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Park Logistics - Creating supply Chain Solutions

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Palletline launches Plus Logistics brand

  • 18 April 2014
  • By Chris Druce

Palletline has launched Plus Logistics in response to fierce competition within the pallet network sector, which is driving prices down at a time when volumes are at a record high.

Launching its new brand at its central hub in Birmingham last week (11 April), MD Kevin Buchanan said that while the Palletline name had served the business well, it was now beginning to constrain growth.

“We are repositioning the business, rather than replacing the Palletline brand, to better showcase the range of services that we can offer,” he said.

Buchanan believes Plus Logistics will allow his team to showcase the network’s capabilities beyond simply moving pallets, winning business from customers who need multi-site distribution, warehousing and pick-and-pack services.

With 69 shareholder-hauliers operating from 79 UK locations, Plus Logistics can offer an alternative to the 3PLs, according to Buchanan – something his individual haulier-members can’t do by themselves.

“If we have even half the success we have had as a pallet network, we’ll be an important player in the marketplace.”

Despite the Association of Pallet Networks reporting record pallet volumes for members in March, Buchanan told CM that with some network rivals adopting a policy of deep discounting to drive volume, the price per pallet hauliers in the sector are achieving remains under extreme pressure.

“Plus Logistics will allow us to play in a different area with a better margin,” he said. He added that rather than his members doing subbie work for the 3PLs on a 2% or 3% margin, they should be able to take a much larger slice of the pie with the middleman cut out.

The firm intends to change Palletline PLC to Plus Logistics PLC in time, with the Palletline brand continuing as the name for the pallet network side of the business. Plus Logistics will be used for all large-scale tenders forthwith.

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Article source: http://www.commercialmotor.com:80/latest-news/palletline-launches-plus-logistics-brand