THE POTENTIAL OF DIGITALIZATION IN LOGISTICS & TRANSPORTATION
The transportation and logistics industry has faced an interesting shake-up in recent years. On one side traditional logistics companies are suffering from underutilization of assets due to old, inefficient manual processes and outdated customer services. On the other side, traditional urban freight models are being challenged by new logistics ideas driven by technological opportunities, new customer demands and entrepreneurial skills. Big tech companies and corporates, as well as startups, are developing completely new business models adding to the digital disruption in the logistics industry.
Specifically for small companies in the logistics industry, the development shows that digital platforms are becoming increasingly important to have a global reach and compete with the sector’s established giants. In the logistics industry, transforming the customer’s experience is a central issue and requires introducing digitalized transactions, technology, and relevant software solutions.
Logistics industry is still trailing behind
- Old and inefficient manual processes as well as outdated customer interfaces, which serve to decrease response times, leave traditional logistics companies in a disadvantageous position
- The logistics industry contributes to 13% of all emissions globally. The COP21 Agreement in Paris allows industry stakeholders to develop safe and trustworthy approaches to more environmentally friendly technologies such as transport management software solutions1
- Delayed responses occur since customers still need log an online request for a quote, which then will be followed up by email or a phone call often a day or more later
- Most logistics companies provide limited online services as only 6% of the largest ocean carriers and freight forwarders have end-to-end online booking capabilities2
- Imperfect forecasts potentially lead to lost income. In order to better understand customer needs, digitally gathered data makes it possible to improve the accuracy of forecasts regarding freight demands
- Traditional urban freight models are going to be challenged by new logistics ideas, which are driven by technological opportunities, new customer demands and entrepreneurial skills. The new innovative business models will increase the competition for customers attention
The digital age provides major opportunities
Adapt to customer needs
Logistics providers are in the advantageous position that they have enormous amounts of data available, which are related to customer habits and preferences. As a result, the data can help in creating new business models that are adapted to the needs of the customers
Optimized workflows & logistics processes
The digitization of the entire process from planning to delivering and returning would allow the further improvement of logistics processes. Equally, digitization would optimize workflows, and give users access to real-time information
Value & societal benefits
The logistics industry would benefit massively from digital transformation as a study shows that there is $1.5 trillion of value at stake for logistics players and a further $2.4 trillion worth of societal benefits, as result of it, up until 20253
Optimized shipping processes
Through the implementation of technology and software solutions, the management of shipping processes could be optimized. Having real-time information about delays or incidents allow for the possibility to react immediately and provide alternative route changes or shipping methods as well as a reduction of administrative costs by incorporating electronic documents
Our Logistics Networking Event
Munich, May 2023 | We welcomed 80+ representatives from forward-thinking and leading logistics companies to a networking event at our Munich headquarters, co-hosted with Alpega, Customs Support, and Shippeo. During the event, we discussed pressing issues such as decarbonization, green tech, and the effect of future developments of AI and IoT on the supply chain and logistics industry. Sustainable logistics involves more than just switching to clean energy - it requires rethinking supply chain design, reducing waste, and optimizing delivery routes to minimize emissions. As the industry evolves, technology & data-driven solutions become increasingly crucial for efficiency, cost reduction, and customer experience. Click here to explore impressions and insights from the event!
Our expertise
We assist global logistics and transport software management providers in digitalizing their core operations and driving value creation. Customer experience is key in the logistics industry and we support our clients in gaining visibility through a holistic digital marketing & channel strategy. In addition, we provide a range of solutions to our clients from the development and implementation of B2B e-commerce solutions, marketing automation strategy and brand management to the optimization of the lead to sales funnel.
Our international team has assisted >2,000 realized projects in digital strategy, digital operational excellence, data science, and transaction advisory services. With a team that speaks over 20 languages, and a 50% female-male ratio, we ensure both effective communication and representation throughout the advisory process.
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Development and Execution of a Customized Digital Growth Strategy
How we help our clients
The Alpega Case
Alpega is a leading B2B logistics software company that offers end-to-end solutions for all transportation needs, including Transport Management Systems (TMS) and freight exchanges. The company software solution allows for the automation of customer’s logistic flows worldwide and is operated in more than 80 different markets around the world. Despite a very well-established presence and positioning, Alpega faces strong competition across all markets and operates across relatively mature digital markets, creating a need for sophisticated lead generation strategies, automation and sales excellence
- +38% branded search volume CAGR 20-22
- +102% lead quality increase YoY Q1 22-23
The Amazon Case
Amazon continuously aims to create new opportunities, striving to not only make customer service better but also more flexible. As a result, in 2019, amazon introduced amazonFlex to the German market. With amazonFlex, individuals can become a delivery partner and earn money, delivering amazon packages in their area of convenience
- 160,000 leads generated, to include a 20% increase in monthly leads
- 15% in CR
- 20 channels integrated in a dynamic dashboard
The Transporeon Case
Transporeon GmbH is a fast-growing, mid-sized German company with >700 employees, established in 2000. The company’s AI-driven, cloud-based software offers end-to-end transportation solutions, allowing manufacturers, retailers, and carriers to digitalize their transportation logistics processes entirely. Presently, the platform links >1,200 industrial and commercial companies with 100,000 carriers and handles €20 billion in freight each year.
- Website merger of 4 individual websites
- Professional end-to-end website relaunch
- Setup and support of B2B digital lead generation