Transportation Services Market Forecasts to 2030 - Global Analysis By Transport Type, Purpose, End User and By Geography

According to Stratistics MRC, the Global Transportation Services Market is accounted for $8.04 trillion in 2023 and is expected to reach $15.09 trillion by 2030 growing at a CAGR of 10.11% during the forecast period. Companies that move goods and people between locations for a fee or payment are considered transportation services. The air, marine, rail, and road freight sectors make up the transportation services sector. Businesses that provide services to transfer goods and materials through pipelines, rails, and roads are included in the transportation services industry. The consistent economic growth that many developing and developed countries are expected to experience is what is driving the expansion of the transportation services market.

According to forecasts from the International Monetary Fund (IMF), global GDP growth will be 3.3% in 2020 and 3.4% in 2021. It is also likely that recovering commodity prices, which experienced a considerable decrease in the recent past, will support market expansion.

Market Dynamics:

Driver:

Rapid growth of e-commerce industry

One of the main factors bolstering the transportation market share is the expansion of the e-commerce sector. The sharp increase of online sales across the board and the growing popularity of e-commerce have emerged as key market drivers. Technology has been incorporated into logistics operations to enhance the overall customer experience, including warehouse automation, route optimization, and real-time shipment tracking. As the e-commerce market grows, transportation companies are expanding their services to meet changing customer demands.

Restraint:

Vulnerable to season and weather impacts

Weather and seasonal changes can have an impact on transportation infrastructure and travel. For example, in the event of erratic weather conditions, roads become unfit and unsafe for use during rain or floods. Moreover, fuel costs, regular vehicle maintenance, and infrastructure all contribute to the cost of transportation.

Opportunity:

Increasing technology and focus on safety

Technology can be used to improve productivity, streamline processes, and provide customers with better service. This can involve managing and interacting with drivers and customers using dispatch software, GPS tracking, and mobile apps. Building a successful transportation company also depends on ensuring the safety of drivers and passengers. Due to this, on-demand transportation services and subscription-based business models are expected to witness a surge during the forecast period.

Threat:

Rise in air Pollution

Air pollution is largely caused by transportation. The main contributors to global warming are greenhouse gases released by vehicles such as cars, trucks, buses, airplanes, and ships. Along with other pollutants that contribute to smog, acid rain, and other environmental problems, vehicles also emit particulate matter, nitrogen oxides, and sulfur dioxide. Such factors are impeding market expansion.

COVID-19 Impact:

The COVID-19 outbreak, which led to lockdowns and restrictions on the movement of people and goods, severely restricted the market for transportation services. In an effort to stop the spread, national governments have reduced economic activity and put several nations on lockdown for the duration of the pandemic. Due to the decreased revenue and increased costs associated with implementing safety measures to protect customers and employees, some transportation companies also experienced financial difficulties. However, as the lockdown eases, the market for transportation services has started to recover.

The air transport segment is expected to be the largest during the forecast period

During the forecast period, the air transport segment is expected to hold the largest share of the market. Large groups of people and bulky cargo can be transported quickly and anywhere in the world using aviation. Compared to other modes of transportation like the road, rail, or water, it is much faster. It is frequently used in national emergencies due to its speed. No natural obstacles, such as mountains, rivers, or anything else that could slow it down, exist in air transport. Furthermore, air transportation can also be used to deliver people and cargo to places that are inaccessible to other modes of transportation.

The e-commerce segment is expected to have the highest CAGR during the forecast period

Over the forecast period, the e-commerce segment is expected to grow at the highest CAGR. E-commerce businesses require a wide range of logistics services, including shipping, warehousing, and last-mile delivery. As a result, specialized logistics companies with an exclusive focus on e-commerce have emerged. In addition to opening up new markets and business opportunities, the expansion of e-commerce has made it possible for logistics service providers to provide cross-border shipping and fulfillment services. Therefore, the expansion of the e-commerce sector is anticipated to fuel the expansion of the global market.

Region with largest share:

The Asia-Pacific region is estimated to witness the largest market share due to an increase in the manufacture and sales of passenger vehicles in China, South Korea, and India. The expansion of the e-commerce industry and the existence of a strong supply chain network serving a number of industries, including shipbuilding, automotive, consumer goods manufacturing, and heavy machinery manufacturing, are also contributing to the rise in demand for cargo transportation, material handling, and public transportation. As a result, it is anticipated that the market for public transportation services in the area will expand in this region.

Region with highest CAGR:

The United States, Mexico, and Canada hold the majority of the market share in North America for transportation services. One of the primary factors driving the expansion of the transportation market in the region is the rising demand for imported goods from North American nations in emerging economies like Indonesia, Thailand, and India. With a highly integrated supply chain network connecting producers and consumers via a variety of transport methods, including air and express delivery services, freight rail, maritime transport, and truck transport, the United States currently represents one of the region's key markets for logistics as well as transportation services.

Key players in the market:

Some of the key players profiled in the Transportation Services Market include: A.P. Moller-Marsk A/S, Amazon.com inc, Cargill Incorporated, China Airlines, China Railway Corporation, Delta Air Lines Inc., Deutsche Post AG, Emirates Group, FedEx Corporation, Indian Railways, JSC Russian Railway, United Airlines Inc, United Parcel Service Inc. and United States Postal Service .

Key Developments:

In July 2023, Denise Press and Marcy Robbins are thrilled to announce their recent acquisition of CountryWide Transportation, Inc., a prominent logistics and transportation company established in 1985. This strategic move marks a significant milestone in their careers, bringing decades of combined experience in law, finance, strategy, sales, partnerships, operations, and logistics. Their fresh perspective, commitment to exceptional service, and people-first approach set them apart as dynamic entrepreneurs.

In July 2023, Coal India Ltd, the Paradip Port Authority, and the Inland waterways authority of India, are looking to invest up to 120 billion rupees ($1.46 billion) to establish an industrial water transport corridor in the country's east, two government sources said.

In July 2023, Beyond Ride, the leading provider of non-emergency medical transportation services, is thrilled to announce its expansion to Spokane, WA. This expansion aims to address the transportation needs of the mobility-impaired community members in Spokane by offering instant booking for affordable rides starting at only $40.

Transport Types Covered:

• Air Transport
• General Transport
• Pipeline Transport
• Rail Transport
• Transit and Ground Passenger Transport
• Truck Transport
• Warehousing and Storage
• Water Transport

Purposes Covered:

• Commuter Travel
• Business Travel
• Cargo and Freight Travel
• Shipping and Delivery Travel
• Tourism and Leisure Travel

End Users Covered:

• Mining
• Construction
• E-commerce
• Consumer Goods
• Automotive
• Electronics
• Food and Beverage
• Healthcare
• Manufacturing
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2021, 2022, 2023, 2026 and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances