Changing Landscape Of Logistics Industry Post Covid
The Covid-19 pandemic hit industries hard across the board and the logistics industry in India was no different. With the dips and highs in demand fluctuating to an extreme which wasn’t seen by the industry in several decades, the industry struggled to adapt. However, as the situation improved, logistics companies rose to the challenges thrown at them and adapted to drive onwards towards growth.
In the post-Covid scenario, there are plenty of opportunities for the logistics industry to explore and fuel their growth. Let us look at some of the trends which will shape the narrative for the industry in this new normal:
- The Business-to-Consumer or B2C model for logistics will gain more traction in the coming years. During the lockdowns, as more and more consumers shifted to online shopping for even the basic necessities, the need was to meet last-mile logistics to consumers. Door-to-door services for pickup and delivery will become more in demand as consumers turn to e-commerce to fulfill their needs.
- The adoption of multi-modal logistics will rise significantly in the times ahead. During the pandemic, the need to co-opt the different transport modes for faster transport was felt deeply, which has led to a surge in the demand for multi-modal transport in India. Sectors like automobiles, e-commerce retail, farm and agriculture, healthcare, among others in particular will fuel the demand for multi-modal logistics.
- The local supply chain will need to be strengthened in the coming times. As the pandemic scenario clearly amplified, global supply chains will take a backseat for a considerable period of time. And while that end of the industry recuperates, it will be the local supply chains that will gain a bigger foothold, fulfilling the demands across industries and for consumers.
- Digitalizing operations will also become the need of the hour for logistics companies as they step forward into the future. With increasing demand transparency and enhanced customer service, logistics companies will need to turn to digital technologies to streamline services and become more efficient in their operations.
- The demand for warehousing solutions will rise significantly in the logistics industry. The pandemic period has shifted the spotlight on the need for logistics infrastructure beyond transport services as customers seek inventory closer to the demand regions to fulfil deliveries faster.
While Covid-19 will continue to impact trends in the logistics industry for a foreseeable period in time, it is for the logistics companies to step up their game and rise to the challenge that will shape the world economy significantly.