The rapid growth of the European freight and logistics market
A digital revolution is underway
The European road freight market is growing at 6.7% CAGR and is projected to reach €443 billion by 2022 (Statista, 2019). Currently the market is highly fragmented and decentralized with more than 300,000 carriers and 5,000 forwarders in Europe who make up 70 – 80% of the jobs in the industry. (BCG, 2018)
Decentralization is the historical status quo of the European road freight industry. Out of 300.000 European carriers, the market share of the largest player, DB Schenker, is only about 2.1%.(BCG, 2016)
The market is fragmented, competitive and being transformed by new digital startups. Recently, digital middleman platforms have emerged that introduce efficiency by centralizing data and resources. Existing SMEs who do not have the resources to innovate lose their independence, relevance and market share.
The trend of the European logistics market
From Decentralized to Centralized
The global logistics market is fragmented, competitive and being transformed by new digital startups.
Decentralization is the historical status quo of the European road freight industry.
Out of 300.000 European carriers, the market share of the largest player, DB Schenker, is only about 2.1%. (BCG, 2016)
Recently, digital middleman platforms have emerged that introduce efficiency by centralizing data and resources.
Existing SMEs who do not have the resources to innovate lose their independence, relevance and market share.
The trajectory of the logistics market
Starting phase:
Isolated
Growing phase:
Decentralized
Current phase:
Centralizing
The current European logistics market and Challenges
Operates with manual processes that inhibit productivity and scalability
The Logistics industry is facing digital disruption from new technology startups and from industry gorillas building centralized platforms.
Smaller players have limited innovation budgets and fear digital disruption
Most existing small and medium enterprises do not have the resources to secure their own digital future.
The larger players have large digital budgets and are gaining market share
The smaller players are threatened to lose market share and margins to emerging digital middlemen.
The Zukonft Vision
With the 91-year history and trusted relationships in the European logistics industry and with the cutting-edge technology expertise, we are creating a future where every industry player can retain their independence and long-standing relationships, while leveraging the latest digital technologies to grow their business.
Current phase
Centralizing
The Zukonft Vision
Distributed logistics market
Zukonft’s logistics solutions
Zukonft is building digital platforms to empower logistics entrepreneurs
– To leverage the latest technologies
– Compete with industry giants
– Retain their independence
As enablers of a sustainable, profitable logistics industry, we build solutions for entrepreneurs that
– Enhance trust in business relationships
– Improve business intelligence and
– Optimize operational efficiency.
