Freight Management System Market by Solution (Freight Tracking & Monitoring, Cargo Routing & Scheduling, Security, EDI, TMS, Order Management), End-user (3PLs, Forwarders, Brokers, Shippers), Transportation Mode, and Region - Global Forecast to 2023
The freight management system market is expected to grow at a Compound Annual Growth Rate (CAGR) of 10.1% during the forecast period
The freight management system market size is expected to grow from USD 10.76 billion in 2018 to USD 17.45 billion by 2023, at a CAGR of 10.1% during the forecast period. This growth is expected to be fuelled by the business values, such as the need to reduce the transit time, desire for supply chain visibility, higher customer satisfaction, and the low cost of logistics, coupled with the advancements in freight security, safety, and transportation solutions; and rapid growth in communication technologies and IoT. However, congested trade routes, and cross-border trade risks and environment concerns related to transportation and logistics may restrain the market growth.
Among end-users, the shippers segment is expected to witness the fastest growth rate during the forecast period
The shippers segment is expected to grow at the highest CAGR during the forecast period. Shippers have realized that immediate responses, quick business decisions, and customer satisfaction are the most important features to expand their businesses, increase revenues, and ensure desired outcomes. The advancements in freight management solutions and technologies, along with the increasing cost of logistics and unpredictable demand and supply cycles have increased the priorities for logistics in the business strategies of shippers. Many shippers have responded by acquiring or investing in logistics businesses and taking control of their supply chains. These practices would also help them grow their businesses efficiently and quickly.
The air freight transportation mode is expected to have the fastest growth rate during the forecast period
The air freight transportation mode is expected to witness the fastest growth rate during the forecast period. Air transportation is the most cost-intensive transportation mode, with low adoption among logistics providers. The demand for freight management system solutions are higher among air freight enterprises, as these solutions offer security and enable the tracking of precious goods. Moreover, many freight management system solution providers offer tailor-made air freight solutions to these enterprises.
Asia Pacific (APAC) is expected to grow at the fastest rate during the forecast period
As per the geographic analysis, the APAC region is expected to witness the fastest growth rate in the freight management system market, due to the region’s nature of rapidly adopting new technologies, making higher investments in digital transformation, and its growing share of freight volumes transported globally. Organizations in the APAC region are adopting the freight management system, due to the high share of global trade volumes that it possesses, with the freight management system solutions enabling businesses to reduce costs, save time, increase control, and incorporate flexibility in supply chains. The international competition among enterprises to reduce prices has driven new entrants into the APAC market and disrupted business models of organizations. The large shippers and logistics service providers in APAC are acknowledging the importance of freight management solutions and technologies, as they focus on the deployment of tools to facilitate the faster delivery of freight and efficiently cater to their customers’ frequent requirements.
The break-up of the profiles of the primary participants has been given below:
By Company Type: Tier 1: (30%), Tier 2: (40%), and Tier 3: (30%)
By Designation: C-Level: (40%), Director Level: (25%), and Manager Level: (35%)
By Region: North America: (35%), APAC: (30%), Europe: (25%), and RoW: (10%)
The key freight management system market vendors profiled in the report are as follows:
1. Descartes (Canada)
2. Oracle (US)
3. Werner Enterprises (US)
4. MercuryGate (US)
5. SAP (Germany)
6. Accenture (Republic of Ireland)
7. JDA Software (US)
8. Ceva Logistics (Spain)
9. UPS (US)
10. DB Schenker (Germany)
11. C.H. Robinson TMC (US)
12. Riege Software (Germany)
13. Retrans (US)
14. BluJay Solutions (UK)
15. McLeod Software (US)
16. FreightView (US)
17. Freight Management (US)
18. Linbis (US)
19. Logisuite (US)
20. DreamOrbit (India)
21. Manhattan Associates (US)
22. Magaya Corporation (US)
23. Kuebix (US)
24. ImageSoft (Australia)
25. 3GTMS (US)
The global freight management system market has been segmented by component (solutions and services), transportation mode, end-user, and region. The detailed analysis of the regions has been done to provide insights into the potential business opportunities across different regions. In addition to this, product portfolio, recent developments, and the strategic analysis of vendors are some of the other MarketsandMarkets’ analysis included in the report.
Reasons to Buy the Report
The report would help the market leaders/new entrants in the freight management system market in the following ways:
1. The report segments the freight management system market comprehensively to provide the closest approximations of the revenue numbers for the overall market and its subsegments across different regions.
2. The report helps stakeholders understand the pulse of the market and provides them with information on the key market drivers, restraints, challenges, and opportunities.
3. The report helps stakeholders understand their competitors and gain more insights to enhance their positions in the market.