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Digitization in Container Trading and Leasing Logistics Industry in 2023. [Strategic Overview]

Digital technology, despite its overarching audacity, has only begun to penetrate logistics industries to make work easier, flexible and efficient. At its current state, the implications for digital processes to generate revenues, profits, and new opportunities will be dramatic.  In this blog, we focus on why we digitize the global trade logistics to penetrate new emerging markets. Also, from the strategic point of view, it’s necessary to clarify the distinction between digitization and digitalization.

The Difference between Digitization and Digitalization.

Digitization is a technical process whose strategic objective is to create new technologies to solve customers problems, whereas digitalization is a automating and simplifying process to transform societal institutional operations. 

According to our research, digitization has started to change many logistics industries. Its influence on the socio-economic performance of industries is significantly clear, and is far from complete. 

Our observations affirm that many top management executives in companies believe that digitization reduces economic friction and enables strategic goals that pressures revenue growth and sustainable profit.  Most top rank logistics industries (44%)  are leveraging digital, but to a dynamic degree.

Why do we Digitize?

The main reasons why digitizing your container trading and leasing operations are generally important in the global trade logistic industry:

The main reasons has two primary objectives:

To provide access and for the purposes of preservation.

Firstly, When the objective is to provide access, then the perceived benefits to target audience like Freight Forwarders, Container Owners, Shippers Liners and NVOCC includes:

  • International Comparability: Digitize your container trading and leasing enables worldwide association, extending the reach for geographical barriers and connecting businesses, suppliers, service providers, and customers across different regions. Digital platforms, communication tools, and online marketplaces create a global network that facilitates trade and collaboration, allowing businesses to access a broader range of partners and opportunities.
  • Easy Cooperation and Communication: With the help of digitization, partnerships and communication among top Freight Forwarders, NVOCC and Traders in the global trade logistics industry are smoother. Digital platforms, cloud-based systems, and communication tools enable real-time interactions, instant messaging, and seamless sharing of information and documents. This reduces time-zone limitations, language barriers, and the need for physical presence, enabling efficient communication and collaboration among parties involved in global trade.
  • Access to Online Marketplaces: Digital platforms marketplaces provide the trade logistics industry with entry to a global customer base. By digitizing your container trading operations and joining online trading marketplaces, businesses can showcase their products or services to a wider audience, tap into new markets, and reach customers beyond their local regions. This opens up opportunities for business growth and expansion.
  • Increased Market Efficiency: Digitize your container trading and leasing operation improves market efficiency by reducing information asymmetry and increasing market transparency. Digital platforms and online marketplaces allow buyers and sellers to access real-time pricing, product information, and market data-driven insights. This enriches businesses to make more granulated informed decisions and access competitive pricing and quality options, enhancing market efficiency and promoting fair competition.
  • Democratization of Trade: Digitization has the potential to streamline trade by reducing barriers to entry for small and medium-sized enterprises (SMEs) and entrepreneurs. Digital platforms and online technology tools provide SMEs with the opportunity to participate in global trade without the need for extensive physical infrastructure or established distribution networks. This levels the playing field and allows businesses of all sizes to access global markets and compete on a more equal footing.

Secondly, when the objective is preservation, then the perceived benefits to is likely the possibility that fragile analogue can be replaced by digital surrogates

  • Efficiency and Productivity: With the digital reinvention, streamlining and automating manual processes, reducing paperwork, manual data entry, and time-consuming administrative tasks. It improves overall operational efficiency and productivity by enabling faster data exchange, real-time tracking, and automated documentation. Container Xchange platform provides tools for seamless collaboration and communication among stakeholders, reducing delays and enhancing productivity in sourcing containers across the globe.
  • Improved Transparency and Visibility: Digitization brings transparency and visibility to the global trade logistics industry. It enables real-time tracking and monitoring of shipments, providing Freight Forwarder with accurate and up-to-date information on the location, status, and condition of goods. This visibility helps identify potential bottlenecks, optimize supply chain operations, and improve decision-making based on accurate and timely data.
digitize your container operation
Learn more how to digitize your container operation
  • Cost Reduction: Digitization eliminates the need for manual paperwork, mailing, and storage of physical documents. This leads to significant cost savings in terms of paper, printing, storage space, and manual labor. Moreover, digital platforms and automation tools help optimize logistics processes, reducing inefficiencies and costs associated with manual errors and delays.
  • Improved Customer Experience: Digital technology enhances the customer experience by providing faster and more reliable services. Real-time shipment tracking, digital documentation, and self-service options empower customers to have better visibility and control over their shipments. Digitization also enables faster and more accurate communication between stakeholders, improving responsiveness to customer inquiries and resolving issues promptly.
  • Data-Driven Insights and Analytics: Digitize your container trading and leasing using an digital platform generate vast amounts of data that can be analyzed to gain valuable insights and improve decision-making. Data analytics can identify patterns, trends, and opportunities for optimization within the global trade logistics industry. This data-driven approach helps stakeholders make informed decisions, optimize operations, and identify areas for improvement.

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