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FTAI Managers Guide to Distribution Costs

December 2021

Produced in partnership with Analytiqa, Harris Group, Enprova, and BWG Group, and supported by the Department of Transport, Tourism & Sport, The Manager’s Guide to Distribution Costs 2021 provides detailed insight into how the costs of staffing, operating vehicles, and haulage rates have changed in the past year.

Aidan Flynn, CEO of Logistics UK comments: “From adjusting to post-Brexit trading conditions and struggling to recruit the logistics workers they need, to having to account for rising fuel costs, businesses working within the freight distribution and logistics sector are operating in a challenging and uncertain environment. To stay resilient and profitable, businesses must have a comprehensive understanding of their day-to-day operational costs; this is critical to aid strategic thinking and planning processes. By surveying a vast array of managers working in logistics operations, road haulage, manufacturing and retailing, The Manager’s Guide to Distribution Costs 2021 provides a clear overview of average costs.”

For the first time, the report identified that users of alternatively fuelled vehicles are seeing on average a 5.1% cost saving over their traditionally fuelled vehicles. Business overhead costs increased by 2.5% on average, and average annual transport costs increased by 3.6%, with over 27.0% of respondents seeing more than 5.0% increase.

 Analytiqa FTAI MGDC Report Cover 2021

Despite uncertainty and a lack of clarity on the future fuel choices for HGVs, the report has revealed that more than 55.0% of respondents (up from 29.4% in last year’s report) are considering electrification as an option and 33.0% are considering either LNG (liquid natural gas) or CNG (compressed natural gas).

To view further insight from the latest FTAI Manager's Guide to Distribution Costs report, please click here.