Value of the global e-commerce logistics services market 2022-2027 2023-09-01 przez iLabs - Kamil According to Statista.com, the value of the global e-commerce market reached USD 5.7 trillion in 2022[1]! And experts are forecasting its growth in the years to come. It is no secret that online sales have been driving the CEP industry for a long time now. The value of the global e-commerce logistics market is also set to grow significantly over the next five years. Close to EUR 700 billion in 2027 According to estimates by the research agency Transport Intelligence, the global market was worth more than EUR 418 billion in 2022, while the current year should close with a figure of over EUR 451 billion. The projected growth in the sector’s value up to 2027 is impressive. Worldwide customers are then expected to pay more than EUR 683 billion for e-commerce logistics services. This means that the market would have grown by as much as 63%[2]. Significant share of cross-border commerce logistics Retailers from different countries are looking for new markets abroad. Many online trading giants are now operating globally. In 2022, cross-border logistics services for the e-commerce industry totalled more than EUR 66 billion, which represented a share of almost 16%. In 2027, the figures are expected to look similar. The value of cross-border logistics services in this sector is to exceed EUR 114 billion, with a share of almost 17%. Logistics for e-commerce in Europe E-commerce is also the driving force of the European CEP sector. In 2022, the value of e-commerce logistics services in Europe reached EUR 81.638 billion. Interestingly, the share of cross-border operations in the region was lower than the global average, at just over 14%. The markets with the highest value are the UK (EUR 23.9 billion), Germany (EUR 16.49 billion) and France (EUR 12.14 billion), followed by Spain, Italy, the Netherlands, Switzerland, Poland, Sweden and Turkey. Signs are that the booming e-commerce market will favour the logistics industry in the coming years. Sources: [1] https://www.statista.com/topics/871/online-shopping/#topicOverview [2] https://i.gremicdn.pl/image/free/5415d1479c2ba975ae2b79d259026680/krzysztof-oflakowski?t=crop:1714:1063:nowe:88:0,resize:fit:1920:1189
Green Last Mile – what is it and how does it affect T&L? 2023-08-04 przez iLabs - Kamil Green Last Mile – what is it and how does it affect T&L? There is no doubt that transportation has a negative impact on the environment. However, with the right changes to the logistics chain, its impact can be significantly reduced. Here we discuss one of the latest trends, namely the Green Last Mile, and how it affects the T&L industry. What is the Green Last Mile? The Green Last Mile is a reference to the Last Mile Delivery, i.e. the final leg of delivery. It is extremely important, as it has the greatest impact on delivery time and the recipient satisfaction. Estimates show that it accounts for approximately 40–45% of operational costs. With the growing awareness of the need to take care of the natural environment and the resulting changes to laws and standards, the T&L industry is striving to be more eco-friendly. This is because deliveries, both on a global and local scale, generate immense CO2 emissions. The Green Last Mile is an initiative to reduce the impact of deliveries to final recipients. Sustainable supply chains include better route planning, reducing empty runs, and reducing the use of paper and plastic (e.g. packaging, waybills, documents). However, if logistics is to be more eco-friendly, changes are necessary at the last mile. The Green Last Mile and eco-logistics – what are the new trends in T&L? Last year’s Report by Last Mile Experts showed that solving the last mile emissions problem is difficult. The growing popularity of electric vehicles in cities is set to become the dominant trend now. However, fleets will only be replaced gradually due to the high costs involved and the insufficiently robust infrastructure, most importantly the small number of charging stations. One of the most important issues is optimising deliveries in the B2C channel. The most efficient solution, which is also well-received by customers, is the option to pick up deliveries out of home, i.e. at parcel pickup machines and PUDO (Pick Up Drop Off) points. In addition, carriers are highly likely to warm up to the idea of introducing cargo bikes and micro-hubs, which is already happening in Austria.
Logistics is getting closer to going paperless 2023-03-30 przez iLabs - Kamil Logistics is getting closer to going paperless Using conventional documents is not only time-consuming and inconvenient – it is also unsafe and unsustainable. More and more sectors are trying to implement the paperless policy. We will discuss the situation in the logistics sector! Why should logistics go paperless? Time is critical in logistics – all parties want the goods to be delivered as soon as possible. Each successive link in the supply chain involves many formalities. It takes a long time to complete them all using conventional methods, which is why many different solutions have been created to digitise and automate the preparation and exchange of documents. Unfortunately, many documents are still used in paper form, e.g., consignment notes, external issue documents or pallet receipts. Surveys conducted by GS1 Poland[1] showed that out of almost 30 thousand participants (manufacturers, logistics service providers, chain stores, etc.), 70% want to take part in the Paperless Project. So far, this has not translated into any actual actions. The Paperless Project – how is paper use reduced in logistics? The Paperless Project initiated in the middle of 2021 is based on standardised digital documents – the DESADV system, which includes many different electronic EDI messages. This can eliminate paper documentation, automating and streamlining the flow of goods and documents. Thanks to the Paperless Project: the accounting and payment process is quicker and shorter, the delivery process is initiated faster, manufacturers and suppliers can sooner notify the customers of any difficulties and take adequate action, manufacturers and suppliers can better predict their orders and adapt the availability of products in a flexible manner, delivery queues are shortened, enabling more effective planning of unloading operations, costs of document printing are eliminated, the amount of waste and negative environmental impact are reduced. Activities in the logistics industry aimed at switching to the paperless model to streamline costs and processes are not only cost-efficient and convenient – they have become a necessity today. [1] Source: https://logistyka.rp.pl/produkty-i-uslugi/art19138821-dostawy-bez-papierowych-dokumentow.
How cloud technology supports logistics operations? 2023-03-24 przez iLabs - Kamil How cloud technology supports logistics operations? Cloud solutions are convenient, cost-efficient and secure. They can be used to ensure the continuous operation of the supply chain and significantly streamline many different processes. We will explain how cloud technology can support logistics operations! How is cloud technology used in logistics? Logistics requires stable, resilient technological solutions for ongoing monitoring of the goods at every stage of delivery. However, creating and maintaining own IT resources is expensive and time-consuming. That is why the representatives of this sector follow the general trend and switch to cloud technology. This technology enables: the quick implementation of the required applications and systems, e.g., ERP, DMS or CRM, enabling the continuous monitoring of all business operations, using advanced software to manage supply chains, an efficient, available and secure data exchange inside and outside the company, the automation of formalities (e.g., creating and submitting documents), advanced analytics, enabling the monitoring of the situation at the company and more informed business decisions. The cloud for logistics – what are the benefits? The cloud is an environment that makes it easier to take on the challenges faced by the logistics industry. After implementing this technology, the company can expect many different benefits, the most important of which include the following: simplified management – better planning and fulfilment of designated tasks in real time; scalability and flexibility – the infrastructure adapts to changing demand and unforeseen circumstances, lower costs – investing in new solutions provides tangible profits in the long run and helps to reduce expenses; lower risk of errors and faster response to disruptions – access to advanced analyses and continuous monitoring to help predict risks and solve problems; security – data kept in the cloud are protected against unauthorised modification, loss, leaks or theft. Thanks to cloud technology, the logistics sector can grow dynamically to make deliveries even faster, safer and more profitable.