A FREIGHTOS
study, arising from a survey of 90 logistics professionals from its
Hong Kong base, has determined three main threats to the traditional forwarding
business model.
They
are:
1)
Eroding
margins and commoditisation of core logistics services.
2)
Higher
and more volatile expectations from customers of greater transparency;
more-frequent, market-relevant pricing; and enhanced supply chain IT support.
Within the changing supply chain expectations from customers, the trends were
primarily manifested in shorter contract lengths, increased spot quoting, and
provider consolidation.
3)
Emerging
players including technology giants.
Eroding
margins and commoditisation of core logistics services mean that "the
first substantive change logistics providers face is to their bottom
line", said Frieghtos, an online marketplace putting buyers and sellers of
logistics services together.
Said
Freightos
CEO Zvi Schreiber: "Our survey finds evidence that freight's
senior business leaders are finally gearing up to adopt new technologies for
automating freight sales. 2016 will be the year where freight finally goes
online."
Source
: HKSG.
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