A significant part of any business operation is transportation. Transportation of products directly from the place of manufacture to end users is a challenging task. This is where logistics companies come in. Logistics has become a fast-growing worldwide business model, especially in Africa.
Although one of the somewhat uncredited industries, the growth of the logistics industry has become patently prominent. Many logistics companies have surfaced today, greatly impacting the flow of commercial activities, i.e. product movement and distribution from the manufacturer to the consumer.
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What is a Logistics Company, And What Do They Do?
Logistics companies are in charge of the smooth flow of products from the place of manufacture to the point of consumption to ensure consumer satisfaction. They make these possible with logistics services, which includes shipments, courier, and delivery services.
Logistics companies are known to plan and execute the effective and efficient movement of products through orderly and well-systematized stages of products distribution. Their activities include the following;
- Processing and receiving of goods from their origin
- Packaging
- Warehousing, i.e., storehouse for products
- Transportation
- Forwarding or delivery of goods to the final consumer.
- Security and more
Logistics companies are set to receive large quantities of orders from various business organizations or merchants, sort them accurately, and simultaneously ensure they are dispersed to their final or pick-up destinations without delay. These companies are also responsible for the smooth movement of products ordered from other countries.
Another intriguing attribution of a logistics company is the lower costs of shipments compared to the costs of individual business owners or a company transporting products directly to consumers.
Below is the curated list of top logistics companies in Africa as of 2023;
Top 5 Logistics Companies in Africa
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UPS
United Parcel Service is one of the high-ranking Logistics companies offering top-tier logistics services in over 220 countries. James E. Casey established the company on 28 August 1907. UPS offers logistics services such as movement, supply management, cargo forwarding, and courier services.
This company has an outstanding record of operations in African countries. In 2022, UPS partnered with Jumia, Africa’s leading online marketplace, to make their logistics services deeply embedded and available to all their African customers. This partnership deal enables UPS customers to pick up and drop off parcels to be received or transported across other countries at Jumia’s stations in Kenya, Morocco, and Nigeria.
UPS is a notable foreign logistic company in Nigeria located at Plot 16, Oworonshoki Expressway Gbagada Industrial Estate, Lagos. Nigeria.
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DHL Logistics
DHL is a logistics company, a subsidiary of Deutsche Post DHL Group, founded on 25 September 1969 in San Francisco, California, United States.
DHL offers various logistics services with an impressive global network across over 220 countries with a large presence across African countries, including Nigeria, Kenya, South Africa, Cameroon, Egypt, Senegal, and other parts of Africa. Their services include transportation, warehousing, package delivery, freight forwarding, e-commerce delivery services, express mail service, and more.
DHL was pronounced the most certified top employer in Africa for 2023 and holds an impressive record of a large quantity of delivery per annum. It is undoubtedly one of the largest operated foreign logistic companies in Lagos, Nigeria, with its head office located at Isolo Expressway, New Airport Road Junction Isolo Lagos.
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JUMIA Logistics
Jumia Logistics is a subsidiary of Jumia Group, a top-box all-Africa e-commerce trading and online payments platform. Jumia has an already established network spread across ten countries in Africa.
This e-commerce logistics company boasts of over a hundred logistics partners with commercial companies and individual and small business owners offering extensive logistics services such as skilled workforce, the network for movement services, freight coordination, custom clearing, warehousing, door-to-door deliveries, cash-on-delivery service, and more.
On 2nd November, 2020, Jumia announced that its logistics service is now available for third-party businesses.
Read also: How to boost Intra-African trade.
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GIG Logistics
GIG Logistics is another leading logistics company in Africa. The company is a tech-enabled logistics company in Lagos, Nigeria. It was established in 2012 by Chidi Ajaere.
GIG is a resourceful and all-purpose logistics company with over 122 service centers in Nigeria and countries including Ghana, the United States of America, the United Kingdom, Canada, China, and Germany. This company exports globally from Nigeria to 230 locations. It utilizes technology to handle logistic services for business organizations and individual business owners.
GIG logistics services include national, international, and e-commerce logistics, courier services, imports, shipment of goods, warehousing, packaging, and intra and inter-state delivery services.
In 2019, GIG Logistics launched GIGGo, a demand-based mobile application providing users with an easy flow of logistic services without visiting physical service centers. GIG’s head office is at 1, Sunday Ogunyade Street, Gbagada Expressway, beside Mobil Filling Station, Gbagada Lagos.
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LORI Systems
Lori Systems, a Kenya-based logistics company, was founded in 2016 with networks across East Africa and Nigeria. It is a logistics company utilizing a tech-enabled platform to maneuver the delivery of goods. Lori Systems operates a demand-based trucking logistics service that connects a network of truck owners with commercial trade persons who need their services through a mobile application.
As a technology-driven logistics company, they offer their clients ingenious solutions, including freighter forwarding, supply chain management, onboarding services, trucking operations, and more services. Lori systems are successfully established in other African countries, including Kenya, Uganda, Rwanda, South Sudan, Tanzania, Nigeria, and Ghana.
With a network of 28,000 trucks, they manage cargo transportation across 12 African countries, using technology and data-driven systems for advanced service offers and regulating truck movements.
Read also: 10 reasons African Tech startups are failing (with examples).
Conclusion
Due to the rising demands of commercial industries, the logistics industry is gradually becoming a large part of many countries’ economies. It has, in one way or the other, impacted the growth of business operations and the manufacturer-to-customer relationship. Through product deliveries, the logistics industry has dramatically influenced the ultimate consumer experience which is satisfaction.
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About Author
- Lawal Jesutofunmi Mary is a Skin care expert, hair care consultant and content writer communicating helpful information on hair and skin care through writing. She is an avid reader who loves to broaden her horizons through reading. Writing reviews of books on personal growth and self development gives her joy.
