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Nine Key Trends Affecting Logistics
May 29, 2018

Due to the development of information technology and the rise of the odd economy, there are many innovative solutions for logistics. Retail Dive lists nine key trends that will affect logistics.

First: quick request. Customers need to deliver within a few hours, so when an order comes in, the goods must be packed and ready to be delivered in order to meet the customer's requirements, posing a challenge to the logistics industry in distribution planning. 

Second: mass outsourcing and the rise of odd economy. In recent years, the rise of mass outsourcing platforms such as Ubero Deliv or Amazon Flex has led to the rise of the part-time economy. In 2015, venture capitalists invested US $1.2 billion in the last mile logistics sector, four times as much as in 2014. To prove the importance of the odd economy to the last mile of distribution, the winner of the future will be the successful integration of physical assets and information advantages of the industry. Third: customers track the progress of shipment. Customers usually want to know the speed of goods distribution after placing orders on the network. With the development of GPS, customers can easily track where the goods are delivered with their mobile phones, although the demand is not standardized. But there will be a steady increase in demand in the future. 

Fourth: postal service revolution. The traditional logistics providers must cope with the new trend and keep pace with the times. Although the traditional mail delivery service has been reduced, the distribution demand due to electronic commerce has created the situation of the continuous development of traditional postal services. 

Fifth: outsourcing to deliver the goods. Competition among logistics is absolutely fierce, but recently Amazon has begun to "contract" with other logistics players, using shared fleets or trucks to achieve distribution tasks in specific areas. 

Sixth: urban storage space. Amazon has set up Amazon Prime Now hubs storage space in 58 locations across the country to allow goods to arrive within two hours, unheard of before, and has fired shock shots at the logistics industry, in an effort to accommodate customers' real-time needs. 

Seventh: logistics transformed into sales brigade. Using big data analysis, mobile warehousing operators can load some items into trucks and allow convoys to sell goods to customers when they arrive. Such marketing practices have the greatest potential in the fields of food, medicine and clothing. Eighth: the application of intelligent sensor. Some customers require that special items be kept at low temperature or humidity, so some companies have used the analysis path and destination temperature to decide whether to pack the goods at low temperature during delivery on the same day. 

Ninth: self-driving, drone or robot delivery. At the moment, this kind of distribution is in the experimental and testing stage and has not developed into the mainstream. However, as the technology gradually enters the battlefield, it will become a watershed in changing the logistics industry.

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