Outerspace vs Rakuten Super Logistics

May 8, 2023
Written by
Anthony Robinson
Outerspace vs Rakuten Super Logistics

Outerspace vs Rakuten Super Logistics: A Comprehensive Comparison

In today's fast-paced and interconnected business world, logistics plays a crucial role in ensuring that products and services reach consumers in a timely and cost-effective manner. When it comes to choosing a logistics provider, two companies that often come up in discussions are Outerspace and Rakuten Super Logistics. This article provides an in-depth comparison of these two companies to help you decide which one best suits your business needs.

Company Profiles

Outerspace

Outerspace, founded in 2016 and headquartered in San Francisco, California, offers a range of services including inventory management, order fulfillment, warehousing, and shipping. The company emphasizes leveraging advanced technology to enhance logistics operations, such as utilizing electric vehicles for transportation and implementing energy-efficient systems in their warehouses.

Rakuten Super Logistics

Rakuten Super Logistics, a subsidiary of the Japanese e-commerce giant Rakuten, was established in 2001. It provides comprehensive logistics services with a strong presence across the United States. Rakuten Super Logistics focuses on reducing waste and utilizing eco-friendly packaging materials, aligning with global sustainability trends.

History and Background

Outerspace was founded by two former Airbnb employees who aimed to innovate the logistics industry by offering more efficient and streamlined solutions. The company's rapid growth attracted a diverse customer base, including several well-known brands. In contrast, Rakuten Super Logistics originated as Webgistix, a company specializing in e-commerce logistics. Rakuten acquired Webgistix in 2013, rebranding it as Rakuten Super Logistics.

Since the acquisition, Rakuten Super Logistics has expanded its services and reach, establishing multiple fulfillment centers across the United States to ensure faster and more efficient delivery. The company has also invested heavily in technology, developing a proprietary warehouse management system (WMS) that optimizes operations and reduces errors, maintaining its position as a leader in the e-commerce logistics industry.

Services and Features

Outerspace Services

  • Real-time inventory tracking
  • Advanced reporting and analytics
  • Drone delivery services for faster and more efficient product delivery to remote or hard-to-reach areas
  • Electric vehicle transportation
  • Energy-efficient warehouse systems

Rakuten Super Logistics Services

  • Order fulfillment
  • Warehousing and shipping
  • Kitting and assembly services
  • Extensive network of warehouses and fulfillment centers for faster and cost-effective shipping options
  • Eco-friendly packaging solutions

Pricing Models

Pricing is a major consideration when selecting a logistics provider. Outerspace offers a premium pricing model, reflecting its technology-driven solutions that help businesses optimize their logistics operations. This includes advanced analytics and specialized services like drone delivery. According to a Statista report, the average cost of e-commerce logistics has been steadily increasing due to the demand for faster delivery times and higher service standards.

In contrast, Rakuten Super Logistics provides more competitive pricing, making it an attractive option for businesses seeking cost-effective solutions. Their extensive network of warehouses allows for economies of scale, which helps in reducing shipping costs. This makes Rakuten Super Logistics particularly appealing to small and medium-sized enterprises (SMEs) looking to optimize their logistics without incurring high expenses.

Sustainability Practices

Both Outerspace and Rakuten Super Logistics are committed to sustainability, an increasingly important factor in the logistics industry.

  • Outerspace: Utilizes electric vehicles for transportation and energy-efficient lighting in their warehouses. The company also focuses on reducing carbon emissions by optimizing delivery routes.
  • Rakuten Super Logistics: Prioritizes the use of eco-friendly packaging materials and has implemented waste reduction strategies in their operations. Additionally, they employ energy-efficient practices in their warehouses and use electric vehicles for local deliveries.

According to the Logistics Sustainability Report 2020, companies adopting sustainable practices not only reduce their environmental footprint but also achieve long-term cost savings and enhance their brand reputation.

Customer Support and Service Quality

Effective customer support is essential when selecting a logistics provider. Both Outerspace and Rakuten Super Logistics offer robust customer support options:

  • Outerspace: Provides dedicated account management and support teams to help optimize logistics operations. Additionally, Outerspace offers a comprehensive knowledge base and online resources for businesses to access information and troubleshoot common issues.
  • Rakuten Super Logistics: Offers customer support via phone, email, and online chat with dedicated account managers available to assist with any questions or concerns. They also provide value-added services such as inventory management, order fulfillment, and returns processing, supported by their trained customer support teams.

According to a State of the CXO Report, exceptional customer service can significantly enhance customer satisfaction and loyalty, making it a critical factor in choosing a logistics partner.

Advantages and Disadvantages

When choosing between Outerspace and Rakuten Super Logistics, consider the following advantages and disadvantages:

  • Outerspace:
    • Advantages: Utilizes advanced technology to optimize logistics operations, leading to increased efficiency and potential cost savings. Exceptional customer service with dedicated account managers and 24/7 support.
    • Disadvantages: Higher pricing may not be suitable for all budgets.
  • Rakuten Super Logistics:
    • Advantages: More affordable pricing with a wider network of warehouses, enabling faster and more cost-effective shipping options.
    • Disadvantages: Fewer additional services and less personalized customer support compared to Outerspace.

Choosing the Right Provider for Your Business

Selecting the right logistics provider involves evaluating several factors to align with your business objectives:

  • Technology Needs: If your business prioritizes technology-driven solutions and advanced reporting, Outerspace may be the better choice.
  • Budget Constraints: For businesses focused on competitive pricing, Rakuten Super Logistics offers more affordable options.
  • Geographical Requirements: Consider the geographical coverage of each provider to ensure they align with your customer base and expansion plans.
  • Service Requirements: Determine the specific services you need, such as international shipping, drone delivery, or kitting and assembly, to choose the provider that best meets those needs.

Additionally, evaluating customer reviews and industry reputation can provide insights into the reliability and performance of each provider.

Real-World Examples of Success

Many businesses have successfully leveraged Outerspace and Rakuten Super Logistics to enhance their logistics operations:

  • Clothing Retailer in San Francisco: Utilized Outerspace to improve inventory management and order fulfillment, resulting in cost savings and faster delivery times.
  • Beverage Company in the Midwest: Partnered with Rakuten Super Logistics to streamline shipping operations and enhance customer support.

These examples highlight how choosing the right logistics partner can directly impact operational efficiency and customer satisfaction.

Future Trends in the Logistics Industry

The logistics industry is evolving rapidly, with several trends poised to impact the competition between Outerspace and Rakuten Super Logistics:

  • Automation and Robotics: Increased use of automation and robotics can enhance efficiency and lead to cost savings. According to a McKinsey report, automation is expected to significantly reduce operational costs in logistics by 2030.
  • Sustainability: Growing demand for eco-friendly and sustainable logistics practices may drive a shift towards more environmentally conscious providers. The Transport & Environment Report emphasizes the critical importance of sustainability in shaping the future of logistics.
  • E-commerce Growth: The continued growth of e-commerce will increase the demand for efficient and scalable logistics solutions. Statistics from Statista indicate a steady rise in global e-commerce sales, further driving the need for robust logistics infrastructure.

Both Outerspace and Rakuten Super Logistics are well-positioned to adapt to these trends, leveraging their strengths to meet future industry demands.

Conclusion: Which Logistics Provider is Best for Your Business?

Choosing between Outerspace and Rakuten Super Logistics depends on your business's specific needs and budget. If your business prioritizes advanced technology and comprehensive reporting, Outerspace may be the ideal choice. Conversely, if competitive pricing and extensive warehouse networks are more critical, Rakuten Super Logistics could be the better fit. Regardless of your choice, regularly reviewing and optimizing your logistics operations is essential to ensure they remain efficient and cost-effective.

About the Author

Anthony Robinson is the CEO of ShipScience, a pioneering company dedicated to helping e-commerce leaders optimize their shipping decisions, reduce costs, and automate tedious processes. With a Bachelors Degree in Economics from Stanford University, Anthony brings over two decades of expertise in logistics, business development, and operational efficiency to the table.
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