Global Retail Third Party Logistics Market – Industry Trends and Forecast to 2030

Retail Third Party Logistics Market Analysis and Size

Third-party logistics providers assist companies by reducing operational expenses to focus on their core business and produce high revenue. These services often provide businesses with added value across the entire supply chain process, resulting in a productive and profitable supply chain. The rising trend in the market for e-commerce has led to increased freight transport and created many business opportunities for 3PL suppliers. The growing focus on the core business activities, increasing growth of the e-commerce sector across the globe, decreasing cost of shipping by using third party logistics, rising number of trading activities due to globalization, rise in reverse logistics operations, technology penetration across the logistics sector are some of the major as well as important factors which will likely to accelerate the growth of the retail third party logistics market in the forecast period.

Data Bridge Market Research analyses that the global retail third party logistics market which was USD 4,38,871.10 million in 2022, is expected to USD 7,65,412.00 million by 2030, and is expected to undergo a CAGR of 7.2% during the forecast period. In 2022, Domestic transportation management (DTM) segment will hold the largest market share due to the increasing consumer demand in various sectors such as healthcare, retail, and others. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.

Retail Third Party Logistics Market Scope and Segmentation

Market Definition

Third-party logistics is a service that accepts shipments of stock, tracks warehouse inventory, picks and packs orders to send to your consumers, and keeps and manages warehouse inventory. The majority of 3PL warehouses dispatch orders for numerous e-commerce businesses and serve various clients. A 3PL is also referred to as a fulfillment company, warehouse, or center. The services offered by 3PL providers are the same as those of order fulfillment providers. These services typically consist of shipping, receiving, picking, packing, and inventory management.

Retail Third Party Logistics Market Dynamics

Driver

• High Benefits Offered by Third Party Logistics

Third party logistics is basically outsourced with operational logistics from warehousing to the delivery, this includes providing a number of services in the supply chain such as freight forwarding, packaging, order fulfillment, inventory forecasting, picking and packing, warehousing and transportation. Third party logistics offer wide range of benefits as it helps the business owners to focus more on the other aspects of business such as product development, marketing and sales. The high benefits offered by third party logistics are therefore acting as the major factor for boosting the growth of retail third party logistics market.

Opportunities

• Extended Execution of Supply Chain Footprint

With growing investments and digitalization, it has been seen that the supply chain execution in terms of warehousing and transportation has created vast opportunities in terms of e-commerce logistics. The role of supply chain authority to meet the customer’s need and from supplier end have evolved the role of supply chain with proper measures and maintaining the quality check has helped many e-commerce giant in establishing an extension of proper chain.

• Emergence of New Advanced Technologies

Logistics industry has been transformed by incorporation of more advanced technologies such as IoT and analytics. These technologies provide interconnection through internet services and helps in collecting and analyzing the data, thus increasing optimization and efficiency of the logistics. Third party logistics are using radio frequency identification (RFID) technology for tracking of devices and several companies are bringing out new advanced services and solutions for better performance of logistics, thus creating new window of opportunity for the growth of retail third party logistics market.

Restraint/Challenge

• Congestion Associated with Trade Routes

As traffic volumes and congestion grows on roadways and waterways, freight and transport service operators grow to be increasingly challenged to keep reliable schedules. This affects supply chains and truck-dependent businesses each of which are of growing significance for both public coverage and private region operators. Moreover, several accidents on roads or oil spills at sea can act as unexpected challenge for the third party logistics. Recent COVID-19 has also halted several logistics operation making severe damage to entire supply chain operations. These factors act as major restraint for the growth of Asia-Pacific third party logistics market.

This cloud-based computing market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the cloud-based computing market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Recent Development

• In May 2021, DSV, the Danish transport and logistics company, is expanding its position in the 3PL market through the implementation of AutoStore technology implemented by Element Logic. The AutoStore system and Element Logic’s proprietary software will provide a leading solution for e-commerce players. The solution will provide DSV’s clients a competitive advantage in the market

Global Retail Third Party Logistics Market Scope

Retail third party logistics market is segmented on the basis of service type, transport, and end-user. The growth among segments helps you analyse niche pockets of growth and strategies to approach the market and determine your core application areas and the difference in your target markets.

Service Type

• Dedicated Contract Carriage (DCC)/Freight Forwarding
• Domestic Transportation Management (DTM)
• International Transportation Management (ITM)
• Warehousing and Distribution (W and D)
• Value-Added Logistics Services (VALs)

Transport

• Roadways
• Railways
• Waterways
• Airways

End-User

• E-Commerce
• Apparel and Garment Sectors
• Perishables

Global Retail Third Party Logistics Market Regional Analysis/Insights

Retail third party logistics market is analysed and market size, volume information is provided by service type, transport, and end-user as referenced above.

The countries covered in the retail third party logistics market report are U.S., Canada and Mexico in North America, Brazil, Argentina and Rest of South America as part of South America, Germany, Italy, U.K., France, Spain, Netherlands, Belgium, Switzerland, Turkey, Russia, Rest of Europe in Europe, Japan, China, India, South Korea, Australia, Singapore, Malaysia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC)  in the Asia-Pacific (APAC), Saudi Arabia, U.A.E., South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA)

The U.S. will dominate the North America retail third party logistics market due to the prevalence of various market players along with rising demand for cold storage in the region while Asia-Pacific region will expect to grow in the forecast period of 2023 to 2030 due to the growing trans-regional trade corridors and gateways, increasing growth of the pharmaceutical, and automotive sector in the region.  

The country section of the report also provides individual market-impacting factors and changes in regulation in the market domestically that impact the current and future trends of the market. Data points such as down-stream and up-stream value chain analysis, technical trends, and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and the challenges faced due to large or scarce competition from local and domestic brands, the impact of domestic tariffs, and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Global Retail Third Party Logistics Market Share Analysis

The retail third party logistics market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the company's focus related to retail third party logistics market.

Some of the major players operating in the retail third party logistics market are:

• Agility (Kuwait)
• AmeriCold Logistics, LLC (U.S.)
• BDP International (U.S.)
• Burris Logistics (U.S.)
• C.H. Robinson Worldwide, Inc. (U.S.)
• CEVA (France)
• Schenker AG Kruppstraße (Germany)
• DSV (Denamrk)
• Deutsche Post AG (Germany)
• Expeditors International of Washington, Inc. (U.S.)
• FedEx (U.S.)
• Flexport Inc. (U.S.)
• J.B. Hunt Transport, Inc. (U.S.)
• Kerry Logistics Network Limited. (China)
• Kuehne+Nagel (Switzerland)
• NIPPON EXPRESS CO., LTD. (Japan)
• GEODIS (France)
• Ryder System, Inc. (U.S.)
• Schneider National, Inc. (U.S.)

SKU-57504