Instead of having to contact multiple suppliers to order logistics services, the market has seen the emergence of 'all-in-one' solutions for businesses to choose from.

Operating as a digital 4PL (Fourth-Party Logistics) provider, capable of managing the entire supply chain for customers, Vela has been in development since 2022 and launched earlier this month. They mainly target small and medium-sized (SME) customers.

In mid-August, Alibaba’s wholesale platform also launched a comprehensive online logistics service for Vietnamese sellers. Businesses can do everything online with this solution, from placing orders, viewing costs to tracking progress.

According to the report "Improving Vietnam Logistics Performance Index 2023" by the Import-Export Department (Ministry of Industry and Trade), there are currently more than 5,000 enterprises operating in the logistics sector in Vietnam, of which domestic enterprises account for 89%. However, this group is mostly medium, small and micro-sized, so it only accounts for 30% of the market share, mainly domestic transportation, delivery, warehousing, customs procedures, and cargo inspection. They operate individually, serving certain segments with little connection.

This situation causes supply and demand to be limited and unconnected. The market still lacks full-package services, which means managing the entire supply chain for customers, which small and medium-sized enterprises are in great need of.

Ms. Vianne Wang, Director of Global Supply Chain of Alibaba Wholesale Platform, pointed out that SMEs need comprehensive online logistics solutions to increase competitiveness, ensure on-time delivery and respond quickly to market demand.

The emergence of "all-in-one" logistics service platforms, according to Mr. Bryan Tuyen, CEO of Vela, helps businesses shorten operating time, save costs, and increase efficiency. This platform has attracted more than 100 partners to participate, with many strengths from customs procedures, warehousing to domestic transportation, forming an all-in-one platform (one-stop logistics platform).

In addition, this trend also helps manufacturers and exporters easily transform digitally in supply chain operations. For example, wholesale platform Alibaba said it uses AI to support smart transactions and transportation, by automatically suggesting optimal shipping routes. However, comprehensive online logistics service platforms will have to overcome the trust barrier, proving security capabilities to participating partners and customers.

Di Tung