pickrr - Tumblr blog

pickrr · 2 years

Text

A Look at India’s Logistics Sector 2022

Logistics is an important sector for the economic growth of the country. The activities associated with logistics help in the smooth movements of goods from their place of origin to their final destination. It also plays a significant role in helping D2C brands, eCommerce sellers, and businesses deliver their products to consumers on time.

The logistics sector encompasses multiple activities like storage, package, transportation, warehousing, and delivery. All these activities are carried out in a streamlined manner with the support of logistics companies in India and tech-enabled solutions.

Logistics companies in India and leading tech-companies in India are coming forward to make the supply chain smooth and efficient with the changing market environment and consumers' needs. The domestic logistics market in India is growing at a faster pace than ever before.

Know how the face of the logistics sector is changing in India and what are the latest trends that are expected in 2022 and years to come.

India’s Logistics Sector 2022 - Highlights

According to a Statista report, the size of the Indian logistics market was around 250 billion U.S. dollars in the financial year 2021. It is estimated that the market will grow to 380 billion dollars in 2025, at a compound annual growth rate between 10 to 12 percent.

The report also reveals that India has a higher logistics cost of 14% of the country’s GDP.

NITI AAYOG, RMI, AND RMI India Reports

India handles 4.6 billion tonnes of goods each year, amounting to INR 9.5 lakh crore total annual cost.

90% of the GDP on logistics in India is utilized on transportation and inventory costs.

India aims to reduce the GDP cost on logistics from 14% to 10% by 2022. This can save up to INR 10 lakh crore in 2022.

The report reveals various watts by which India will try to reduce its logistics costs:

Transportation costs can be reduced by moving the freight to rail and making the optimized use of trucks

Inventory costs can be reduced by improving the warehousing infrastructure and enhancing the supply chain and management

Admin costs can be reduced by the use of modern IT and management techniques

The Gati Shakti program launched by the Government of India aims to enhance the seamless distribution of goods across the country. It will also promote the ease of doing business for many in the logistics sector.

The program will further strengthen the warehousing sector of India by improving the storage infrastructure.

It will further strengthen the warehousing sector by improving the quality of storage infrastructure, the capacity of warehouses, operations of specialized warehouses, and increase warehousing capacity by identifying areas of standardization and optimization.

Technology in Indian Logistics Industry 2022

Technology has come to the forefront of logistics sectors like never before. Emerging technologies are facilitating seamless end-to-end logistics solutions. In 2022, logistics will see greater adoption of such technologies.

Advanced technology is already redefining the pace of development of the logistics industry and it is expected to reach a new height in the coming years.

Artificial Intelligence (AI) and the Internet of Things (IoT)

Customers will demand instant delivery of goods and a single platform that combines their desire for fast delivery with sustainable shipping options in the coming days. Logistics companies in India are left with no other options than to embrace AI and IoT to meet the expectations of customers,

In combination with wireless technology, AI and IoT have the ability to boost capacity and mitigate logistics risks and improve customers' shipping experience.

Companies will be implementing these technologies to optimize logistics operations, predict risky orders, define the best shipment route, enhance order visibility, and more.

Real-Time Supply Chain Visibility

Real-time data is now more in demand both for the inventory and shipment. Hence, logistics companies in India need to focus on implementing cutting-edge solutions to meet the demand. Companies are already investing in technology to get a quick response using real-time data.

Companies that implement technology see improvement in the overall performance of the supply chain. The real-time data is used to analyze traffic patterns, road and port conditions, and weather. Based on the information collected, companies take appropriate action.

Real-time visibility is possible by using sensor technologies. It is an integral component to track the shipment. The sensor device is attached to parcels and allows warehouses to track inventory, vehicles, and parcels. Parcel management is easier using the sensor device connected to it.

Looking at various advantages of sensors, it is likely that sensor manufacturing companies and logistics firms will come up together to offer the best service.

Logistics Trends in India 2022

Know what is trending in logistics space in India:

Same-day Delivery

Nowadays, consumers expect fast delivery. Hence logistics companies strive to implement new technologies to help them resolve the last mile delivery. Especially in the last mile delivery, express delivery is gaining more importance.

Smart warehouse centers, access to fulfillment centers at multiple locations, advanced technologies, and enhanced communication to reduce gaps among operations are ways in which the companies are trying to reduce the delivery of products to end consumers.

Sustainable Shipment

The demand for sustainable and environmentally friendly shipping is increasing. Logistics companies nowadays are conscious of using eco-friendly packaging materials for the product shipment.

As goods are being directly distributed to customers by D2C brands, recyclability and reuse of materials are also gaining importance. Good environmentally friendly packaging helps businesses to gain a competitive edge due to the high-level customer satisfaction.

Pickrr- A Tech Logistics Company in India

Pickrr aims to enhance the services it provides in the logistics space in India. Know the latest announcements of Pickrr here:

Same-day Delivery by Pickrr 2022

Pickrr is offering same-day delivery services in metro cities. Once the customers place an order, it reaches them from the nearest Pickrr Plus Fulfillment center. Fast delivery is offered to customers at a minimal transportation cost.

Expansion of pan-India Fulfillment Centers by Pickrr

Pickrr unveils its plan to open 25 new fulfillment centers pan-India.

Pickrr Plus Fulfillment solution is already helping eCommerce sellers and D2C brands to maintain their inventory at smart warehouses across the country.

Bottom Line

For the growing eCommerce industry in India, logistics plays an important role. It gives a boost to the economy of India and encourages industries to offer the best delivery services.

Effective Logistics support encourages the eCommerce sellers to offer fast delivery services. It also helps them scale their business significantly by offering delivery services in every nook and corner of the country.

The support from the government will enhance the logistics operations and infrastructure development to help the country to groom in the eCommerce industry.

#Logistics Sector #eCommerce industry #Pickrr Plus Fulfillment #Pickrr #logistics

1 note · View note