Third Party Logistics Market Growth, Trends, Key Opportunity and Value Chain 2017-2027

Third Party Logistics Market
Press Release

Third party logistics services is basically utilized by an outside company in order to perform the company’s product distribution and materials management functions. The third party logistics providers delivers single or multiple logistics services to differentiated industry verticals such as consumer goods, healthcare, manufacturing, retail sectors, and many others. Though the third party logistics firms do not hold the ownership of product for distribution, however they are bound to accomplish the requested logistics activities of the purchasing company. These third party logistics services plays a significant part in today’s supply chain for both small and large businesses.

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In addition to this, increase in demand for shipping cost reduction & major focus on timely delivery management, reduction on company’s assets & permitting focus on core business, and advantage in managing seasonal variations are projected to drive the third party logistics market during the forecast period. However, lesser control of manufacturers on logistic service and delivery process may adversely impact the market for third party logistics in near future. Moreover, the factor such as increase in adoption and growth of e-commerce in retail sector is projected to generate remarkable growth opportunity to the industry players. These firms provide services such as international & domestic transportation, inventory management, warehousing, distribution, order fulfillment, and freight consolidation. By outsourcing 3PL services, manufacturing companies are able to focus on product development, sales, and other core operations. 3PL offers immediate knowledge & expertise in the field, track on international logistics, and create cost savings.

Various initiatives are taken to support the logistic and transport development in South East Asia. The development of multi-modal transportation is essential to ensure effective and persuasive movement of freight throughout South East Asia, pertaining to the fact of its unique geography. Moreover, Indonesia and The Philippines are archipelagos which consists of numerous individual islands, whereas other states are situated on sea-jutting peninsular which joins them to Asia, due to which maritime trade is considered as a vital component in the transportation system of South East Asia. Despite its growth in logistic sector, the South East Asia faces gap on part of dearth in technical capabilities, skilled human capital, and less research and development. These factors creates hurdles when transportation services look ahead for cargoes which are on the large side

The major players operating in the market for third party logistics include Deutsche Post AG, Nippon Express Co., Ltd., C.H. Robinson Worldwide, Inc., Kuehne + Nagel International AG, XPO Logistics, Inc., DB Schenker, DSV A/S, Geodis, Sinotrans Co., Ltd., and UPS Supply Chain Solutions among others.

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The report segments the South East Asia third party logistics market as follows:

South East Asia Third Party Logistics Market – By Mode of Transport

South East Asia Third Party Logistics Market – By Services

International Transportation
Domestic Transportation
Inventory Management


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This post was originally published on Downey Magazine