Driving Operational Efficiency and Realizing Savings of Over $1.2 Million for a Transportation Services Provider – Market Intelligence Engagement
Transportation Services Industry Overview The global transportation services market is expected to witness positive growth over the coming years due to the rising government infrastructure investments, improved economic conditions, rise in industrial production, and the growing e-commerce industry. However, rapid fluctuations in fuel prices, driver shortage issues, expansion in 3PL / 4PL providers, and expanding [...]
Transportation Services Industry Overview
The global transportation services market is expected to witness positive growth over the coming years due to the rising government infrastructure investments, improved economic conditions, rise in industrial production, and the growing e-commerce industry. However, rapid fluctuations in fuel prices, driver shortage issues, expansion in 3PL / 4PL providers, and expanding use of technology tools are still increasing challenges for transportation services providers. Also, ‘cutting transportation cost’ has continued to be one of the top challenges of companies operating in the transportation services industry. These challenges have put immense pressure on transportation services providers to rethink decade-old supply chain models to remain competitive and deliver improved customer service.
The client is a transportation services provider based out of Canada.
Our client, a transportation services provider, wanted to expand their business operations in the United States. However, the client noted that rising fuel prices, driver shortage issues, and proliferation of technology tools posed immense challenges for companies operating in the US transportation services industry. Therefore, before investing a huge sum into the US expansion plan, the client wanted to thoroughly analyze the US transportation industry challenges, opportunities, and competitive landscape. To do so, they approached the experts at Infiniti Research to leverage their expertise in offering market intelligence solution.
Other key objectives the transportation services provider was looking to achieve by leveraging Infiniti’s market intelligence solution were:
- As rising fuel prices were increasing transportation costs for US shippers, the client wanted to identify initiatives undertaken by the top companies in the US transportation services industry to cut down transportation cost.
- As US customers demanded complete transparency into where their delivery is at all times, the client wanted to identify cost-effective technologies that their competitors invested on to track real-time inventory data.
- The client needed help in identifying 3PL/4PL providers in the United States to support them in supply chain distributions at times of high demand.
- As reverse logistics was becoming important in every e-commerce business, the client wanted to devise an efficient reverse logistics platform. Also, they wanted to monitor how their competitors effectively managed the reverse logistics process and ensured customer satisfaction.
To help the client deal with the rising industry challenges, our experts followed a four-phased approach.
- Market scanning and monitoring analysis to help review potential barriers to US market entry, identify regional market development, industry trends, and cost-effective initiatives.
- A competitive intelligence study to identify and analyze the top companies in the US transportation services industry. The experts also identified the technologies and processes leveraged by the top transportation services companies. Besides, the experts analyzed the cost-effective measures undertaken by the key competitors to cut down on transportation cost and manage reverse logistics processes.
- A demand management study to forecast the potential demand for the product in advance and manage inventory accordingly.
- A market assessment study to evaluate the technology market landscape and identify growth opportunities.
Our market intelligence solution helped the client to gather complete insights into the US transportation services market landscape. Also, the experts helped the client in identifying the best 3PL/4PL providers in the US to support their supply chain operations. In addition, the experts helped the client to identify lucrative technologies to invest on to enhance operational efficiency. By gathering complete insights into the new market, they were able to successfully establish their operations in the US.
Also, they invested into cost-effective technologies to track potential real-time inventory data. In addition, they devised a reverse logistics framework to efficiently manage product return processes. Within one year of entering the US transportation services market, the client was able to realize savings of over $1.2 million and become one among the top 25 transportation services providers in the United States.