The world economy has been diversified and now going through various developments in recent days. It is heavily influenced by ongoing pandemics, geopolitics, war, and recession that several countries are facing now. However, the logistic sector is also getting influenced and suffering (to some extent) due to the changing world scenario.
Today, the multibillion-dollar logistic industry has extended its operation to various fields, and accumulating commercial and residential shifting, the industry grows to its full potential. However, commercial relocation strengthens the logistic industry to many extents.
Two major pillars of the removal industry
There are two pillars of the removal industry. One is commercial moving and the second one is residential moving. Commercial moving serves small to large scale industries in different sectors while residential moving serves domestic clients. Furthermore, commercial moving service eclipses the domestic moving service in terms of volume and criteria.
Commercial relocation types and how exactly it works globally
Commercial shifting is not restricted to only shifting businesses and their belongings from one place to another. The service of commercial shifting can be split into various parts. Some of them are given below.
- Domestic shifting
Domestic shifting is the most popular shifting service where maximum people do opt to shift the assets from their origin to the destination within a certain territory or country. In this service category, clients can shift their belongings including office accessories, industrial goods, household goods, and miscellaneous goods to interstate or intrastate within the country.
- Interstate shifting
Inter-state shifting allows for shifting the goods from one state to another. Many businesses today opt for this service specially to tap the better business facilities available in a different state. No matter what the problem they face in the business operation, shifting to another state will let them have the opportunities they were searching for. This is the reason, inter-state shifting plays a big role to smoothen business operations and generating revenue.
- Intrastate shifting
Most of the time many industries or businesses face a problem within an operation location and they prefer to shift to another place of the same state to avail of the facilities that they were facing scarcity in the current location. There are a number of advantages to grab in the interstate shifting and the cost and shifting duration are comparatively low. This shifting service allows the businesses or families to relocate to a new place in the same state and in this way, they can avail the plethora of opportunities there.
- International shifting
Globalization has pushed the international shift to another level. Not only businesses but individuals also prefer to send their assets beyond their own country. Since there are various laws applicable when it comes to sending your consignment to another country still most of the packers and movers in India offer this service adhering to international shipping law. Since international shifting can be done through sea routes; road and air, here are the steps that packers and movers follow for international moving.
- Enquiring and taking the stock of the shifting material
- Proper documentation regarding the volume of consignment along with the details of the destination and the mode of shipping
- Robust packing of the goods
- Paperwork entitled with the authorities
- Softcopy of the essential documents like Passport, Visa, Air Ticket, Luggage, and the declaration signed by the client
- Delivering the goods at the warehouse located at the origin point
- Customs clearance and container fumigation
- Start of transportation
- Goods receive at the destination port
- Customs clearance at the destination port
- Transfer of the consignments to the destination
- Delivering and unpacking
Though international shifting is the complex best, packing and moving companies offer this service without any additional hassle. International shifting opens the door to avail the opportunities.
- Associate shifting
Associate shifting is a part of the commercial shifting procedure. Many packers and movers outsource their shifting tasks to various companies that are specialized in a particular domain. Associate shifting saw in the eCommerce sector and a number of companies today are employed to deliver the consignment at the destination smoothly and on time. In such conditions, 3PL companies play a significant role.
The role of 3PL companies
3PL stands for third-party logistics. That means, some companies have expertise in certain areas where they can distribute or deliver the products at the doorstep without any intervention from the previous companies. There are a number of advantages that can be found after hiring 3PL companies for package delivery. Some of these advantages are given below.
- Expertise in a specific area that drives smooth and timely delivery
- Robust shipping network till the ground level
- Well trained and experienced workforce
- Advance tools and techniques to make the delivery smoothen
- Large network of shipping facilities
- The entire service is managed under one roof
- Dedicated customer service
- Operational cost reduction
Associate shifting reduces the involvement of the main shifting company and it is responsible to deliver the goods to the destination on time and without any damage.
- Industrial shifting
Industrial shifting is the major part of commercial shifting. Small to medium-scale industries today rely on professional movers to carry out their relocation tasks. Since most of these industries are involved in bulk production, only a professional mover who has experience in this field can meet this demand. Here are the major industries that opt for the commercial relocation service to move their products.
- SME (Small and Medium Enterprises)
SMEs are now the growth engine of the Indian economy and equally, they have to move their products from one place to another. Since SMEs are booming, they are boosting the logistic industry at the same time. Not all SMEs have an adequate resource for investing in a dedicated logistic division and this is why they outsource their logistic tasks to the reputed movers that meet their requirements.
- Large Scale Industries
Large scale industries including automobile, manufacturing industry, pharma, food, and beverage industry, and daily consumer goods are the prime user of commercial relocation services. Since they have to move bulk shipments to both domestic and international markets, they opt for a commercial mover that has experience and expertise to handle the bulk shipments. They outsource the logistic task because they found it easy to rely on a professional mover rather than maintain a large fleet of the logistic department on their own.
Large scale industries scale extra miles to avail of the relocation service for a long time. Therefore, they make joint ventures and holdings with the movers to streamline their movement for a long time. Many Navratna Companies like NALCO, Bharat Electronics Limited, and Hindustan Aeronautics Limited (HAL) also largely depend on professional movers for interstate, intrastate and international shipment. Their involvement directly boosts the logistic industry.
- Major businesses that avail of the commercial relocation service
Ceramic industry– Ceramic products have a separate fan base and this industry is growing day by day. Ceramic products are fragile and they need robust packing and transportation to reach their destination. Most of the movers are employed in the ceramic industries to deliver the products to the end customer.
Heavy industries– Heavy industries like automobiles, electronics, petro products, aviation industries, and heavy industrial components are the main user of the commercial moving service. Since these are sensitive and pricy, they need utmost care from packing to loading and from transporting to offloading. Heavy industries use all types of moving services like an interstate, intrastate and international to deliver or receive their products.
Clothing– Garments sector is one of the few industries where demand stays at an all-time high. Due to globalization, the market has been widespread and manufacturers send their products to different countries due to the demand for their brand. They also import the raw materials from different regions. So, all these tasks need proper care, and a commercial relocation service provider that has an international presence carries out the moving task.
Consumer electronics and machinery- Electronic appliances are fragile and they need robust packing and careful handling to reach their destination. Due to the sensitivity, they need a certain type of care and customize vehicles which many commercial movers offer to their clients. Consumer electronics is one of the frequent users of commercial shifting services. The same thing applies to machinery. Whether it is industrial heavy machines or automobile accessories, they all need proper care to reach the end consumer from the manufacturing unit.
E-Commerce– E-commerce has successfully replaced conventional business practices. It is now a trillion-dollar industry worldwide and India is not far behind. Being the technical powerhouse, there are thousands of established and newcomer eCommerce companies pan India to meet consumer needs. They solely depend on the commercial moving service to maintain their supply chain. This service starts from their warehouse and reaches the grassroots level which is known as the end consumer. Since this business is growing; commercial moving service plays a crucial role in streamlining the entire moving process.
Aspects of residential shifting
People, who want to shift their household goods from one place to another without their intervention, opt for the residential shifting service providers in the area. A well-reputed residential shifting service provider can ensure the safety and security of household goods.
There are various aspects of residential shifting service including:
- Household goods shifting
- Pet and plant shifting
- Car and bike shifting
Most of the residential shifting service providers offer both domestic and international relocation services as per the requirement of the client and this service is mainly availed by the domestic consumers. So, it comes with several advantages for proper who don’t want to do the shifting task DIY method.
Contribution of the commercial moving service to the logistic sector
Commercial relocation is a globally accepted and ever-running shifting task that maximum movers engage with. According to the data, it has dominated a whopping 80% share of the entire logistic industry. Globalization has opened up the door not only for the large-scale industries but for the individuals to explore new opportunities and when it comes to relocating to any new place, they opt for this service. Since the global consumer demand is increasing, the importance of the logistic industries has skyrocketed. Implementing the latest tools and techniques, commercial movers are now meeting the growing consumer demand globally.
The global supply chain entirely depends on the commercial shifting service and due to that, the demand is getting increased day by day. This is the reason; the demand for the commercial relocation service is growing rapidly, helping millions of employees to earn a handsome amount of money and contributing to the logistic industry to stabilize in this highly uncertain world.
How do both add value to pump revenue to the logistic sector?
The dominance of commercial relocation services is well known. Since this service is widely accepted, maximum industries opted for this type of moving service to meet the needs of the end consumer. According to a report by BusinessLine, The logistics sector is expected to create 3 million new jobs by 2022, with the road freight industry alone contributing nearly 63% or 1.9 million new jobs. Apart from creating millions of jobs, according to Ken Research, the Indian E-Commerce Logistics Industry is expected to touch INR 492.4 Billion market cap by 2025.
Since the infrastructure is getting better compared to the years, it helps the logistics industry to earn much more profitable compared to others. According to data, this sector contributes nearly 13% of India’s GDP.
Summary
The removal industry has a multi-billion market cap and the demand for commercial relocation is growing day by day. It usually protects this multi-billion removal industry growth with full potency. Since the demand for commercial shifting is growing, there is no question of any type of instability or downfall of the global logistic industry. The demand is growing and it has large participation in the global supply chain. So, the demand for commercial moving services is bound to grow.