The Logistics Outsourcing Market is likely to hold the global market at a moderate CAGR of ~4.5% during the forecast period. The global market holds a forecasted revenue of USD 986.4 Billion in 2022 and is likely to cross USD 1,521 Billion by the end of 2032.
The Logistics Outsourcing market is anticipated to show promising growth prospects during the forecast period, expanding the Logistics Outsourcing market size.
| Attribute | Details |
|---|---|
| The Logistics Outsourcing Market Estimated Size (2021) | ~USD 980.0 Billion |
| The Logistics Outsourcing Market Estimated Size (2022) | ~USD 986.4 Billion |
| The Logistics Outsourcing Market Projected Size (2032) | ~USD 1,521 Billion |
| The Logistics Outsourcing Market CAGR (2022 to 2032) | ~4.5% |
The practise of subcontracting industrial tasks including cross-docking, inventory management, warehousing, and shipping to a third party or supply chain management provider is known as logistics outsourcing, sometimes known as third-party logistics.
Suppliers of raw materials, distributors, and other providers of value-added services are examples of third-party logistics providers. To make these services more convenient for end users, they are typically combined and integrated. A parent business's decision to outsource logistics is typically based on the size of the company, the complexity of the logistics, and the economic benefits of outsourcing.
Contracting for material management, supply chain management, distribution mmanagement, shipment packaging, and channel management is a form of logistics outsourcing. Online retailers and portals for e-business are in dire need of the round-the-clock dispatch and delivery services provided by outside logistics copanies.
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Global market trends driven by technological innovations like remote tracking and monitoring using RFID tags and EDI-based location of the shipment include globalised product availability, demand for product individualization in terms of logistics, on-time delivery of the goods, just-in-time inventory, agility in time response transport, big data analytics regarding inventory and deliveries, and atomization of shipment.
Big data analytics are improving the accuracy of task frequency and decision-making abilities. Online merchants (like Amazon) are increasingly outsourcing solely end-product transportation services in order to be more cost-effective and operationally cohesive and to insource their inventory. The services offered by outsourced logistics firms are continually improved by these technology advancements.
Many companies tie up with third party logistic providers, and these providers adopt customer branding for getting more employees and assets. There are chances that these providers will be responsible for your representation to customers.
If there are any inconveniences or problems created by the third party service providers, it will reflect directly on the company. If the contracts and agreements are not clear and they are not properly translated to customers it can have adverse effects on the organisation.
Failing to be updated with new systems helping with data entry and management will create problems internally, and ultimately can affect the customer experiences with company. All the departments of company should be able to see the data and have access to edit it time to time, to ensure the data flow through systems. Failure to maintain such channels will lead to failed relations with consumers.
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Japan is known for its automated, tech loving attitude. Japanese people are also wanting such automated services from logistic companies. There are some unwritten rules about delivery in Japan and one-day delivery is one of them.
The factors like well-developed logistics sector and small country size allows faster deliveries. Japanese customers are also preferring domestic markets over international sellers. They are certainly choosing quality of logistics services over cost.
The European logistics sector is mainly fragmented as there are very less transportation market players in the region. Even the biggest transportation companies are contributing 10% of the transporting market. This is resulting into segmented and divided.
There is also shortage of drivers, making the transportation part of logistics very weak. There are number of laws and regulations that hinder the shipping companies and ultimately impacting the logistics in the countries.
Some key players in the Logistics Outsourcing market are Exel Logistics, Menlo Worldwide Logistics, GXO Logistics, Americold, Lineage Logistics, FedEx, Ryder Logistics and Tibbett and Britten among others.
These organisations are involved in logistics outsourcing worldwide and provide services to multiple brands and online markets. They are likely to contribute most to the Logistics Outsourcing Market during forecast period.
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| Attribute | Details |
|---|---|
| Growth Rate | CAGR of ~4.5% from 2022 to 2032 |
| Base year for estimation | 2021 |
| Historical Data Available for | 2017 to 2021 |
| Forecast Period | 2022 to 2032 |
| Quantitative units | Revenue in USD Billion, volume in Units, and CAGR from 2022 to 2032 |
| Report coverage | Revenue forecast, volume forecast, company ranking, competitive landscape, growth factors, and trends, pricing analysis |
| Segments covered | Service Type, Transportation Used, Region |
| Country scope | USA, Canada, Mexico, Germany, UK, France, Italy, Spain, Russia, India, Thailand, China, India, Japan, Australia, Brazil, Argentina, Colombia, Saudi Arabia, UAE, South Africa |
| Key Companies Profiled | Exel Logistics; Menlo Worldwide Logistics; GXO Logistics; Americold; Lineage Logistics; FedEx; Ryder Logistics; Tibbett and Britten; Others |
| Customization scope | Free report customization (equivalent to up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope. |
| Pricing and purchase options | Avail customized purchase options to meet your exact research needs. |
The logistics outsourcing market is expected to reach a valuation of USD 986.4 Billion in 2022.
Trends like globalisation, customer awareness, ever evolving IT support structure, time-proportional economy, etc. are main drivers for the Logistics Outsourcing Market. To become biggest supplier of goods and dominate the logistics market, many leasing organizations are following these trends.
Leading players operating in logistics outsourcing market, Lineage Logistics, are Exel Logistics, Menlo Worldwide Logistics, GXO Logistics, Americold, FedEx, Ryder Logistics and Tibbett and Britten and among others.
1. Executive Summary 2. Industry Introduction, including Taxonomy and Market Definition 3. Market Trends and Success Factors, including Macro-economic Factors, Market Dynamics, and Recent Industry Developments 4. Global Market Demand Analysis and Forecast, including Historical Analysis and Future Projections 5. Pricing Analysis 6. Global Market Analysis and Forecast 6.1. Service Type 6.2. Transportation Used 7. Global Market Analysis and Forecast, By Service Type 7.1. Simple Service 7.2. Combined Service 7.3. Consulting Service 7.4. Value-added Service 8. Global Market Analysis and Forecast, By Transportation Used 8.1. Air Freight 8.2. Ocean Carriers 8.3. Railways 8.4. Trucks 9. Global Market Analysis and Forecast, By Region 9.1. North America 9.2. Latin America 9.3. Europe 9.4. East Asia 9.5. South Asia 9.6. Oceania 9.7. MEA 10. North America Sales Analysis and Forecast, by Key Segments and Countries 11. Latin America Sales Analysis and Forecast, by Key Segments and Countries 12. Europe Sales Analysis and Forecast, by Key Segments and Countries 13. East Asia Sales Analysis and Forecast, by Key Segments and Countries 14. South Asia Sales Analysis and Forecast, by Key Segments and Countries 15. Oceania Sales Analysis and Forecast, by Key Segments and Countries 16. MEA Sales Analysis and Forecast, by Key Segments and Countries 17. Sales Forecast by Service Type and Transportation Used for 30 Countries 18. Competition Outlook, including Market Structure Analysis, Company Share Analysis by Key Players, and Competition Dashboard 19. Company Profile 19.1. Exel Logistics 19.2. Menlo Worldwide Logistics 19.3. GXO Logistics 19.4. Americold 19.5. Lineage Logistics 19.6. FedEx 19.7. Ryder Logistics 19.8. Tibbett and Britten 19.9. Others
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Logistics Outsourcing Market
