Use of Online for Logistics Services We surveyed a total of 200 business professionals that use the web to research Logistics services and information •
A custom survey instrument (i.e. questionnaire) was developed to measure respondents’ use of the web, and search engines in particular, for researching Logistics services, including Transportation, Supply Chain, Warehousing, Distribution and Fulfillment.
•
The survey was conducted online, through a web-based interviewing process, in April 2005
•
Quota sampling was imposed to ensure an even mix of small and medium-sized businesses
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Respondents were recruited through a variety of methods: web advertising, permission-based databases, public relations, telephone recruitment, partner-recruited panels, and alliances with heavily trafficked portals
•
The survey was designed and administered by Media-Screen, an independent strategic market research firm, with sample provided by GMI (Global Market Insite)
Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 1
Use of Online for Logistics Services Executive Summary •
91% of respondents use a search engine to help research and logistics or source logistics providers
•
57% of those who use a search engine, use Google most often for this purpose
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Search engine usage:
•
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57% of Google users who have researched logistics information and/or source logistics providers start by using a search engine
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87% of Google users plan to research logistics services and 45% plan to source logistics providers in the next 12 months
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98% of those Google users who are planning to research logistics services or to source a logistics providers will use a search engine to help them
After using a search engine to help research logistics services, 48% of Google users pursued more information offline, via phone or face-to-face meetings Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005)
2
Use of Online for Logistics Services 65% of Google users are involved with Inventory/Materials Control and 59% with Transportation/Distribution 70% 60%
65% 59%
57%
50%
46%
40%
35% 30%
30%
28%
28%
27%
26%
20% 10%
po rt
Si
te
Im
io n Se le ct
po rt Ex
Tr af fic
Fl ee tO pe ra t io ns
io na lS
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ng W
ar eh ou si
In te rn at
In ve nt
or y/
M
at er ia ls
Tr Co an sp nt ro or l ta t io n/ Di st rib Lo ut io gi n st ic s M an ag em en t
0%
N=145
Are you involved in any of the following functions for your company? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 3
Use of Online for Logistics Services 87% of Google users plan to research Logistics services and 45% plan to source Logistics providers in the next 12 months 100% 90%
87%
80% 70% 60% 45%
50% 40% 30% 20% 10% 0% I plan to research Logistics services in the next 12 months
I plan to source Logistics providers in the next 12 months
N=145 Do you plan to research and/or source providers for any Logistics Services in the next 12 months? As a reminder, by “Logistics Services,” we are referring specifically to Transportation, Supply Chain, Warehousing, Distribution, and Fulfillment. Please select all that apply. Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 4
Use of Online for Logistics Services 57% of Google users are key decision-makers and 43% advise and/or influence decisions about Logistics services for their companies
I am a key decision-maker
43% 57%
I advise and/or influence logistics service decisions
N=145
Which of the following best describes your role in making purchasing decisions about Logistics services for your company? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 5
Use of Online for Logistics Services 48% of Google users’ companies employ less than 250 people full-time, while 52% employ between 250 and 1000 people full-time
29% 36%
1-99 100-249 250-499 500-999
23%
12%
N=145 How many employees does your company employ full-time? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 6
Use of Online for Logistics Services 60% of Google users’ companies earn revenue between $10M and $150M, and 40% have revenue of less than $10M
19% Less than $10M 40%
$10M - $19.9M $20M - $29.9M
13%
$30M - $49.9M $50M - $150M 20%
8%
N=145
What was your company’s total annual revenue? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 7
Use of Online for Logistics Services 64% of Google users’ companies spend $250K to $20M on transportation services, equipment, and technology, while 35% spend less than $250K
8% 1% Less than $250K 35%
19%
$251K - $500K $501K - 999K $1M - $4.9M $5M - 19.9M $20M or more
15% 22%
N=145
Approximately how much does your company spend annually on transportation services, equipment and technology? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 8
Use of Online for Logistics Services 79% of Google users have researched information about Logistics services, and 72% have researched specific Logistics providers 90% 80% 70% 60%
79% 72% 62%
59%
50% 40%
52% 45%
40%
37%
36%
30% 20% 10%
0%
0%
R
of th e
ab ov e
th er O No ne
R
es ea rc
he d
in fo rm
at es io ea n ab r ch C ou om ed tL pa sp og re e is ci d tic fic be Fo s L n se og ef un i ... ts is d t co ic an s nt d pr ac fe R ov at ti eq id u n re fo er ue rm s s st o ed at fa i on lte ad Le rn fo di tio at ra ar ... ne na Lo d l in g m is fo or tic rm e s Be at ab pr io ca ou ... n m ta fro e m Lo aw a gi ar s Lo e t i c g. fo s .. rt s er he G v ic fir ot e st Be a or tim qu ca ... ot e m e o e f fro aw a m Lo ar a gi e st L fo og i.. rt i st he i c fir s st pr ov tim id e er of se rv ic e o. ..
0%
N=145
Which of the following activities have you done online? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 9
Use of Online for Logistics Services Of those Google users who have researched Logistics information and/or providers online, 70% researched Transportation, and 60% researched Distribution 80% 70% 70% 60% 60% 50% 50%
45%
43%
40% 30% 20% 10%
1%
0% Transportation
Distribution
Supply Chain
Warehousing
Fulfillment
Other
N=145 You indicated that you researched Logistics information and/or providers online. For which of the following services have you researched Logistics information and/or providers? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 10
Use of Online for Logistics Services 57% of Google users who research Logistics information and/or source Logistics providers online start by using a search engine
60%
57%
50% 40% 30% 20%
15%
11%
8%
10%
7% 2%
1%
Portal
Other
0% Search engine
Specific provider site
Industry directory web site
Industry association web site
Trade web site
N=145 When you go online to research Logistics information and/or source Logistics providers, where do you usually START? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 11
Use of Online for Logistics Services After researching Logistics information and/or sourcing providers online, 53% of those Google users have pursued more information via phone or face to face meeting 60%
53%
51%
50%
43%
43%
40% 30%
21%
20% 7%
10% 1% 0% Recommended a Pursued more information via the new service to your company phone or face to face meeting from a provider
Made a provider decision for a logistics need
Learned about a Changed providers new third party logistics provider
Other
None of the above
N=145 Have you done any of the following after researching Logistics information and/or sourcing Logistics providers online? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 12
Use of Online for Logistics Services 91% of respondents have used a search engine to research Logistics information and/or providers online
9%
Yes No
91%
N=185 Do you ever use a search engine when you research Logistics information and/or providers online?
Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 13
Use of Online for Logistics Services Google is the most popular among all respondents using a search engine for researching Logistics information and/or sourcing Logistics providers
86% 55% 40% 11%
9%
7%
7%
5%
5%
5%
3%
Th om
1% th er
14%
O
15%
iW on G lo ba ls pe c Lo ok sm ar t Al lth ew eb Ke lly Se ar ch W is en ut
20%
Ly co s as Al In t a du Vi st st ria a lN et w or k In fo sp ac e
22%
Je ev es Ne ts ca pe
L AO
As k
M SN
25%
Ya ho o
G oo gl e
100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%
N=169
Which of the following search engines have you used to research Logistics information and/or sourcing Logistics providers online? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 14
Use of Online for Logistics Services Of Google users who use more than one search engine, 57% use Google most often for researching Logistics information and/or sourcing providers 57%
60% 50% 40%
28%
30% 20%
8%
10%
2%
2%
1%
1%
1%
1%
0%
0%
0%
0%
0%
0%
0%
0%
nu Ke t lly Se ar ch G lo ba ls pe c O th er
W is e
ew eb
t
Al lth
sm ar
ok
iW on Lo
a Vi st
Al ta
ce
e
os pa
In f
sc
ap
s co
Ne t
Ly
ve s
k
Je e
wo r
As k
L
Th
om as
In d
us tr i al
Ne t
AO
M SN
oo Ya h
G
oo
gl e
0%
N=114
Which of the following search engines do you use MOST OFTEN to research Logistics information and/or source Logistics providers online? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005)
15
Use of Online for Logistics Services Of Google users who use a search engine to research Logistics services, 65% used a search engine for Transportation and 57% for Distribution 70%
65% 57%
60%
51% 50% 41% 37%
40% 30% 20% 10%
1% 0% Transportation
Distribution
Supply chain
Warehousing
Fulfillment
Other
N=145 For which of the following types of Logistics services have you used a search engine to help you research information and/or providers? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 16
Use of Online for Logistics Services Of Google users who use a search engine to research Logistics services, 80% used a search engine to find FedEx and 72% to find UPS 80% 72% 53%
51% 28% 7%
2%
No ne
of t
he
ab ov e
pi na
6%
Pa na l
CN F
t ic Lo gi s L
11%
Ni pp on
11%
s
US F
Fr ei gh t
12%
AP
12%
Tr an sp or ta t io n TN T Lo gi Sc st hn ic s ei de rL og is t ic s BA X G lo ba l
14%
Ye llo w
Fe dE x
DH L
15%
UP S
Fe dE x
90% 80% 70% 60% 50% 40% 30% 20% 10% 0%
N=145 For which of the following companies, if any, have you ever used a search engine to help you find information? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 17
Use of Online for Logistics Services After using a search engine to help research Logistics services, 48% of those Google users pursued more information offline via phone or face to face meeting 50%
48%
46%
46% 44%
45% 40% 35% 30%
28%
25% 20% 15% 10%
6%
5% 1% 0% Recommended a Pursued more information via the new service to your company phone or face to face meeting from a provider
Made a provider decision for a logistics need
Learned about a new third party logistics provider
Changed providers
Other
None of the above
N=145
Have you done any of the following after using a search engine to help research Logistics information and/or providers? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 18
Use of Online for Logistics Services Of those Google users planning to research Logistics in the next 12 months, 66% plan to research Transportation and 58% to research Distribution 70%
66% 58%
60% 50%
46%
40% 29%
30%
28%
20% 10% 0% Transportation
Distribution
Warehousing
Fulfillment
Supply Chain
N=126 You indicated you plan to research Logistics information in the next 12 months. For which of the following Logistics services do you plan to research information in the next 12 months? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005)
19
Use of Online for Logistics Services 98% of those Google users who plan to research Logistics services in the next 12 months say they think they will use a search engine to help them 120% 100%
98%
80%
58%
60%
51% 43%
40%
28%
27%
20%
2% 0% (Any)
Transportation
Distribution
Warehousing
Supply Chain
Fulfillment
None of the above
N=126 You indicated that you plan to research information on the following Logistics services in the next 12 months. Do you think you will use a search engine to help you research information for any of these services? Please indicate which services you think you will use a search engine to help you research. Select all that apply. Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 20
Use of Online for Logistics Services Of those Google users planning to source Logistics providers in the next 12 months, 60% plan to source Distribution and 60% to source Transportation 70% 60%
60%
60% 48%
50% 40%
35% 29%
30% 20% 10% 0% Distribution
Transportation
Warehousing
Fulfillment
Supply Chain
N=65 You indicated that you plan to source Logistics providers in the next 12 months. For which of the following Logistics services do you plan to source providers for in the next 12 months? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 21
Use of Online for Logistics Services
98% of those Google users who plan to source a Logistics provider in the next 12 months say they think they will use a search engine to help them 120% 100%
98%
80% 57%
60%
51%
45% 34%
40%
28%
20% 2% 0% (Any)
Distribution
Transportation Warehousing
Fulfillment
Supply Chain
None of the above
N=65 You indicated that you plan to source providers for the following Logistics services in the next 12 months. Do you think you will use a search engine to help you research information for any of these services? Please indicate which services you think you will use a search engine to help you research. Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 22
Use of Online for Logistics Services Of Google users planning to research or source Transportation providers in the next 12 months, 81% plan to evaluate FedEx and 72% to evaluate UPS 90%
81%
80%
72%
70%
63%
60% 50% 39% 40% 30%
23%
19%
20%
20% 14%
12%
12%
10%
10%
5%
PL
O th er
CN F
Ni pp on
A
Pa na lp in a
Lo gi st
ic s
US F
G lo ba l X BA
Tr an sp or ta tio n TN T Lo gi st ic s
DH L Y
el lo w
UP S
Fe dE x
0%
N=94
You indicated you would be seeking information and/or sourcing providers on Transportation services in the next 12 months. Which of the following companies if any do you intend to evaluate for these services? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 23
Use of Online for Logistics Services Of Google users planning to research or source Warehousing providers in the next 12 months, 57% plan to evaluate FedEx and 54% to evaluate UPS 70% 60%
57%
54% 47%
50% 40%
26%
30%
26%
25%
22%
22%
21%
21%
20%
18%
10%
4%
O th er
CN F
G lo ba l BA
X
US F
Lo gi st ic s TN T
Pa na lp in a
Ni pp on
Tr an sp or ta tio n A PL Lo gi st ic s
DH L Y
el lo w
UP S
Fe dE x
0%
N=68
You indicated you would be seeking information and/or sourcing providers on Warehousing services in the next 12 months. Which of the following companies do you intend to evaluate for these services? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 24
Use of Online for Logistics Services Of Google users planning to research or source Distribution providers in the next 12 months, 77% plan to evaluate FedEx and 74% to evaluate UPS
74% 55% 33% 20%
18%
17%
15%
12%
10%
10%
Ye llo w
O th er
Ni pp on
pi na Pa na l
CN F
s t ic Lo gi s
TN T
US F
DH L
Tr an sp or ta t io n AP L Lo gi st ic s BA X G lo ba l
1% UP S
77%
Fe dE x
90% 80% 70% 60% 50% 40% 30% 20% 10% 0%
N=84
You indicated you would be seeking information and/or sourcing providers on Distribution services in the next 12 months. Which of the following companies do you intend to evaluate for these services? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 25
Use of Online for Logistics Services Of Google users planning to research or source Fulfillment providers in the next 12 months, 80% plan to evaluate UPS and 78% to evaluate FedEx 90%
80%
80%
78%
70% 54%
60% 50%
37%
40%
34% 24%
30%
24%
22%
22%
20%
20%
17% 5%
10%
O th er
CN F
Pa na lp in a
G lo ba l X BA
Lo gi st ic s
TN T
Ni pp on
US F
Tr an sp or ta tio n A PL Lo gi st ic s
DH L Y
el lo w
Fe dE x
UP S
0%
N=41
You indicated you would be seeking information and/or sourcing providers on Fulfillment services in the next 12 months. Which of the following companies do you intend to evaluate for these services? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 26
Use of Online for Logistics Services Of Google users planning to research or source Supply Chain providers in the next 12 months, 78% plan to evaluate FedEx and 70% to evaluate UPS 90% 80%
78% 70%
70%
60%
60% 50% 40%
28%
30%
25%
28%
25%
25%
20%
20%
18%
13%
10%
10%
O th er
CN F
Pa na lp in a
G lo ba l X BA
Ni pp on
A
PL
Lo gi st ic s
US F
Tr an sp or ta tio n TN T Lo gi st ic s
DH L Y
el lo w
UP S
Fe dE x
0%
N=40
You indicated you would be seeking information and/or sourcing providers on Supply Chain services in the next 12 months. Which of the following companies do you intend to evaluate for these services? Select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 27
Use of Online for Logistics Services
Of Google users seeking information on Transportation and/or Supply Chain, 88% have needs that are national in scope and 39% are international 100% 90%
88%
80% 70% 60% 50% 38%
40% 30% 20% 10% 0% National
International
N=107 N=138
Are your transportation and/or supply chain needs national or international in scope? Please select all that apply Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 28
Use of Online for Logistics Services
21% of Google users reported their primary business is Manufacturing and 12% stated that it is Computers and Electronics 25%
21%
21%
20% 15% 10% 5%
12% 7%
6%
6%
6%
5%
4%
3%
3%
3%
2%
0%
0%
th er O
C
om
M an uf pu ac t er tu C rin he s & g m E ic le al ct s/ ro Ph ni ar cs m ac eu tic Fo al Pa od s p ,B er ev /P rin er ag tin e g & To In du ba st cc ria o lM El ac Au ec hi to tri ne m ca ry ot l Eq ive ui & pm Tr en an t sp or ta tio Te ... xt ile s/ Ap pa re l Fu Pl rn as itu tic re s & R Fa ub br be ic r at ed M et Pr al s im ar y M et al s Ae ro sp ac e
0%
N=145
Which of the following best describes the primary business at this location? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 29
Use of Online for Logistics Services 32% of Google users reported their job title is Operations Manager, 11% Logistics Manager, and 19% specified “Other”, including Owner/CEO 35%
32%
30% 25%
19%
20% 15%
11% 10%
8%
7%
7%
7% 5%
5%
3%
2%
0%
O
s ion t ra pe
m
r ge a an ics t gis Lo
m
r ge a an s itie l i c Fa
m
r ge a an r Pu
ing s a ch
m
r ge a an
r ge a an
m m e ry s o u t ho en v e r In a W
r ge a an
tm n a Pl
r ge a an
m
r ge a an
ain ion t h c ta ly or p p p s an Su r T
m
r ge a an
O
er th
N=145
Which of the following best describes your job title? Source: 2005 Logistics Survey, conducted by Media-Screen and GMI (April 2005) 30
