6th Annual Analysis of Third-Party Logistics Provider (3PL) Customers Identifies Trends and Market Segments

STOUGHTON, WI – Two-thirds of domestic Fortune 500 companies now use 3PLs for logistics and supply chain functions according to a new in-depth research report “Trends in 3PL/Customer Relationships” just issued by Armstrong & Associates. The report utilizes Armstrong & Associates’ proprietary database of 2,864 3PL customer relationships and provides detailed information on the top outsourcers to 3PLs, service demand and market size by industry segment.

According to the report, General Motors, Wal-Mart, DaimlerChrysler, and Ford Motor each use 30 or more 3PLs. The report also quantifies the Global Fortune 500 3PL market at $158.1 billion for 2005. Automotive 3PL customers spent an estimated $35.8 billion with 3PLs.

The average customer is utilizing each 3PL for three distinct services. The primary 3PL services are transportation management (20.5%), warehousing (19.3%), and value-added services (18.5%). Armstrong & Associates’ report is based on 9,004 individual services.

Commenting on the report, Evan Armstrong, president of Armstrong & Associates said, “We feel that this analysis of customer relationships is our best to date and builds upon our previous reports. The greatest penetration of automotive accounts is by European 3PLs, Ryder, Penske, and Menlo. Retailing relationships are led by Maersk, Meridian IQ and DHL. BAX is the leader for Fortune’s technology sector.”

The complete report is available from Armstrong & Associates online at www.3PLogistics.com.

About Armstrong & Associates:

Armstrong & Associates, Inc. is a supply chain market research and consulting firm specializing in 3PL market analysis, provider benchmarking, strategic planning, mergers and acquisitions, and logistics outsourcing. Armstrong & Associates publishes Who’s Who In North American Logistics and Supply Chain Management and Who’s Who In International Logistics – Armstrong’s Guide to Global Supply Chain Management. Recent research papers include "Warehousing in North America – 2006 Market Size, Major 3PLs, Benchmarking Prices and Practices". In addition, Armstrong & Associates maintains databases of warehousemen, freight forwarders and third-party logistics and transportation companies.

For more information please contact:

Richard or Evan Armstrong (800) 525-3915 or e-mail Dick@3PLogistics.com or Evan@3PLogistics.com.

Source:

Armstrong & Associates, Inc.

100 Business Park Circle, Suite 202

Stoughton, WI 53589 USA

Fax: (608) 873-5509

Website: www.3PLogistics.com

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