Air freight is not as competitive as it could or should be. There has been a modal shift; roughly 400,000 tons have been lost to ocean each year since 2000. Part of this is beyond the control of the industry. But it is partly due to the fact that air is just not as fast, seller’s shipping dock to the customer, as it should be.
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Archive for Logistics Trends
Brexit will have a minimal impact on global supply chains. The U.S. presidential election could have a much bigger impact. And changes in EU tax enforcement, the most of all.
Read More →The young companies that are poised to transform the supply chain management profession fall into a relatively few categories. The most interesting start-ups we are seeing have business models based on the sharing economy, the Internet of Things (IoT), predictive analytics, and robotics. The Sharing Economy: Five companies are very interesting: Flexe, Deliv, Doorman, Transfix, and Shyp. Flexe describes itself as a marketplace for warehouse space. It is a cloud-based marketplace platform analogous to airbnb. […]
Read More →As well as 2015 being the warmest year since records began (in 1850), it was also pretty hot 12 months in the area of business mergers and acquisitions, which hit a new high of $4.3 trillion in deals struck. Specifically in the logistics industry, several so-called mega deals led to a near year-on-year doubling of M&A value to $173 billion, according to data from PwC. Prominent among the 2015 deals: FedEx’s $4.8 billion grab for […]
Read More →The 3PL market has experienced further declines in the 4th Quarter.
Read More →Uber has disrupted the taxi industry. Can anyone copy the Uber model and disrupt the freight market? That question is generating a great deal of discussion among logistics executives with the “last mile” freight market generating the most buzz. Transporting goods long distances can be done far more cost efficiently than the delivery of the last few miles when goods arrive in congested metropolitan areas. Last mile delivery has taken on added urgency as traditional […]
Read More →Descartes Systems Group held its annual user conference last week in sunny West Palm Beach, FL. This was my first time attending the event, and it did not disappoint. There were over 400 attendees at this year’s conference, making it their biggest yet. The theme of the conference was “Logistics in Motion – Company in Motion.” This was certainly an aptly named theme. Descartes as a company is certainly in motion, with revenue growth over […]
Read More →What is happening to global trade? You may ask, “What do you mean?” Well, I think a quote from a World Trade Organization (WTO) September press release describes the situation the best: “If current projections are realised, 2015 will mark the fourth consecutive year in which annual trade growth has fallen below 3 per cent and the fourth year where trade has grown at roughly the same rate as world GDP, rather than twice as […]
Read More →Flashback to 2013, just three short years ago, and you will be reminded of an unstable shipping market with high freight demand and capacity issues for shippers. Today, the slowing global growth of the economy and success of the omni-channel world have shifted those challenges. Multi-channel retailers are working to keep up with consumer expectations created by eCommerce companies. And with the increased demand from consumers, shippers are now faced with even more pressures from […]
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Supply Chain Brief
The Challenge of Profitable Shipping in an OmniChannel World
The need to provide online customers with transparency to shipping costs is well known. According to KISSmetrics, unexpected shipping costs account for nearly one-third of all abandoned shopping carts. And the importance of providing online shoppers a variety of service levels is also understood – the 2015 Pitney Bowes Annual Shipping Survey found, 93% of consumers indicated shipping options to be an important factor in their overall shopping experience – a 23% increase over 2014. […]
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