SERVICES

Logistics and Transportation

Report

NOVEMBER 2022
Foreword The global freight forwarding market has evolved
significantly in the last decade, largely owing to
newer business models and the adoption of
new–age technologies across the value chain. The
global freight forwarding market is highly
fragmented, with the top 25 freight forwarders
capturing around 21% of ocean freight and 26% of
the air freight market providing digital freight
forwarders with a large market to capture and
create their own leadership position. Countries
have seen the rise of numerous tech-enabled
players in this space, dealing with forwarding,
customs clearance, insurance and trade financing.
In terms of digitization, India is at a very nascent
stage.
In this report, we have covered the various
business models existing in this space and
assessed how they have impacted the stakeholder
journeys, making them simpler and more
Abhishek Maiti
Director
transparent. We have discussed key trends in the
global freight forwarding market, keeping a special
focus on the Indian freight forwarding market in
the later half of the report. For India, we have
projected the growth trajectories for the modes of
forwarding up to FY26, showcasing the modes
which will see significant growth, as well as the
emerging trends in the market. We have also
portrayed the competitive landscape across
various business models and benchmarked key
digital freight forwarders on several parameters.
The market is rapidly evolving, and some of the
scenarios presented here may have slight
variations. This report reflects our perspectives as
of August 2022. Contact us for the latest updates.
We, at PGA Labs, look forward to continuing the
discussion with our friends across sectors and
exchanging notes as the situation evolves.
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Logistics and Transportation

Key takeaways
• The global freight forwarding market is highly fragmented with global top 25 freight forwarders capturing around 21% of ocean freight and
26% of air freight market

• Mainland east-west routes trade the highest volume in ocean trade, whereas Asia Pacific witnesses the highest air traffic by region

• The inbound and outbound trade flow from India provides a view on the priority of country corridors from a freight forwarding standpoint

• Air Cargo is transferred mostly though metropolitan cities with Mumbai & Delhi cumulatively handling 60% of air cargo traffic

• Ports in Gujarat, Maharashtra and Tamil Nadu contribute to around 80% of ocean freight & also consist of high concentration of freight
forwarders.

• Target Addressable Market of Indian freight forwarding market is expected to reach US$ 8B by FY26 owing to improved transportation
infrastructure and government policy support

© PGA Labs | 03
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Executive Summary
• Value chain of freight forwarding spans five key steps, with specific activities being undertaken from booking initiation to delivery of the
consignment

• There are four broad business models in freight forwarding which differ in their value proposition namely, traditional freight forwarder, digital
marketplace, SaaS provider, digital service provider.

• Digitalization has enhanced the delivery quality of value-added services

• Indian freight forwarding market is to grow at 3.3% from FY2020 to reach US$ 8B by FY26

• Target Addressable Market of the Indian freight forwarding market is expected to reach US$ 8B by FY26 owing to improved transportation
infrastructure and government policy support

• Indian ocean freight is concentrated towards the Americas and APAC while air freight is concentrated towards EMEA

© PGA Labs | 04
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Logistics and Transportation

The global freight forwarding market is highly fragmented, with the top 25 freight
forwarders capturing around 21% of ocean freight and 26% of the air freight market

Market is highly fragmented due to the presence Market is highly fragmented due to the presence of several traditional players and
of several traditional players in the market relatively low technology penetration
Share of freight forwarding basis volume
(TEU¹ M, MMT², CY20)
Digital forwarding platforms are not mature enough to offer sophisticated services and hence are not a
competitive ‘threat’ currently

144 56 Customers use a mix of online marketplaces, booking platforms and digital forwarders; this mix represents
an important part of their overall shipping strategy

79% 74%
Emergence of new technology and appropriate market positioning might lead
towards consolidation

New technology in the forwarding market might aid operational efficiency, generate competitive advantage
and increase value for shippers

21% 26%
Specialized business models would be required in the future; it is essential to understand what customers
Ocean Freight Volume Air Freight Volume require and be positioned accordingly
(TEUs) (metric tonnes)

Top 25 freight forwarders Other freight forwarders

Note(s): (1) Twenty-foot Equivalent Units ; (2) Million Metric Tonnes

Source(s): Armstrong & Associates, IATA, UNCTAD, Secondary research, PGA Labs analysis © PGA Labs | 05
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Value chain of freight forwarding spans five key steps, with specific activities
being undertaken from booking initiation to delivery of the consignment
Import documentation,
Export documentation and Import haulage
Booking Haulage and stuffing destination handling and
origin handling and payment
transit
Responsibility can be on By the freight
consignee or consigner forwarder or
as per agreement consignee

Selection of freight forwarder by Settling terms of carrier bill

Stuffing - cargo is loaded into the Stuffing - cargo is loaded into the Import haulage - transfer of
the consigner
container by freight forwarder based container by freight forwarder based cargo from the freight forwarder’s
Payment terms
on FCL or LCL on FCL or LCL are agreed upon warehouse to the destination
by the consignee
E.g., commercial and consigner
By the freight invoice, bill of lading,
forwarder or certificate of origin,
Adding address, shipment volume and and insurance Reviewing supporting documents
consigner
other details on the portal certificate and checking for damage
Supporting document verification by
Export haulage - transfer of cargo from its
freight forwarder
origin to the freight forwarder’s warehouse Final inspection of cargo is
made by the consignee

Quotation proposal and determination Unloading cargo and obtaining import

based on mode and route of transportation customs clearance
Facility of trade
financing provided
by freight forwarder

Confirmation of booking by freight forwarder Meeting packaging requirements Inspection of cargo by freight forwarder Track and trace of transportation of Payment for the cargo is made by
and consignee leading to payment terms to check inventory list and prior damage cargo by freight forwarders the consignee to the consigner

Key pain • Manual, lengthy and time-consuming process • Communication across involved parties • Process flow dominated with paper documents • Irregular track and trace • Manual invoicing
points
Digital • Transparent marketplaces • Increased network capabilities • Digitalized document verification to avoid errors • Real time visibility and alerts, improving carrier • Integrated payments
value • Instant & standardized quotations across carriers • Time efficient due to visibility • Eliminates broker overhead fees accountability • Transparency in payments
• Visibility across transportation • Automated invoicing
creation
Note(s): FCL stands for full container load, LCL stands for less-than container load
Source(s): Primary Interviews , International Cargo Express, Secondary research, PGA Labs analysis © PGA Labs | 06
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There are four broad business models in freight forwarding which differ in their
value proposition
By service offering

Digital freight forwarder

Parameters
Traditional freight forwarder
• Planning and coordination of movement of
cargo internationally, on behalf of shippers,
with the help of a specialized network of
carriers
Description
• Process flow dominated by physical touch
points and manual processes/interactions
Digital marketplace
• Provides a platform for matching shippers to
freight forwarders
• Integrates their own value-added services or
alternative offerings on the platform
• Offers end-to-end transaction management
SaaS provider
• This model allows users to manage the
interaction with partners across a freight
transaction
• They provide specialized software systems for
selected parts of the freight forwarding value
chain
• They are neutral platform operators
Digital service provider
• Similar to traditional freight forwarding, but relies
completely on technology through integrated digital
platforms and software to be more efficient
• Offers a better customer experience through digital
modes of communication and interaction

• Price engine leading to instant quote generation

Companies • Warehousing
• Quotations for modes of transport
• Haulage of cargo
• Documentation handling
• Pricing engine • Cloud based management platform for tracking • Digitised document handling
• Customs clearance services
• Instant price quotation and booking • Digitised documentation handling • Customs clearance services
• Warehousing
• Digital customer platform • Modular integration with pre-existing software • Real time track and trace
• Haulage of cargo
• Tracking Services • Customised software solutions • Modular integration with pre-existing software
Services offered • Value added services (e.g., trade finance
• Automated invoicing
and insurance)
• Planning and analytics
• Value added services (e.g., trade finance and insurance)

• Tracking software subscription/ fees

• Haulage brokerage charges
• Haulage charges
• Subscription based model • Warehousing fees
• Warehousing fees • Flat fees on the platform provided
• Value added or alternative freight • Customs clearance services
• Customs brokerage • Transaction based fees
services are charged by transaction • Shipment insurance service fees
• Shipment insurance service fees with an included profit margin • Subscription based pricing for platform usage
• Trade financing
Revenue stream • Trade financing
• Software solutions for advanced analytics (e.g., cost
optimization, predictive analytics)

Source(s): Secondary research, PGA Labs analysis © PGA Labs | 07

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Digitalization has enhanced the delivery quality of value added services

Additional services Activities Traditional model Digital model Rationale

• Digital policy consultation & comparison
Settlement of terms
• AI & predictive analysis for the policy amount

Initiation of insurance process • Online insurance policy initiation and payment notice issuance

Cargo insurance • Surveyor used in traditional model

Damage impact assessment
• Self-completion survey option adoption

• Fully automated claims process

Claims pay-out process
• Collaboration with brokers and claims adjusters on single portal

Submission of information by • Digital submission of all documents on portal

customer

Review and inconsistencies • Future value creation via text analytics; not implemented
Customs clearance addressal by CSP widely yet

Validation and approval of

• Requires tech adoption and integration by customs department
customs declaration

• Real-time KYC & AML checks

Letter of credit creation
• Digitalized document submission

• Centralized visibility on portal

Trade finance Letter of credit processing
• Predictive analysis of LC patterns yet to be implemented

• Auto-trigger payments
Payment processing
• Direct payment on portal existent

Very low Very high

Note(s): CSP stands for Customs Service Provider, LC stands for letter of credit, KYC stands for Know Your Customer Level of digitalization
Source(s): Infosys ‘Process automation for efficient data entry’ 2020 report, Deloitte ‘The Impact of Digitalization on Customs Service Provider 2020’ report, Secondary research, PGA Labs analysis © PGA Labs | 08
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The global market landscape of traditional and digital freight forwarding has
several participants across the value chain

Traditional freight Digital freight

forwarding forwarding

Marketplace SaaS Provider Service Provider

Customs Insurance Trade Finance

Source(s): Tracxn, Company websites, PGA Labs analysis © PGA Labs | 09

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Supply-side bottlenecks along with a boost in demand have pushed the shipping
prices upwards in 2021, providing higher margins to freight forwarders

A sharp rise in prices was witnessed in all trade Supply-side factors

corridors for ocean freight forwarding from 2020
Continuous lockdowns and travel restrictions due to COVID-19 resulted in the
docking of containers; many of which remain docked even now, leading to less ships
available in the market
Lane Aug ’21 ($/FEU) Aug ’20 ($/FEU) Change (%)*
Port congestion - Port congestion and delays at LA/Long Beach are keeping Asia-US
prices extremely high and causing higher turnaround times for existing ships

Global $ 10,097 $ 3,205 351%

Demand-side factors
Asia-US East Global economy recovering since COVID-19 aiming for high GDP growth leading to
$ 19,429 $6,168 330%
Coast increased international trade for various items - retail goods, industrial commodities,
etc.
Asia-US West Availability of fewer alternative options as air freight costs also increased due to
$ 16,749 $ 5,075 315% growth in industries like pharmaceuticals, e-commerce, and perishables leading to
Coast
consistent demand for ocean freight.

Asia-North
Europe
$ 14, 492 $2,547 569% Outlook
With port congestions reducing, prices are expected to fall by early 2022 marginally
North Europe-US as capacity will still be limited.
$ 7,126 $2,159 330%
East Coast
Capacity is estimated to be added by 2023-24, which might help the prices to be at
much more stable levels.

Note(s): * Compared to corresponding week in 2020

Source(s): Freightos website, PGA Labs analysis © PGA Labs | 10
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Mainland east-west routes trade the highest volume in ocean trade, whereas Asia
Pacific witnesses the highest air traffic by region

Ocean trade volumes have reduced by 5.2% owing to the pandemic; Air freight
traffic has also seen a reduction across regions Macroeconomic Trends

Ocean volume by major trade lane % change Air freight traffic by region % change
(M TEU, 2019, 2020) (B CTK, 2019, 2020)
2019-20 2019-20
Global economic growth decelerated against a
152 403
41 backdrop of lingering trade tensions between North
144 5% 40 9%
11 365 America and China and high policy uncertainty
18
36 9 18%
41 2% 14 22%
40 32 11%
94
19 90 4%
18 5% Global merchandise trade contracted as
12
12 0% manufacturing activity slowed over the course of
105 the year
20 16%
18 10% 88

60 56 6% 6%
140 131
Developed and developing economies alike were
affected, reflecting the continued trade tensions
2019 2020 2019 2020 between China and the United States

Mainland East-West routes Non-mainland West-West Asia Pacific Europe North America
North-South South-South Intraregional Middle East Latin America Africa

Note(s): CTK: Cargo tonne kilometers, Mainland East-West : Trade involving Asia, Europe & America, Non-mainland East–West: Trade involving East Asia, Europe, North America and Western Asia and the Indian subcontinent. North
South: Trade involving Europe, Latin America, North America, Oceania and sub-Saharan Africa, South–South: Trade involving East Asia, Latin America, Oceania, sub-Saharan Africa and Western Asia.
Source(s): Secondary research, PGA Labs analysis © PGA Labs | 11

Digital value propositions and services have become competitive as legacy players
start increasing their presence in the digital space
Many major players are slowly building and expanding
their digital presence in the market
• C.H. Robinson has created an entire digital ecosystem early on and
is a frontrunner
• Players like DHL, Kuehne + Nagel, DB Schenker, or Maersk have
followed suit, with relatively less market penetration in the digital
space
Digital freight forwarding is a promising sector showing
high growth opportunities
• While digital revenues may still be low compared to the overall
industry, business is developing rapidly.
• Depending on the market segment, annual growth rates can be
in the high double-digit percentage area – compared to an average
forecasted annual freight industry growth of 4%-6%
• Flexport, founded in 2013, showed rapid revenue growth
(CAGR 105%, CY19-21E) making it one of the best examples to
underline the strong growth potential
Source(s): TI Logistics, PGA Labs repository, Secondary research, PGA Labs analysis
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Logistics and Transportation
In some areas, such as spot pricing, digital platforms
are more agile than traditional channels
Broad scope: While digital business models originally covered a
narrow field of use cases, they have extended their service
scope toward comprehensive solutions for a broader customer
base
Emergence of new tech: Artificial intelligence (AI), big data
analytics, and cloud computing are evolving fast; players have
started to integrate state-of-the-art solutions in their platforms
Proven to deliver: Digital businesses can deliver on their value
propositions and execute services even under difficult market
conditions (e.g., COVID-19 and associated capacity shortages)
Brazil logistics start-up CargoX leverages blockchain by using a
public network to securely validate document transactions
Similarly, Hapag-Lloyd partners with Internet of Things (IoT)
start-up Globe Tracker to power its new real-time container
monitoring system Hapag-Lloyd LIVE
© PGA Labs | 12
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Overview of Indian freight forwarding market

10K+ 6.5K+ 8L+

Freight forwarders Customs brokers Importers and
Scale in India exporters registered

1.5L+ 13M+ 2M+

Active importers and Container traffic (TEU) Volume of air freight
exporters handled by Indian ports in FY20 (MT) traffic handled at
Trade Indian airports in FY20

US$ 4.7B US$ 1.7B US$ 0.1B

Market Value of ocean freight Value of air freight Customs revenue
(FY20)
Note(s): (1) Market size of freight forwarding market as calculated, Data is for FY20
Source(s): Primary research, Secondary research, PGA Labs analysis © PGA Labs | 13
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The inbound and outbound trade flow from India provides a view on the priority
of country corridors from a freight forwarding standpoint

China, USA and UAE are the key import and export hubs for India

India top 10 export markets India top 10 import markets

(CY20, US$ B) (CY20, US$ B)

49 59

EXPORT IMPORT
19 27
18 24

10 18
8 8 8 8 16 15 12 12 12
6 6 11

USA China UAE Hong Singapore Bangladesh UK Germany Netherlands Malaysia China USA UAE Saudi Iraq Hong Kong Singapore South Indonesia Switzerland
Kong Arabia Korea

Source(s): UN Comtrade, Directorate General of Commercial Intelligence & Statistics, PGA Labs analysis © PGA Labs | 14
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Air Cargo is transferred mostly though metropolitan cities with Mumbai & Delhi
cumulatively handling 60% of air cargo traffic
Growth drivers for air freight market in India

Growth in deployment of passenger planes as freighters

City-wise total air cargo traffic at Indian airports
(MMT, FY20) • With the grounding of passenger planes, planes underwent conversions
into freighters
• Budget operators like SpiceJet started augmenting belly space with cabin
space for cargo

0.6
0.6 Demand from Pharma and Ecommerce

• Ecommerce is expected to grow five times its current size in India to US$
200B by CY 2026
• India saw a record 18% growth in pharma exports during FY20

Development of fully digitized record-keeping

0.3
• Air cargo industry is incorporating digitization and utilization of emergent
0.2
0.2 technologies, leading to higher efficiency, reduced waiting time, and lower
costs making freight rates more competitive

0.1 Policy support for growth as a transit hub

• National Air Cargo Policy 2019 aims to make India one of the top air freight
markets by2025 and create shipment hubs at all major airports
Delhi Mumbai Chennai Bangalore Hyderabad Others • The policy aims to leverage India’s location as a transit hub between Europe
and SEA and a gateway to South Asia

Source(s): Airports Authority of India, International Cargo Forwarders, Secondary research, PGA Labs analysis © PGA Labs | 15
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Ports in Gujarat, Maharashtra and Tamil Nadu contribute to around 80% of ocean
freight & also consist of a high concentration of freight forwarders
Growth drivers for ocean freight market in India

Robust demand
Region-wise ocean containerized traffic in India1
(MMT, FY20) • Ports sector in India is being driven by high growth in external trade
• Containerized traffic at all ports of the country reached approx. 246 million
metric tonnes in FY20

Attractive opportunities
86
• Key ports are expected to deliver seven projects on a public-private
partnership basis in FY22

61
56
Policy support

• Union Budget 2021 announced subsidy funding worth 1,624Cr to Indian

shipping companies

18
13 Competitive advantage
8.6
2.3 1.3 • India has a coastline more than 7,517km long interspersed with 200+ ports
• Most East Asia, America, Europe and Africa cargo ships pass through Indian
Gujarat Maharashtra Tamil Nadu Andhra West Bengal Kerala Karnataka Others territorial waters
Pradesh

Note(s): Others includes Orissa, Goa, Puducherry, Andaman and Nicobar Islands and Lakshadweep Islands
Source(s): Ministry of Shipping, Secondary research, PGA Labs analysis © PGA Labs | 16
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The container market in India is witnessing increased use of technology to

streamline operations

• Shipping container shortage: The busiest trade routes are thriving, but port congestion is still a real problem. Many ports struggle to deal with the
backlog of containers, and ongoing trade means they continue to pile up. There is currently a race for container manufacturers to produce
adequate supplies of new storage carriers

• Freight rate instability: In December 2020, spot freight rates were over 260% higher from Asia to North Europe than the previous year.
Rates per 40 ft. container went from around US$1,400 in April 2020 to almost $5,000 in April 2021.

• Digital transformation: Carriers use technology to streamline freight booking, particularly spot booking. Due to the volatility of freight
over the past year, short-term bookings are extremely popular. The growth in this area has made digital spot booking an emerging
trend for 2021.

• Increased focus on sustainability: Major shipping companies are committed to neutralizing carbon emissions as part of the “Mission
2020-Zero Emissions”. The shipping industry represents approximately 2.2% of all global greenhouse gas emissions, and it is expected
to rise by 50% by 2050 if action isn’t taken.

• Increased cybersecurity: With an increased reliance on technology, there is an increased risk of cyberattacks. From 2017 to the present, almost half
of the top 10 freight carriers worldwide were victims of digital security breaches, including a $300 million loss from Maersk due to a ransomware
cyberattack.

Source(s): PGA Labs analysis © PGA Labs | 17

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TAM of the Indian freight forwarding market is expected to reach US$ 8B by FY26
owing to improved transportation infrastructure and government policy support

Growth drivers for freight forwarding volume in India

TAM of Indian freight forwarding market
(US$ B, FY17-FY26P)

CAGR
FY20-26P
• The SEIS1 is expected to be revamped, offering exporters duty credit
8.0 3.3% scrips at 5-7% of the net foreign exchange earned
0.16 3.5%

6.5 6.5 2.0 2.4%

6.1 0.13 0.13
5.9
0.11 0.12
1.9 1.7 • Automation, AI, ML, data analytics, and IoT are significantly contributing
to increasing operational efficiency
1.6 1.9

• For merchandise exporters, RoDTEP2 is expected to be a part of the new

FTP, which offers reimbursement of central, state, and local taxes/duties
4.2 4.1 4.5 4.7 5.8 3.6%

• Improved transportation infrastructure and rising competitiveness among

FY17 FY18 FY19 FY20 FY26P
domestic companies
Ocean Freight Air Freight Customs

Note(s): (1) Service Exports from India Scheme; (2) Remission of Duties and Taxes on Exported Products, (3) Target Addressable Market
Source(s): Shipping Ministry, Ministry of Civil Aviation, Industry interviews, Secondary research, PGA Labs analysis © PGA Labs | 18
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Indian ocean freight is concentrated towards the Americas and APAC while air
freight is concentrated towards EMEA

Indian ocean freight market Indian air freight market

(US$ B, FY17-26P) (US$ B, FY17-26P)

5.8

0.3

4.5 4.7 1.0

4.2 0.3 0.3

4.1
0.2 0.2 0.8 0.8 1.1
0.7 0.7

0.9 0.9 1.9 1.9 1.7 2.0

0.8 0.8
1.4 1.6
0.7 0.7 0.6 0.7
1.1 1.1 0.6
1.0 1.0
0.2 0.2 0.2 0.2
0.2
0.6 0.6 0.6 0.6
1.9 0.5
1.4 1.3 1.5 1.5
0.3 0.3 0.3 0.3 0.3
0.05 0.1 0.1 0.1 0.1
FY17 FY18 FY19 FY20 FY26P
FY17 FY18 FY19 FY20 FY26P
Americas APAC Europe China & North Asia Middle East and Africa Americas APAC Europe China & North Asia Middle East and Africa

Source(s): Shipping Ministry, Ministry of Civil Aviation, Industry interviews, Secondary research, PGA Labs analysis © PGA Labs | 19
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The India market is witnessing activity in the digital freight forwarding space;
however, the other spaces are dominated by traditional players

Traditional freight Digital freight

forwarding 10K+ freight forwarders
(500 are organized players)
forwarding

Marketplace SaaS Provider Service Provider

Customs Insurance Trade Finance

Source(s): Tracxn, Company websites, PGA Labs analysis © PGA Labs | 20

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Digital freight forwarding in India: Overview of key players and global benchmarks

Digital Traditional Global

Model Marketplace SaaS Provider Service Provider

Company

Founded 2016 2015 2015 2019 2009 1997 2013

Total funding (US$ M) 31 7.89 4.9 5 NA NA 1300

Key investors NA NA

Brief description • Online platform for • Freight forwarding • Tech-enabled freight • Freight forwarding • Integrated logistics • Supply chain • Online Freight
freight forwarding platform and supply forwarding services platform to manage solutions provider management and forwarding platform
chain visibility provider partner for consigners end-to-end operations across a supply chain logistics solutions to manage end-to-end
operations
Modalities • Ocean, air and road • Ocean, air and road • Ocean, air and road • Ocean, air and road • Ocean, air and road • Ocean, air and road • Ocean, air and road

Value added services • Customs • Advisory services • Customs • Customs • Customs • Customs • Customs
• Trade finance • Inland trucking • Trade finance • Advisory services • Advisory services • Advisory services • Trade finance
• Insurance • Planning and analytics • Insurance • Insurance • Insurance • Insurance • Insurance
• Testing • Trade advisory

Geographic presence • 149 countries • India, MENA, SEA • 40+ countries • SEA, Europe, USA • SEA, Europe, USA • SEA, Europe, USA • SEA, Europe, USA

# of customers 30K+ 15K+ 2K+ 1 15K+ Global Global Global

- - 4L+ 24M+
Revenue (US$ M) 77.3 2 3.5 2 2 269 (FY19) 3100 (21E)

Note(s): Businesses enrolled with provider , 2 - K+N’s Indian operations are considered
Source(s): Tracxn, Company websites, PGA Labs analysis © PGA Labs | 21
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Global players like K+N have superior product feature stack, whereas digital and
traditional Indian players need to catch-up in terms of certain service offerings

Digital Traditional Global

Model Marketplace SaaS Provider Service Provider

Core Services
Ocean freight       
Air freight       
International trucking       
International rail freight       
Inland haulage &
warehousing       
Customs clearance       
Trade finance       
Cargo insurance       
Value added services
Inland trucking       
Inland rail       
Cargo inspection       
Specialized trade advisory       
Tech–based services
Milestone based tracking       
GPS tracking       
Descriptive analytics       
Predictive analytics       
Document handling       
Automated invoicing       
Instant rate generation       
Source(s): Company websites, Secondary research, PGA Labs analysis © PGA Labs | 22
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Customer profile of key players

Digital Traditional Global

Marketplace SaaS Provider Service Provider

Company

# customers 30K+ 15K+ 2K+ - - 4L+ 24M+

USP • Instant rate • Voice assistant • Partnership with • Full-stack • Extensively • Specialized • Full-stack player to
generation • Multifaceted Maersk Spot player to offer networked contract and offer door-to-door
and superior value capture • Instant quote door-to-door with over 60+ project multimodal
credit availability for end generation for multimodal offices across logistics solutionsand
customers select ships & solutions India supply chain
lines visibility
Marquee customers

Channel mix • Online inbound • Online inbound • Online inbound • Online inbound • Online inbound • Online inbound • Online inbound
• Sales Team • Sales Team • Sales Team • Sales Team • Sales team • Sales Team • Sales Team
• Agents • Partners • Agents • Agents • Agents • Agents • Agents

Key verticals • Infrastructure • Manufacturing • FMCG • FMCG • Automotive • Automotive • Ecommerce

• Logistics • Courier Express • Electricals • Infrastructure • Electronics • FMCG • High value
• FMCG • Retail • Infrastructure • Automotive • Glassware • Electricals goods
• Automotive • Freight Forwarders • Logistics and ancillaries • Infrastructure • Infrastructure • Packaging
• Pharma • Quick service • Retail • Logistics • Agriculture • Pharma and • Electronics
• Electricals Healthcare • Lifestyle
Client size mix • Small • Small • Small • Medium • Medium • Medium • Medium
• Medium • Medium • Medium • Large • Large • Large • Large
• Large • Large • Large

Customer share of • SoW of digital freight forwarders has risen to 15-20% in the last few years; estimated to reach 35-45% in
wallet (SoW) for digital the next few years as players gain specialization in more trade lanes, enter contracts with carriers for
additional capacity and enhance their technology platform with additional services
freight forwarders

Source(s): Company websites, LinkedIn, Primary discussions, PGA Labs analysis © PGA Labs | 23
Our team

Abhishek Maiti Kiran Achanta Arindam Gupta

Industrial Good & Services, Technology & Internet Healthcare & life sciences
Technology & Internet

Roma Dixit Tarak Pandey Vamsi Krishna

Financial Investor Group, Financial Services Technology & Internet
Consumer & Retail

Parul Garg Vaibhav Tamrakar Prasun Dey

Consumer Fintech, Ed Tech & Food Tech Technology & Internet

Praneet Singhal Abhilasha Jaju Bharanikaran Karunakaran

Technology & Internet Financial Services Healthcare & life sciences

We understand the LogisticsTech space very well and have experience in several pieces of deep research work
• Conducted deep research on Logistics SaaS and its growth drivers in India
• Estimated market size of e-commerce retail & D2C logistics space in India which act as the key growth drivers of e-commerce Logistics. Also, benchmarked key trends in D2C space in India
• Mapped various Logistics supply chains and value chains from first-mile to last-mile including e-commerce logistics
• Benchmarked critical metrics of competitor intelligence including delivery closure rates, % damaged shipment, % RTO shipment, etc. across major LogisticsTech players in India
• Estimated trip economics for various value chain participants in transportation business across geos
• Conducted deep supply side surveys / IDIs of truckers / DCOs (driver cum owners)
• Also conducted deep demand side in-depth interviews to understand customers of Logistics aggregator platforms

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