Impact of service innovation and digital supply chain capability on risk protection in supporting online foods delivery

Abstract

PurposeThis study has aimed to investigate the impact of service innovation capabilities (SIC), supply chain digitalization capabilities (SDC) and customer risk protection (CRP) capabilities of GrabFood on customer satisfaction. GrabFood has been chosen as a case study because GrabPay is one of the Malaysian government's digital wallet partners, and GrabFood is one of the region's leading Online Food Delivery Service (OFDS) providers.Design/methodology/approachA total of 410 valid responses have been gathered from the GrabFood users for data analysis using the partial least square technique.FindingsThe findings reveal that SIC, SDC and CRP of GrabFood have a highly significant influence on customer satisfaction. CRP has been found to partially mediate the relationship between SIC and customer satisfaction and the relationship between SDC and customer satisfaction.Originality/valueOFDS providers need to consider how to minimize the potential risk to be encountered by customers in delivering services that satisfy the customers. OFDS providers must identify the gap between their capabilities and customer perception and continuously improve their service quality to mitigate the gap.