BUSINESS
French Logistics Tycoon's Strategy in Turbulent Times
FranceSun Apr 06 2025
In the world of logistics, Eric Hémar stands out. He's the mastermind behind ID Logistics, a company that's become a giant in the industry. Hémar's journey began with a bold move into contract logistics two decades ago, and now his company is poised to benefit from the current economic turmoil.
ID Logistics is a major player, managing the flow of goods for big names like Amazon and Inditex. With a significant presence in 19 countries, the company generates about 70% of its revenue outside of France. The U. S. , Poland, Spain, and Portugal are among its top markets.
Despite recent stock fluctuations due to tariffs, Hémar remains unfazed. He's known for his long-term vision, focusing on the bigger picture rather than short-term setbacks. When asked about the impact of tariffs, he calmly explained that his business is more sensitive to the overall economic climate. If the economy slows down, companies might buy fewer goods, indirectly affecting his business.
Interestingly, some analysts believe that economic uncertainty could actually boost ID Logistics' business. During tough times, companies often look to outsource more of their logistics to cut costs. This trend could drive more business to ID, as companies seek efficient and cost-effective solutions.
The contract logistics industry has grown rapidly over the past few decades. Initially, most companies handled their own packaging and shipping. However, the rise of e-commerce and complex supply chains has made outsourcing an attractive option. This shift is expected to continue, with the U. S. market still having significant room for growth.
Hémar's approach to business is unique. He doesn't own the warehouses or the technology used in his operations. Instead, he rents warehouses and contracts out the manufacturing of robots, allowing him to tailor solutions to each customer's needs. This flexibility is a key advantage, enabling ID to adapt quickly to changing requirements.
One of Hémar's notable clients is Amazon. The e-commerce giant has been slowly externalizing its logistics, and ID has been a trusted partner in this process. Hémar's company handles some of Amazon's trickiest tasks, demonstrating the level of trust and expertise involved.
Hémar's personal journey is also intriguing. Born in Paris, he comes from a family known for their stubbornness. He attended France’s National School of Administration, a prestigious institution for training civil servants. However, his experiences with his father's career in the corporate world shaped his desire to be his own boss.
After gaining experience in various roles, Hémar founded ID Logistics in 1995. He started with a small investment and a vision to grow piece by piece. Today, ID Logistics is a major player in the industry, with a presence in multiple countries and a reputation for innovation.
Hémar's focus on innovation and customer service sets ID apart from its competitors. He understands that the real value lies in the service provided, not just the assets. This approach has helped ID secure long-term contracts with satisfied customers.
Despite global tensions, Hémar sees opportunities for growth, particularly in North America. He's eyeing expansion into Canada and Mexico, aiming to increase ID's market share in the region. This growth is crucial for maintaining the company's routine of doubling its revenue every five years.
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questions
What are the potential long-term impacts of tariffs on the logistics industry?
What if logistics companies started using trained pigeons instead of drones for deliveries?
How might the economic downturns affect the logistics industry beyond just increasing outsourcing?