Top 10 Logistics Companies in Saudi Arabia

Introduction

The ecommerce market is growing in Saudi Arabia with each passing year and so is the need for logistics solutions for it. The current report suggests that the e-commerce market will grow even more by 6.5 percent on average annually until 2026. This data can be supported by the fact that people’s expenditure on goods through online ways has increased by almost 50% in Saudi Arabia since the pandemic.

Hence, due to this massive market growth of e-commerce in Saudi Arabia, logistics solutions provider companies are working as their backbone in the country. End-to-end shipping and services for managing the orders are offered by third-party logistics companies (3PLs).

The main facilities of these companies include on-demand delivery, same-day or next-day delivery, time-bound delivery, and management for returns.

Apart from these basic services of shipping, logistics companies in Saudi Arabia also provide solutions for warehousing. Through this service, any e-commerce business can keep proper maintenance of their inventory very easily. This service can also offer faster options for the pickup of parcels.

As stated earlier, the massive market of e-commerce in Saudi Arabia relies on the companies of couriers and logistics. This allows them to look for all the order management of the customer easily. This makes it hard and very essential for anyone to pick the best logistics solutions company for them from a sea of options.

Moreover, every logistics solutions company has its own benefits and cons. You can end up finding some logistic solution companies that can rank higher on the list of your priorities as compared to others. You can also get in touch with multiple companies if your business keeps flourishing to the next level.

Therefore, it is necessary to know who is the top player company in the market of e-commerce. Here, we enlist some of the top logistics solutions companies in Saudi Arabia to help you choose the perfect fit for your choices.

1-) Aramex

Aramex is based in UAE and is a multinational logistics, courier, and packaging service provider company. Aramex is giving its services to almost 220 countries around the globe. It is also recognized as a global brand now.

In Saudi Arabia, Aramex provides logistics and transportation solutions in a very comprehensive way. They also offer their services in other countries of the Middle East.

• Freight service

Their freight services include shipping by Air, domestically or by sea. This ensures and efficient and seamless delivery of the orders. It also offers door-to-door international deliveries within 2-3 days.

• Express Courier Services

Aramex offers a quick door-to-door delivery service called Express shipping. It is reliable and available for Saudi Arabia and Internationally both.

• E-commerce Solutions

Aramex provides solutions to the e-commerce businesses that are customized according to their needs. This includes warehousing, last-mile delivery, supply chain management, and fulfilling. 

• Warehousing and Distribution

Aramex helps the retailers and businesses to manage their inventory seamlessly by facilitating them with storage and distribution processes. 

2-) BarqExpress

Barq Express is also known as AL Barq Express. It is a major supporter of conglomerate Alafaliq Holding, which is based in Riyadh. BaeqExpress has witnessed a quick growth. It is now also known as Gulf Cooperation Council logistics company GCC.

• Route Optimization

The engine is recommended by the A.I. It uses route optimization technology to chart out the safest and best possible route for the delivery.

• Tracking

BarqExpress sends timely updates of the shipment on the customer’s WhatsApp. This helps customers to track their order in real time. 

• Express delivery

Barq Express offers time to time on door delivery to all its customers. It includes overnight and one-day delivery options as well.

• Customized solutions

BarqExpress offers customized solutions to their customers that let the company complete their needs. Their services may include warehouse management, e-commerce solutions, e-commerce drop-shipping from vendors like Amazon.

3-) Saudi post

Saudi Post is the brand name of Saudi Arabia’s Ministry of Communication and Information Technology. This postal service is led by the Saudi Government itself. It is also called Al-Bareed within the country.

• Express and economy delivery

For e-commerce businesses they offer two modes of deliveries. These are express and economy, they deliver domestically and internationally.

• Weight-centered delivery

With express shipping, shipments weighing up to 30 kg can be insured beforehand and delivered to the customer's doorstep. 

• Tracking

All orders placed through Saudi Post can be tracked through their online platform or their tracking app.

• Cost-Effective prices

It provides international delivery services at very reasonable prices. They do not hide any additional charges of customs duty and VAT fees which can be a problem when sending goods abroad from other countries like China or Pakistan.

4-) UPS

UPS Logistics offers shipping services for shipments to various ecommerce businesses websites. These include Ebay, Amazon, etc. UPS e commerce offers an “in-home” delivery option which ensures seamless delivery across the country.

• Freight service

UPS offers services of freight forwarding through air, ground, and ocean. It helps in efficient delivery of orders even across borders.

• International Delivery

For international orders they use customs brokers that help them clear custom formalities easily without any delay on high risk packages via UPS Freight Forwarding System (FSS).

• Express delivery

UPS also has same day deliveries, so if there are no delays during transit it can reach within a day of ordering from an online store. 

5-) Fetchr

Fetchr is a cloud-based eCommerce logistics platform that has quickly made its name in the shipping and logistics industry in Saudi Arabia.

• Tracking

Fetchr allows its customers to track their parcel anytime through the browser, mobile phones, or via sending a text message to locate your parcel.

• Affordable prices

Fetchr has low priced shipping services, quick deliveries and reliable tracking information at an affordable price.

6-) SMSA Express 

SMSA is one of the best ecommerce logistics solutions provider companies in Saudi Arabia. They offer reliable and efficient services. They also offer some level of discount to the customer who purchases their services regularly.

• Supply Chain management

They offer their customers 3PL services. These services include warehouse management, inventory keeping, and supply chain management.

• Tracking

Their automatic service for shipment offers a real-time tracking facility to their customers. This ensures transparency and safety being the shipper and customer.

• Customized solutions

They offer their services customized according to the needs of the customer. This satisfies the client and the carrier company both.

7-) Careem

Careem is Dubai-based and works in Saudi Arabia as well. Careem is also a pioneer in the Middle East’s ride-hailing economy.

• Short time delivery

Careem offers reliable and very fast delivery services. The delivery can occur within a short time frame of just 40-60 minutes.

• Customer support

Customers can face any technical issue or query regarding the shipment. Careem offers 24/7 customer support to solve the problems of their customers.

• Cost-effective

Careem provides variable discounts on shipments that are volume-based. This offer is specifically for emerging e-commerce businesses. 

8-) Naqel Express

Naqel Express was created by an efficient team of professionals with extreme knowledge, experience and a high passion to serve their Ecommerce customers the best. Their customer oriented approach has gained them clients like Al Hilal Bank and DHL.

• Weight Centered delivery

Naqel Express delivers any shipment which weighs up to 35 KG around the world. If the shipment weighs more than 35 KG, it only gets delivered within Saudi Arabia.

• Freight services

They provide personalized sea, land, and air freight services for imports and exports.

• Special services

They also provide storage and distribution services like warehousing and inventory management to reduce operative costs and improve order cycles.

9-) Agility logistics

Agility Logistics provides their services all around the globe and leads in infrastructure, transport, innovation, and digital logistics. Agility is also one of the biggest warehouse managers within the Middle East, Africa, and Asia. It has also achieved the largest network of aviation around the globe.

• SHIPA

This is their flagship program. It helps new emerging businesses with various solutions of Ecommerce. This includes management of inventory and tracking systems.

• Last mile delivery

They provide door-to-door last-mile delivery service. This ensures an efficient and reliable delivery of the order.

• Special Services

They practice contactless deliveries and offer end-to-end shipment tracking, a vast network of different transport vehicles, and multiple payment options.

10-) S.A Talke

S.A Talke provides special logistics services to their customers such as transportation, storage facilities, and packaging.

They offer analysis of logistics, consultancy and also the construction of Logistics plants. They transport bulky orders of liquids and dry material both. They offer their services to manage the procurement for industries of chemical and petrochemical.

• GCC

They provide businesses to enter the Gulf Cooperation Council area and transport goods over there.

• Customized Packaging

They do customized packaging of the deliveries according to the needs of the customer. They also offer samples and refinements for dry or liquid chemical goods.

• Special Services

They also offer storage facilities, handle ocean transport and containers, and terminal services for ocean freight. 

How to Start a Logistics Company in Saudi Arabia?

In Saudi Arabia, starting a logistics company involves several steps. Here's a general guide to help you get started:

➡️ Legal Consultation

First, you need legal advice to understand the rules and regulations for starting a logistics company in Saudi Arabia. A logistics company manages the movement of goods from one place to another place smoothly. 

For this purpose, search for legal experts who have the knowledge about starting logistics businesses in Saudi Arabia. Make sure you follow all the laws for logistics companies. 

Legal advice helps you get the right licenses like the Commercial Registration License to show your business is authentic. Work with legal advisors to understand the complicated rules. This helps you follow the law and avoid problems as you start your logistics company in Saudi Arabia.

➡️ Determine Business Structure

When starting a logistics company, it's important to choose the right kind of business setup. Look into different options like running the business alone, partnering with someone, or forming a company.

Think about how much responsibility and risk you're comfortable facing, and how taxes will work. Running the business alone is simple but you're personally responsible for everything. Partnerships share duties but need clear agreements. 

Taking time to choose the best business setup ensures you meet all the rules and sets a good base for your logistics company to grow and succeed.

➡️ Trade Name Registration

 When starting a logistics company in Saudi Arabia, it's important to register a unique trade name. This name represents your business so choose one that stands out and isn't already taken.

Start by checking if your desired name is available. Then, submit the necessary paperwork to the Ministry of Commerce and Investment. Clearly explain what your logistics company does to speed up the approval process. If you face any challenges during registration legal advisors can help you through the process.

➡️ Location Selection

Selecting the right location is crucial for starting a logistics company. This involves efficiently moving goods from one place to another. Look for a location near transportation networks like ports, airports, and highways. This makes it easier to distribute goods. 

Also, consider if there are enough skilled workers nearby and if the area follows the rules. Finding a location that gives you both operational benefits and follows the law helps your logistics company succeed in the long run.

➡️ Types of vehicles 

Figure out the types of vehicles you'll need for different kinds of cargo and how many you'll need to handle the varying demand. Consider where you'll be operating in Saudi Arabia and pick vehicles that can handle the different terrains.

Work with trustworthy suppliers to get good-quality vehicles that come with tracking and management systems. These systems help you keep an eye on your vehicles in real time and make your operations run smoother.

➡️ Technology Integration

Logistics is all about moving goods efficiently and technology can make this process smoother. To integrate technology effectively, think about creating a seamless operation that boosts efficiency and meets the changing needs of the Saudi logistics scene.

Start by looking into advanced logistics management systems. These systems should include features like tracking shipments in real-time, analyzing data, and managing inventory automatically. Using top-notch route optimization software helps make transportation more efficient and cost-effective.

Work with tech companies to tailor solutions specifically for the Saudi logistics industry. Use cloud-based platforms for instant communication and teamwork, making your business more flexible and responsive.

➡️ Hiring Staff 

When setting up a logistics company in Saudi Arabia, it's essential to carefully choose and train your staff. Logistics is all about efficiently moving goods, so having the right team is important.

Start by figuring out what roles you need in your company. Look for people who have the knowhow of supply chain management, coordinating logistics and have the right technical skills.

Advertise your job openings online and in targeted campaigns to find qualified candidates. Make sure to interview them thoroughly to make sure they fit with your company's values and goals.

Once you've hired your team, train them well. Teach them about local rules and regulations, the best ways to do things in the industry, and how to use technology effectively.

➡️ Licenses and Permits

In Saudi Arabia for opening a logistics company it's important to get the legal licenses and permits. This ensures your business operates legally and smoothly.

Start by finding out what licenses you need for a logistics company in Saudi Arabia. Get a Commercial Registration License from the authorities to officially set up your business. You'll also need a Ministry of Transport License to follow transportation rules.

What Things Should You Consider While Choosing The Best Logistics Company in Saudi Arabia?

Logistics and transport companies play an important role in a business's supply chain. They handle tasks ranging from freight brokerage and forwarding to managing core functions like warehousing and inventory. Choosing the right logistics partner in Saudi Arabia is important for ensuring operational efficiency and profitability. 

If you are looking for a logistics company in Saudi Arabia, to make sure you get an informed decision, examine potential collaborators and establish trust for a long-term business relationship. Here is a list of essential factors to help you find a reliable and trustworthy logistics company to meet your needs.

1-Logistics experience

Logistics management is like a mix of art and science. In Saudi Arabia, professional logistics companies use advanced systems to handle inventories and routes efficiently. With years of experience in the Kingdom, they've built strong networks covering large areas, making them expert at managing troubles and finding creative solutions. 

As they grow more comprehensive services, they gain repeat business and build their brand value. However, not every logistics company can pull off these crucial processes, and choosing the wrong one could lead to unhappy customers and financial losses. So, it's essential to pick a Saudi logistics company wisely.

2-Number of services offered

Efficient logistics are crucial for businesses to run smoothly and stay competitive. In Saudi Arabia, choosing a transportation and logistics company that offers a wide range of services is a smart move for forward-thinking organizations. These companies can adapt to the client's needs and help them grow. By working with various players in the supply chain, they can spot and fix delays and other issues, making the whole process smoother.

Additionally, logistics companies that provide consultancy services can help improve decision-making for the client's business. With a strong network and strategic locations near ports and other key areas, they can offer seamless support for import and export operations. Investing in such partnerships can greatly benefit a company's operations and growth.

3-Reputation of a Logistics company

When picking a logistics company for your e-commerce shipping, it's important to look at the big picture, not just individual services. While finding one that offers everything you need is important, it's even more vital to check their reputation. 

Look into their track record and what customers say about them. If they consistently meet expectations and keep customers happy, they're likely a good choice for you too. However, if you come across lots of negative reviews, take it as a warning sign and consider other options. No matter how fancy their services may seem, if they don't deliver as promised, they're not worth your time.

4-Technological savvies

In today's digital world, clients expect round-the-clock visibility and tracking of their goods. A good logistics provider needs to be tech-savvy to offer real-time tracking along the supply chain. They should integrate digital systems with your processes and provide tools like Warehouse Management Systems (WMS) and Enterprise Resource Planning (ERP) structures for full oversight of your goods.

With most transactions now digital, your logistics partner must be tech-savvy to conduct business effectively. Forward-thinking companies in Saudi Arabia are already using digital tools like IoT and machine learning to improve operations and cut costs. By streamlining processes through digital solutions, they can offer cheaper shipping options. Advanced tracking systems give you better control over your shipments, helping you plan your operations more effectively and meet deadlines.

5-Shipping Costs

When choosing a logistics company, it's tempting to go for the one with the cheapest shipping rates. But low initial rates can lead to unexpectedly high costs in the long run. Hidden fees, extra services, or weight discrepancies can add up quickly. It's best to contact courier companies directly to make sure all costs fit your budget.

6-Limitations on Shipping Volume and Size

The size and volume of your orders depend on the type of products your online business sells. For example, furniture stores ship large items compared to apparel stores. So, it's crucial to ensure that the courier company you choose can handle such big orders.

Most logistics providers can transport packages weighing up to about 30 kilograms. If your orders are heavier, you'll need to find a logistics partner specializing in bulk and large-volume shipping.

7-Insurance Policy

Having proper insurance with your logistics partner is crucial, especially if you sell fragile or high-value items online. A damaged product not only costs your business money but also damages its reputation. For sellers of valuable items like jewelry, it's important to choose a shipping partner that prioritizes safe delivery.

These courier providers typically have trained staff handling high-value products during transit. Setting up an insurance plan with your shipping company helps minimize losses and ensures that the responsibility for any damage doesn't solely fall on your e-commerce company.

Benefits of Selecting a Reliable Logistics Partner in Saudi Arabia

Here is a List of some benefits of partnering with a reliable logistics company in Saudi Arabia.

• Innovation 

When you partner with a reliable logistics firm, every aspect of your supply chain gets the attention it needs. This is especially true for 3PLs and 4PLs, as they focus on constantly improving processes through innovation.

In today's fiercely competitive global marketplace, businesses must innovate to stay ahead and grow. That's where 3PLs and 4PLs shine. Their whole purpose is to find areas for improvement and make supply chains more efficient. They enhance the logistics experience, making sure clients receive top-notch services.

In Saudi Arabia, professional logistics companies use innovative solutions to provide flexible and speedy deliveries. They integrate advanced technology to offer faster and more reliable data, helping businesses analyze trends and find ways to improve. This not only saves costs but also ensures excellent service.

• Flexibility

Good logistics companies in Saudi Arabia promote their expertise in specific industries. However, it's important to remember that each business is unique, even within the same industry. While pricing and distribution strategies may be similar, operations can differ significantly. A qualified logistics company will customize its solutions to fit your specific needs and goals. 

They can also adapt their services to align with your existing business processes. When you partner with a reliable logistics company for the long term, both small and medium-sized enterprises have the flexibility to adjust to changing demands. Whether you need to scale up or down in response to shifts in product demand, your logistics provider can support you every step of the way.

• Risk Management 

When you choose an experienced and reliable logistics provider, it can help businesses minimize the risks associated with shipping goods. A 3PL company that prioritizes customer service if you have any concerns customer service quickly responding to your questions and providing detailed information.

When you work with a 3PL, you can trust that your freight is in safe hands. These companies have strict standards for choosing carriers, considering factors like safety records, insurance coverage, and customer preferences.

While pricing can affect your decision making, don't rely on cheap pricing. Choosing the cheapest option might not give you the quality and professionalism you need. When you sacrifice important features and services, in this way you can save money but hurt your supply chain, affecting product quality and customer satisfaction. 

Final Words

In Saudi Arabia, selecting the right logistics partner is vital for the success of your e-commerce business. By partnering with a reliable logistics company, you can benefit from innovation, flexibility, and effective risk management, ensuring smooth operations and customer satisfaction. 

Make informed decisions based on your business needs and choose logistics companies wisely. In this way you can pave the way for your business to thrive in the dynamic world of e-commerce logistics.