Industry Analysis & Industry Trends
Freight forwarders purchase space on freight transport services in bulk, which they then onsell in smaller quantities to clients. The industry's major added value is the consolidation of loads from multiple clients to use transport space as efficiently as possible. Through this service, clients gain access to cheaper freight rates than they could achieve individually, while operators receive a small commission. Over the five years through 2014-15, industry revenue is expected to rise modestly by an annualised 0.3%. The industry's weak performance over the past five years is largely due to the high level of competition and the changing structure of the industry. The industry's performance is expected to be weaker in 2014-15, with revenue expected to fall by 0.5% to reach $2.3 billion... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Road Freight Forwarding industry is in the decline phase of its economic life cycle, as integrated third-party logistics services supplant industry activity. Industry value added, which measures the industry's contribution to the overall economy, is forecast to grow at a compound annual rate of 1.3% over the 10 years through 2019-20. This represents an underperformance of Australian GDP, which is forecast to rise at a compound annual rate of 2.7% over the 10-year period.
Over the past five years, the industry has introduced limited new products and services. While industry services are still in demand, operators have provided little innovation, with major changes occurring upstream in the Road Freight Transport industry... purchase to read more