The Current State of Logistics Services Branding

Abstract

In 1962, Peter Drucker prophesized the importance logistics services were to have, when he suggested distribution was “one of the most sadly neglected, and most promising areas of American business,” and an area that provided substantial opportunity (p. 3). Since Drucker’s prognostication, logistics services have evolved into an industry that supports not only the United States economy (2002 U.S. logistics costs totaled $910 billion and 8.7% of the total U.S. GDP (Delaney 2003)), but also the world’s economy. Logistics services have received increasing attention as a tangible way for firms to achieve and sustain a competitive advantage. Combined with the current trend of developing closer relationships with fewer suppliers, this means that logistics firms must strive to distinguish themselves from others offering similar services. One way in which logistics services providers can accomplish this is by developing a superior brand.