Indian Road Logistics and Ecommerce: India 2025
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Top 3 Predictions for the Indian Road Logistics Market by 2025 (keywords: top 5 predictions, logistic transport, road logistics market in India, top 5 trends)
With the rise in the number of online shoppers, e-commerce companies are looking for ways to keep up with the demand. One way is to reduce their dependency on third-party delivery services and offer doorstep deliveries. This has led to an increase in the number of warehouses and distribution centers. With an increase in demand for warehousing space, logistics companies have also been investing heavily in land for these developments.
The Indian road logistics market will grow at a CAGR of 10% from 2016 to 2025, according to a report by Transparency Market Research (TMR). The market was valued at US$8.5 billion in 2016 and is expected to reach US$21 billion by 2025. 1) The Indian road logistics market will grow at a CAGR of 10% from 2016 to 2025 2) The Indian road logistics market will be worth US$21 billion by 2025 3) Logistics companies are investing heavily in land for these developments
The Indian road logistics market will be worth US$21 billion by 2025. Logistics companies are investing heavily in logistics automation and analytics systems to improve efficiencies and expand capacity. These developments are expected to drive the growth of the market, which is anticipated to maintain a healthy CAGR of 10%.
5 Fundamental Trends That Will Shape the Indian Logistics Market by 2025
The Indian logistics market is growing at a rapid pace and has been predicted to touch $200 billion by 2025.
The Indian logistics industry is witnessing a major shift in its operations with the introduction of new technologies and innovations. The core elements of the industry are evolving to meet changing customer needs, and there is a shift from traditional to digital models. In this article, we explore five fundamental trends that will shape the Indian logistics market by 2025. 1. On-demand economy reshapes the logistics industry the emergence of the global on-demand economy has led to a radical change in the demand for shipping and moving resources around the world. This has, in turn, forced the logistics industry to contend with new threats such as cyber security and digitization. As a result, there is an increasing emphasis on supply chain visibility, which will further help businesses to manage their supply chains more efficiently. The Indian logistics market also benefits from rapid growth in e-commerce and the logistics industry is likely to generate more than $200 billion in revenue by 2022. The Indian logistics market has been witnessing tremendous growth over the past few years.
Logistics Trends in India - A Look Into the Future
As the Indian economy continues to grow, the country has seen a rise in the number of logistics companies. The next decade is going to be crucial for India and its logistics industry.
The Indian logistics industry is forecasted to grow by 10% annually over the next decade. This growth will be driven by strong economic growth, increased investments in infrastructure, and an expanding middle-class population with rising disposable incomes.
India's logistics industry will have a huge impact on global trade as it grows and becomes more efficient.
India's logistics industry is a game-changer. It has the potential to increase global trade and create millions of new jobs. This industry will be worth $1 trillion by 2025 and will help supply the world's growing need for energy, food, and consumer goods.
How to Compete in the Road Logistics Industry in India?
With the rapid development of India's economy, the road logistics industry has become a new emerging industry. With the increase in demand for road logistics, there are many companies that have emerged in this field. However, it is not easy to do well in this industry. Now let's take a look at how to compete in this field.
1) First of all, you need a strong market positioning strategy.
2) Secondly, you need to make full use of innovative technologies and methods to improve efficiency and reduce costs.
3) Thirdly, you need to build up your own brand image and strengthen your customer service capabilities through personalized services and better quality of goods or services provided.
4) Fourthly, you should be able to provide high-quality products or services with good value for money so that customers can have an enjoyable shopping experience when they buy from you.
Emergence of eCommerce
Before the emergence of the eCommerce industry, retailers sourced goods either from manufacturers or distributors. But now that we have an abundance of online shopping stores, the mediators cease to exist. This has led to deals directly done between the suppliers and end-users. C&F (clearing and forwarding agents), dealers, distributors, and retailers have no role to play in this direct selling process. With these intermediaries eliminated, eCommerce shipping has become a crucial part of supply chain management. It has emerged as a highly technical service with the majority of them being governed by eCommerce companies themselves.
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As we know, logistics includes a group of various processes such as inventory
management, warehousing, packaging, labeling, billing, shipping, payment collection, return, and exchange. All these when put together turn into a massive task to accomplish. It requires a full-proof strategy to be achieved. Apart from these, logistics companies also require a piece of thorough knowledge about the territories, roads and road conditions, regulations regarding the movement of goods, transport laws, etc. The principal purpose of creating a logistics unit is to deliver parcels in a much faster, safer, and more accurate way.
How does eCommerce Logistics Work?
A logistics company functions in two ways:
Forward Direction – This includes the distribution and delivery of goods to the buyers.
Reverse Direction – This includes the exchange or replacement of defective, damaged, or wrong shipments.
Both these processes become easy if logistics companies cooperate properly. They have to coordinate and manage with eCommerce companies. PAFEX, one of the top emerging logistics companies is acing the game when it comes to cooperating with eCommerce companies.
Working in the Forward Direction
The following are the steps in which the eCommerce companies work in the forward direction-
For an eCommerce company, logistics in the forward direction involves receiving an
online order, arranging for the item, packing, generating its invoice, receiving the payment, dispatching, and delivering the parcel to the customer’s doorstep. The time period between receiving the order and its distribution depends on the availability of the product and the location of the consignee. For particular locations, a different delivery toll could be applicable.
From the time of dispatching until the delivery of a consignment, it is the responsibility of the seller to inform about the exact location of freight to its respective consignee through various tracking methods. For example, tracking through SMS or email notifications.
Receiving Payments
Payment collection is essential for all eCommerce business owners, retailers, and logistics companies. An online retail company should arrange multiple payment options for a better customer experience. This includes debit/ credit cards, bank transfers, UPI payments, and COD (cash on delivery). Even though the government is supporting digitalization, COD can not be neglected or eliminated. In a country like India, where consumers find dealing in physical money more comfortable, the COD option is of utmost significance.
Working in the Reverse Direction
The eCommerce and logistics companies try their level best to provide great quality products. But sometimes even the best efforts can not avoid the possibility of incorrect or damaged shipments. In such situations implementation of efficient reverse logistics is essential. It is the responsibility of logistics companies to collect these defective or damaged products and replace them with a new order that satisfies the customer. This should take place within a reasonable time. The focus should be laid on providing a good consumer experience so that the customer doesn't get a chance to complain again. A hassle-free exchange, replacement, or return process goes a long way. It helps in building trust between the customer and an eCommerce company. Logistics companies like PAFEX very well know the importance of building trust. This quality helps them in ensuring that the reverse direction logistics take place smoothly.
Conclusion
We can conclude by acknowledging the fact that Logistics companies play a key role in the functioning of the eCommerce industry. The market for eCommerce businesses is expanding every day. For smooth functioning, it's very important to cooperate with the logistics companies. PAFEX, a leading logistics company in India is ensuring that the forward and reverse functioning of eCommerce takes place in a hassle-free manner. This leads to a healthy bond between the customers and eCommerce companies. Implementation of the latest technologies is further contributing to the growth. If eCommerce logistics continues to work similarly then both industries can witness great heights!
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