimary constructs higher for DC-based picking than for store-based picking.
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