+1 800 967-0030

Best Year Ever For Supply Chain & 3PLs?

According to the Council of Supply Chain Management Professionals (CSCMP) “State of Logistics Report,” it’s never been a better time for the Supply Chain & 3PLs.

The State of the 3PL Industry

The report contained industry insights that help members of the CSCMP do their jobs better and prepare for changes that will affect the entire industry. Knowing the place that logistics and supply chain management hold within the larger economy is key – and this year’s report showed massive growth.

In 2014, U.S. business logistics costs rose to $1.45 trillion, which represented a 3.1 percent increase from the year prior. This is great news overall, however, in comparison to the gross domestic product (GDP), the logistics industry shrank from 8.4 to 8.3 of the GDP.

Growth Overall Helps Everyone Related to 3PL

Even with this “shrinking,” 2014 saw the best year for the supply chain and logistics industry in some time. The transportation sector alone grew by 3.6 percent in 2014, which was the result of stronger shipment volumes. Overall, new job creation was consistent, real net income and household net worth was strong and inflation was low-to-moderate throughout last year, which gave consumers additional buying power. These increases translated into more ordering and more shipments.

With increases in consuming spending, freight shipments climbed as retailers were more frequently replenishing their inventories. Companies are using their supply chains to positively affect and further drive competition, innovation and business in general. Logistics providers – and good 3PLs – are in higher demand than ever.

September 29, 2015
Share This:

Related Posts

RECENT POSTS

Questions to ask 3PL Providers Before Outsourcing

As an e-commerce business owner, making the leap to outsource your fulfillment to a third-party logistics (3PL) provider is a major step. It's a decision that can take your business to new levels of efficiency, scalability, and customer satisfaction—but only if you...

Is Your Business Ready for Bikini Season?

Are you ready for bikini season 2024? And we don’t mean stocking up on sunscreen, increasing your workout schedule, or planning your summer getaway. If your online store caters to the summer’s most in-demand items, now is the time to get your inventory and online...

5 Clothing Fulfillment Challenges and How ShipWizard Solves Them

Are you ready to dress your e-commerce business for success, your brand for your runway? Clothing is one of the most popular e-commerce categories. The online share of total retail sales of apparel and footwear in the US was 34.4% in 2021 - that means 34.4% of...