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Third-Party Logistics Market Growth 2024, Rising Trends, Revenue, Industry Share, Size, Scope, CAGR Status, Challenges, Future Opportunities and Forecast till 2032: SPER Market Research

admin October 18, 2024 Automotive

A third-party logistics (3PL) is a partner or service that helps manufacturers, particularly online retailers, outsource their distribution and logistical needs. Specialised services including inventory management, cross-docking, door-to-door delivery, and product packaging are offered by a third-party logistics company. In turn, this helps businesses improve customer satisfaction, guarantee scalability, reduce the danger of product damage, foster business growth and market expansion, and make it possible to finish essential business processes. Additionally, the 3PL business is growing as a result of the increased asset utilisation and asset sharing partnerships that the third-party logistics model offers. Third-party logistics is currently offered for sale in a variety of service categories and modes of transportation, such as domestic and international transportation management and dedicated contract carriage (DCC).

According to SPER Market Research, ‘Global 3PL Logistics Market Trends, Revenue, Share, Scope, Growth Drivers, CAGR Status, Challenges and Future Investment Opportunities Till 2032’ states that Global Third-Party Logistics Market is projected to be worth USD 2431.83 billion by 2032 and is expected to surge at a CAGR of 8.85%.

One of the main factors driving the expansion of the global third party logistics market is the shippers’ emphasis on cost-effectiveness and outsourcing logistics activities. Additionally, the need for effective inventory management services is fuelled by globalisation and rising working capital, both of which will help the target market expand. Additionally, the quickening pace of globalisation has facilitated the establishment of a global network of manufacturing operations and is fostering the expansion of the third-party logistics industry. The high rates of third-party logistics market adoption are also being aided by the reorganisation of brick and mortar business models. The market is growing as a result of the rise in manufacturing companies, better economic conditions, and more internet usage.

Market expansion is expected to be hampered by inadequate infrastructure, rising logistics costs, and a lack of producer control over logistical services. The lack of skilled logistics workers further limits the growth of the worldwide third-party logistics industry. Because different government agencies have different policies, logistics service providers need to use more management and administrative resources. As a result, regulatory discontinuity may slow the growth of the global logistics services sector. The harm of direct control over the logistical service, possible reputational harm, and the growing competition from in-house logistics operations as businesses seek greater autonomy and cost control will also be the biggest barriers to the growth of international third-party logistics.

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The global COVID-19 pandemic has had a significant impact on the third-party logistics (3PL) business. The epidemic has not only increased demand for logistics services but also caused disruptions to 3PL companies’ regular operations and introduced new challenges. The 3PL industry has been greatly impacted by the disruption of global supply chains brought on by COVID-19. Lockdowns, travel restrictions, and border closures have caused delays and capacity limitations in the logistics and transportation networks. Furthermore, last-mile delivery services and warehouse operations are under additional strain due to health issues and labour shortages. The pandemic’s spike in e-commerce also compelled 3PL companies to quickly adjust to increased volumes and changing client demands.

North America dominate the global third-party logistics market due to the increasing demand for cold storage. Some of the key players are – C.H. Robinson Worldwide, DB Schenker, DHL International GMBH, FedEx Corporation, KUEHNE+NAGEL Inc.

Third-Party Logistics Market Segmentation:

By Services: Based on the Services, Global Third-Party Logistics Market is segmented as; Dedicated Contract Carriage (DCC)/Freight forwarding, Domestic Transportation Management (DTM), International Transportation Management (ITM), Warehousing & Distribution (W&D), Value Added Logistics Services (VALs).

By Transportation: Based on the Transportation, Global Third-Party Logistics Market is segmented as; Roadways, Railways, Waterways.

By End User: Based on the End User, Global Third-Party Logistics Market is segmented as; Manufacturing, Retail, Healthcare, Automotive, Others.

By Region: The global third-party logistics market was divided into North America, Europe, Asia Pacific, South America, and Middle East & Africa based on geography.

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3PL Logistics Market Forecast

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Third-Party Logistics Market Growth, Revenue, Emerging Trends, Global Industry Share, Scope, CAGR Status, Challenges, Future Opportunities and Forecast Analysis till 2032: SPER Market Research

admin January 19, 2024 Automotive, Business

By using third-party logistics (3PL) services, businesses can delegate their distribution and logistics needs to knowledgeable service providers who specialize in and are actively involved in managing tasks like assembly, warehousing, transportation, freight, and forwarding. Because third party logistics lowers overall expenses associated with commodities transportation and warehousing, it offers greater flexibility. Additionally, this is the logistics industry’s most popular business model, allowing clients to concentrate on their main operations. By assuming the practical responsibilities that many businesses would prefer not to handle themselves, 3PL offers vital business solutions. Inventory control, order fulfilment, transportation management, warehousing, reverse logistics, package delivery, and other associated services are some examples of these third-party services.

According to SPER market research, ‘Third-Party Logistics Market Size– By Services, By Transportation, By End User- Regional Outlook, Competitive Strategies and Segment Forecast to 2032’ state that the Third-Party Logistics Market is predicted to reach USD 2431.83 billion by 2032 with a CAGR of 8.85%.

In many areas, the pandemic has resulted in a sharp increase in e-commerce industry. Regarding the prompt delivery, there were shifts in the customers’ demands. Consumers are more likely to want one- and same-day delivery. Major shops began to pay for logistical services as a result, in order to satisfy their customers. Additionally, as e-commerce continues to grow, there will be a greater need for logistical services like inventory management and quick delivery. Moreover, significant investments in the infrastructure supporting logistics services are anticipated as part of China’s Belt and Road Initiative, particularly in the railway network between Europe and China. More trade activities will result from the agreement and the expansion of the infrastructure, which will ultimately increase demand for third-party logistics definition services in the future.

When compared to wealthy nations, the growth of logistic services in developing nations is still lagging behind. The absence of seasoned logistics professionals is impeding this market’s expansion. of a similar vein, the demand for modern logistics services cannot be satisfied by the state of the infrastructure of industrialized nations, including China. Certain warehouses in several nations still use antiquated machinery. Effective logistics operations are hindered by the ground infrastructure’s inability to link with the logistic hub in an efficient manner. Additionally, the National Development and Reform Commission, the Ministry of Transportation, and other organizations oversee or manage the vast industry operations. Therefore, the regulatory ambiguity and stringent regulation could impede the growth of the global logistics services sector.

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The COVID-19 outbreak had a significant negative effect on market expansion. Because of COVID-19, merchants and brands in North America were facing a range of temporary problems with supply chain operations involving retailers, distributors, and third-party logistics providers. As a result, the number of logistical services offered by nations like the US and Canada has decreased. The extent to which lockdown limits can be imposed and the negative effects of COVID-19 on market expansion have been reduced, with a focus on the successful restoration of supply chain operations relating to the food industry. But the industry is recovering now that COVID-19 is gone.

With the United States being the main contributor, North America is one of the biggest marketplaces for 3PL services. The region is a desirable market for 3PL providers due to its robust transportation infrastructure, well-established e-commerce industry, and highly educated workforce.

Among the major companies in the market are International of Washington Inc., DHL (The Deutsche Post AG), C.H. Robinson, CMA CGM, DB Schenker, DSV A/S, and many others.

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3PL Logistics Market Outlook

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Third-Party Logistics Market Growth 2022, Global Industry Share, Rising Trends, Revenue, Scope, CAGR Status, Challenges and Future Opportunities and Forecast 2032: SPER Market Research

admin September 8, 2023 Automotive, News

A third-party logistics (3PL) is a service that helps manufacturers and e-commerce vendors outsource logistics tasks like inventory management, cross-docking, delivery, and packaging. It aids in customer experience, scalability, risk reduction, business growth, and core operations. The 3PL model boosts asset utilization and sharing, driving market growth, and offers various transportation modes and services.

According to SPER market research, ‘Third-Party Logistics Market Size– By Services, By Transportation, By End User- Regional Outlook, Competitive Strategies and Segment Forecast to 2032’ state that the Third-Party Logistics Market is predicted to reach USD 2431.83 billion by 2032 with a CAGR of 8.85%.

The e-commerce sector experienced significant growth in certain regions during the pandemic, with customers increasingly seeking timely deliveries, including same-day and one-day options. In response, major retailers expanded their logistics services to meet these expectations. Additionally, the ongoing development of e-commerce is expected to boost the demand for logistics services, particularly in areas like express delivery and inventory management. The demand for third-party logistics (3PL) providers is anticipated to surge in smaller cities (tier 3 to 5) where logistics services are in high demand. China’s Belt and Road Initiative is also set to invest significantly in logistics infrastructure, especially the railway system connecting Europe and China. These agreements and infrastructure developments will stimulate more trade activities, ultimately driving the demand for 3PL services in the future.

The third-party logistics (3PL) industry encounters various challenges that can affect its functioning and expansion. A significant hurdle is the growing intricacy of supply chains. With supply chains becoming increasingly globalized and interconnected, managing multiple suppliers, transportation methods, and regulatory demands can be overwhelming. 3PL providers must continuously adjust and cultivate expertise in navigating intricate supply chain networks to ensure smooth operations and fulfill customer needs.

The global COVID-19 pandemic brought significant attention to the intricacies of the supply chain, causing disruptions at a national level that had adverse effects on the logistics industry. According to a survey by NTT Data, third-party logistics providers (3PLs) encountered bottlenecks and backlogs across various supply chain aspects, with half of them reporting negative impacts on their operations, finances, and capacity due to the pandemic. However, Cathy Morrow Roberson, founder and chief analyst of Logistics Trends & Insights LLC, noted that major 3PL companies remained relatively unaffected by trade tensions between China and the U.S. Those 3PLs without a diversified portfolio suffered more. Later, companies assessed their situations and demonstrated preparedness and adaptability in planning. Recently, businesses have been focusing on enhancing various aspects, including labour management, warehouse operations, domestic transportation, data analysis, and visibility, among others.

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Geographically, the Asia Pacific region is projected to experience the fastest growth in the foreseeable future. Increased trans-regional trade corridors and gateways present significant opportunities for 3PL providers. China’s role as a manufacturing and sourcing hub has prompted the technology, pharmaceutical, and automotive sectors to shift strategically to countries like India, South Korea, Japan, and Vietnam, driving market growth. North America, particularly the U.S., also holds a substantial market share due to factors like tight truck capacity and rising demand for cold storage. Additionally, some of the market key players are HOIST Fitness Systems, ICON Health & Fitness Inc., Technogym Spa, Tonal Systems Inc., True Fitness, Others.

Third-Party Logistics Market Key Segments Covered

The SPER Market Research report seeks to give market dynamics, demand, and supply forecasts for the years up to 2032. This report contains statistics on product type segment growth estimates and forecasts.

By Services: Based on the Services, Global Third-Party Logistics Market is segmented as; Dedicated Contract Carriage (DCC)/Freight forwarding, Domestic Transportation Management (DTM), International Transportation Management (ITM), Warehousing & Distribution (W&D), Value Added Logistics Services (VALs).

By Transportation: Based on the Transportation, Global Third-Party Logistics Market is segmented as; Roadways, Railways, Waterways.

By End User: Based on the End User, Global Third-Party Logistics Market is segmented as; Manufacturing, Retail, Healthcare, Automotive, Others.

By Region: The global third-party logistics market was divided into North America, Europe, Asia Pacific, South America, and Middle East & Africa based on geography.

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3PL Logistics Market Research Report

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Third-Party Logistics Market Growth and Share, Rising Trends, Scope, CAGR Status, Challenges, Future Opportunities and Forecast 2032: SPER Market Research

admin July 25, 2023 Business, News

Third-party logistics, or 3PL, is the process of using other organizations to help with the management of goods transportation. Imagine you own a small business that sells goods. You must ensure that those items arrive on time and in good condition. Managing all logistics, such as transportation, warehousing, and distribution, on the other hand, can be difficult and time-consuming. This is where third-party logistics services come in. You can outsource these responsibilities to professional organizations. They have the knowledge, resources, and experience to successfully manage the flow of products from manufacturer to client.

According to SPER market research, ‘Third-Party Logistics Market Size- By Services, By Transportation, By End User- Regional Outlook, Competitive Strategies and Segment Forecast to 2032’state that the Third-Party Logistics Market is predicted to reach USD 2431.83 billion by 2032 with a CAGR of 8.85%.

There are several reasons that contribute to the expansion of third-party logistics. The rising complexity of supply chains is a significant growth factor. In today’s worldwide world, businesses must frequently manage complex networks of suppliers, distributors, and customers. 3PL providers offer the experience and resources to successfully manage these complex supply chains, allowing businesses to focus on their main business activities.

The development of e-commerce is another growth factor. With the rise of online shopping, businesses require efficient and dependable logistics services to handle product storage, transportation, and delivery to clients.

The third-party logistics (3PL) market is facing a number of challenges that could have an influence on its operations and growth. The rising complexity of supply systems is a major concern. Managing different vendors, transportation modes, and regulatory requirements can be difficult as supply chains become more worldwide and interconnected. To ensure seamless operations and satisfy client expectations, 3PL providers must continually adapt and build competence in traversing complicated supply chain networks.

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The epidemic has disturbed the routine operations of 3PL providers and presented them with new challenges. Global supply chains have been affected as a result of COVID-19, which has had a substantial impact on the 3PL sector. Lockdowns, travel restrictions, and border closures have forced transportation and logistics networks to experience delays and capacity constraints. The need for businesses to find more cost-effective ways to transport their goods has boosted the demand for 3PL services. Nonetheless, the pandemic has caused supply chain disruptions as well as changes in consumer behavior, both of which have impacted demand for specific types of logistical services.

Furthermore, Third-party logistics is growing as a result of factors such as increased supply chain complexity, the rise of e-commerce, cost reductions, and the necessity to navigate worldwide logistics networks. Companies can focus on their main business, decrease expenses, and effectively manage their supply chains in an ever-changing business climate by outsourcing their logistical tasks to specialist service providers. Additionally, some of the market key players are C.H. Robinson Worldwide, Inc., DHL International GMBH, FedEx Corporation.

Third-Party Logistics Market Key Segments Covered

The SPER Market Research report seeks to give market dynamics, demand, and supply forecasts for the years up to 2032. This report contains statistics on product type segment growth estimates and forecasts.

By Services: Based on the Services, Global Third-Party Logistics Market is segmented as; Dedicated Contract Carriage (DCC)/Freight forwarding, Domestic Transportation Management (DTM), International Transportation Management (ITM), Warehousing & Distribution (W&D), Value Added Logistics Services (VALs).

By Transportation: Based on the Transportation, Global Third-Party Logistics Market is segmented as; Roadways, Railways, Waterways.

By End User: Based on the End User, Global Third-Party Logistics Market is segmented as; Manufacturing, Retail, Healthcare, Automotive, Others.

By Region: The global third-party logistics market was divided into North America, Europe, Asia Pacific, South America, and Middle East & Africa based on geography. The greatest market share for stucco is anticipated to be in Asia Pacific.

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3PL Logistics Market Outlook

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Third-Party Logistics Market Growth and Share 2023, Scope, Challenges, Business Opportunities and Forecast 2032: SPER Market Research

admin April 13, 2023 Automotive, Business

According to SPER Market Research, the Third-Party Logistics Market is a sub-segment of the logistics sector that provides businesses with outsourced logistics services. A few of the services offered by 3PL organisations include shipping, warehousing, inventory control, order fulfilment, and additional value-added services like packaging and assembly. These services enable businesses to outsource their logistics requirements to a qualified provider so they may focus on their core competencies. The 3PL market is being driven by factors like globalisation, the growth of e-commerce, increased customer expectations, and the need for cost optimization. As businesses expand internationally, managing complex supply chains across borders is becoming more and more crucial. While e-commerce growth has raised demand for 3PL services, online retailers still require efficient and flexible logistics solutions to fulfil customer orders. Consumers also demand faster delivery times, real-time visibility, and customised services, which 3PL suppliers are able to supply as a result of cutting-edge technological and logistical advancements. With several local, national, and worldwide rivals offering a range of services to various industries, the global 3PL market is tremendously competitive. The future expansion of the 3PL sector is anticipated to be fuelled by factors including the increasing complexity of supply chains, the demand for cost optimization, and the adoption of cutting-edge technology like blockchain and artificial intelligence. Yet, the market also has to contend with a number of challenges, including intensifying competition, narrowing profit margins, and the need to balance cost-effectiveness and innovation.

Third-Party Logistics Market Overview:

Forecast CAGR (2022-2032): 8.85%
Forecast Market Size (2032): 2431.83 billion

A segment of the logistics market that offers firms outsourced logistics services is referred to as the worldwide third-party logistics (3PL) market. Transportation, warehousing, inventory management, order fulfilment, and other value-added services like packaging and assembly are just a few of the services that 3PL companies provide. These services let companies outsource their logistics needs to a professional provider so they may concentrate on their core skills. Globalization, the expansion of e-commerce, rising client expectations, and the requirement for cost optimization are some of the reasons driving the 3PL market. The management of intricate supply chains across borders is increasingly important as organisations extend their operations abroad. While online retailers need effective and adaptable logistics solutions to fulfil consumer orders, the growth of e-commerce has also increased demand for 3PL services.

Impact of COVID-19 on the Global Third-Party Logistics Market

On the global third-party logistics (3PL) market, the COVID-19 epidemic has had a considerable effect. In addition to driving higher demand for logistics services, the pandemic has disrupted business as usual for 3PL providers and presented them with new obstacles. Global supply chains have been disrupted, which has had a significant impact on the 3PL sector as a result of COVID-19. There have been delays and capacity constraints in the transportation and logistics networks as a result of lockdowns, travel restrictions, and border closures. Due to the need for businesses to find more affordable alternatives for shipping their goods, this has increased demand for 3PL services. Nonetheless, the pandemic has also caused changes in the supply chain and alterations in consumer behaviour, which have had an impact on the demand for specific kinds of logistics services.

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Third-Party Logistics Market Key Segments Covered:

The SPER Market Research report seeks to give market dynamics, demand, and supply forecasts for the years up to 2032. This report contains statistics on product type segment growth estimates and forecasts.

Third-Party Logistics Market Key Players:

The market study provides market data by competitive landscape, revenue analysis, market segments and detailed analysis of key market players such as; C.H. Robinson Worldwide, Inc., DB Schenker, DHL International GMBH, FedEx Corporation, KUEHNE+NAGEL Inc., Maersk, Nippon Express, Panalpina World Transport Ltd., Union Pacific Railroad, United Parcel Service.

Global Third-Party Logistics Market Segmentation:

By Services: Based on the Services, Global Third-Party Logistics Market is segmented as; Dedicated Contract Carriage (DCC)/Freight forwarding, Domestic Transportation Management (DTM), International Transportation Management (ITM), Warehousing & Distribution (W&D), Value Added Logistics Services (VALs).

By Transportation: Based on the Transportation, Global Third-Party Logistics Market is segmented as; Roadways, Railways, Waterways.

By End User: Based on the End User, Global Third-Party Logistics Market is segmented as; Manufacturing, Retail, Healthcare, Automotive, Others.

By Region: The global third-party logistics market was divided into North America, Europe, Asia Pacific, South America, and Middle East & Africa based on geography. The greatest market share for stucco is anticipated to be in Asia Pacific. The need for the global third-party logistics industry has been spurred in large part by the emergence of industrialization, globalization, and advancing investments in road and other transportation construction.

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3PL Logistics Market Growth

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Third-Party Logistics Market Size, Share & Analysis Report 2021- Future Outlook, Business Strategies and Growth Forecast to 2028: SPER Market Research

admin January 18, 2023 Business, IT Industry

The market of third-party logistics (3PL) is predicted to progress at a decent pace throughout the review years. The third-party logistics (3PL) service delivers complete control over meticulous and intricate tasks, likewise, as fulfillment functions, freight forwarding, warehouse management, and inventory predicting. In addition, the robust existence of the distribution network of the service providers propels market growth.

Third-party logistics also deliver management of demand fluctuations and assist the producers to make their products accessible and create greater demand prospects during the specific duration. The service providers also manage better warehouse management and assist the producers maintain inventory stocks, where the company does not possess any infrastructure amenities and serves as a warehouse.

According to the SPER market research, ‘Third-Party Logistics Market– By Services (Dedicated Contract Carriage (DCC)/Freight forwarding, Domestic Transportation Management (DTM), International Transportation Management (ITM), Warehousing & Distribution (W&D), Value Added Logistics Services (VALs)), By Transportation (Roadways, Railways, Waterways), By End-User (Manufacturing, Retail, Healthcare, Automotive, Others) and By Region (North America, Europe, Asia Pacific, South America, and Middle East, & Africa)- Global forecast from 2021-2028’ state that the global third-party logistics market has the potential to rise with USF 1785.25 billion with fostering CAGR in the forecast period from 2021-2028.

Third-party logistics delivers greater flexibility by decreasing complete costs connected to the distribution and warehousing of goods. In addition, this is the most common business model in the logistics industry, allowing clients to aim at their core businesses. Due to the growing customer demand, some logistics companies propose value-added services, involving door-to-door delivery, procurement & production of products, cross-docking, inventory management, and packaging. In addition, the accessibility of custom-made, industry-precise third-party services from reputed logistics service vendors is the foremost aspect of fostering global market growth.

The market has gone through different changes during the past five years, and the foremost industries, such as retail and automobile, are predicting enhanced technology-enabled delivery. The third-party logistics delivers advanced technology solutions that propose correct tracking of the consignment and its movements. This advanced technology will assist in growing international visibility, imaging, and reporting capabilities, further improving the market growth. In addition, the market also proposes value-added services (VAS), which allow decreased cycle time and assist in controlling costs, making the industry more fascinating to prospective clients, and further fostering the market growth.

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Moreover, the increase in globalization has helped in setting up a global network of manufacturing activities. To maintain it proficiently, the requirement for third-party logistics services is predicted to increase. Furthermore, the scope of 3PL services is predicted to rise throughout the review duration, as productivity attains in the supply chain in terms of cost and reliability can be resultant of the assistance of managerial and information technology expertise provided by 3PL companies. The advancement of the e-commerce industry and augment in reverse logistics functions propel the growth of the global third-party logistics services market.

North America market is projected to show noteworthy growth owing to an augment in partnership among leading logistics service providers to incorporate new projects. Moreover, forming a joint venture to function in the market and incorporating new services to serve countries propel the regional market growth.

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Third-Party Logistics Market Size

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