Demand for third party logistics (3PL) services is growing all over the world with the global market being estimated at $974.6 billion (£872.5 billion).
And the appetite for 3PL is expected to increase further with experts predicting the industry will grow rapidly over the next four years, reaching an estimated $1.3 trillion by 2026. This would be a compound annual growth rate of eight per cent.
The increased popularity of 3PL services was initially fuelled by the Covid-19 pandemic, which saw more businesses selling online due to the forced closures of non-essential shops during lockdown. However, supply chain issues and international instability caused by Brexit, the Russian invasion of Ukraine and other global events means businesses have continued to turn to 3PL providers to ensure they can meet the needs of their customers and avoid stock issues and shipping delays.
Rising costs also means businesses are turning to 3PL providers as they look for ways to reduce their overheads, become more efficient and optimise their supply chains.
A report by Researchandmarkets.com estimates that the 3PL market in the US is currently worth $237.6 billion – about a quarter of the entire global market. But the Chinese market for 3PL is expected to grow rapidly in the next four years and is predicted to reach $328.4 billion by 2026.
The European 3PL market is expected to climb to $358.9 billion by 2026.
AP+ specialises in offering end-to-end 3PL, storage and fulfilment solutions to manufacturers and retailers operating in the furniture and homeware sectors. Based in the UK, we have a purpose-built warehouse in a strategic location, offering storage solutions for stock.
We also use the very latest technology to manage and fulfil orders, pick and pack stock and arrange delivery directly to the customer using the most cost-effective and efficient carrier available. Our warehouse management system means we can offer complete inventory management, live stock updates and full traceability, ensuring orders are fulfilled as soon as they are placed.
At AP+, our aim is to act as an extension of our clients’ businesses, helping them reduce their costs and increase their customer satisfaction. To find out more about our services, contact our team today.
