PUBLISHER: The Business Research Company | PRODUCT CODE: 1425884
PUBLISHER: The Business Research Company | PRODUCT CODE: 1425884
Transportation Management System Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on transportation management system market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for transportation management system? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The transportation management system market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The transportation management system (TMS) serves as a logistics platform utilizing technology to aid businesses in planning, executing, and optimizing the movement of goods, ensuring compliance and handling necessary paperwork. It plays a vital role in managing both inbound and outbound logistics operations.
The primary components of a transportation management system encompass solutions and services. These solutions provide visibility into various transportation operations, facilitating trade compliance, documentation, and ensuring the timely delivery of goods. Within the TMS, several solution types are available, including planning & execution, order management, audit, payment, claims, reporting & analytics, and routing & tracking, offered through on-premises or cloud-based deployment. Transportation management systems cater to diverse transportation modes such as roadways, railways, airways, and maritime. They find application across various industries, including retail, healthcare & pharmaceuticals, manufacturing, energy & utilities, the government sector, and others.
The transportation management system market research report is one of a series of new reports from The Business Research Company that provides transportation management system market statistics, including transportation management system industry global market size, regional shares, competitors with a transportation management system market share, detailed transportation management system market segments, market trends and opportunities, and any further data you may need to thrive in the transportation management system industry. This transportation management system market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The transportation management system market size has grown rapidly in recent years. It will grow from $11.37 billion in 2023 to $13.39 billion in 2024 at a compound annual growth rate (CAGR) of 17.7%. The growth observed in the historical period can be attributed to various factors such as the growing complexity in logistics operations, the need for regulatory compliance, escalating fuel costs, increasing demand for cost-efficient solutions, customer expectations for swift deliveries, and the integration of transportation management systems with other operational systems. These factors collectively contributed to the development and adoption of transportation management solutions during that period.
The transportation management system market size is expected to see rapid growth in the next few years. It will grow to $24.31 billion in 2028 at a compound annual growth rate (CAGR) of 16.1%. The anticipated growth in the upcoming period can be ascribed to several factors, including the emergence and integration of autonomous vehicles, a heightened emphasis on sustainable practices, the rising complexity of last-mile delivery operations, the growing significance of data analytics in transportation management, the expansion of cross-border trade, and a focus on scalability within logistics operations. Major trends expected during this forecast period encompass the adoption of cloud-based transportation management systems (TMS), real-time visibility and tracking solutions, collaborative platforms and ecosystems, mobile applications for TMS, leveraging automated and autonomous vehicles within TMS, and the global expansion and integration of multi-modal transport solutions. Additionally, subscription-based models for TMS are anticipated to gain prominence in the upcoming period.
The anticipated growth of the transportation management system market is driven by the increasing adoption of cloud and IoT applications. Cloud and IoT applications play a crucial role in transportation management systems by providing APIs and interfaces for efficient data communication between IoT sensor devices and downstream applications. The Internet of Things (IoT) facilitates integrated and streamlined transportation and warehouse management solutions in the transport, logistics, and fleet management sectors. Through the connection of in-vehicle sensors and other cohesive digital devices via networks, IoT enables enhanced data exchange and decision-making. As highlighted in a 2022 report by Finoit Inc., a US-based IT services firm, transportation and logistics organizations implementing RFID technology are experiencing notable benefits, including nearly 100% shipping and receiving accuracy, 99.5% inventory accuracy, 30% faster order processing, and a 30% reduction in labor costs. This underlines the transformative impact of cloud and IoT applications on the transportation management system market.
The growth of the e-commerce industry is expected to further propel the transportation management system market. E-commerce, involving the electronic exchange of goods and services, relies heavily on efficient logistics and timely deliveries. Transportation management systems in the e-commerce sector optimize logistics operations, ensuring cost-efficiency and improved visibility - essential factors in meeting customer expectations. According to data from the International Trade Administration in September 2022, consumer e-commerce constituted 30% of the UK's overall retail sector, with an annual revenue exceeding $120 billion. Additionally, a report from the United Nations Conference on Trade and Development in May 2021 highlighted the increasing share of online retail sales, rising from 16% to 19% of total retail sales in 2020. The expansion of the e-commerce industry, marked by substantial growth and revenue, is a significant driver for the transportation management system market.
In the transportation management system market, technological advancement and automation are prominent trends shaping the industry landscape. Major players in the market are actively developing innovative technologies to enhance various aspects, including planning and execution, rating, and integration. An example is the launch of an innovative Transportation Management System (TMS) by ACERTUS, a US-based logistics company, in November 2023. This TMS is designed to provide unparalleled visibility into vehicle shipments, connecting shippers with North America's largest multimodal transport network. The TMS features instant quotes, single and multi-VIN ordering, standard and expedited shipping rates, and API connectivity for seamless integration with existing operating systems. This emphasis on technological innovation underscores the industry's commitment to advancing transportation management systems through automation and advanced technologies.
Prominent companies in the transportation management system market are intensifying their efforts to introduce innovative platforms, exemplified by the WrxFlo Modular Platform, to secure a competitive advantage. The WrxFlo Modular Platform stands out as a dynamic and adaptable solution crafted to streamline workflows and enhance operational efficiency. Its hallmark is a customizable and modular approach to workflow management. A notable instance is the launch of the WrxFlo Modular Platform by WrxFlo, an Ireland-based company, in September 2023. This cutting-edge product is specifically designed for modular-build manufacturing, offering a digital solution to streamline the manufacturing process. The platform provides a modular foundation for building and assembling products, enabling manufacturers to reduce costs, enhance efficiency, and elevate quality standards. As part of WrxFlo's comprehensive digital manufacturing solutions, the WrxFlo Modular Platform complements the WrxFlo Transport Management System. This software facilitates the management of logistics for the movement of physical goods by land, air, or sea.
In a strategic move from November 2021, Transportation Insight Holding Company (TI Holdco), a US-based non-asset, tech-enabled logistics, and freight brokerage solutions provider, acquired SwanLeap Inc. for an undisclosed amount. This acquisition positions TI Holdco to integrate SwanLeap's cloud-based transportation management system seamlessly into its suite of products and services. The objective is to deliver execution and visibility across all transportation modes, spanning the first mile to the last mile, through a unified and fully connected platform. SwanLeap Inc., a US-based transportation management software company, brings valuable capabilities to enhance TI Holdco's offerings and further consolidate its position in the transportation management system market. This strategic acquisition underscores the industry's commitment to staying at the forefront of innovation and meeting evolving market demands.
Major companies operating in the transportation management system market report are Oracle Corporation, SAP SE, C.H. Robinson Worldwide Inc., Oracle Corporation, SAP SE, Trimble Transportation Enterprise Solutions, 3Gtms Inc., Alpega Group, Blue Yonder Group Inc., BluJay Solutions Ltd., CargoSmart Limited, Descartes Systems Group Inc., E2open LLC, FourKites Inc., Generix Group, GlobalTranz Enterprises Inc., InMotion Global Inc., JDA Software Group Inc., Kuebix LLC, LeanLogistics Inc., Loadsmart Inc., Logistically Inc., Manhattan Associates Inc., MercuryGate International Inc., MP Objects B.V., Omnitracs LLC, One Network Enterprises Inc., project44 Inc., Revenova Limited, ShipBob Inc., ShipCaddie, ShipEdge LLC
North America was the largest region in the transportation management system market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the transportation management system market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the transportation management system market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The transportation management system market consists of revenues earned by entities by traffic & route management, order management, audit rating, billing, payment & claims management, and fleet monitoring & tracking. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.