The connected logistics market is estimated to be valued at US$8,669.325 million in 2019. Connected logistics offers various services and solutions which facilitate supply chain integration to logistics businesses offering services for varied industry verticals.
The benefits offered by connected logistics include real-time access, improved operational efficiency, and enhanced productivity through the integration of multiple connected platforms. The increased market for intelligent transportation solutions is expected to drive the Connected Logistics market growth. The major factors driving the demand for connected logistics solutions are the booming e-commerce industry, rising adoption of IoT, improvement in organizational efficiency, and cost-effectiveness. Rising disposable income coupled with increasing smartphone penetration in developing countries will boost the e-commerce industry, which in turn will drive the demand for connected logistics solutions. Favorable government policies are promoting the set of SMEs across the supply chain. As the supply chain becomes more and more complex, the demand for these solutions will increase on account of ensuring the efficacy of the supply chain and effective monitoring of inventory. This will improve company profitability and will also augment the demand for connected logistics solutions. Market drivers for the connected logistics market include the technological advancement in the industry and the emergence and development of the internet of things (IoT) connecting devices. For instance, Intel partnered with Honeywell in January 2017 to develop an IoT-based retail industry solution; and to majorly focus on enhancing supply chain efficiency and increasing profitability by improving product visibility. The newly designed solution will be in-built with tracking, monitoring, and security access to moving goods. Hence, the challenge is to ensure better inventory accuracy and enhance customer services.
The global connected logistics market based on transport is segmented as Roadways, Railways, Airways, and Seaways. Roadway’s segment holds the largest share of the connected logistics market and is expected to grow during the forecasted period. This mainly due to the rising requirement to organize and manage the flow of the good in distribution, and production. Warehousing and purchasing process, these factors are uplifting the market demand for the roadways segment of the global connected logistics. Whereas seaways segment is expected to be the fastest-growing segment on account of rising the need of the ocean freight solution for the transportation of the frozen cargo.
By geography, the global connected logistics market has been segmented as North America, South America, Europe, Middle East, and Africa, and the Asia Pacific. North America holds a significant share and is projected to augment the connected logistics market due to the early adoption of the technology and the presence of well-established internet infrastructure. The regions adopted connected logistics solutions that leverage advanced technologies such as machine learning, cloud computing, data analytics, big data, deep learning, the Internet of Things, and artificial intelligence. The introduction of new technologies and the trend towards cloud computing is helping firms in taking better control over the supply chain and improve the overall profitability of the company. North America is followed by Europe as it holds the second-largest market share. Europe is expected to grow rapidly due to the increasing government and private sector investments and the rapidly growing logistics industry. Whereas, Asia Pacific is anticipated to be the fastest-growing region in terms of CAGR in the forecasted period. This is mainly owing to the booming e-commerce industry, a growing number of SMEs increasing expenditure towards setting up an internet infrastructure, and focusing to develop Internet of Things-enabled solutions for effective supply chain management. These factors are driving the market growth in the region in the forecasted period.
Major industry players profiled as part of the report are Intel Corporation, Losant IoT, Bosch Service Solutions GmbH, SAP SE, E2open, IBM Corporation, Infosys Limited, Freightgate Inc., Agility, and ATT Logistics among others.
| Report Metric | Details |
| The market size value in 2019 | US$8,669.325 million |
| Base year | 2019 |
| Forecast period | 2021–2026 |
| Forecast Unit (Value) | USD Million |
| Segments covered | Software, Transportation Mode, And Geography |
| Regions covered | North America, South America, Europe, Middle East and Africa, MEA, Asia Pacific |
| Companies covered | Intel Corporation, Losant IoT, Bosch Service Solutions GmbH, SAP SE, E2open, IBM Corporation, Infosys Limited, Freightgate Inc., Agility, and ATT Logistics |
| Customization scope | Free report customization with purchase |
Segmentation
The connected logistics market has been analyzed through the following segments:
Frequently Asked Questions (FAQs)
Q1. What is the size of the global connected logistics market?
A1. The global connected logistics market is estimated to be valued at US$8,669.325 million in 2019.
Q2. Who are the major players in the connected logistics market?
A2. Major industry players profiled as part of the connected logistics market report are Intel Corporation, Losant IoT, Bosch Service Solutions GmbH, SAP SE, E2open, IBM Corporation, Infosys Limited, Freightgate Inc., Agility, and ATT Logistics.
Q3. How is the global connected logistics market segmented?
A3. The connected logistics market has been segmented by software, transportation mode, and geography.
Q4. What factors are anticipated to drive the connected logistics market growth?
A4. The major factors driving the demand for connected logistics solutions are the booming e-commerce industry, rising adoption of IoT, improvement in organizational efficiency, and cost-effectiveness.
Q5. Which region holds the largest market share in the connected logistics market?
A5. North America holds a significant share in the connected logistics market due to the early adoption of the technology and the presence of well-established internet infrastructure.
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