In logistics and supply chain management, not all products are created equal. From durable to fast-decaying perishables and products that quickly lose market relevance, each product type demands a different logistical approach. The physical characteristics, shelf-life and lifecycle dynamics of products shape how they are stored, transported and replenished.
Understanding product categories helps logistics professionals design better flows, reduce waste and align supply with demand.
Three Key Product Types in Logistics
While product diversity is vast, many logistics strategies are shaped around three broad product types:
Regular products
These are stable, non-perishable items such as furniture, tools, electronics and packaged consumer goods. They do not require special storage conditions and often have steady demand over time. Inventory can be managed using well-known models such as EOQ (Economic Order Quantity) or JIT (Just-In-Time). The emphasis lays on optimizing cost-efficiency and minimizing inventory holding costs.
Perishable products
These are time-sensitive goods with a limited shelf-life, fresh food, dairy, pharmaceuticals and anything that has a due-date until it perishes. They require temperature-controlled storage and fast transportation, often with cold chains. Demand can fluctuate by season and inventory turnover must be high. Emphasis being on speed, traceability and loss prevention due to spoilage or contamination.
Obsolescent products
These are items that become outdated or lose value over time due to trends, innovation or seasonality. The world obsolescence stemming from once a product is no more desireable, therefore losing its value and becoming obsolete. Often given examples include consumer electronics, fashion items or promotional goods. Forecasting accuracy, lifecycle awareness and agile returns handling are key to minimizing markdowns and write-offs.
Implications for Logistics Management
Each product type brings specific logistics challenges:
- For regular products, the goal is efficiency and predictability. Stable lead times and consistent demand enable long-term transport contracts and centralized warehousing.
- For perishables, flexibility and responsiveness are key. Systems must detect deviations early, and transport schedules must be tightly managed.
- For obsolescent goods, information flow is as critical as physical flow. Real-time sales data, short procurement cycles and responsive return logistics are needed to avoid stock becoming unsellable.
Choosing the wrong logistics approach can lead to spoilage, waste, lost revenue or overstock. Matching logistics strategies to product characteristics is essential for performance.
Why This Matters in the LOBRA Context
As part of the LOBRA project, we are exploring how different product types affect corridor usage, terminal needs and logistics system design. For example, perishables may demand local distribution hubs, while obsolescent products benefit from flexible routing and real-time data integration.
Understanding the link between product type and logistics strategy is essential to improve both efficiency and sustainability. It supports the development of digital planning tools, helps reduce inventory waste and enhances supply chain responsiveness across sectors.
As we develop transport models and tools within LOBRA, the product dimension will remain a key lens for practical logistics innovation
Project number: 404191