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90% of leading 3PLs see value-added services as a key differentiator says report
3PLs will need to expand their offerings in order to compete, such as better options to track and trace shipments
In a new research study released by Nulogy in partnership with Adelante SCM, 90% of surveyed third-party logistics companies (3PLs) see value-added services as a key differentiator to business. These survey respondents agreed that "over the next three years, co-pack/value-added services will become a greater competitive differentiator" for logistics providers.
Other key findings from the survey include:
- Reliable quality of service, quick turnaround time, and on-time in-full fulfillment were identified as the top factors in acquiring and retaining clients for co-pack/value-added services;
- Gaining better visibility into production efficiency and bottlenecks was seen as the top contributor to driving better performance in co-pack/value-added services; and
- Forward-thinking 3PLs demonstrated a greater co-pack software adoption rate compared to the remainder of respondents.
"Today's retail needs to accommodate the personalized needs of consumers through expanded product selection and channel diversification," says Jason Tham, CEO at Nulogy. "In response, brands are becoming increasingly reliant on strategic suppliers who can help them bring customized products to market with ease and speed—which means that 3PLs who can outcompete in value-added services are positioned for market success."
"Providing value-added services within the distribution centre helps streamline our operations by creating complete traceability along with the flexibility that our partners look for in a logistics provider," comments one survey respondent, Director of Business Development for a global 3PL. "Not only does it allow for transparency for our customers, it also plays a major role in lowering overall costs and increases productivity and speed to market."
Read the full report "Gaining a Competitive Advantage Through Value-Added Services" at https://see.nulogy.com/3pl-competitive-edge/.