From Paper to Platform: What Global and Domestic Logistics Technology Ecosystems Can Learn From One Another with Eric Johnson
ZUUM Transportation hosted the webinar, From Paper to Platform: Adopting Logistics Technology Through Collaboration & Partnerships on March 11th, 2021 where they invited industry experts, venture capitalists, executives, and founders to share their insight. Watch the full recording on-demand here.
Senior Technology Editor of The Journal of Commerce, Eric Johnson leads coverage and analysis of technology’s impact on global logistics and trade. He shared some of his insight on what global and domestic logistics technology ecosystems can learn from one another during our webinar. He also regularly reports on how shippers, carriers across all modes, and logistics companies use software, as well as new concepts impacting core freight transportation processes like procurement, execution, visibility, and payment.
The transportation and logistics industry is deeply fragmented; solutions often specialize in modes of transportation and by domestic or international markets. There’s a growing demand for a single solution that caters to all modes and the market is looking to the tech sector to bridge the gap. Johnson states that a majority of the existing systems excel in a specific mode and that new software solutions perpetuate the divide between international and domestic solutions.
If we examine the geographic location of “logtech” innovation globally, we can see that logistics technology startups emerge near major ports. This is primarily due to the fact that these tech ecosystems are built around the problems that occur in major port gateways.
In the US, innovation is much more dispersed. After companies adapted to remote work environments due to COVID, location became less of a priority for startups. This has spurred increased economic growth to more regions outside of the typical innovation centers.
In the end, while location may seem increasingly less important in a post-COVID world, it may in fact determine your company’s long term success. Access to talent, domain expertise, and potential end users will be critical to achieving lasting growth. Logistics technology startups should consider that these key elements may be even more crucial than proximity to potential capital investment.