The logistics industry and transportation industries are highly influenced by technological innovations. Technological innovation continues to evolve traditional logistical operations, driving the logistics and transportation industry to adopt the latest technological trends.
The huge investments in logistical technologies indicate high demand in the field of logistics and transportation. Businesses have now realized the virtues of optimization of logistics and the potential logistics extend a high competitive edge to their supply chain
Government initiatives and efforts to build strong and resilient logistics in India are also contributing huge contributions to making logistics the center of every successful business.
Technological trends in Logistics indusrty in 2022.
E-commerce is the face of every growing successful and capitalized business. Every successful business is now providing delivery services to the customer.
According to CBInsights, investors have been increasing their participation since 2012 in this sector. CBInsights also estimated the maximum revenue belonging to the organization that uses software programs to enhance the efficiency of its logistics and supply chain operations. Studies suggest that investors have woken up to the virtues of logistics startups and the funding has almost doubled in the logistics tech startup since last year.
Here let’s see the current issues faced by the logistics sector, which as a logistic startup, your organization can use to benefit your business by finding software solutions, or by creating a mobile app for such problems.
1. Empty returning trucks-
An on-demand application like Uber X is an example of an app platform that includes the service provider, service specialist, and customers who need services for deliveries or doorstep services. Customers can get the required service experts from this app.
The organization that transports goods only by trucks suffers losses as most of the trucks have to return empty after delivering goods, which is a waste of resources. This space is sometimes utilized by the middle agents for a few orders but their commissions cover a large share of the profit. Dispatch tracking software for trucking allows logistics companies and truckers to get orders from companies that need to transport their goods without the interference of any agents. The service providers or the logistics app charges fees for each order, which is much cheaper than the agent’s commission.
2. Storage space optimization
The growth of e-commerce, and demand-on delivery service has encouraged warehouse space optimization. The warehouse’s nonavailability and growing rents are the influencing factors for the solution for optimizing the warehouse or storage space optimization.
3. Cloud technology application
The application of cloud technology to the logistics and supply chain operations enhances the efficiency of the logistics operation in many ways
1)Cloud technology enables easy labor distribution in the logistics supply chain.
2)Cloud applications are less expensive, which reduces risk and enables businesses to try new applications with lower expenses.
3) Cloud application also allows usage all over the world even if the facilities are located in faraway places.
4)Cloud application improves customer satisfaction and reduces wastage of resources by automating key operations and providing real-time visibility to the transporters and the customers.
The Who's Who list of startups in logistics industry
The logistics industry trends and technological innovation have influenced startups in the logistics industry.
Here’s the list of Who’s Who of the startups in the world of logistics who managed to benefit from the business opportunities in the sectors.
Transporteca was founded in Copenhagen and is now mostly involved in shipping from Asia to Denmark. Transporteca has extended its network across the world.
This website offers features for comparing the prices of transportation of cargo by sea as well as by other transport operators. This helps the shippers and the businesses who have to transport their goods to various places, choose the right transportation at the most suitable costs.
PiggyBee is a very innovative unique platform that offers its users who need transportation with travelers help.
UberCARGO is now only accessible in Hong Kong. This platform offers customers to book a truck, which comes within minutes and customers can load their goods in the truck. It also offers real-time visibility and traceability to the users. The user can also go along in the truck as a passenger.
Flexport is a platform that offers air transportation and water transportation. It also provides insurance services. This platform offers customers a feature to compare options, book transportation, and also help in tracking and managing their deliveries.
TruckTrack is an application that is based on cloud technology, which provides all the statistical data and explains the key indicators of the business. It also provides suggestions for the optimization of business.
SOLOS is a modular digital platform that automates logistics processes seamlessly, helping companies get overall visibility of their supply chain execution, a complete P2P solution. It offers visibility and traceability of cost to serve and a 10 to 15% saving potential on the cost of acquisition of logistics.
These are some of the best Logistics Startups that are offering solutions to problems faced in logistics. They help in enhancing the efficiency of logistics activities and also ease and optimize their existing business.
Business models and ideas for logistics Industry-Based startups
Expert specific freight forwarders –
By choosing a specific type of freight for transportation, like large items, food or edible goods, perishable goods, or other delicate goods, you can find a niche for your business startup and will have to focus only on the customers who need transportation and other logistics services for such items.
You can offer a platform for customers and sellers of livestock for transportation, real-time tracking, online paperwork, etc, which would ease their logistic needs. You can communicate with the customers and understand the specific requirements and provide the best possible solutions with your startup.
Logistics operations include complex processes. Logistics solutions like automation and digitization of operations and integration of all processes can be an excellent way to enhance the supply chain performance.
Optimizing the Supply Chain –
By offering all different modes of transportation for the delivery of cargo, you can optimize supply chain management.
Different logistics services like transportation, warehousing, or doorstep services can be provided on demand on your startup platform. Market analysis and research may help you specify the segment of demand in the market
Warehouse space optimization
The increasing demand and high cost of warehousing have now created the need for outsourcing the warehouses, which also helps businesses in saving money and effort. You can provide warehouse platforms with efficient management of storage space. Thus helping customers save resources and effort in the smooth running of their supply chain.
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