ReleaseWire

Market Overview: Global Logistics Services (3PL & 4PL) Market Is Anticipated to Reach 910 Million USD by 2025

Posted: Tuesday, July 03, 2018 at 10:05 PM CDT

Albany, NY -- (SBWire) -- 07/03/2018 --This report studies the global Logistics Services (3PL & 4PL) market status and forecast, categorizes the global Logistics Services (3PL & 4PL) market size (value & volume) by manufacturers, type, application, and region. This report focuses on the top manufacturers in North America, Europe, Japan, China and other regions (India, Southeast Asia, Central & South America, and Middle East & Africa).

The 3PLs of today can provide a much broader range of services than they used to. It used to be that their primary focus was on warehousing and shipping, so if you sent them your product they would store it and ship it for you. Now, 3PLs can handle almost your entire business. This includes not only the complete supply chain cycle, but also such functions as customer service, order management, sales support, ecommerce and IT integration. In fact, there are very few aspects of your business that a 3PL cant take care of for you and in many cases, they have technology and resources that you may not, so you get the benefit of top-tier tech without the investment.

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A 4PL is an independent, singularly accountable, non-asset based integrator of clients supply and demand chains. The 4PLs role is to implement and manage a value creating business solution through control of time and place utilities and influence on form and possession utilities within the client organization. Performance and success of the 4PLs intervention is measured as a function of value creation within the client organization.

The logistics market is large, fragmented and populated by a wide range of differing companies. There are multinational companies offering a comprehensive range of logistics services leading the industry, down to smaller national freight forwarders, offering simple logistics services. The market has been driven by consolidation over the last 20 years, with customers seeking fewer, larger providers that are able to manage complex supply chains on a global basis.

Market growth has been driven by both increased economic activity and the continued trend in outsourcing of logistics activities to third-parties, both new outsourcers and companies outsourcing more activities to third-parties. The largest region in terms of outsourced logistics market size is Asia Pacific, followed by Europe and North America, with the Asia Pacific region having experienced faster growth in logistics market value than other regions. Outsourcing penetration is highest in Europe, but levels are increasing quickly in Asia Pacific. Key Trends The trend of outsourcing business processes and supply chain activities continues to be a driver of logistics company revenues and hence market growth. The growth of e-commerce is also creating an environment where supply chains are adapting to new models. Ecommerce is driving further logistics outsourcing to third-party supply chain specialists.

Dedicated e-commerce warehousing and distribution contracts are increasingly being awarded to logistics providers. A key trend in the global logistics industry is the provision of value-added services and bespoke solutions. Logistics providers are increasing their focus on specific industry sectors such as high-technology, automotive and pharmaceuticals, and offering additional value-added services that make their services more relevant for client needs. New technologies are finding their way into logistics services in order to improve productivity and enhance service. New logistics technologies being developed include vehicle management software, self-driving vehicles, robotics, internet of things applications and augmented reality. The largest logistics providers are characterized by differing service lines, asset ownership models, geographical scope and types of customers they serve.

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The global Logistics Services (3PL & 4PL) market is valued at 790 million US$ in 2017 and will reach 910 million US$ by the end of 2025, growing at a CAGR of 1.8% during 2018-2025.

The major manufacturers covered in this report
- DHL Supply Chain & Global Forwarding
- Kuehne + Nagel
- DB Schenker Logistics
- Nippon Express
- C.H. Robinson Worldwide
- UPS Supply Chain Solutions
- DSV
- Sinotrans
- CEVA Logistics
- Expeditors International of Washington
- Dachser
- Panalpina
- GEODIS
- Toll Holdings
- J.B. Hunt (JBI, DCS & ICS)
- Hitachi Transport System
- XPO Logistics
- GEFCO
- Yusen Logistics
- Agility

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