Research Snappy
  • Market Research Forum
  • Investment Research
  • Consumer Research
  • More
    • Advertising Research
    • Healthcare Research
    • Data Analysis
    • Top Companies
    • Latest News
No Result
View All Result
Research Snappy
No Result
View All Result

3PL Market Expected to Grow at a CAGR of 4.5 Percent by 2020, Says Beroe Inc

researchsnappy by researchsnappy
January 19, 2020
in Healthcare Research
0
Global Sea Food Market Currently Estimated at $147.04 Billion, Says Beroe Inc
399
SHARES
2.3k
VIEWS
Share on FacebookShare on Twitter

RALEIGH, North Carolina, March 28, 2019 /PRNewswire/ — The global freight forwarding market, which is an integral division of 3PL services, is expected to grow at a CAGR of 4 – 4.5 percent until 2020, according to Beroe Inc, a procurement intelligence firm. The global 3PL industry is witnessing growth largely due to the increase in e-commerce and trade activities.

The sea freight market is expected to grow at 2 – 2.5 percent CAGR until 2025 as there is a high and low (cyclic) pattern between air freight and sea freight based on the volume of the freight exported. To boost the air freight and sea freight revenue and tonnage, forwarders are focusing more on industries such as perishables, pharmaceutical, retail, and e-commerce.

https://www.beroeinc.com/category-intelligence/3pl-services-market

Beroe, which is based in North Carolina, further stated that procurement experts can access this report on its recently launched market intelligence platform Beroe LiVE: live.beroeinc.com

The cost structure of 3PL services showcases that value-added service is the major cost component in the consolidation services with most activities being labor intensive. In the U.S., labor overtime rate is approximately 1.5 times higher than the normal rates, and in China, the overtime rate is approximately 1.1 times higher than the normal rates.

Global 3PL service providers offer one-stop-solution for customs brokerage, and customs-related solutions can be outsourced to a single player at a global level, instead of hiring a number of brokers at a local/national level. Outsourcing would ultimately accelerate the coordination; thereby resulting in faster customs clearance.  

Key Findings:

  • Freight providers operate at a relatively low margin of 1 – 4 percent and are highly sensitive to decline in profitability as the business model is dependent on cargo trade, carrier costs, and revenue management.
  • Costs of 3PL carriers can be indirectly influenced by forwarders by having sale economies, which leads to a lower cost per shipment. Additionally, freight forwarders should have matured purchasing strategy and pro-active capacity management in order to control the operating costs.
  • The disproportionate variation in revenue and carrier costs will lead to a reverse effect in profitability; hence, the freight forwarders should have matured revenue management strategies with relevant cost-cutting measures.
  • 3PLs provide advanced technology solutions, which help in tracking the consignment and its movement precisely, while also increasing global visibility, imaging, and reporting capabilities.
  • 3PLs are organized and they continually update compliance requirements such as paperwork involved, taxes, and excise duties of each country in which they operate.
  • Air freight shippers with global operations on an average have engagements with 6 – 10 freight forwarders for their annual volume, which amount to 85 – 90 percent of the volume, which is considered to be the benchmark for a highly consolidated supplier base.
  • Freight forwarders are positioned as intermediaries between shippers, carriers, and consignees, and their activities include booking cargo space with the carrier, route planning, documentation, export packing, insurance, temporary storage in a warehouse, and collection & delivery of the consignment.

The research methodology adopted for the report included:

  • Experts with twenty years of domain experience
  • Interaction with buyers
  • Inputs from supply chain partners

The reverse logistics overview of 3PL services globally analyzes that holiday season contributes to the highest profit rates with the total cost of $63 billion being generated only in the U.S. The reason for this growth is the e-commerce industry’s returns policies, which are the major drivers for product returns, wherein the customers are given free return/exchange options for the product purchased.

The report also includes:

Market Analysis:

  • 3PL Industry – Market Overview
  • Overview of Logistics Services Offered by 3PL Players
  • Freight Forwarding – Market Overview
  • Freight Forwarding – Consolidation and Deconsolidation Models
  • Customs Brokerage – Market Overview
  • Customs Brokerage – Regional Overview
  • Customs Certification Programs
  • Reverse Logistics – Market Overview

Sourcing Best Practices:

  • Cost Structure for Freight Forwarding
  • Cost Structure for Customs Brokerage
  • Cost Structure – Consolidation/Deconsolidation Services
  • Cost Model – Reverse Logistics Services
  • Engagement Practices
  • Contract Models

Service Provider Analysis

  • 3PL Industry Structure
  • Service Provider Landscape
  • Global Freight Forwarding and Customs Brokerage Service Providers
  • Service Provider Analysis

About Beroe Inc.:

Beroe’s unique business model involves providing market intelligence and analytics to the procurement teams of businesses across the globe. Beroe leverages its deep domain expertise in 300 + categories across 14 industries. It boasts of more than 80 of the Fortune 500 companies as its clients.

To learn more about Beroe Inc, please visit http://www.beroeinc.com

Media Contact:
Debobrata Hembram
[email protected]

SOURCE Beroe Inc.

Previous Post

Global Ultra-thin Sheet Glass Market Geographical Survey 2020 – Consumer Electronics, Automotive, Biotechnology – Dagoretti News

Next Post

Conservation group still looking for funds to buy Lake Caledon | Local

Next Post
Conservation group still looking for funds to buy Lake Caledon | Local

Conservation group still looking for funds to buy Lake Caledon | Local

Research Snappy

Category

  • Advertising Research
  • Consumer Research
  • Data Analysis
  • Healthcare Research
  • Investment Research
  • News

Pa. Republicans reconsider Pitt funding over fetal tissue research, college voucher program

Arthur Pharma Closes Series A Financing Round

YouTube and the Achilles Tendon: An Analysis of Internet Information Reliability and Content Quality

  • Privacy Policy
  • Terms of Use
  • Antispam
  • DMCA
  • Contact Us

© 2022 researchsnappy.com

No Result
View All Result
  • Market Research Forum
  • Investment Research
  • Consumer Research
  • More
    • Advertising Research
    • Healthcare Research
    • Data Analysis
    • Top Companies
    • Latest News

© 2022 researchsnappy.com