Shipping and Logistics Forecast in 2020 | Movers Development

Shipping and logistics forecast for 2020

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Every industry has a market for targeted customers. As time passes, customers change their needs, and the market changes with them. That is the only way to keep the level of the service high and keep your clients. The same applies to the moving industry. The goal of this article is to cover the newest shipping and logistics forecast in the year to come. Buckle up, because the year 2020 is bringing some changes to the table!

Going green

Relocation industry statistics show that one of the most popular strategies in moving is recycling. “Going green” has been so popular in all major industries, and moving is not an exception. People are more and more aware of real issues that affect our planet. Consequently, everyone is doing their best to contribute to making it a better place for living.

For that reason, one of the main strategies that logistic companies use is Green logistics. First of all, it lowers energy costs. Next, it is much more affordable. Finally, it is a great strategy to not only protect our planet but retain your loyal customers.

Investing money into tools and “green” logistics material is the best way to enter 2020.

The influence of digitalization

We live in a digital world. Those who do not follow and integrated the latest digital forecast and technologies will slowly drop out of the race. One of the ways that major logistics companies like ocean carriers change their game is to move all of the documentation processes to the online environment. Furthermore, they are working on the business improvement software that will make the entire process easier, more productive, and cost-effective.

A few major benefits to note are:

  • the ability for shippers to route transportation at a lower cost
  • connecting sea and land shipping beyond the port of call
  • access to real-time information and data
  • all processes and operations become more agile and efficient
  • the shipping strategy becomes more flexible

TradeLens technology

One of the major improvements in the logistics industry is TradeLens technology. This may be a solution to one of the biggest issues in the shipping business – the lack of visibility and transparency.

TradeLens software, powered by blockchain technology, provides insight into the entire shipping process from start to finish. The best of all, it comes in the form of a single platform. That means that all of the parties working together, like carriers, shippers, 3PLs, ports, freight forwarders, etc. will use this same platform to update all the information.

Even though this technology is so useful and it is one of the major shipping and logistics forecast, it is still in the beginning phase. With that in mind, it is crucial to track all processes and look for any downsides of continuous use.

Automated warehouses

One of the huge advantages of technology is the ability to create automated warehouses. Robotics is becoming a major factor in the logistics industry. Furthermore, if we take into consideration the IoT technology and its integration capabilities, it becomes quite clear why this is such a strong card to play.

A grid showing the influence of IoT on the technology in our life.
IoT technology allows complete integration of mechanical devices with software, and as such helps every industry to improve.

By introducing robot-operated processes, speed, and efficiency is greatly increased. 

Investing in infrastructure and workforce

I must note that, even though digital technology plays a crucial role in the future of the logistics industry, it comes with a price. And I don’t say that as an implication to something, the software actually costs money. Sure, it brings a lot to the table. Nevertheless, it shouldn’t be the only strategy in 2020.

During the previous years, one of the major factors of all shipping companies was the quality of the infrastructure. Everything depends on it, the delivery timeframe, the cost of shipping, and much more. That is why investing in infrastructure always remains a good idea.

Furthermore, everyone should be doing their best to educate and train the new human workforce. The knowledge is essential to every business, and people are still the ones doing all the heavy lifting.

By investing in infrastructure and new employees, every company is investing in its future.

More partnerships for a better business

One of the biggest shipping and logistics forecast in 2020 is increasing the number of partnerships. That is a long-term solution to reducing freight costs and increasing service efficiency. Partnerships are useful to reduce service and production costs, minimalize risks and decrease delivery delays.

Two hands in a handshake, made of crucial words for any business.
Partnerships form strong alliances that help reduce the production cost, decrease delays, and raise customer satisfaction.

As a result, customer satisfaction reaches a whole new level. Other major benefits, especially in international markets, are:

  • finding new opportunities
  • increasing forecast accuracy
  • reducing inventory
  • ETA delivery estimates are more accurate
  • reduce the numbers of the international moving costs calculator
  • decrease administrative work

Tariff policies for 2020

Many trade disputes are happening at the moment, and they are affecting all operations simultaneously. One of the major factors that make an impact on the shipping and logistics forecast in 2020 is Trump’s tariff policy. It affects all major supply chains. Rising tariffs will impact the prices. Furthermore, consumer demand will be reduced. That brings a lot of worries for the retailers.

With these radical changes, a lot of companies are in danger of falling out of the competition race. As a result, some industries may see a monopoly on the market.

Shipping and logistics forecast in 2020 made easy

With all that has been covered by this article, it is important to underline some of the essentials of shipping and logistics forecast to come. Keeping up with the technology and implementing new solutions is at the top. However, we shouldn’t forget the importance of the human factor. Furthermore, integrating recycling technologies is of utmost importance. All of these factors play a crucial role in the logistics industry. With that in mind, you should strive to find a way to combine them and create a unique experience for your customers!