Challenging time for the transport market as prices continue to decrease

The tenth edition of the Transport Market Monitor by Capgemini Consulting and Transporeon assesses European transport and haulage dynamics

Published 21 February 2012 | France | Paris

The tenth edition of the Transport Market Monitor (TMM) by Transporeon and Capgemini Consulting reveals that transport prices decreased by 0.6% in Q4 2011 compared to Q3 2011. This situation is contrasting with the seasonal pattern, when the price index normally increases between the third and fourth quarter of the year. The trend of higher prices and a lower capacity index year-on-year has not been observed since May 2011. The large increase in capacity and the decrease in rates between consecutive months shows the uncertainty that market players face, which has had consequences on transport rates in 2011.

Main highlights of the report

  • The price index decreased by 0.6% in Q4 2011 (index 100.6), compared to the price index in Q3 2011 (index 101.2).
  • Compared to the index level of previous year, Q4 2010 (index 102.1), the price index decreased by 1.5%. This confirms the development we observed in the previous quarter, when transport prices were lower than a year earlier. 
  • The diesel index increased by 2.0% in Q4 2011, compared to Q3 2011. This is remarkable since the transport price index decreased.
  • The capacity index increased by 11.0% in Q4 2011 (index 84.9), compared to Q3 2011 (index 76.5).

Ramon Veldhuijzen, Global Lead of Logistics within Capgemini Consulting and one of the authors of the report, said: “Obviously carriers are facing some tough times. Just going for the lowest price may not work; both shippers and carriers need to be smarter in order to avoid negative surprises.”

Peter Förster, Managing Director of Transporeon, added: “Looking into the market data on our platform online, we realise an ongoing transport price decrease in the first weeks of January. Therefore in my opinion, Q1/2012 will become a challenging time for the transport market as well as the general economy.” 

More details can be found in the Transport Market Monitor on www.transportmarketmonitor.com

The Transport Market Monitor by Transporeon and Capgemini Consulting is a quarterly publication that aims to track transport market dynamics.

The aim of the Transport Market Monitor is to provide insights in the development of transport prices, and other transport market dynamics to logistics executives and other interest groups. It is a joint initiative from TRANSPOREON and Capgemini Consulting. The Index is based on the logistics platform TRANSPOREON on which shippers tender and process their transport needs to their preferred transport partners on a daily basis. Anonymously, information is unlocked from the platform and analysed by Capgemini Consulting. This results in monthly Indices which are published on a quarterly basis.

About Capgemini
With around 120,000 people in 40 countries, Capgemini is one of the world’s foremost providers of consulting, technology and outsourcing services. The Group reported 2011 global revenues of EUR 9.7 billion. Together with its clients, Capgemini creates and delivers business and technology solutions that fit their needs and drive the results they want. A deeply multicultural organisation, Capgemini has developed its own way of working, the Collaborative Business ExperienceTM, and draws on Rightshore ®, its worldwide delivery model.
Learn more about us at www.capgemini.com.
Rightshore® is a trademark belonging to Capgemini

About Capgemini Consulting
Capgemini Consulting is the global strategy and transformation consulting organisation of the Capgemini Group, specialising in advising and supporting enterprises in significant transformation, from innovative strategy to execution and with an unstinting focus on results. With the new digital economy creating significant disruptions and opportunities, our global team of over 3,600 talented individuals work with leading companies and governments to master Digital Transformation, drawing on our understanding of the digital economy and our leadership in business transformation and organisational change.

About Transporeon
The logistics platform TRANSPOREON connects shippers from industry & trading companies with carriers, drivers & consignees – and optimises and accelerates logistics processes by Software-as-a-Service (SaaS) solutions. TRANSPOREON allows to reduce dispatch and freight costs, while minimising waiting times during loading and unloading. Currently more than 400 shippers, more than 20,000 carriers and more than 54,000 users from 70 countries are connected via the TRANSPOREON platform. The platform as well as the customer service are available in 16 languages. www.transporeon.com

Capgemini Press contact:
Ramon Veldhuijzen
Tel.:+31 (0)6150 30 097
Email:
Transporeon GmbH Press contact:
Christine Götz
Tel.: +49 (0)731 16906 243
E-mail:

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