This document discusses challenges and opportunities for logistics startups. There are two main ways for logistics startups to make money: 1) reducing friction through automation and modern customer acquisition techniques, and 2) pooling volume to get bulk discounts from carriers by combining shipments. When evaluating logistics startups, it's important to assess whether they can succeed through friction reduction alone or if they rely on volume pooling by moving existing customers to discounted rates. Signs that a startup focuses on friction reduction include software automation, online dashboards, API integrations, and modern marketing techniques.