Third-Party Logistics (3PL)Procurement Intelligence
The global 3PL services category is expected to register a CAGR of 10.7% from 2022 to 2030. In 2022, North America accounted for 35% of the market share followed by Europe and APAC. The APAC market is projected to grow fastest during the forecast period. The increase in online shopping along with the increasing demand for next-day delivery has forced logistics service providers to switch to automated systems and robots in warehouses across the world. Logistics service providers are constantly upgrading their technology to meet the rising consumer demand and improve efficiency productivity. To minimize errors and optimize warehouse space, many companies have started using Automated Guided Vehicles (AGVs) and cobots alongside humans to perform tasks, such as packing, sorting, loading, and unloading.
Artificial Intelligence (AI) and Machine Learning (ML) technologies are used to enhance the automation capabilities of robots and to perform complex and dynamic tasks. Drones and Unmanned Aerial Vehicles (UAVs) provide important aerial support alongside data communication and collection. Similarly, the Internet of Things (IoT) and blockchain help companies monitor inventory levels, quality standards, and environmental conditions and verify the authenticity and origin of goods. Cloud and edge computing is used to check the security of robots and automation in 3PL by processing data faster with higher bandwidth and flexibility.
Order your copy of the Third-Party Logistics (3PL) category procurement intelligence report 2023-2030, published by Grand View Research, to get more details regarding day one, quick wins, portfolio analysis, key negotiation strategies of key suppliers, and low-cost/best-cost sourcing analysis
3PL Services Category Intelligence Highlights
- The global 3PL services market is highly fragmented due to the increasing number of small players trying to enter the space. Large corporations are strategically partnering with or acquiring other regional players to expand their knowledge of the local market and decrease overhead costs while maintaining better profit margins
- Buyers can easily switch between logistics providers without incurring any significant switching costs due to the presence of multiple integrated service providers. In-house logistics is the only substitute for 3PL services. However, in-house logistics involves a high level of complexity and hence poses a minimal threat to 3PL services
- Transportation and warehousing form the largest cost component, accounting for 70% of the total costs. The overall cost of transportation depends on many other cost components, such as rail, air, sea, or land modes
- From a sourcing perspective, the companies mostly prefer approved provider models to reduce the risks and increase the potential for value creation
List of Key Suppliers
- United Parcel Service
- DHL, Kuehne + Nagel
- FedEx Corporation
- Nippon Express
- DB Schenker
- H. Robinson
- CEVA Logistics
- Burris Logistics
- XPO Logistics
- B Hunt Transport Services
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Third-Party Logistics (3PL) Procurement Intelligence Report Scope
- Third-Party Logistics (3PL) Category Growth Rate :CAGR of 7% from 2023 to 2030
- Pricing Growth Outlook :8 - 10%
- Pricing Models :Fixed price model, cost plus, and volume-based pricing model
- Supplier Selection Scope :Cost and pricing, Past engagements, Productivity, Geographical presence
- Supplier Selection Criteria: Service offerings, transportation methods, 3PL services, software, logistics, compliance
- Report Coverage :Revenue forecast, supplier ranking, supplier positioning matrix, emerging technology, pricing models, cost structure, competitive landscape, growth factors, trends, engagement, and operating model
Brief about Pipeline by Grand View Research:
A smart and effective supply chain is essential for growth in any organization.Pipeline division at Grand View Researchprovides detailed insights on every aspect of supply chain, which helps in efficient procurement decisions.
Our services include (not limited to):
- Market Intelligence involving market size and forecast, growth factors, and driving trends
- Price and Cost Intelligence pricing models adopted for the category, total cost of ownerships
- Supplier Intelligence rich insight on supplier landscape, and identifies suppliers who are dominating, emerging, lounging, and specializing
- Sourcing / Procurement Intelligence best practices followed in the industry, identifying standard KPIs and SLAs, peer analysis, negotiation strategies to be utilized with the suppliers, and best suited countries for sourcing to minimize supply chain disruptions
