The latest market report from Ti details the current state of the contract logistics market with H1 2019 market sizing figures and full year predictions.
The report examines the growing concerns surrounding the environment and the differing actions governments are taking to address pollution levels. An increasing number of governments are implementing emissions regulations and diesel bans which will have consequences on transport and logistics companies’ delivery operations. These regulations, however, remain inconsistent, even at a national level where regulations can differ within the same country.
Ti also looks at the challenges posed to logistics in the complex environment of megacities. No two megacities are the same, some resembling Singapore with high levels of organisation, good transport infrastructure, and a prospering economy. Others, however, may develop into cities like Kinshasa or Mexico City, with relatively high levels of wealth juxtaposed with endemic poverty, poor infrastructure, crime and corruption. This creates a complex and ever-changing environment in which logistics providers must navigate and adapt in order to remain efficient.
One of Ti’s research analysts, Cameron Morrison, said, “In developed countries, megacities still prove to be as complex as in emerging markets. Contrary to what people might think, a city being developed and thriving economically does not necessarily equate to having the perfect environment to operate a logistics network, other factors come into play. Population density can be equally as high, inequality can also be prominent and the lack of space available to set up operations is increasingly sparse. Logistics providers are still faced with many of the same challenges to overcome as in emerging markets.”
In addition, the report explores the implications of “Circular Fashion” for logistics and supply chains. With fashion supply chains on the verge of a major transformation which will have drastic effects on the associated logistics industry, changes are being thrust upon manufacturers and retailers in the sector. There’s increased pressure regarding the negative effects modern practices and culture are having on the environment. The emergence of new markets such as online clothing rental is an example of how reduction of waste in this industry is possible without the reduction of consumerism.
The report also looks at the major players in the contract logistics market, providing an overview of the companies, their financial results as well as their expansion efforts and major contracts of the second half of 2019. This offers an insight into how providers are performing in the current market and what steps some of them are taking to develop their business.
Source: Transport Intelligence, December 17th, 2019
Author: Transport Intelligence
About Global Contract Logistics 2019/2020 Update:
Global Contract Logistics 2019/2020 Update examines key trends in contract logistics and 3PL operations and provides analysis and evaluation of future practices expected in the industry.
It contains in-depth analysis of market growth, megacity and urban logistics, the impact of changes within the fashion supply chain, warehouse automation and how major players are performing and reacting to market change.
Ti research has ranked the leading contract logistics providers on both a global and regional basis (Asia Pacific, Europe and North America), providing market shares of these providers based on Ti’s bespoke contract logistics market sizes.
To find out more about the report CLICK HERE. Or to speak to someone about the report contact Michael Clover, Head of Commercial Development, [email protected]