The logistics industry will play a pivotal role in achieving the global net-zero emissions target, being one of the most polluting sectors of the global economy. According to the International Transport Forum (ITF), international trade-related freight transport accounted for 7% of total worldwide emissions (1), with all transport and logistics activities making up 24% of global C02 emissions (2). 

The surge in online commerce during the covid-19 pandemic has only amplified the need for more responsible practices in the logistics industry. In the U.S. alone, around 165 billion packages are shipped every year — that’s 503 parcels per person (3).  Statista (4) broke down greenhouse gas emissions in the eCommerce industry by source: the largest being packaging-level emissions (45%), return-level emissions (25%), property-level emissions (15%) and transport-level emissions (13%). Industry participants in both logistics and eCommerce have a responsibility to act on their emissions.

What is OGL doing?

At OGL, we want to be at the forefront of changes in the industry and give our clients a service that is dependable. We’ve been working hard to make changes that will benefit our eCommerce merchants, their customers and the planet.

Packaging level emissions

• Our entire parcel packaging range is made from 100% recycled materials. This change is completely free for our clients.
• A wider range of packaging sizes means we can reduce excess packaging waste.

Return level emissions

• All packaging from returned orders is reused for new orders or recycled.

Property level emissions

• Improved pallet rackings and picking shelves in our warehouse allow us to manage our space more efficiently and reduce wastage.

Transport level emissions

• Smaller parcel sizes mean less space occupied in delivery vans.
• Consolidated freight shipments reduces the need for full container loads and potential space wastage.

How can a green 3PL provider help your brand?

The benefits of using an environmentally-responsible 3PL provider do not stop at lower emissions. Brands can take advantage of this to improve their brand loyalty and ultimately conversion rates. 

An important trend in eCommerce in recent years is brand identity. This is very much an essential part of brand building in this day and age — how do you wish to portray your brand? Which values do you convey to your customers? Shopify (5) explains: “Why are brand values important? Brand values can help your business attract new customers, build brand affinity and loyalty, attract and retain employees, improve business operations, and stand out from the competition.” 

With the environmental issue being at the forefront of customers’ minds, merchants have an opportunity. Using an environmentally-responsible 3PL provider is one way brands can convey values of sustainability and accountability. For example, mentioning throughout your website that customer deliveries use 100% recycled packaging is a good way to show your values and increase your conversion rate. Other ways to do so is through your product or initiatives. If your products are made in part or entirely from eco-friendly materials, this should be highlighted in your product pages. Initiatives like offsetting your entire emissions with a carbon offset scheme, or donating to a relevant cause every month are also great ways to emphasize your brand values.

Working with a green 3PL provider like OGL not only reduces emissions versus a traditional 3PL provider, but can benefit your brand with strong values and increased customer loyalty. To learn how OGL can help your business with fulfilment, warehousing and ocean freight services, get in touch on our website or call our team at +44(0)20 8358 6526.