Logistics costs include every expense incurred in moving and storing product components and making customer deliveries. Since they’re part of your production costs, logistics expenses play a role in the ultimate price of your goods and services. Higher logistics costs mean you’ll either have to pass those costs on to customers or absorb them yourself – in which case they can also affect profitability. Logistics costs are an amalgamation of several expense items such as:Transportation and shipping : These expenses can take up to 58% of total logistics costs. Audit logistics costsTo gain better visibility into your logistics costs, conduct a detailed review of your operations.

Source: New York Times April 28, 2022 04:02 UTC