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MagicPallet Adopted by STG in France for Sustainable Pallet Management and CO2 Reduction

Implementation Date

January 1, 2022

By

STG

City

Rennes

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Description

In 2022, the carrier STG is using MagicPallet on one of its regular Rennes - Cavaillon routes. It exchanges pallets delivered to Cavaillon on behalf of its loader customer in Rennes, and in return recovers pallets in Rennes, where it must return the pallets. By ensuring that pallets are returned to the loader customer on time, the carrier eliminates the risk of penalties or blocked invoices. He also improves his margins by allocating the return trip of his trucks to the transport of goods, which is more profitable than the transport of empty packaging. Finally, the carrier relieves the operational burden on his teams, who will no longer have to integrate pallet returns into their route planning.

Impact & Result

By avoiding the 980 km empty return journey, the carrier significantly enhances operational efficiency and reduces unnecessary travel. Over the course of the year, the carrier completes 40 exchanges, collectively saving a total of 39,200 km in distance. This reduction in travel results in substantial financial savings, amounting to €47,040 in transport costs that would otherwise be spent on the inefficient empty leg of the journey. In addition to the economic benefits, this approach has a positive environmental impact, preventing the release of 33 tonnes of CO2 into the atmosphere. These savings highlight the carrier's commitment to optimizing logistics, lowering operational costs, and contributing to environmental sustainability by reducing its carbon footprint.

Solution Spotlight

MagicPallet is an efficient tool for road freight transport companies, manufacturers and distribution companies. The European pallet (or Euro Pallet) is a returnable packaging. Road freight transport companies across Europe have to return Euro pallets to shippers after delivery. In order to do so, road freight transport companies travel long distance to collect and bring empty pallets back to their owners: the shippers. Therefore, MagicPallet wants to put an end to the costly inefficient relocation system for pallets from one site to another and to its negative environmental impact by allowing its clients (road freight transport companies, manufacturers and distribution companies) to exchange pallets via a collaborative online platform. A company has pallets stocks where another company has to return pallets, and vice versa: they can now swap. Thus, MagicPallet converts real kilometres into a few mouse clicks or phone calls to organise pallets exchanges. MagicPallet also promotes circular economy by encouraging the use and re-use of a standardized and reparable pallet: the European pallet (versus single-use pallets or plastic pallets). By reducing kilometres, MagicPallet reduces CO2 emissions. By promoting the use and re-use of the Euro-pallets, MagicPallet promotes circular economy and indirectly combats deforestation.

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