Transformation Of The Logistics Sector In India
The size of India’s logistics in the decade from 2009 to 2017 grew from USD 125 billion to USD 170 billion, and it leapfrogged to around USD 250 billion in 2021. It is further estimated that this market will grow to USD 380 billion dollars in 2025, at a compound annual growth rate between 10 to 12 percent.
There were several drivers for the growth of logistics in India in including:
- The growth of 3PL (third party logistics)
The industry was at a nascent stage in India a decade back. 3PL capabilities were often limited to conventional transportation contracts, and they weren’t able to respond to the increasing demand for value added services such as customs clearance, cross-docking, reverse logistics, labelling or packaging.
- Outsourcing of logistics operations by manufacturing companies
Manufacturers started placing greater focus on their production activities and started outsourcing logistics which was non-core to them.
- MNC offering logistics solutions and consolidation
The vast market size, low competition for quality services, investor friendly policies and growth opportunities in the Indian logistics industry attracted the attention of multinational logistics companies who could fill the gaps in the existing market which was highly inefficient and fragmented. This in turn has prompted domestic logistics companies to also enhance service and efficiency levels through consolidation, process standardisation, and technological upgradation in order to compete and survive.
- Policy and infrastructure development
The sunshine industry also went through a phase of transformation due policy initiatives by the GoI including Make in India programme, Bharatmala, Sagarmala, Digital India, establishment of a new Logistics Division in the Department of Commerce and improvements in infrastructure along with the emergence of skilled professionals.
- Digital technologies, mechanization and automation
Several technological disruptions are working together to transform industries across the globe, including logistics. The sector is also witnessing increasing investment in mechanization and automation to make operations more efficient, timely and error free.
- Impact of the Covid-19 pandemic
The logistics and supply chain industry were at the forefront of the pandemic induced disruption. Covid-19 crisis accentuated the import of streamlined, efficient logistics operations. The industry adapted efficiently to the unpredictable global scenario and continues to evolve and grow.
Using Marketing Communications To Stay Visible And Competitive
The logistics industry is more organized now, more competitive and is seeing a wave of new age start-ups using technology to drive differentiation and bring in more visibility. Demand has increased but so has the number of players offering integrated supply chain solutions or niche services including last mile deliveries. While quality of services and reliability are important factors, change in customer buying behaviour and omnichannel marketing have transformed the way B2B companies including logistics are talking to and reaching out to their customers across the touch points. Logistics companies in India are hiring specialists to develop effective marketing strategies to improve brand image and promote solutions, stay visible and create top-of-mind recall. So how can your company stand out and get the mindshare it deserves?
- Clearly define your services and solutions
and articulate your brand and value proposition. Define the values that your brand stands for and observe if these values flow down the organization in the form of behaviors – these values and behaviours could be agility, transparency, collaboration, customer-first, solution orientation, or anything else. Communicate about your brand, services and values to your employees, vendor networks and clients.
- Set aside budgets for marketing and communications
Hire specialists in-house or as consultants to drive your customer engagement and lead generation plans. As markets are opening up after a long hiatus, even B2B companies are investing in marketing to grab a share of the pent-up demand.
- Continue traditional marketing but strengthen online presence
Traditional marketing methods include PR, print marketing (brochures, journals, print advertisements), event sponsorships, meet-ups, workshops, and referral campaigns. Telephone marketing and direct mailing may be avoided as they are considered intrusive and less effective. On the digital front, Logistics companies must at the least have an informative, well designed, user-friendly website. It is also high time for logistics companies in India to create and bolster their social media presence to make their services more visible, reach more people and educate their readers about their USPs will high quality content. Drive higher engagement and manage customer and employee perceptions with engaging information, case studies, polls, discussions on industry trends etc. Email marketing, paid search, mobile marketing and search engine optimization are other digital marketing strategies for creating brand visibility and building inquiries for logistics companies.
- Invest in applications and software
for visibility in operations, accountability and addressing customer queries. This could include applications for real-time tracking of goods on the move, complaint resolution, billing and account management, leads management and more. Provide secure role-based access to these applications through your website or through independent software, and get access to valuable customer behaviour data and analysis to improve services.
Parashift Technologies – Partnering Logistics Companies In India Since 2009
Parashift Technologies has had the opportunity to partner many logistics and supply companies and warehousing real estate companies in India since the last 12 years, in delivering their traditional and digital marketing strategies. Some of our clients from this sector include TVS Supply Chain Solutions, DIESL – A Tata Enterprise (now part of TVS SCS), IndoSpace Logistics Parks, Capricorn Logistics, Dangerous Goods Management (DGM) India, CSC India, Circle Logistics, Lifecare Logistics and many more.
We have developed tailor-made solutions for logistics companies of all sizes and sectors, across the globe. Prashift Technologies is a digital first creative agency, we provide end-to-end solutions for Brand Strategy, Content Strategy, Design, Websites Development, Apps, E-Learning and Digital Marketing. We are adept at designing corporate and product brochures, customised customer and investor presentations, annual reports, packaging design, onsite branding, and human-resource communications.
We are logistics website specialists – we have developed over 300 websites that have helped companies boost their business. Parashift Technologies has the backend and experience to deliver bespoke, scalable solutions to meet your marketing needs. We stay true to your brand identity, while maintaining a sharp focus on optimal user experience and responsive UI design in all projects. We also integrate our services and solutions with your enterprise-level platforms so that data-flow is seamless and information is always available at your finger-tips.
We bridge the gap between design and tech. We map customer behaviour across touchpoints to offer best suited UI/UX/tech solutions, and craft communication to help your brand make an emotional connection with your customers.
Whether your business requirement is to create your brand’s identity and launch a new brand with all marketing communication; or it is to help you take the leap with cutting edge websites, ERP integration and track and trace applications for your customers – we have you covered.
We are keen to partner with you to deliver your marketing plans and would love to hear from you. Click here to set up a meeting.