Benjamin Gordon, Cambridge Capital CEO, predicts logistics technology investment in Freightwaves

Gordon predicts logistics investment to double in new decade

Benjamin Gordon, CEO of Cambridge Capital in Palm Beach, forecasts Supply Chains, last mile logistics, Jeff Bezos, and Amazon with Freightwaves. BGSA CEO Ben Gordon on investment outlook in technology, logistics, and supply chain: “Cambridge Capital predicts $60 billion invested in logistics this decade!”

Benjamin Gordon, who invests in logistics and technology companies, expects record amounts of capital to flow throughout the decade into transport and logistics, a segment he said remains “ripe for disruption.”

The 2010s may have been about innovation, but the 2020s will be about scale, Gordon said. “If we see $60 billion invested in logistics IT companies in the 2020s, at least 70% will come from private equity buyouts rather than venture capital startups,” he said. Those investments will help solid IT firms achieve scale and will, in general, foster a more stable operating environment, Gordon said.

For more on Benjamin Gordon, visit, and

BGSA Supply Chain Conference, Benjamin Gordon, CEO, investor, Cambridge Capital, Palm Beach

BGSA’s 14th Annual Supply Chain Conference to be held in Palm Beach

PALM BEACH, FL — December 17, 2019 – BG Strategic Advisors is proud to announce that the 14th Annual BGSA Supply Chain Conference will be held in Palm Beach, Florida, at The Breakers, on January 22 – 24, 2020.

BGSA Supply Chain 2020 is a one-of-a-kind event designed to recognize top supply chain companies as well as encourage the sharing of insights among an exclusive group of executives from a variety of industry segments.  Our invitation-only annual conference provides an intimate and candid setting where CEOs and leaders can privately network and explore ideas with their peers.  In addition, the conference offers a unique focus on strategic ideas driving change in the supply chain marketplace, such as new technologies, consolidation, global expansion, and innovative growth strategies.  Attendees will be joining an elite group of industry leaders to discuss market trends, explore strategic acquisition opportunities, and exchange ideas for growth in the rapidly-changing industry.

BGSA Supply Chain is considered the foremost CEO-level event in the transportation, logistics, and supply chain sector.  Last year, more than 200 senior supply chain and operations executives joined us in Palm Beach.  This year, BGSA has a record turnout.

This year’s panels & speakers include:

2020 Outlook: What Will the Coming Year Hold for Transportation and Logistics?

Moderator: Ben Gordon – Founder, BGSA Holdings and CEO, Cambridge Capital

State of the Industry: Logistics Perspective

Moderator: Dave Stubbs – Operating Partner, Cambridge Capital

Voice of the Customer

Moderator: Gene Tyndall – CSO, Tompkins International

Dealmaking in the Supply Chain Market: Who is Winning and How?

Moderator: Ben Gordon – Founder, BGSA Holdings and CEO, Cambridge Capital

The BGSA Supply Chain Conference 2020 “Shark Tank”

Moderator: Ben Gordon – Founder, BGSA Holdings and CEO, Cambridge Capital


  • Claude Pumilia – CEO, DAT Solutions LLC
  • Herb Shear – Chairman, Shear Family Office
  • Jack Holmes – Chairman, Emerge (Former President, UPS Freight)
  • Rob Howard – Vice President, Target


Supply Chain Technologies: What’s New and Exciting?

Moderator: Rimas Kapeskas – Partner, Cambridge Capital

Managing Technology in this Era of Disruption

Moderator: Matt Smalley – VP, Cambridge Capital

State of the Industry: Trucking Perspective

Moderator: Jack Holmes – Chairman, Emerge (Former President, UPS Freight)

Feel free to visit for more information on this year’s event. The event is by invite only. For an invitation, please contact Jennifer Alfaro by phone at (561) 932-1607 or by email at

Strategic Advice for Logistics Companies with Benjamin Gordon of Cambridge Capital

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BGSA Conference Logistics Lessons from Palm Beach

Highlights from the BGSA Supply Chain Conference

Every January, we have the pleasure of hosting more than 200 CEOs and leaders of transportation, logistics, supply chain and technology companies at the Breakers in Palm Beach. The annual BGSA Supply Chain conference has become a great way to learn about the big trends and opportunities shaping the industry.

So what did we learn in Palm Beach this year? I’ll post the highlights. You can also see additional details at the BGSA 2017 conference site.

In sum, we see three key themes in particular: the Trump Bump, the power of e-commerce, and consolidation.

The Trump Bump

First, let’s start with the data.

At BGSA, we track the BGSA Supply Chain Index, which is a basket of 67 companies across nine segments, including logistics, trucking, rail, supply chain technology, and all other related segments.

The BGSA Supply Chain Index grew 16% in 2016, compared with a symmetrical 16% drop last year.  The BGSA Supply Chain Index also outperformed the S&P 500, which increased by 11% this year.  All in all, it was a strong year for our sector.

Within that market basket, here are some key highlights from 2016:

  • Outperformers:
  • LTL, which increased by 46%, led by SAIA (up 98%)
  • Truckload, which increased by 36%, led by Swift Transportation (up 76%)
  • Energy transportation, which increased by 31%, led by Trimac (up 119%)

Underperformers included healthcare distribution, which dropped by 20%, led by McKesson (down 29%)

What explains this strong year for the supply chain sector?

The first factor is the Trump Bump.  Of the 16% gain in 2016, a whopping 10% came in the month of November.  The market expects a Trump Administration to be bullish for transportation and logistics.  This conclusion is based on several expectations, including (i) an increase in American manufacturing, (ii) the $1 trillion infrastructure spending announcement, and (iii) lower taxes.  The biggest beneficiaries have been trucking companies, whose operating leverage gives them the ability to benefit from a boost in demand.  Fellow conference attendees YRCW and ARCB, for instance, both spiked over 50% in the month of November alone.

The second factor is the alphabet soup of regulatory compliance.  The Electronic Logging Device (ELD) mandate, which is slated to take effect in December 2017, will require all carriers to implement electronic recording of drivers’ Record of Duty Status (RODS), to ensure compliance with Hours of Service (HOS).  Many small fleets and owner-operators lack this technology, and the market expects capacity to shrink.  As a result, pricing is starting to increase.

The third factor is improving fundamentals in transportation and logistics.  Across the board, Q4 2016 data reflects economic strengthening, and increases in both rates and volumes.  In dry van trucking, spot market rates increased 5% year-over-year.  In air freight, spot market rates increased 2%.  In ocean freight, inbound container volumes increased 9%.  Further, shipping rates have strengthened after the bankruptcy of Hanjin, with Transpacific Eastbound rates up 52%.

Going forward, we expect a strong 2017 for the industry as a whole.

The Power of e-Commerce

The second major theme driving change in the supply chain is e-commerce.  2017 may finally be the year in which logistics and e-commerce converge.  Technology-based solutions for the last mile in particular are rapidly evolving.

In 2016, both Amazon and Uber announced they were targeting logistics.  Uber declared an “Uber for Trucking” app, and made a $680 million acquisition of Otto to pursue self-driving trucks.  Amazon also signaled plans for a logistics app and may become its own global freight broker and compete directly for business.  More importantly, Amazon already spends over $15 billion on shipping, and has begun to build an Amazon logistics organization that could rival the Amazon Web Services (AWS) model.

Meanwhile, we are seeing a hothouse of innovation in tech-enabled logistics, including:

  • Drones – with commercial deliveries for Amazon, 7-Eleven, and Maersk already underway
  • Online freight booking – including disruptors like Freightos, 10-4, and uShip
  • eCommerce fulfillment – with $2 trillion of annual sales and 15% annual growth, eCommerce customers are driving demand for faster and faster fulfillment, leading to same-day and even same-hour logistics solutions from companies like Amazon Prime Now, UberRUSH, Grand Junction, Doorman, and Bringg

These innovations are only going to accelerate.  Logistics technology attracted over $5 billion of funding in 2016.  This includes deals like:

  • Chinese logistics: ZTO
  • Tracking technology: Macropoint
  • Distributed warehousing: Flexe
  • TMS: 3Gtms
  • Last-mile logistics: Bringg
  • Visibility: project44
  •  And more

These technological changes pose both threats and opportunities.  On the one hand, truck brokerage stocks like CHRW and ECHO dropped nearly 10% the week Uber and Amazon’s brokerage apps were disclosed.  On the other hand, smart supply chain companies are making investments to ensure they will be ahead of the curve.  For instance, the UPS Strategic Enterprise Fund has invested more than $400 million in disruptive technologies and businesses, ranging from drones to e-commerce fulfillment software.

We expect to see more transportation and logistics companies choose to make a portfolio of strategic investments in 2017.

Consolidation: The Party Continues

The third theme is consolidation.  Amidst all of these positive catalysts, we are continuing to witness record M&A activity across all industry sectors.

Global transportation and logistics M&A volume remained strong, with over $120 billion worth of deals.

Major deals in 2016 included several global giants:

  •  US airlines:  Virgin America Inc.’s $4.2 billion acquisition of Alaska Air Group Inc.
  • Australian ports: Investor Group’s acquisition of Port of Melbourne Corp for $7.3 billion
  • Chinese trucking: Dalian Dayang Trands’ acquisition of YTO Express for $8.8 billion
  • Italian logistics: Cassa Depositi’s $3.3 billion acquisition of Poste Italiane

Meanwhile, middle-market M&A continued to dominate in the US, with a flurry of deals such as Pilot-ATL, Calyx-TransForce, UPS-Marken, Sunteck-TTS, and others.

All of these plot lines will continue to develop over the course of this year.

In summary, we are grateful for the ability to see so many terrific people and companies in one place.

Benjamin Gordon is Cambridge Capital CEO and BGSA Founder. Benjamin is a leading investor, advisor, and founder in technology, transportation, and logistics. For more information, follow Benjamin on Twitter, LinkedIn, Medium, his personal BenGordon PalmBeach blog, and his business BenjaminGordon blog.