Amazon ad nauseum

January 7, 2020

... E-commerce has become a growth driver in all 3PL segments and working with or against Amazon remains a hot topic, notes Evan Armstrong, president of A&A.

The consultancy estimates 2018 U.S. e-commerce logistics costs were $141.6 billion, with no immediate signs of a slowdown.

“E-commerce presents many opportunities for 3PL providers, and is also bringing omni-channel business with it,” says Armstrong. “Furthermore, it can result in higher margins for 3PL providers, and its volatile volumes play well for non-asset-based companies.

According to Armstrong, manufacturers and 3PL providers continue to strategize on how to work with or against Amazon, while some are following FedEx’s challenges after its recent decision to discontinue direct business with this mega 3PL...

This was excerpted from the 6 January 2020 edition of Supply Chain Management Review.

Topic(s)

International Trade and Border Management

Information source

Industry Publication

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The foregoing information is provided for informational purposes only and is not intended as, nor should it be considered, professional advice or a substitute for conducting your own thorough research and review. Before making any decisions or taking any action based on the information provided, you should conduct your own independent investigation and/or seek professional advice from a qualified expert in the relevant field. The CSCB disclaims all liability for actions taken or not taken based on the information provided.

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