Acumen Research and Consulting estimates that global third party logistic (3PL) market is expected to reach the market value of around US$ 1,754 Bn by 2027 and is anticipated to grow at a CAGR of around 9.6% in terms of revenue during the forecast period 2020 – 2027.
The logistical resources of third parties help businesses concentrate on their core market and achieve high profits by raising running costs. Such facilities often bring value to businesses in the supply chain cycle and result in an effective and productive supply chain. The growing trend in e-commerce has led to increased freight transport and has offered 3PL suppliers many business opportunities.
The report provides analysis of global Third Party Logistic market for the period 2016-2027, wherein 2020 to 2027 is the forecast period and 2019 is considered as the base year.
As a result of massive globalization, the rise in global trading activities is a key driver in the target market development. The competition is driven by the need for suppliers and distributors who know and think otherwise in core competences. This leads to a global increase in e-commerce business and influences the market thereafter. However, reticence on the part of businesses and organizations to focus on individual companies to settle logistics activities will interfere with market development. Digital technology is expected to drive market growth over the predictable period in order to digitize the process.
Asia Pacific region is anticipated to dominate the market led by China. The third-party logistics market of Asia Pacific was the largest generator of sales in 2019. Increasing regional growth is due to economic growth mainly in India and China. Economic revival, the implementation of the Goods and Services Tax (Goods and Services Tax) and the increased penetration of E-Commerce are the key factors contributing to the industry growth of India.
The market research study on “Third Party Logistic Market (Third Party Logistic Market By Transportation Mode: Roadways, Airways, Railways, Waterways; Third Party Logistic Market By Service: Domestic Transportation Management, Warehousing & Distribution, Dedicated Contract Carriage, International Transportation Management, Others; Third Party Logistic Market By End Use: Food & Groceries, Automotive, Technological, Healthcare, Retailing, Elements, Others) - Global Industry Analysis, Market Size, Opportunities and Forecast, 2020 - 2027) - Global Industry Analysis, Market Size, Opportunities and Forecast, 2020 - 2027” offers a detailed insights on the global Third Party Logistic market entailing insights on its different market segments. Market dynamics with drivers, restraints and opportunities with their impact are provided in the report. The report also provides competitive landscape to understand the current stance of particular player. The report covers global Third Party Logistic market size, and segment markets by transportation mode, service, end use and geography along with the information on companies operating in the market. The Third Party Logistic market analysis is provided for major regional markets including North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa. For each region, the market size for different segments has been covered under the scope of report.
The global Third Party Logistic market is segmented as below:
Third Party Logistic Market By Transport Mode
Third Party Logistic Market By Service
Domestic Transportation Management
Warehousing & Distribution
Dedicated Contract Carriage
International Transportation Management
Third Party Logistic Market By End Use
Food & Groceries
Third Party Logistic Market By Geography
Middle East & Africa
Key Players and Market Situation
Participants include major global players such DB Schenker, C.H. Robinson Worldwide, Inc., DHL INTERNATIONAL GMBH, NIPPON EXPRESS, FedEx, Burris Logistics, BDP International, Ozburn-Hessey Logistics, LLC. and Others.
The market is highly competitive and fragmented with several big enterprises forming strategic alliances in logistics with small or mid-sized enterprises. Significant regional players were observed to join new regions and boost their geographical presence for companies. With customized and industry-specific services, new competitors enter the 3PL markets.
The 3PL players have demonstrated their willingness to work with other players to reduce their costs and leverage in a mutually competitive way. Therefore a wide number of alliances, variations and acquisitions exists in the industry. There are a great number of new and emerging players in the Asia-Pacific area. Significant regional players were observed to join new regions and boost their geographical presence for companies.
Increasing outsourcing of major transportation is a key driver of the market.
The market value of third party logistic is anticipated to be around US$ 1,754 Bn in 2027.
It is anticipated to grow around 9.6% CAGR amid the forecast period 2020-2027.
DB Schenker, C.H. Robinson Worldwide, Inc., DHL INTERNATIONAL GMBH, NIPPON EXPRESS, FedEx, Burris Logistics, BDP International, Ozburn-Hessey Logistics, LLC. and others are the prominent players in the market.
Asia Pacific is projected to grow at a fast pace during forecast period 2020-2027.
Loss of direct control on the logistics service.
Asia Pacific held maximum share in 2019.