Global Connected Logistics Market: Snapshot
Key players in the global connected logistics market are adopting numerous growth strategies to steal a march over their competitors. Besides product development, key players in the global connected logistics market are resorting to mergers and acquisitions to gain competitive advantage.
Majorly fuelling growth in the global connected logistics market is the breakthrough development in the transportation of sensitive products such as pharmaceuticals. For example, severe temperature fluctuations at the time of transport of pharmaceuticals sends alert to the manufacturer to take action before the products get damaged.
The rising prominence of internet of things in the logistics industry, along with multiple applications of connected logistics in e-commerce, the global connected logistics market is receiving a boost.
A report by Transparency Market Research predicts the global connected logistics market to rise at a robust 17.8% CAGR over the forecast period between 2017 and 2025. At this pace, the market will become worth US$55.17 bn by the end of 2025 from US$10.21 bn in 2016.
Asset Management to hold Dominant Market Share
The global connected logistics market by service has been segmented into asset management, remote asset tracking, security, network management, and data management. Amongst all, asset management is likely to account for the leading share in the connected logistics market. At present, globalization and the need for advanced transportation and logistics infrastructure is fuelling the demand for automated logistic systems. This is where the virtues of asset management software come into play in terms of assisting freight and infrastructure managers to address a number of service and performance issues.
In terms of end-use, the key segments into which the global connected logistics market has been divided are freight management, food and beverage supply chain, healthcare, retail. Warehouse management, and others.
Asia Pacific to Clock Robust Growth in Near Future
The global connected logistics market, by geography has been segmented into North America, Asia Pacific, Latin America, the Middle East and Africa, and Europe. North America presently holds supremacy in the global connected logistics market vis-à-vis revenue. This is mainly due to the demand for integrity control from businesses that deal in delicate products.
Europe is positioned second in terms of revenue share in the global connected logistics market. The growth of this market is mainly driven by the rising adoption of connected logistics in the healthcare sector. In general, the healthcare and pharmaceuticals industry face a number of challenges in the supply chain. The transportation of several pharmaceutical products need to meet temperature and pressure specifications from preventing damage to these commodities. The damage to any particular unit could result in huge loss for the product manufacturer. In healthcare and pharmaceuticals, distribution of perishable products, which could be of high value, from one facility to another also needs reliable facility to prevent damage.
Vis-à-vis growth rate Asia Pacific is expected to surpass other key regions over the forecast period. The region is expected to expand at an impressive CAGR of 18.1% between 2017 and 2025. The burgeoning e-commerce sector that needs real-time tracking of products is majorly driving the connected logistics market in Asia Pacific.
Some of the leading players operating in the global connected logistics market include International Business Machines Corporation, Google Inc., Amazon Web Services Inc., SAP SE, Infosys Limited, Microsoft Corporation, Dynatrace LLC, NETSUITE Inc., Feightgat Inc., and Oracle Corporation.
Global Connected Logistics Market: Overview
Traditionally computers have been used to monitor and track logistics in transit. Connected logistics add an all new dimension to the management of logistics sector. Connected logistics can provide valuable information related to operations in connection to logistics. Connected logistics involves multiple sensors on the vehicles, in which the products are transported, that pass on information to internal and external data feed which would provide information and analysis of the road conditions, in terms of the physical condition of the roads, traffic at various parts of the day. Further the connected logistics provide information regarding the weather, shipping lane traffic, and much more. Connected logistics could emerge as a major breakthrough in transportation of sensitive products like pharmaceutical items. There are many applications in management of such sensitive items. For instance, in the event of a stiff temperature fluctuation at the time of transit, the manufacturer would be alerted automatically and will be in a position to intervene before the products gets affected. The application of connected logistics would also enable better management of the goods, optimize management of the entire process involved in managing the logistics, and further help reduce time of delivery, and reduce damage to goods during transit. Connected logistics provide real time access to data. This enables retailers and manufacturers with information about the movement of the ships, trucks, planes, and trains and helps logistics departments of the business to plan more effectively and bring more efficiency into the process. Further, real time access to data enables handling complex logistics operations more effectively with the help of tools that are designed to accumulate and decode data. Logistics operations could be managed in a more precise and streamlined manner. In addition, it also leads to greater customer satisfaction in the logistics sector, thus creating demand for connected logistics.
Global Connected Logistics Market: Market Segmentation
The connected logistics market by service has been bifurcated into asset management, remote asset tracking, security, network management, data management. Further, the connected logistics market by end use industry has been bifurcated into freight management, food and beverage supply chain, healthcare, retail, warehouse management and others. The global connected logistics market by geography has been bifurcated into North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Connected Logistics Market: Scope of Study
The market report deals in the forecast of the connected logistics market in terms of revenue (USD billion) as well as the CAGR for the forecast period 2016 to 2027. The competitive profiling of the key players in the global connected logistics market has been comprehensively covered under the scope of the report. The key players in the connected logistics Market have been competitively profiled across the five broad geographic regions. This competitive landscape is inclusive of the various business strategies adopted by these major players and their recent developments in the field of connected logistics market. In order to provide a detailed insight into the market dynamics of global connected logistics Market, the drivers and restraints affecting the industry are included in the study. Market dynamics include market opportunity, drivers and restraints and an extensive analysis of these factors are included in the report. Furthermore, market attractiveness breakdown has also been provided in the report. Therefore, the report provides a comprehensive study of the global Connected logistics market and also offers the forecast of the market for the period from 2017-2025.
Global Connected Logistics Market: Competitive Landscape
Some of the key players participating in the connected logistics market include Google Inc. (U.S.), International Business Machines Corporation (IBM) (New York City, U.S.), Amazon Web Services Inc. (Seattle, U.S.), Microsoft Corporation (Washington, U.S.), Infosys Limited (Bangalore, India), SAP SE (Walldorf, Germany), Dynatrace LLC (Waltham, U.S.), NETSUITE Inc. (San Mateo, U.S.), Oracle Corporation (California, U.S.), Freightgate Inc. (California, U.S.).
The market has been bifurcated as follows:
Connected Logistics Market, by Service
- Asset Management
- Remote Asset Tracking
- Network Management
- Data Management
Connected Logistics Market, by End Use Industry
- Freight Management
- Food and Beverage Supply Chain
- Warehouse Management
Connected Logistics Market, by Geography:
- North America
- The U.S.
- Rest of North America
- The U.K.
- Rest of Europe
- Asia Pacific
- China(Including Taiwan)
- South Korea
- Rest of Asia Pacific
- Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of MEA
- Latin America
- Rest of America