The influence of flexi-time and flexi-place work on online ordering expenditure

Abstract

In recent years we have seen a tsunami of change in both the way in which work is performed by location, when, and the quantum of hours, which is now seen as flexi-place and flexitime, together with the growth annually in online shopping. These two phenomena may be related to working from home all day and/or a blended or hybrid workday (part in the main office and part elsewhere) may have contributed to boosting online ordering. In this paper, we estimate a Tobit regression model with a zero-corner solution to explore the interplay between the amount of money spent on online shopping and whether the hours working from home and/or hybrid work results in an increase in expenditure on online ordering. There appears to be little evidence in the research literature given to this relationship. We draw on a March 2024 survey for Australia to investigate the presence of a link, and we find that there are systematic differences, with a higher incidence of online expenditure associated with a higher probability of working from home all day or on a blended workday. Partial effects estimates suggest a statistically significant difference, and as the mix of flexitime and flexi-place changes over time, we can expect a noticeable response in the quantum of online shopping expenditure.