Global Trade Management Software Market – Drivers, Restraints, Opportunities, Trends, and Forecast up to 2025
Global trade management software is a set of solutions designed and developed for smoothening the trade operations by streamlining and automating it. Importers and exporters integrate global trade management software with their ERP/supply chain software to collaborate with trade partners efficiently. Global trade management software includes modules for trade compliance, import management, export management, customs management, and others. Others include modules focused on logistics, transportation, and supply chain. Trade compliance accounted for a major share in the global trade management software market. International trade compliance refers to the way how company observes the laws and regulations that govern its international business operations. Sudden changes in the regulations can lead to severe consequences as most of the organizations are unaware of the changes made by the government. Therefore, the adoption of trade compliance solution will enable them in avoiding these consequences by streamlining the business operations and accurately complying the changing regulations.
The volume of international trade has been growing due to globalization and transportation and logistics companies are facing issues related to streamlining the business process and operation costs associated with growing trade operations. Financial year 2017 and 2018 has witnessed substantial trade operations worldwide despite issues regarding Brexit and the trade war between US and China.
Some of the major factors which will affect the global trade management software market positively are as follows:
- Increased sourcing from locations with cheap labor including China and India driving the trade activities and the demand for global trade management software.
- Increasing cross border security standards driving the demand for global trade management software.
- Compliance with the growing number of free trade agreements among several countries requires automation through a trade management software.
Based on the geography, the market is split into North America, Europe, APAC, and RoW. RoW includes Middle East, South America, and Africa. North America is the leading revenue generator in the global trade management software market with a major share of the market contributed by the US. APAC is one of the fastest growing market in the global trade management software market with major growth being witnessed in China, Japan, South Korea, India, and Australia.
Based on deployment, global trade management software market is segmented into cloud- based and on-premise deployment. Most of the end-users of global trade management software need customized solutions and rely on on-premise deployment due to security concerns. End-users of global trade management solutions are concerned about the inadequate security related to cloud deployment. This perception has held back the cloud-based deployment of the trade management software by most of the organizations. End-users expect high performing and automated processes with a well-defined security layer. Companies with budget restraints are much more concerned about security than large enterprises as they mostly go for cloud options. However, cloud-based deployments are expected to grow considerably during the forecast period since cloud-based deployment helps in reducing infrastructure maintenance costs and provides better visibility for business processes.
Based on offering, global trade management software market is segmented into subscription and services. Subscription includes revenue generated from the sale of software subscriptions and services include professional service (implementation/deployment, maintenance and support, consulting, and training) revenue.
ne of the major factors hampering the adoption of global trade management software is the reluctance of many companies to adopt these solutions mainly due to concerns regarding the integration of trade management software with existing software and systems. End-users often prefer a plug-and-play solution to ease the integration process of trade management software with the ERP software present in the system.
Global trade management software market is primarily dominated by major companies including Oracle, SAP, Infor, E2open, and Integration Point as major players. Other prominent vendors in the market include Avolin, Bamboo Rose, AEB, Descartes Systems Group, QAD Precision, and QuestaWeb. In the forecast period, the global trade management software market is expected to witness consolidation with many major ERP vendors entering in the market. For instance, E2open acquired Amber Road, which is one of the major trade management software providers in May 2019. Major ERP software vendors will pose a major threat to small core trade management software vendors in the market.
According to Infoholic Research, global trade management software market will grow at a CAGR of nearly 12% during the forecast period 2019–2025. The aim of this report is to define, analyze, and forecast the global trade management software market based on segments, which include deployment, offering, mode of trade, solutions, and region. In addition, trade management software market report helps venture capitalists in understanding the companies better and make well-informed decisions and is primarily designed to provide the company’s executives with strategically substantial competitor information, data analysis, and insights about the market, development, and implementation of an effective marketing plan
- The report comprises an analysis of vendors profile, which includes financial status, business units, key business priorities, SWOT, business strategies, and views.
- The report covers the competitive landscape, which includes M&A, joint ventures & collaborations, and competitor comparison analysis.
- In the vendor profile section for companies that are privately held, the financial information and revenue of segments will be limited.