Assessing the Effects of Public Trust and Logistics Performance inSomalia’s Emerging E-Commerce Sector: Customer-Driven Digitalization

Abstract

This study investigates the effects of digital payment adoption and trust in last-mile delivery on logistics service quality. Furthermore, it examines the moderating role of the absence of a standardized addressing system in the relationship between trust in last-mile delivery and logistics service quality. Data were collected through a questionnaire from 100 online shoppers residing in Mogadishu, Somalia. The data were analyzed in SPSS using correlation and regression analyses. The analysis indicates that digital payment adoption does not have a statistically significant effect on logistics service quality, suggesting that digital payment constitutes a baseline expectation rather than a competitive differentiator. Conversely, trust in last-mile delivery has a significant positive effect on logistics service quality, indicating that consumer trust in logistics agents enhances perceived service quality. Furthermore, the study finds that the absence of a standardized addressing system does not moderate the relationship between trust in last-mile delivery and logistics service quality. This paper contributes to the limited empirical literature on e-commerce logistics in an underdeveloped economy with many logistical challenges by examining the relationship between digital and physical readiness in Mogadishu, Somalia, a country where digital platforms have outpaced the physical logistics infrastructure.