Storage key to Saudi delivery firms evolving into logistics platforms
Hussein Al-Ruqeib says storage capabilities can help Saudi delivery companies transform into logistics platforms and boost their market share.
Key Takeaways
AIHussein Al-Ruqeib, Director of Zad Consulting Center, discussed the potential for Saudi transport and delivery companies to evolve into logistics platforms to strengthen their market share.
Speaking in an interview with Asharq Bloomberg, Al-Ruqeib noted that the diversity of sectors could lead to the emergence of smaller companies specializing in the delivery of pharmaceuticals and food products.
He added that the presence of these companies in neighborhood distribution centers, combined with storage capabilities, enhances their strength and supports the transformation of delivery firms into logistics platforms by ensuring product availability.
Al-Ruqeib further explained that when a delivery company offers logistics services such as storage, it can reduce operational costs and benefit from storage and logistics activities, rather than relying solely on delivery fees.
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