【文章內(nèi)容簡介】 s industry is still at an early stage of evolution in ChinaCharacteristics ?Emergingdemandforoutsourcedlogisticsservices?Lowvalueaddedservicessuchastransportandwarehousingarethemajortypeofservicesoutsourced?Traditionalinhousebehaviourbeingimpacted?Fastgrowthoflogisticsuserbaseandhigherrequirementforbroaderservices?Largenumberofservicesproviderspetingforcustomersandhumanresources?Mosthighvalueaddedservicesarefreeandprovidedassellingpoints?Logisticsoutsourcingbeesmonpracticeandanimportantleverforpetition?Consolidatedservicemarketwithafewestablishedmarketleaders?Logisticsperateinsupplychainandreplacetraditionalbusinessmodels?Globallogisticsintegratorsprovideonestopsolutionworldwide?Specializationandclosecooperationamonggloballogisticsserviceproviders?OptimizedallocationandintegrationofresourcesalongthesupplychainStage Emergence Growth Peration GlobalizationWorld Leading(US)China TodaySource:.Kearney8Point/FinalVersion/LogisticsIndustryOutlookfinal/20Warehousing and DistributionTruckingRail Freight? AlthoughHeavilyUsed,RailwayFreightHasLongTransitTimesandServiceReliabilityIsPoor? RailwayContainersAreNotCompatibleWithShippingCompanyContainersAirlineCustoms BrokerageCourier? LimitedPresenceofForeignFirmsAsJV.DHLSinotrans? RegionalSegregationinOperationLogistics Center and Freight ForwardingShipping? Thedomesticwarehousingmarketiscurrentlysmallandoversuppliedwithbasicwarehousesprovidingvirtuallynovalueaddedservices? Someconsolidationjuststartedamongthelargewarehousingpanies? Rivertransportationhasdeclined? Mostvesselsarecharacterizedbylowspeedandhighenergycosts? Truckingpaniesareonlyallowedtooperateinrestrictedregions? Governmenthasestablished15FreeTradeZonesandsomelogisticscentersaresetupthere? Inlandtransportationishandledbydomesticfreightforwarderwhoisusuallysubcontractedbytheinternationalfreightforwarder? Sevendomesticairlinesdominateregionaloperations? Designatedforeigncarriersaregivenamaximumentitlementof50tonnesperweek? Manycustomsclearingbrokeragefirmsandconsiderableconfusionaboutroles? Customsclearingprocedurestookatleast189。1daypreviouslybutexpectedtobeshortenedto1hourThe logistics services industry is still at an early stage of evolution in China (continued)Source:.KearneyAnalysisChina Logistics Services8Point/FinalVersion/LogisticsIndustryOutlookfinal/21Transportation and related expenditures are proportionately higher in China than in most developed countries and NIEs – indicating a major improvement opportunityTotal Transportation and Related Expenditures and % of GDP (2023) Note: (1)VAS:Valueaddedservices(2)Includingpackaging,admin,informationservices,ect.Source:BowersoxandCalantone,CSFB,IMF1997study。Chinainfobank。.KearneyAnalysisUS$ BnChina Transportation and Related Expenditures Breakdown by Function (2023)Total = US$ 248 BnUS$ Bn(1)(2)8Point/FinalVersion/LogisticsIndustryOutlookfinal/22Demand GrowthIn Coastal China, demand for logistics services is expected to be strong in Guangdong and ShanghaiHigh LowHebei, Beijing, Tianjin4 ? BeijingistheNo.1aircargocenterinChina.Inaddition,Beijing’shitechindustry,whichneedsalotofairtransportation,isdevelopingveryfast? Over80%ofthevolumethroughTianjinportareagriculturalproducts,furniture,metalhardwareandrawmaterials,allbeinglowvalueproducts.Inaddition,mostshippersareinpoorfinancialconditionsandareverypricesensitiveShandong (Qingdao) 4? Qingdaohasseveralfamouslocalpanies,suchasHaier,HiSense,AukmaandQingdaoBeer.Theyaremorequalityorientedandlesspricesensitive? Frozenproductsaccountfor1520%ofthevolume.Qualityrequirementsforfrozenproductsareveryhighintermsoftimingandhandlingcare.Hence,frozenproductsshipperstendtobelesspricesensitiveandmorequalityconcerned? Footwearandgarmentsaccountforsignificantportion.SomelargecustomerssuchasPaylessShoes(No.1customerofCOSCOinvolume)requiresaccurateshippingtimeandfullrangeofsophisticated3PLservicesfromP/Omanagement,tradeconsultingtospacebooking,warehousingandtransportationProvinceLogistics Demand – Selected Provinces in Coastal ChinaGuangdongDemand Size5Remarks? Majorexportsareprocessingoflowervalueaddedproducts?nospecialrequirementforlogisticsquality。? Roadtransportationisconvenient,oftencontainerizedinfactorytoreducecost?lessneedforwarehousing/consolidation? ElectronicsindustryisboominginDongguan,whichhassomeleadingpanieslikeHuawei?potentiallargeprofitablecustomersStrong WeakShanghai(Jiangsu, Zhejiang)5 ? Shanghaiisthefastgrowingeconomic/financialcenterinChina,whichhassomemajorMNCssuchasSGM,Acer,Philips,etc.Theyarematuredcustomersoflogisticsservicesandlesspricesensitive.Ontheotherhand,togetthedealsfromthemusuallyneedstoinvolvehighlevelnegociation? LargepaniesinShanghaiandnearbyareasaremainlyJVsofautomobileandconsumerelectronicsindustry,whichhavehighproductvalueandlowerpricesensitivitySource:.Kearneyfieldinterviewsandanalysis8Point/FinalVersion/LogisticsIndustryOutlook