Third-party logistics

Third-party logistics

What is third-party logistics?

Third-party logistics (3PL) is a service provided by companies to outsource their logistics and supply chain management. This involves transportation, warehousing, and distribution of goods. 3PL providers offer a range of services to their clients, including inventory management, order fulfillment, and freight forwarding.

Market growth for 3PL

The logistics services market, including 3PL and 4PL, is set to experience significant growth between 2023-2028. According to a recent report by DHL Supply Chain, the market size is expected to surge due to the rise in e-commerce and globalization. This growth presents an opportunity for 3PL providers to expand their services and offerings to meet the increasing demand.

As companies look to streamline their operations and focus on their core competencies, outsourcing logistics and supply chain management to 3PL providers has become a popular solution. With the market growth projected in the coming years, the demand for 3PL services is only expected to increase.