Less-than-truckload Dynamic Pricing Model in Physical Internet

Bin Qiao (1) , Shenle Pan (1) , Eric Ballot (1)

1 CGS i3 - Centre de Gestion Scientifique i3

This paper investigates a decision-making problem consisting of less-than-truckload dynamic pricing (LTLDP) under Physical Internet (PI). PI can be seen as the interconnection of logistics networks via open PI-hubs, which can be considered as spot freight markets where LTL requests of different volume/destination continuously arrive over time for a short-stay. Carriers can bid for the requests by using short-term contract. This paper proposes a dynamic pricing model to optimise carrier’s bid price to maximise his expected profits. Three influencing factors are investigated: requests quantity, carrier’s capacity and cost. The results provide useful guidelines to carriers on pricing decisions in PI-hub.

Mots clés: dynamic pricing; Physical Internet; Less-Than-Truckload; auction

Domaines: Sciences de l'ingénieur [physics]; Mathématiques [math]

Bin Qiao, Shenle Pan, Eric Ballot. Less-than-truckload Dynamic Pricing Model in Physical Internet. 3rd International Physical Internet Conference (IPIC 2016), Jun 2016, Atlanta, United States. ⟨hal-01369226⟩