Study Shows Fewer 3PL Customers Expanding 3PL Use

Nov. 16, 2012
Fewer North American customers are planning to grow the number of third party logistics (3PL) service providers they use compared to three years ago.

According to a 3PL Selection and Contract Renewal Report conducted by eyefortransport, a business research company, 41% of 3PL users surveyed are planning to use a greater number of outsourced logistics services. This is a reduction from the 60% who planned more in 2009.

This report is based on surveys of 3PLs, 4PLs and users, and compares this year’s responses to those of the same study done in 2009.

Other findings of this study include:

• 46% of 3PL users employ between 2 and 5 3PLs, though the corresponding figure was 56% in 2009. 2012 has also seen a rise in the number of respondents using over 20 3PLs (up to 16% from 9% in 2009).

• 81% of responding customers are negotiating their next 3PL contract either this year or next;

• Fewer customers report initial contracts exceeding three years compared to 2009;

• 3PLs being a global provider, or a niche/specialist, are lesser factors for 3PL users when deciding to include them in an RFP.

• For 3PL users, it is usually the most senior supply chain or logistics executives who are responsible for 3PL selection and contract renewal.

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