Concepedia

TLDR

The growing size of the third‑party logistics industry and its distinct requirements compared to basic services underscore its status as a separate sector. The authors investigate strategies employed by third‑party logistics providers. They describe three waves of entrants, a taxonomy of value creation, and link strategic segmentation to entrant waves and required skills. Empirical analysis shows a strategic segmentation of the industry and predicts that the TPL sector will soon reach an initial maturity stage, though further changes are expected.

Abstract

In this article, the authors describe the results of a study on strategies of third‐party logistics (TPL) providers. The size of the TPL industry and the different requirements placed on logistics as opposed to basic services, such as transportation or public warehousing, justify the need to treat TPL as a separate industry. The authors describe three waves of entrants into the TPL industry and a taxonomy for value creation by logistics providers. Empirical findings for a strategic segmentation of the industry are presented. The strategic segmentation is connected to the waves of entrants and the taxonomy by an evaluation of required skills of TPL players. The TPL industry will soon reach an initial stage of maturity, but further changes are to be expected.