3PL Branding & Marketing

25th November 2009
Company Introduction

                     NOL
           Founded: Singapore 1968
    1997: Acquisition of APL (Oakland 1848)
                      2008
               Turnover: $ 9.3 bn
          10,000 staff in 115 countries
                Business Units
       APL (Container Shipping, $ 7.4 bn)
    APL Terminals (Container Ports, $ 0.6 bn)
          APL Logistics (3PL, $ 1.3 bn)


1
APL Logistics (3PL)


                                                     International Logistics Services
                                                                             United
                                                                             Kingdom
                       Canada

                                             Supply Chain Solutions & Forwarding              Germany
                                                                                          Benelux

                                                                                     France
                           USA

                                                                         (850,000 TEUS)
                                                                          Portugal              Italy
                                                                                       Spain                 Turkey                                                                 South      Japan
                                                                                                         Lebanon                                               China                Korea
                                                                                               Tunisia     Israel Jordan
                                                                                     Morocco                               Bahrain
                                                                                                                                     Pakistan
                                                                                                                                                         Bangladesh
                            Mexico                                                                        Egypt
                                                                                                                           UAE                  India
                                                    Dominican Republic                                                                                  Myanmar
                                         Honduras                                                                             Oman
                        Guatemala
                                          Nicaragua                                                                                                     Thailand        Vietnam Philippines
                            El Salvador                                                                                                                                  Malaysia
                                Costa Rica Colombia
                                    Panama
                                                          Contract Logistics Services                             Kenya
                                                                                                                                        Sri Lanka                             Brunei
                                                                                                                                                                       Singapore
                                                                                                                                                                       Indonesia
                                          Peru
                                                          Brazil

                                                              Warehousing & Distribution                       Madagascar

                                                                                                                            Mauritius                                              Australia
                                                                                                                                                                                                       Fiji

                                            Chile



      APL Logistics                              Argentina
                                                          Uruguay
                                                                         (1.7 million sqm)      South Africa



    Worldwide Presence
      Offices / local partners




2
3PL

    Branding

       &

    Marketing


3
Marketing: It's all about competing…



            …for the ultimate goal:

              getting to the RFP

                      &

       retaining / winning the business!




4
10 minutes to go… you can do it!




5
3PL Market – Recent Developments
    • Crowded and fragmented market
    • Fast growing demand for 3PL services
    • Customers of all sizes and industries with fast changing needs
    • Many providers have expanded rapidly, geographically and in
      services scope
    • Growth through acquisitions and mergers
    • Brands disappear, new brands emerge
    • Greater pressure to gain and retain business
    • Buyer confusion leading to commoditisation and price
      compression


        BRANDING IS REQUIRED TO DIFFERENTIATE

6
Brand




7
Brand
    • A name, term, sign, symbol or design that identifies the services of
      a seller and differentiates them from those of competition (Kotler &
      Armstrong)
    • A brand reminds the marketplace what a company stands for and
      what it does
    • A brand for a company is like a reputation for a person. You earn
      reputation by trying to do hard things well
    • A brand name is more than a word. It is the beginning of a
      conversation
    • Brand value is very much like an onion. It has layers and a core.
      The core is the customer who will stick with you until the very end


         UNIVERSAL AGREEMENT ON BRAND VALUE

8
Differentiation




9
Differentiation
 • Define and select unique areas of differentiation
 • Internal process


          Global                  Yet… customers expect
         Footprint                    local flexibility

         Superior              Yet… we need to differentiate
           IT                     from pure IT providers

       High Quality        Yet… customers expect to get prices
     Customer Service          in line with "no frills" 3PL's

        Excellent                   Yet… need to remain
        Execution                       asset light


10
I was losing you… Stay focused




11
Communication

                               Customers                         CHANNELS
MESSAGES                                                         Mass Media
                                            Investors
             Media                                             Specialty Press
                                                              Direct (E-) Mailing
Compelling
                                                                   Website
Consistent
                        Integrated                              Conferences
Memorable             Communication                           Contests/Awards
 Succinct                  Plan
                                                                   Surveys
                                                                  Executive
                                                                 Interaction
                                                  Employees
        Suppliers / Partners                                  Customer Facing

                        Government / Regulators


12
Marketing Challenges In The B2B 3PL Industry
 • Poor market share data
 • Lack of research on marketing effectiveness
 • Message or medium?
 • Limited articulated differentation between providers
 • Focus on short term / tactical actions
 • Easy target for cost reduction programmes
 • Still an operations & sales driven market
 • Marketing functions low on the organisational food chain




13
Influencing The Purchase Decision

                           Awareness
     MARKETING
     BRANDING             Acceptance




                           Preference

        SALES
                            Choice


14
Don't let me down – hang on in there




15
Some Good Practices (In A Depressed Market)

 • Strategy before tactics
 • Invest in an effective CRM application – enhancing control and
   measurement of marketing efforts and results
 • Apply search engine optimisation (SEO) on your website
 • Maximise your marketing efforts in industry vertical specific
   messaging
 • Invest in identification of the decision makers and influencers
 • Never move away from your basic messages – unless your
   strategy changes
 • Stimulate intense interaction with external stakeholders about your
   company's reputation and perceived differentiation


                CREATE STAKEHOLDER INTIMACY


16
BUT most effective of all…

     Let your customers do your marketing
           through word of mouth!




17
CONGRATULATIONS, YOU'VE MADE IT! ☺




18
Thank You

(Bon Appétit ☺)

Eddy Wouters, APL Logistics on '3PL Branding & Marketing'

  • 1.
    3PL Branding &Marketing 25th November 2009
  • 2.
    Company Introduction NOL Founded: Singapore 1968 1997: Acquisition of APL (Oakland 1848) 2008 Turnover: $ 9.3 bn 10,000 staff in 115 countries Business Units APL (Container Shipping, $ 7.4 bn) APL Terminals (Container Ports, $ 0.6 bn) APL Logistics (3PL, $ 1.3 bn) 1
  • 3.
    APL Logistics (3PL) International Logistics Services United Kingdom Canada Supply Chain Solutions & Forwarding Germany Benelux France USA (850,000 TEUS) Portugal Italy Spain Turkey South Japan Lebanon China Korea Tunisia Israel Jordan Morocco Bahrain Pakistan Bangladesh Mexico Egypt UAE India Dominican Republic Myanmar Honduras Oman Guatemala Nicaragua Thailand Vietnam Philippines El Salvador Malaysia Costa Rica Colombia Panama Contract Logistics Services Kenya Sri Lanka Brunei Singapore Indonesia Peru Brazil Warehousing & Distribution Madagascar Mauritius Australia Fiji Chile APL Logistics Argentina Uruguay (1.7 million sqm) South Africa Worldwide Presence Offices / local partners 2
  • 4.
    3PL Branding & Marketing 3
  • 5.
    Marketing: It's allabout competing… …for the ultimate goal: getting to the RFP & retaining / winning the business! 4
  • 6.
    10 minutes togo… you can do it! 5
  • 7.
    3PL Market –Recent Developments • Crowded and fragmented market • Fast growing demand for 3PL services • Customers of all sizes and industries with fast changing needs • Many providers have expanded rapidly, geographically and in services scope • Growth through acquisitions and mergers • Brands disappear, new brands emerge • Greater pressure to gain and retain business • Buyer confusion leading to commoditisation and price compression BRANDING IS REQUIRED TO DIFFERENTIATE 6
  • 8.
  • 9.
    Brand • A name, term, sign, symbol or design that identifies the services of a seller and differentiates them from those of competition (Kotler & Armstrong) • A brand reminds the marketplace what a company stands for and what it does • A brand for a company is like a reputation for a person. You earn reputation by trying to do hard things well • A brand name is more than a word. It is the beginning of a conversation • Brand value is very much like an onion. It has layers and a core. The core is the customer who will stick with you until the very end UNIVERSAL AGREEMENT ON BRAND VALUE 8
  • 10.
  • 11.
    Differentiation • Defineand select unique areas of differentiation • Internal process Global Yet… customers expect Footprint local flexibility Superior Yet… we need to differentiate IT from pure IT providers High Quality Yet… customers expect to get prices Customer Service in line with "no frills" 3PL's Excellent Yet… need to remain Execution asset light 10
  • 12.
    I was losingyou… Stay focused 11
  • 13.
    Communication Customers CHANNELS MESSAGES Mass Media Investors Media Specialty Press Direct (E-) Mailing Compelling Website Consistent Integrated Conferences Memorable Communication Contests/Awards Succinct Plan Surveys Executive Interaction Employees Suppliers / Partners Customer Facing Government / Regulators 12
  • 14.
    Marketing Challenges InThe B2B 3PL Industry • Poor market share data • Lack of research on marketing effectiveness • Message or medium? • Limited articulated differentation between providers • Focus on short term / tactical actions • Easy target for cost reduction programmes • Still an operations & sales driven market • Marketing functions low on the organisational food chain 13
  • 15.
    Influencing The PurchaseDecision Awareness MARKETING BRANDING Acceptance Preference SALES Choice 14
  • 16.
    Don't let medown – hang on in there 15
  • 17.
    Some Good Practices(In A Depressed Market) • Strategy before tactics • Invest in an effective CRM application – enhancing control and measurement of marketing efforts and results • Apply search engine optimisation (SEO) on your website • Maximise your marketing efforts in industry vertical specific messaging • Invest in identification of the decision makers and influencers • Never move away from your basic messages – unless your strategy changes • Stimulate intense interaction with external stakeholders about your company's reputation and perceived differentiation CREATE STAKEHOLDER INTIMACY 16
  • 18.
    BUT most effectiveof all… Let your customers do your marketing through word of mouth! 17
  • 19.
  • 20.