Economy

Panel SA: Logistics operators reaffirm bet despite economic stagnation

by

Companies that have invested in new distribution centers and sophisticated logistics operations to meet the demand created by the expansion of e-commerce in the pandemic remain optimistic despite signs of economic stagnation.

“E-commerce was already one of the pillars of our growth before the crisis and we had to accelerate to keep pace with the sector’s development in the country”, says Luiz Roberto Vasconcelos, vice president of operations at FedEx in Brazil.

Part of the investment was needed to supply small and medium-sized Brazilian companies that increased exports to the United States, Argentina and Mexico through internet sales. FedEx increased the number of flights between Brazil and the US and replaced the aircraft on the route for a larger one.

The multinational opened seven logistics centers in the country and had to adapt to the changes brought about by the pandemic, says Vasconcelos. Used to unloading her trucks in stores, she started using smaller vehicles, including motorcycles, to deliver small orders to final consumers.

Technology companies and large retail chains invested in their own logistics operations, increasing competition in the market. Amazon opened four more distribution centers in Brazil this year, increasing the total number to 12. The company says it set sales records in 2021.

The frustration caused by the results achieved with the Black Friday promotions this year has not cooled the spirit of companies. “E-commerce has definitely entered the lives of Brazilians and still has room for growth”, says Luiz Vergueiro, director of Mercado Livre, with 8 distribution centers.

Magalu increased the number of logistics centers from 17 to 26 in the two years of the pandemic and acquired several smaller companies to increase its reach and make deliveries faster. Lojas Americanas, with 25 distribution centers, plans to open two more next year.

Diageo, owner of beverage brands such as Johnnie Walker, Smirnoff and Ypióca, announced this Friday (17) the choice of Paula Lindenberg as the company’s new president in Brazil. The executive will also be responsible for business in Paraguay and Uruguay. For the past three years, she has directed AB Inbev’s operations in the UK, Ireland and Spain.

.

businesse-commerceecommercefree marketleafLogisticsLuiza storesmagalu

You May Also Like

Recommended for you