This is a question worth exploring. From a broad definition perspective, express delivery can indeed be regarded as part of third-party logistics. In the logistics industry, the concepts of "express delivery" and "logistics" appear to intersect and overlap. To better understand this relationship, we need to analyze the nature and functions of both express delivery and third-party logistics separately.
Understanding Express Delivery
Express delivery primarily refers to a logistics service that transports small parcels from senders to recipients at relatively high speeds. Express companies utilize various transportation methods, including air, road, and rail, to provide fast and efficient delivery services. Typically, express companies maintain their own fleets while also collaborating with other carriers to extend their delivery coverage.
In practice, express delivery involves multiple processing stages:
- Parcel collection
- Data entry
- Packaging
- Sorting
- Transfer
- Delivery
- Tracking
- Problematic parcel handling
The entire process—from order placement to parcel collection, multi-level sorting, and final delivery—can be completed in remarkably short timeframes. This efficiency represents one of the core competitive advantages of the express industry. To ensure smooth supply chain operations, express companies also employ advanced information technology systems to enhance operational efficiency and reduce human resource waste.
Examining Third-Party Logistics
Broadly speaking, third-party logistics refers to logistics service providers that are independent of both the shipper (first party) and the consignee (second party), specializing in supporting logistics activities between these two parties. Under this model, businesses can outsource their non-core logistics operations to professional third-party service providers to reduce costs and improve efficiency.
Typically, third-party logistics companies:
- Enter into contracts specifying service content and standards
- Don't own the transported or stored goods
- Coordinate and manage the entire logistics chain
The Relationship Between Express and 3PL
After examining both concepts, we can see their relationship isn't oppositional but rather complementary. Express companies often represent an important category within third-party logistics services, specializing in rapid delivery while operating within the broader framework of third-party logistics.
Express services can be considered part of the third-party logistics system, particularly given the rapid development of e-commerce. The convenience of express delivery enables consumers to access diverse products and services while helping merchants accelerate procurement and shipping processes, creating a virtuous market cycle.
Industry Distinctions
The industry typically distinguishes between express delivery and narrow logistics:
- Express delivery focuses on rapid transportation of small parcels
- Narrow logistics encompasses broader cargo handling chains including inventory management, transportation, sorting, and distribution
This distinction creates different service models. Companies like SF Express, YTO Express, and ZTO Express represent typical express companies specializing in small parcel delivery, with their operational models and service content centered around delivery speed.
In contrast, companies like Deppon Logistics, XB Logistics, and HOAU Logistics are considered classic third-party logistics providers. They typically handle more complex logistics operations including full truckload transportation, warehouse management, and value-added services like packaging, consolidation, and delivery planning.
Market Development
China's third-party logistics market continues to evolve, with increasing numbers of enterprises choosing to partner with 3PL providers to optimize their logistics management. Companies like Deppon Logistics, China Railway Express, and China Post Logistics have earned market trust through their large-scale, professional services.
Meanwhile, the express delivery sector has experienced remarkable growth alongside e-commerce expansion. Recent data shows explosive growth in China's express delivery business volume, driven by e-commerce platforms and changing consumer shopping habits. To meet growing demand, express companies are enhancing service quality and developing more efficient distribution networks while gradually taking on more complex logistics functions that bring them closer to traditional 3PL roles.
Conclusion
Express delivery and third-party logistics are functionally interconnected. Broadly speaking, express companies can be viewed as part of the third-party logistics ecosystem, helping to explain the overall operation of the logistics industry. When partnering with 3PL providers, businesses should clearly identify their needs and objectives to select appropriate solutions that enhance operational efficiency and customer satisfaction.
However, it's crucial to note that as express companies, they must prioritize service quality and user experience alongside rapid delivery to maintain customer loyalty. This focus represents not only key to their survival but also an important factor in promoting the healthy development of the entire logistics industry.
