Press release
Third Party Logistics Market Growing at a CAGR of 13.5% From 2025 - Lead by Deutsche Post DHL Group, Nippon Express, DB Schenker, H. Robinson, DSV, XPO Logistics, Sinotrans, GEODIS and UPS Supply Chain Solutions
Global Third Party Logistics Market is expected to grow from US$ 805.4 billion in 2017 to US$ 1,240.0 billion by 2025 growing at a CAGR of 13.5% from 2018 to 2025. Roadways is the leading mode of transport segment, whereas airways is growing rapidly across the globe.Third party logistics is moving towards increased information base and large-scale operations owing to maximize operational efficiency and improve profitability. There is an improvement in the strategic nature of relationships between shippers and third-party logistics providers. Globally, 3PL firms are increasing their employee strength, organization skills, broadening their service offerings, investing in new technology, and expanding their geographical reach in order to deliver data driven solutions.
Moreover, 3PL firms are also implementing several software based solutions in their operations in order to reduce the inefficiency and costs with saving time for operations. Moreover, the implementation of speech recognition software in warehouse management system communications will support order turn-round and inventory records with reducing employee-training requirements. Along with this, acceptance of cloud-based technology in 3PL companies will respond demands by recognizing the need for customer access which is expected to better meet the seasonal trends efficiently.
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Top Dominating Key Players:
1. Deutsche Post DHL Group
2. Kuehne + Nagel International AG
3. Nippon Express Co., Ltd.
4. DB Schenker
5. H. Robinson
6. DSV
7. XPO Logistics
8. Sinotrans
9. GEODIS
10. UPS Supply Chain Solutions
Rise in demand for reducing overall operational cost and focus on managing timely delivery
Logistics is the core area of the third party logistics (3PL) firms and their proficiency in this areas is always superior to that of the core companies. 3PL firms have the expertise to keep IT systems updated and deliver the logistic services more time & cost effectively along with this they own the ability to meet the technical requirements. Outsourcing logistic function from a third party is helpful for core companies as these firms manage and maintain warehouse, transportation, and other operations with more efficiently with expertise.
Also, 3PL eliminates the need to invest in technology, warehouse space, transportation, a trained staff in order to execute the logistics process. Additionally, hiring the third party firms is more cost-effective than investing in own logistic operations. Thus, reducing overall operational cost and managing timely delivery are expected to drive the third party logistics market.
Inclination of manufacturing companies on reducing assets and emphasize on core business
The services offered by 3PL firms add substantial value to the manufacturing companies. These firms help different companies to reduce weak points that outcomes in loss of revenue or profits and further help to assure maximal profitability. 3PL companies specialize in several logistics operations which offers network analysis, mode network optimization, warehousing, management of vendor compliance, and other logistic operations. In contrast with this, it is challenging for the core companies to gain such logistic expertise such as inventory management & storage, contract packaging, assembly needs, or shipping etc. in every business division.
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Strategic Insights :
Few of the recent strategies by some of the players in third party logistics market landscape are listed below:
2018: Nippon Express Co., Ltd. completed the acquisition of the equity interest in Traconf S.r.l. which is an apparel logistics service provider through Nippon Express Europe GmbH.
2018: UPS Worldwide Express develop To assist businesses to deliver crucial goods in emerging markets. The service is extended in 57 countries consist of South Korea, Pakistan, and Brazil.
2018: GEODIS signed contract with Biosystems S.A, Pharma and Healthcare centric industry to provide lab instruments and temperature-controlled reagents in around 35 countries globally. Through this contract, GEODIS uses its vast global network to conduct customs activities.
Third Party Logistics Market Segmentation:
Global Third Party Logistics Market– By Mode of Transport
• Roadways
• Railways
• Waterways
• Airways
• Others
Global Third Party Logistics Market– By Services
• International Transportation
• Warehousing
• Domestic Transportation
• Inventory Management
• Others
Global Third Party Logistics Market– By End-User
• Automotive
• Healthcare
• Retail
• Consumer Goods
• Others
Global Abrasive wheels Market– By Geography
• North America
• Europe
• Asia Pacific (APAC)
• Middle East & Africa (MEA)
• South America (SA)
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Reasons to Buy the Report:
• Learn about the driving factors, affecting the market growth.
• Imbibe the advancements and progress in the market during the forecast period.
• Understand where the market opportunities lies.
• Compare and evaluate various options affecting the market.
• Pick up on the leading market players within the market.
• Envision the restrictions and restrains that are likely to hamper the market.
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Phone: +1-646-491-9876
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Website: www.theinsightpartners.com
About Us:
The Insight Partners is a one stop industry research provider of actionable intelligence. We help our clients in getting solutions to their research requirements through our syndicated and consulting research services. We are a specialist in Technology, Healthcare, Manufacturing, Automotive and Defense.
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