Logistics outsourcing, often known as third-party logistics, is the practice of outsourcing industrial operations such as cross-docking, inventory management, warehousing, and transportation to a third-party or supply chain management provider. Raw material suppliers, distributors, and other value-added service providers are examples of third-party logistics providers. These services are frequently combined and used to give convenience to end-users. A parent business's decision to outsource logistics is usually based on the size of the company, the complexity of the logistics, and the relative economic benefits of outsourcing.
Material management, supply chain management, distribution management, shipment packaging, and channel management are all examples of logistics outsourcing. Outsourced logistics providers' round-the-clock dispatch and delivery services are in high demand by e-commerce web portals and retailers. The benefits of the logistics outsourcing market include increased supplier capabilities due to the use of information technology, operation specialization, a focus on core skills, and consistent growth.
Globalization, time-proportional economy, virtual organizations, improved consumer awareness, strategic considerations to gain more flexibility, and better IT infrastructural support are all major reasons driving the growth of the logistics outsourcing market.
However, this industry has some downsides, including a lack of monitoring control over logistics and risks linked with vendor reliability.
| Report Metric | Details |
| Market size available for years | 2023–2030 |
| Base year considered | 2023 |
| Forecast period | 2024–2030 |
| Forecast unit | Value (USD Million) |
| Segments covered | Logistics Providers, Mode of Transportation, and Region. |
| Regions covered | North America (the U.S. and Canada), Europe (UK, Germany, France, Italy, Spain, Russia, Rest of Europe), Asia-Pacific (China, India, Japan, Australia, South East Asia, Rest of Asia Pacific), Latin America and the Middle East and Africa (Brazil, Saudi Arabia, UAE, Rest of LAMEA) |
| Companies covered | United Parcel Service of America, Inc., XPO Logistics, Inc., A.P. Moller - Marsk A/S, DHL International GmbH, Kuehne + Nagel International AG, FedEx Corporation, Deutsche Bahn AG, Nippon Express Co. Ltd., DSV A/S, SNCF Group. |
Covid-19 Impact on Logistics Outsourcing Market
The outbreak of the covid-19 has a severe and swift impact on the automobile and transportation industry. This is majorly due to the shutdown of assembly plants in the US, interruptions across Europe in large-scale manufacturing, and disruption in the export of Chinese parts. In addition to this, the industry is dealing with reduced demand across the globe due to changes in customer behavior and shifts in a supply-demand chain. A recent study shows a 39% decline in sales of automotive all over the world. Moreover, the nationwide lockdowns have substantially affected the transportation sector. Restrictions on transportation accounted for a 45 to 55% decline in public as well as private transport sectors.
Logistics Outsourcing Market Segment Overview
According to Logistics Providers, 3PL is one of the most important segments in the global Logistics Outsourcing market. The transfer of all or part of a company's logistical tasks to a third-party company is known as logistics outsourcing. It's also known as "contract logistics" or "3PL logistics," which refers to the use of outsourcers to handle logistics. At the time, logistics outsourcing only encompassed basic services like freight transportation and storage. A third-party logistics provider (or 3PL) provides a rented or owned class A or B warehouse.
Logistics Outsourcing Market, By Logistics Providers
· 3PL
· 4PL
· 5PL
· Others
Logistics Outsourcing Market, By Mode of Transportation
· Railways
· Roadways
· Waterways
· Airways
Logistics Outsourcing Market Regional Overview
The global Logistics Outsourcing market is divided into North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. North America commanded a major share of the market and is predictable to maintain its supremacy over the forecast period. Additionally, in order to attract economic customers, the market in the Asia-Pacific region has shown a stable and constant expansion through service improvements by enterprises. Companies must change their attention away from integrated services and toward a diverse product and service portfolio. With a greater emphasis on the growing B2C sector, logistics outsourcing will expand to include value-added and specialized services.
Logistics Outsourcing Market, By Geography
· North America (US & Canada)
· Europe (UK, Germany, France, Italy, Spain, Russia & Rest of Europe)
· Asia-Pacific (Japan, China, India, Australia, & South Korea, & Rest of Asia-Pacific)
· LAMEA (Brazil, Saudi Arabia, UAE & Rest of LAMEA)
Logistics Outsourcing Market, Key Players
· United Parcel Service of America, Inc.
· XPO Logistics, Inc.
· A.P. Moller - Marsk A/S
· DHL International GmbH
· Kuehne + Nagel International AG
· FedEx Corporation
· Deutsche Bahn AG
· Nippon Express Co. Ltd.
· DSV A/S
· SNCF Group
Frequently Asked Questions (FAQ) :
Q1. What are the driving factors for the global Logistics Outsourcing market?
Q2. What are the restraining factors for the global Logistics Outsourcing market?
Q3. Which segment is projected to hold the largest share in the global Logistics Outsourcing market?
Q4. Which region holds the largest share in the global Logistics Outsourcing market?
Q5. Which are the prominent players in the global Logistics Outsourcing market?
1. Introduction
- 1.1. Research Scope
- 1.2. Market Segmentation
- 1.3. Research Methodology
- 1.4. Definitions and Assumptions
2. Executive Summary
3. Market Dynamics
- 3.1. Market Drivers
- 3.2. Market Restraints
- 3.3. Market Opportunities
4. Key Insights
- 4.1. Key Emerging Trends – For Major Countries
- 4.2. Latest Technological Advancement
- 4.3. Regulatory Landscape
- 4.4. Industry SWOT Analysis
- 4.5. Porters Five Forces Analysis
5. Global Logistics Outsourcing Market Analysis (USD Billion), Insights and Forecast, 2020-2027
- 5.1. Key Findings / Summary
- 5.2. Market Analysis, Insights and Forecast – By Logistics Providers
- 5.2.1. 3PL
- 5.2.2. 4PL
- 5.2.3. 5PL
- 5.2.4. Others
- 5.3. Market Analysis, Insights and Forecast – By Mode of Transportation
- 5.3.1. Railways
- 5.3.2. Roadways
- 5.3.3. Waterways
- 5.3.4. Airways
- 5.4. Market Analysis, Insights and Forecast – By Region
- 5.4.1. North America
- 5.4.2. Europe
- 5.4.3. Asia Pacific
- 5.4.4. Latin America, Middle East and Africa
6. North America Logistics Outsourcing Market Analysis (USD Billion), Insights and Forecast, 2020-2027
- 6.1. Key Findings / Summary
- 6.2. Market Analysis, Insights and Forecast – By Logistics Providers
- 6.2.1. 3PL
- 6.2.2. 4PL
- 6.2.3. 5PL
- 6.2.4. Others
- 6.3. Market Analysis, Insights and Forecast – By Mode of Transportation
- 6.3.1. Railways
- 6.3.2. Roadways
- 6.3.3. Waterways
- 6.3.4. Airways
- 6.4. Market Analysis, Insights and Forecast – By Country
- 6.4.1. U.S.
- 6.4.2. Canada
7. Europe Logistics Outsourcing Market Analysis (USD Billion), Insights and Forecast, 2020-2027
- 7.1. Key Findings / Summary
- 7.2. Market Analysis, Insights and Forecast – By Logistics Providers
- 7.2.1. 3PL
- 7.2.2. 4PL
- 7.2.3. 5PL
- 7.2.4. Others
- 7.3. Market Analysis, Insights and Forecast – By Mode of Transportation
- 7.3.1. Railways
- 7.3.2. Roadways
- 7.3.3. Waterways
- 7.3.4. Airways
- 7.4. Market Analysis, Insights and Forecast – By Country
- 7.4.1. UK
- 7.4.2. Germany
- 7.4.3. France
- 7.4.4. Italy
- 7.4.5. Spain
- 7.4.6. Russia
- 7.4.7. Rest of Europe
8. Asia Pacific Logistics Outsourcing Market Analysis (USD Billion), Insights and Forecast, 2020-2027
- 8.1. Key Findings / Summary
- 8.2. Market Analysis, Insights and Forecast – By Logistics Providers
- 8.2.1. 3PL
- 8.2.2. 4PL
- 8.2.3. 5PL
- 8.2.4. Others
- 8.3. Market Analysis, Insights and Forecast – By Mode of Transportation
- 8.3.1. Railways
- 8.3.2. Roadways
- 8.3.3. Waterways
- 8.3.4. Airways
- 8.4. Market Analysis, Insights and Forecast – By Country
- 8.4.1. China
- 8.4.2. India
- 8.4.3. Japan
- 8.4.4. Australia
- 8.4.5. South East Asia
- 8.4.6. Rest of Asia Pacific
9. Latin America, Middle East and Africa Logistics Outsourcing Market Analysis (USD Billion), Insights and Forecast, 2020-2027
- 9.1. Key Findings / Summary
- 9.2. Market Analysis, Insights and Forecast – By Logistics Providers
- 9.2.1. 3PL
- 9.2.2. 4PL
- 9.2.3. 5PL
- 9.2.4. Others
- 9.3. Market Analysis, Insights and Forecast – By Mode of Transportation
- 9.3.1. Railways
- 9.3.2. Roadways
- 9.3.3. Waterways
- 9.3.4. Airways
- 9.4. Market Analysis, Insights and Forecast – By Country
- 9.4.1. Brazil
- 9.4.2. Saudi Arabia
- 9.4.3. UAE
- 9.4.4. Rest of LAMEA
10. Competitive Analysis
- 10.1. Company Market Share Analysis, 2018
- 10.2. Key Industry Developments
- 10.3. Company Profile
- 10.4. United Parcel Service of America, Inc.
- 10.4.1. Business Overview
- 10.4.2. Segment 1 & Service Offering
- 10.4.3. Overall Revenue
- 10.4.4. Geographic Presence
- 10.4.5. Recent Development
- 10.5. XPO Logistics, Inc.
- 10.6. A.P. Moller - Marsk A/S
- 10.7. DHL International GmbH
- 10.8. Kuehne + Nagel International AG
- 10.9. FedEx Corporation
- 10.10. Deutsche Bahn AG
- 10.11. Nippon Express Co. Ltd.
- 10.12. DSV A/S
Data Library Research are conducted by industry experts who offer insight on industry structure, market segmentations technology assessment and competitive landscape (CL), and penetration, as well as on emerging trends. Their analysis is based on primary interviews (~ 80%) and secondary research (~ 20%) as well as years of professional expertise in their respective industries. Adding to this, by analysing historical trends and current market positions, our analysts predict where the market will be headed for the next five years. Furthermore, the varying trends of segment & categories geographically presented are also studied and the estimated based on the primary & secondary research.
In this particular report from the supply side Data Library Research has conducted primary surveys (interviews) with the key level executives (VP, CEO’s, Marketing Director, Business Development Manager and SOFT) of the companies that active & prominent as well as the midsized organization
FIGURE 1: DLR RESEARH PROCESS
Extensive primary research was conducted to gain a deeper insight of the market and industry performance. The analysis is based on both primary and secondary research as well as years of professional expertise in the respective industries.
In addition to analysing current and historical trends, our analysts predict where the market is headed over the next five years.
It varies by segment for these categories geographically presented in the list of market tables. Speaking about this particular report we have conducted primary surveys (interviews) with the key level executives (VP, CEO’s, Marketing Director, Business Development Manager and many more) of the major players active in the market.
Secondary ResearchSecondary research was mainly used to collect and identify information useful for the extensive, technical, market-oriented, and Friend’s study of the Global Extra Neutral Alcohol. It was also used to obtain key information about major players, market classification and segmentation according to the industry trends, geographical markets, and developments related to the market and technology perspectives. For this study, analysts have gathered information from various credible sources, such as annual reports, sec filings, journals, white papers, SOFT presentations, and company web sites.
Market Size EstimationBoth, top-down and bottom-up approaches were used to estimate and validate the size of the Global market and to estimate the size of various other dependent submarkets in the overall Extra Neutral Alcohol. The key players in the market were identified through secondary research and their market contributions in the respective geographies were determined through primary and secondary research.
Forecast Model
