Logistics firm Danzas and eSolutions provider NextLinx have teamed up to build an eMarketplace.

Deutsche Post World Net’s Danzas subsidiary has entered into a new eBusiness project with NextLinx Corp to provide greater value-added services to one of its large clients. The client, Exiros, is part of the industrial branch of Organizacion Techint, a major Italian and Argentine steel products company. The fundamental aim of the project is to allow Exiros to take value-added logistics services into account when it is procuring products worldwide for its plants.

NextLink is a trade management solution provider, which aims to increase trade by using the Internet to simplify and speed up the buying, selling and shipping of products worldwide. Danzas will use NextLinx’s Internet trade engines and related services to help Exiros compare bids from various vendors more accurately – it will be able to see quotes based on the total landed cost of the product, including transportation, duty and import charges. Exiros should therefore be able to simplify its regional procurement operations.

Danzas believes that through its logistics services it will be able to add significant value to Exiros’ electronic marketplace. Danzas further believes that one of the major reasons why a large number of eMarketplaces have failed has been due to a lack of knowledge of how logistics can add value. So the alliance between an eSolutions firm and a logistics provider should make eMarketplace development easier in future.

If Danzas can extend the operation to provide greater value-added services to more of its major clients, it should be able to lock in many its major contracts. This pilot project should increase Danzas’ knowledge of the sector enough that it will easily be able to roll its services out to other major clients operating in similar markets. As logistics markets become ever more competitive, the companies that are able to offer more value added services on a global scale will be the most successful in gaining new contracts and maintaining current contracts.