Difference Between Shipping and Logistics

Difference Between Shipping and Logistics

There is a common misconception among people that both shipping and logistics management are the same. But in reality, there are notable differences between the two. 

That’s precisely what we’re going to cover in this article. So let’s get straight into it.

As you know, both shipping and logistics management are related to transportation of goods. But, are they the same thing or do they have different processes? 

The best way to understand the similarities and differences between the two would be to know the definition of both shipping and logistics. 


Shipping is the process of transporting or movement of goods from one place to another. Goods are either transported through air, road or water. The modes of shipping may vary depending upon the type of goods being transported. 

Hazmat shipping is the preferred mode of shipping if the goods are dangerous or contain potentially hazardous material. Expedited shipping is the best shipping method if the goods need to be delivered quickly. 

The shipping process involves transfer of goods and documents from the place of origin to the destination.


Shipping is more concise and closed, whereas Logistics is a broad and complex process specializing in different aspects of transportation, which also includes shipping. In short, Logistics is an end to end process which involves other activities like production, handling, warehousing, packaging, labelling, forwarding, and more.

A refined logistics minimizes costs and improves your overall business operations and growth. 

Also Read: Importance of Logistics in Supply Chain 

Difference Between Shipping & Logistics

The main difference between shipping and logistics is the scale and scope at which they operate. Logistics operates on a much larger scale than shipping as it ensures a proper flow of goods from point A to point B including storage and transportation.

Both shipping and logistics are equally important for efficient management of the supply chain. Without well-organized logistics and shipping, the efficiency of the supply chain will decline significantly.  

If you’re looking for customized shipping and logistics solutions, you’re at the right place!

With over two decades of expertise in the field, Trans Asia Group is one of India’s leading  shipping and logistics company , providing reliable shipping & logistics services. 

Contact us today or give us a call at +91 484 4096000 to talk to one of our logistics experts.

What is Reverse Logistics?

Reverse Logistics & Its Importance

If you are in the Ex-Im or Transport Business, it’s possible that you must have heard the word “Reverse Logistics.” And if you haven’t, we can understand! It is one of the most ignored parts of the Supply Chain. Even individuals in the Supply Chain tend to avoid it.

So here we are with the complete explanation of the topic.

What exactly is Reverse Logistics?

Putting simply, Reverse Logistics is the process in the supply chain that deals with the return of any supplied goods to inventory. This includes any product returned by the end-user, inward disposal of packaging material, or recycling of the sold product.

Although neglected for years, the concept of Reverse Logistics is gaining popularity recently. Multiple research pieces suggest that the management of more than 40% of businesses thought Reverse Logistics is not important. Similarly, almost 35% of the supply chain executives claimed they do not have an efficient system to deal with this sector.

Why is Reverse Logistics important?

As business dynamics have changed significantly in the last decade, the importance of Reverse Logistics has sky-rocketed. With the rise of e-commerce on the global platform, more companies are now focusing on this sector.

Reverse Logistics holds significant importance for e-commerce due to the sheer size and volume of returned goods. Finding innovative and result-oriented solutions can help businesses deliver robust Customer Satisfaction and establish themselves as a leading Brand.

For some traditional stores dealing with gifts and books, the proportion of returns can vary from 3% to 20% of the total outward supply. But for some businesses, it might reach a whopping 55-60%. More surprisingly, these Reverse Logistics costs can be 3 to 4 times higher than the Forward Logistics.

Data clearly suggests even minor modifications in the whole chain can save millions for businesses around the globe. It can also indirectly benefit businesses by reducing storage costs and freight costs.

Types of Reverse Logistics

Reverse Logistics relates to any of the following activities after the initial purchase:

  • Returns
  • Remanufacturing
  • Refurbishing
  • Packaging
  • Unsold goods
  • End-of-life
  • Rentals & leasing
  • Repairs & maintenance

How is Reverse Logistics different than Traditional Logistics?

In general, the decision to initiate the logistics rests with the suppliers in the case of traditional logistics. Let’s understand the steps:

  • Shipment to the distribution centers based on the sales forecast
  • Shipment to the retail stores
  • Supply to the end-users

On the contrary, the process is different from reverse logistics.

Let’s understand the steps:

  • Return Request from the End-user
  • Approval from the Return Processing Department
  • Return to the Store
  • Return to the distribution center

Now, let’s understand the difference between both of them with the definition:

Traditional Logistics:

“The process of planning, implementing, and controlling the efficient, cost-effective flow of raw materials, in-process inventory, finished goods, and related information from the point of origin to the point of consumption to conform to customer requirements.”

Reverse Logistics:

“The process of planning, implementing, and controlling the efficient, cost-effective flow of raw materials, in-process inventory, finished goods, and related information from the point of consumption to the point of origin to recapture value or proper disposal.”

In simple words, in Traditional logistics, the goods are moved from the manufacturer to the end-user. In Reverse Logistics the process is done in reverse, the goods are moved from the end consumer to the manufacturer.

Process of Reverse Logistics

The process of Reverse Logistics is entirely different than Traditional Logistics. Unlike Traditional Logistics, where the shipper initiates the logistics activity, the end-user plays an important role in the process.

A classic example of reverse logistics is when a consumer returns a purchased product for a refund due to its quality or because it’s defective. The returned products may be resold or disposed of permanently. Although the business decides whether to initiate the reverse logistic activity, it is in the end-users response.

Once the activity is initiated, the product is collected and returned to the distribution center. At the same time, the information about the returned product like its condition, customer info, etc is shared with the return processing center.

This is where the system is flawed. As most of the existing systems are not designed to manage Reverse Logistics efficiently, they fail to collect the information accurately. Unfortunately, this information can be utilized to provide a better and more tailored shopping experience and satisfaction to customers. The results can be amazing which would help the business grow further.

Recommended Reading: Importance of Logistics in Supply Chain

With over two decades of expertise in Logistics and a long list of happy customers, Trans Asia Group can help you improve your global logistics, whether your company uses traditional or reverse logistics.

We are here to offer you hassle-free and customized logistics solutions, so you can do more with your business while we handle all the challenging tasks!

Contact us today or give us a call at +91 484 4096000 to talk to one of our logistics experts.

Learn the True Potential of Logistics For Supply Chain

A business leader needs to understand the true potential of organized logistics within the business operations. Implementing logistics in the proper manner is essential for businesses to stay connected with customers’ demands and stay ahead of competitors. Irrespective of the size of your business, logistics is essential for you to cut your time and money expenses upon moving the products from one point to another. 

In this article, you will know some of the reasons why logistics is so important in the supply chain. 

Importance of Logistics in Supply Chain

For the streamlined growth of your business, you need to implement the right efforts upon refining the logistics within your supply chain. Therefore, to help you understand its potential, here are five reasons or attributes of logistics & supply chain management for you:

  • Generate Positive Business Outcomes

    With the right logistics, the back-end operations of your business will seem effortless. Efficient logistics will take care of the business roots, transportation measures, item locations, and other such services. It will present a strategy that will help coordinate the business goals with your distribution or transportation partners. Moreover, it can be adaptable for the changes made to the supply chain to keep customer satisfaction on priority.

  • Added Value For Your Business

    Apart from generating positive results, logistics also helps you add value to the services that you offer to the customers. You will eventually be able to make your business products easily available for the customers. There will be an increasing surge in demands which will increase value and profit outcomes for your business. With proper logistics, you can keep track of some aspects such as warehouse overloading problems to help deal with customer hassles due to it. 

  • Better Warehouse Management

    The way you handle your logistics will reflect upon the productivity of your warehouse management. You need to plan upon the logistics strategy based upon the goods that you deal with. For instance, if you sell perishable goods such as food items, then your logistics strategy should develop a warehouse with an ideology to minimize food wastage. With logistics services, you will be able to identify weak and vulnerable points to work upon it for better business outcomes. 

  • Improve Your Customer Loyalty Aspects

    Even though you have a magnificent marketing strategy, you will still need logistics to improve the loyalty aspects of your customer. With logistics, you can eventually track on the loose ends of your supply chain and work them out to ensure that your potential customers return to you for multiple purchases. Hence, that is termed as earning customer loyalty.

  • Faster Product Delivery & Tracking It

    The final reason is the faster delivery aspects with logistics strategy. When you miss out on the estimated delivery date, you lose customers, which is harsh for your business. With an ideal logistics strategy, the customers can be sent the tracking information and other details to let them stay prepared with the delivery expectations.

    These are a few of the reasons that explain the importance of logistics within the supply chain. Make sure you have an effective strategy within logistics to experience productive business outcomes. 

    How can Trans Asia Group help?

    With over two decades of expertise in Logistics and a long list of happy customers, Trans Asia is always committed to providing seamless logistics services that cater to our customer’s transportation needs.

    We are here to offer you hassle-free and customized logistics solutions, so you can do more with your business while we handle all the challenging tasks!

    Contact us today and we will be happy to help you with any of your logistics needs.

Liner shipping and it’s advantages

Liner shipping and its advantages

What is Liner Shipping?

Liner shipping is the process of transporting goods and cargo from one destination to another by large ocean ships that move through regular routes on fixed schedules. There are more than 400 liner services in operation today. Most of these liner services provide weekly sailing from the ports of call.

Liner shipping is by far the most efficient mode of transportation for goods. Liner shipping is carried out using various liner vessels like container ships, bulk carriers, tankers, specialist ships and so on.

Among these, container ships stand top in carrying most of the world’s goods. Bulk carriers are used to transport raw materials like coal or iron ore. Tankers are mainly used to transport oil, petroleum & other chemicals. Specialist ships consist of vessels such as research ships and ice breakers.

Advantages of Liner Shipping

  • Large Capacity:

    Liner ships have a huge capacity, hence it can carry a lot of goods. Which is why most businesses prefer liner shipping over air shipping. Another benefit of liner shipping is that you can choose the ship to match your cargo size so that you transport it in a safe and secure manner. Heavy machinery, cars, and containers can all be carried on a liner ship.

  • Cost Effective:

    Liner shipping is one of the cheapest modes of transporting cargo, which makes it the preferred choice of transportation for many companies. Shipping is four to six times cheaper than transporting your goods by air. Also, another factor why people favor shipping is that if you don’t have an entire shipload, you can share space and cost on a cargo ship with other people or businesses.

  • Safe:

    Liner ships are designed in such a way that it can carry hazardous materials and dangerous cargo safely. The industry is well known for handling such goods and has regulations in place to ensure the safety of the vessel, crew, cargo and environment. Cargo loss due to incidents during transportation has been decreasing consistently in the past decade as maritime safety increases significantly.

  • Environment Friendly:

    Shipping can be said as one of the most carbon-efficient modes of transportation and produces low amounts of exhaust gas emissions for each ton of cargo transported than air, rail, or road transport. Another benefit is that more than millions of containers that are used around the world are now 98 percent recyclable which makes the transportation mode environment friendly.

  • Global Economy Driver:

    Liner Shipping acts as the Global Engine to connect countries, markets, businesses and people all over the world for an efficient, safe, low cost and above all environment friendly transportation network, which never existed before. Today, the liner shipping industry transports goods and cargo representing one-third of the total value of global trade.

    Additionally, the international shipping industry has generated millions of jobs and plays a major role in creating new jobs worldwide. The shipping industry has contributed hundreds of billions of dollars to the global economy annually thereby increasing gross domestic product in countries throughout the world.

    Moreover, as the lifeline of global economy, shipping contributes significantly to international stability & security.

    If you would like to know more about liner shipping, contact the shipping experts at Trans Asia Group.

    We have been delivering industry-leading shipping services to companies all over the world for over a decade now. We have always ensured that our client’s cargo reaches its destination on time, along with any and every necessary document.

    We are here to offer you a hassle-free transportation services, so you can do more with your business while we handle all the challenging tasks!

    Get in touch with us for any of your shipping needs.