Top Logistics Companies in Malaysia

In Malaysia, the logistics sector is a vital cog in the economic engine, projected to reach a staggering $35 billion by 2029. This impressive growth is fueled by the country’s strategic location at the crossroads of Southeast Asia, coupled with its diverse and thriving economy. From bustling electronics manufacturing to booming e-commerce, various industries rely heavily on efficient logistics services.

Nearly 50% of consumers shop online every month, which indicates the need for faster fulfillment options and nationwide coverage. Having access to top logistics services can help you delight shoppers and turn them into repeat buyers.

From warehousing and inventory management to transportation and order fulfilment, logistics companies ensure products reach their destinations efficiently. The Malaysian logistics landscape constantly evolves, embracing emerging trends like a growing focus on sustainability for a greener future, and tighter supply chain integration for seamless product movement. 

This article delves deep into the world of Malaysian logistics companies. We’ll explore the various services these logistics companies offer, introduce you to the top 8 logistics companies in Malaysia, and provide valuable tips on choosing the right logistics partner for your e-commerce business. 

Services Offered by Logistics Companies in Malaysia

Malaysian logistics companies go beyond moving goods from the warehouse to customers. They offer a comprehensive suite of services tailored to optimise spending, automate order processing, and improve visibility in the fulfillment journey while meeting the diverse needs of shoppers. Let’s explore some of the core offerings of logistics companies in Malaysia:

1. Serviceability and Specialisation

E-commerce brands cater to different shipment sizes and complexities. Hence, the logistics company you opt for should be able to cater to the different types of products that you sell. However, some logistics firms specialise in domestic deliveries, ensuring efficient movement within Malaysia’s borders. Others excel in international freight forwarding, navigating the intricacies of global trade and customs regulations. In addition, ensure that they facilitate the picking and packing of your items, too.

2. Value Added Services (VAS)

Logistics companies go the extra mile by offering value-added services to enhance your experience. These can include packaging and labelling solutions, inventory management, order fulfilment, and cash-on-delivery (COD) options for added security in transactions, inbounding, packing, and even offering appropriate and timely record updates.

3. Freight Forwarding

The Malaysian e-commerce landscape involves global customers selling to Malaysian shoppers and Malaysian companies expanding into other countries within Southeast Asia. Hence, freight forwarding is a crucial service for logistics providers to offer. It encompasses the planning and execution of international shipments. From arranging transportation (air, sea, or land) and booking cargo space to handling documentation and customs clearance, freight forwarders ensure your goods reach their global destinations smoothly by avoiding fines and penalties.

4. Transportation

The backbone of logistics is transportation, which involves moving goods from origin to destination. Companies offer a range of options within the mid-mile movement of goods, including trucking, air freight, ocean freight, and even last-mile delivery options with different types of carrier vehicles that ensure your products reach their final point, be it a retail store or a customer’s doorstep.

5. Warehousing

Logistics companies offer businesses the ability to store their inventory in well secured spaces, closer to key regions that experience high e-commerce activities. Businesses can choose between having fixed warehouse space or scalable infrastructure to support their business. These facilities offer various features, such as security systems, expiry management and efficient inventory management systems, to ensure your goods are kept safe and readily accessible for distribution.

6. Distribution

Once your products are stored, they need to reach their final destination. Distribution services involve picking, packing, and shipping your inventory to retailers, distributors, or directly to your customers. This ensures a smooth flow of goods throughout the supply chain.

Top 8 Logistics Companies in Malaysia

1. Locad

Locad empowers e-commerce businesses in Asia-Pacific with a cloud-based logistics platform designed to streamline order fulfillment and inventory management. By leveraging Locad’s comprehensive suite of features, e-commerce businesses in Malaysia can gain a competitive edge through efficient order fulfilment, optimised inventory management, and valuable insights. Here’s a closer look at some of Locad’s key features:

• Inventory Demand Forecast:  Locad helps you log demand forecast predictions even days in advance, allowing for smoother warehouse operations and avoiding potential delays and keeping up with fulfilment cut-offs.
• Multichannel Selling and Management: Gone are the days of juggling separate dashboards for different marketplaces. Locad not only offers multichannel fulfilment but also a single platform to manage inventory and orders across platforms like Lazada, TikTok Shop, Zalora, Shopify, and Shopee.
• Out-of-Stock Indicator:  Stockouts can cost you customers and lead to missed sales opportunities. Locad’s real-time inventory tracking helps you stay informed and make informed decisions about product availability and restocking.

Order Management Dashboard on Locad

• Expiry Management:  Locad prioritizes the “First Expired, First Out ” (FEFO) principle, ensuring your oldest stock with stable shelf life gets picked and shipped first, minimizing the risk of expired products reaching customers.
• Marketplace Performance Metrics: A dedicated widget showcasing key shipping and fulfilment metrics will give you valuable insights into your Lazada and Shopee performance.
• B2B Order Management: Locad allows you to create B2B orders and subsequently manage them with features such as bulk shipment cancellation functionality editing, cloning, and more!
• Locad Borderless: For those looking to import products to Malaysia, Locad also offers cross-border services including customs clearance assistance and IoR and SoR services for easier cross-border selling.
• Multi-Warehouse Fulfillment:  Locad allows Shopee sellers to fulfil orders from multiple warehouses. So, if you have multiple stores on Shopee, Locad helps you consolidate these stores giving you more transparency into various metrics.

Dashboard Overview for Locad

2. EasyParcel

Another popular choice for Malaysian e-commerce businesses seeking a logistics solution is EasyParcel. It is a shipping solution with a  Here’s what makes EasyParcel a compelling option:

• Effortless Integration:  EasyParcel offers integration between the platform and your e-commerce store. Automatic order import eliminates manual data entry. EasyParcel even extends its reach to social selling platforms.
• Brand-Centric Shipping:  The platform also offers customisable airway bills and SMS notifications. They allow you to incorporate your branding elements.
• Peace of Mind Protection: EasyParcel offers optional insurance plans to safeguard your valuable shipments. This added layer of security protects you from unforeseen circumstances during transportation.
• Rewarding Loyalty:  EasyParcel’s rewards program incentivises your business. Every top-up earns you points redeemable for gifts or shipping credits.
• All-in-One Convenience: EasyParcel allows you to compare rates from multiple couriers in real time, book deliveries, and manage domestic and international shipments effortlessly on a single platform.

While EasyParcel excels in streamlining the shipping process, it’s important to understand its service scope before making a decision. Here are some things to consider:

• Limited Service Range: If your needs extend beyond shipping and encompass warehousing, multi-channel fulfilment across various regions, or on-demand fulfilment services, you might need to explore providers offering a broader range of services.
• Customisation Considerations: While EasyParcel offers branding customisation options, some users might find them less extensive than the in-depth customisation offered by other leading fulfilment service providers like Locad. 

3. DAQ

Moving beyond general e-commerce fulfilment, DAQ Logistics caters to Malaysian businesses with unique requirements. They excel in providing customised solutions that go the extra mile to meet your specific needs. Here’s what sets DAQ apart:

• Tailored Logistics Solutions: DAQ works closely with each brand to understand your specific needs and craft a customised logistics solution that optimises your supply chain and fulfilment processes.
• Temperature-Controlled Expertise:  DAQ boasts expertise in handling perishable and temperature-sensitive goods. Their specialised facilities and experienced personnel ensure your products are stored and transported under optimal conditions, maintaining freshness and quality.
• Halal-Compliance:  For businesses dealing with Halal-certified products, DAQ offers facilities that meet strict religious requirements. This ensures complete peace of mind and compliance throughout your supply chain.

It’s important to acknowledge that DAQ’s strengths lie in specialised services.  But here are a few things to consider when evaluating DAQ as a potential partner:

• Targeted Service Offerings: DAQ’s core focus is catering to businesses with specific needs, such as temperature control or Halal compliance. If your business sells general merchandise that doesn’t require specialised storage, DAQ might not be the most suitable option.
• Limited General Merchandise Storage:  While DAQ excels in specialised storage, its offerings might not be ideal for businesses primarily selling general merchandise.  Exploring other 3PL providers with broader service portfolios might be more advantageous for such needs.

4. Maersk

Maersk, a globally renowned leader, offers a compelling solution for Malaysian e-commerce businesses with international aspirations. Here’s how Maersk can help your global expansion:

• Tailored E-commerce Solutions:  Maersk works with each business to craft a customised supply chain solution that aligns with their specific needs in Malaysia and targets international markets.
• Global Reach: Maersk’s vast network spans over 120 countries, allowing businesses to deliver their products to a worldwide audience.
• Seamless Logistics Experience:  They integrate ocean transport, trucking, and warehousing under one roof, ensuring a smooth journey for your products from origin to destination.

While Maersk offers undeniable advantages, it’s essential to consider some potential drawbacks before deciding. Here are a few things to keep in mind:

• Customer Service Considerations:  Some online reviews mention challenges in reaching Maersk’s customer service representatives. Issues like ignored emails and phone calls could disrupt your operations. Researching and understanding their typical communication channels and response times is advisable.
• Potential for Delays and Errors:  While Maersk strives for efficiency, some users have reported missed deadlines, shipment delays, and container issues at ports. Additionally, incorrect invoices have been mentioned. Close communication and clear documentation are crucial to mitigate these risks.
• Demurrage Charges:  A few reviewers raised concerns about the potentially unfair application of demurrage charges, which are penalties imposed for exceeding allowed container dwell time at ports.  Understanding Maersk’s demurrage policies and ensuring efficient container loading and unloading can help you avoid such charges.

5. DB Schenker

DB Schenker is another logistics solutions provider in Malaysia. They cater to Malaysian businesses with intricate supply chain needs, offering a comprehensive suite of services designed to optimize operations. Here are some of DB Schenker’s key strengths:

• Multimodal Transportation Flexibility:  DB Schenker provide a robust network encompassing land (trucking), air freight, and ocean freight services.
• Seamless Supply Chain Integration: Their contract logistics and 4PL (Fourth-Party Logistics) solutions can integrate seamlessly with your existing operations.
• Industry-Specific Solutions:  DB Schenker leverages its vast experience to offer tailored solutions specific to your industry, ensuring your supply chain functions smoothly and efficiently.

While DB Schenker boasts a compelling portfolio, it’s essential to acknowledge some potential considerations before partnering with them. Here are a few things to keep in mind:

• Service Scope Considerations:  While DB Schenker offers a wide range of services, some users have expressed that their solutions might not be as comprehensive as those provided by other 3PL providers. It’s advisable to compare the service portfolios of different companies to ensure they align perfectly with your specific requirements.
• Transparency in Complex Contracts: Contract logistics can sometimes make it challenging to maintain real-time visibility of your products throughout the supply chain. To mitigate this potential concern, ensure clear communication protocols are established with DB Schenker.
• Potential Delivery and Customer Service Issues:  Online reviews highlight concerns around missed deliveries, incorrect addresses, lost or delayed packages, and mishandled shipments. Additionally, some users have reported encountering communication issues regarding responsiveness via phone and email.  A thorough evaluation of DB Schenker’s customer service track record is recommended.
• Unexpected Costs and Delays:  Customers have mentioned encountering unexpected charges and delays, particularly during customs clearance.  

6. Nippon Express

Nippon Express (NX Group) is a highly respected logistics giant for e-commerce. NX Group offers a compelling solution for Malaysian e-commerce businesses with international aspirations. Here’s what sets them apart:

• Access to Global Markets:  NX Group boasts an extensive network spanning over 50 countries allowing businesses to reach new markets and customer bases worldwide.
• Industry Expertise as Your Advantage:  They offer a comprehensive suite of services encompassing air, ocean, and ground freight solutions, alongside valuable add-ons like 3PL fulfillment.
• Tailored Logistics Solutions:  NX Group works closely with businesses to understand their specific needs and develop customised logistics solutions that perfectly align with your industry and growth goals.

It’s important to acknowledge that NX Group’s strengths lie in its extensive global network and broad industry experience. Here are a few things to consider when evaluating NX Group as a potential partner:

• E-commerce Focus Considerations:  While NX Group offer fulfilment services, their expertise might not be as specialized as that of providers dedicated solely to e-commerce fulfilment. If your primary focus is on streamlining e-commerce operations and requires highly customized fulfilment solutions tailored to the specific needs of the e-commerce industry, exploring providers specializing in e-commerce fulfilment might be more advantageous.
• Customization for E-commerce:  The level of customisation offered by NX Group for e-commerce fulfilment needs might be less comprehensive compared to providers with a laser focus on e-commerce. Suppose in-depth customisation is a priority for your online store. In that case, it’s advisable to compare the level of customisation available from different companies to ensure you find a partner that can adapt their services to perfectly match your specific e-commerce fulfilment requirements.

7. CEVA Logistics Malaysia

CEVA Logistics presents itself as a strong contender for Malaysian businesses seeking a versatile logistics partner with global reach. Here’s a breakdown of their offerings:

• Global Logistics Network: CEVA handles air, land, and sea transportation worldwide, making it a suitable partner for businesses with international aspirations.
• Industry-Tailored Solutions: They leverage their expertise to offer customised solutions to streamline your supply chain and optimise operations within your specific industry.
• Tech-Driven Transparency:  CEVA’s tools enable you to track, trace, and book shipments with greater control and transparency, keeping you informed.
• Dedicated Teams of Experts:  CEVA boasts specialised transport teams dedicated to air, ocean, and road freight. This ensures efficient operations and expert handling of your products, regardless of the chosen transportation mode.

While CEVA offers undeniable advantages, it’s essential to consider some potential drawbacks before making a decision. Here are a few things to keep in mind:

• Global Focus and Cost Implications:  CEVA’s extensive global network might translate to higher costs compared to providers with a more regional focus. Additionally, for Malaysian e-commerce businesses primarily focused on domestic or regional fulfilment, CEVA’s global reach might lead to longer fulfilment times due to potentially complex logistics chains.
• Customisation Considerations for E-commerce:  While CEVA offers customisation, some customers have reported challenges in obtaining e-commerce fulfilment solutions tailored to their specific needs. If you require highly specialised e-commerce fulfilment services, exploring providers with a proven track record in this area might be more advantageous.
• Delivery and Customer Service Concerns:  Customer reviews highlight concerns regarding late deliveries, lost packages exceeding estimated timelines, damaged goods during shipping, and difficulty reaching helpful customer service representatives.  It’s advisable to research CEVA’s customer service track record in Malaysia specifically to gauge its effectiveness in addressing these potential issues.

How to Choose a Logistics Company in Malaysia

Selecting the right logistics partner is crucial for ensuring the smooth operation of your business, helps you minimise costly overheads, and boost sales through affordable shipping and fulfilment options. Here are some key factors to consider when making this critical decision:

1. Understanding Your Business Needs

Before embarking on your search, take a step back and analyse your specific requirements. Ask yourself questions along the following lines:

• What types of goods do you need to transport?  
• Are they time-sensitive, fragile, or require special handling?  
• Do you need domestic or international shipping?  
• How important are factors like cost and speed of delivery?  

By clearly understanding your requirements, you can narrow down your search and focus on companies that specialize in areas relevant to your business.

2. Researching a Company’s Reputation

Look for companies with a proven track record of reliable service and customer satisfaction.  Read online reviews, check industry awards and recognition, and consider asking for references from existing clients. A strong reputation is a strong indicator of a company’s ability to deliver on its promises.

3. Assessing the Services Offered

As discussed earlier, Malaysian logistics companies offer a wide range of services. Ensure the company you choose has the capabilities to meet your specific needs. See if they offer the type of transportation (air, sea, land) you require or have facilities for warehousing and distribution that align with your inventory needs.  Make sure the company’s service portfolio complements your business model.

4. Checking Geographic Coverage

Ensure the company’s geographic coverage aligns with your business reach.  Some specialise in domestic logistics, while others have established international networks. Choose a partner that can deliver your products wherever they need to go. However, prioritising one that can handle both international and domestic shipping can be incredibly advantageous in terms of expansion.

5. Evaluating Customer Service

A responsive and reliable customer service team is essential for a smooth business relationship.  Evaluate how a company interacts with potential clients.  Do they provide clear communication and readily address any concerns? Do they guide you through onboarding, help you move inventory without disrupting your business, and assist you in the legal requirements through business growth and expansion? Excellent customer service is a sign of a company that prioritises building long-term partnerships.

Why Choose Locad

The Malaysian e-commerce landscape is thriving, and choosing the right fulfilment partner is crucial for your business success. We’ve explored a range of established logistics providers, each with unique strengths and drawbacks.

While most global players on this list offer undeniable advantages, potential limitations in terms of cost, local expertise, and customer service, especially for those focused on the domestic market, should be considered.

Nevertheless, Locad offers a strong alternative that is specifically designed to cater to the needs of Malaysian e-commerce businesses – big or small. They understand the intricacies of the local market, potentially offer competitive rates and prioritise exceptional customer service tailored to your specific requirements.

So if you ready to streamline your fulfilment process and elevate your e-commerce customer experience, contact Locad today to explore its solutions and discover how it can help your Malaysian e-commerce business thrive!