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Prime Mover Magazine


Linfox evolves with e-commerce

Known for taking a proactive approach on new technology and shifts in market demand, Linfox has embraced the global e-commerce boom by adding a comprehensive range of fulfilment services to its portfolio.

“The market is moving towards online retailing and omni-channel systems, which is something traditional supply chains can’t necessarily support in a cost-effective way,” John Pucek, General Manager – Operations Development at Linfox, told CRTNews.

“That’s why transport businesses like Linfox are evolving into much more multi-faceted organisations. Our new fulfilment operation in Sydney is the latest example of that evolution.”

The Sydney facility is designed to provide comprehensive fulfilment services for e-commerce operations – ranging from basic storage, ‘pick and pack’ and dispatch services through to product customisation, kitting, reverse logistics, repairs and even order track and trace services.

“We’re also developing our own, enterprise-grade e-commerce solution for the consumer goods market,” he said.

“A company will be able to purchase a fully managed service where we provide the e-commerce platform, a management team and online store management. We even do all the content management, and it will be integrated into our fulfilment.”

The service is designed for small to medium-sized businesses trading between $120–300 million. “Rather than having to invest in their own e-commerce platform, they can get the complete package from us,” he explained – adding the company launched the fulfilment and e-commerce projects at a strategy level in January 2016.

“We secured our first customer, consumer electronics company Belkin, in November 2016, and then went live in April this year,” he said.

Initially, Linfox will continue to focus on the consumer electronics market, he added, and it was recently announced that the company’s second confirmed customer is audio company Sennheiser. Next up are health and beauty. “The service offering suits many industries, but they’re the two current strategic targets,” he shared.

“We want to be a real partner of consumer goods organisations and retailers,” Pucek added – highlighting the evolutionary leap Linfox has taken from its beginnings as a transport operation.

“We’re hoping to be more so a partner than a 3PL – we want to be more integrated with them to help them grow their businesses, and now we’re looking at the other channels for which they want to grow their business and how we can support them by investing in the technologies for them.”

Pucek said that as consumers and small businesses demand better choice in how and where they receive their products, the market will continue to see change and innovation when it comes to last mile delivery.

“The challenge for traditional operators will be to bend and flex with consumer demand,” said Pucek.

“Linfox is investing heavily in our systems to provide small businesses and end consumers with greater visibility throughout the fulfilment supply chain.”

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