Connected Logistics Market by Offering, Transport Mode, Vertical

List of Tables

[191 Pages Report] The Connected Logistics Market size was estimated at USD 32.67 billion in 2023 and expected to reach USD 37.22 billion in 2024, at a CAGR 15.96% to reach USD 92.14 billion by 2030.

The connected logistics market incorporates cutting-edge technologies such as artificial intelligence (AI), the Internet of Things (IoT), and advanced logistics and supply chain operations analytics. This integration facilitates real-time monitoring, efficient management, and intelligent decision-making in logistics processes, thereby enhancing operational efficiency, transparency, and customer satisfaction. Connected logistics has applications across various sectors, including manufacturing, retail, food and beverages, pharmaceuticals, and automotive. It is utilized in fleet management, warehouse management, freight brokerage, and inventory control. The end-users of this market are third-party logistics providers, warehouse operators, and transportation firms striving to improve logistics operations and improve supply chain visibility. The market scope of connected logistics includes an extensive range of intelligent systems and solutions such as asset tracking, real-time traffic management, smart roads, and automated freight and cargo management systems. These technologies are widely adopted across global markets, with particular expansion noted in emerging economies due to increased industrial growth and a surge in e-commerce activities. Factors that influence the development of the connected logistics market include the need for real-time data analysis in supply chain operations, the proliferation of IoT devices, advancements in AI and machine learning, expansion of the logistic industry due to rapid E-commerce growth, and improving cross-border trade facilitations. Additionally, the rise in demand for quick delivery services and heightened visibility in logistics processes further propel market growth. However, the market faces limitations and challenges, such as high initial investment and implementation costs and data security and privacy concerns. On the other hand, the latest potential opportunities in connected logistics include growing potential for sustainable supply chain practices, application of predictive analytics for proactive logistics management, and integration of blockchain technology for advanced data security and transparency.

KEY MARKET STATISTICS
Base Year [2023]	USD 32.67 billion
Estimated Year [2024]	USD 37.22 billion
Forecast Year [2030]	USD 92.14 billion
CAGR (%)	15.96%

Offering: Rising usage of asset tracking & management software in connected logistics

In the connected logistics market, hardware comprises the physical components such as sensors, RFID tags, GPS, and telematics units required for an integrated logistic system. Gateways serve as a bridge between different communication technologies, allowing various devices, such as RFID tags and sensors, to communicate effectively with central management systems. These devices transmit collected data to a cloud-based system or local servers, enabling real-time insights and decision-making. Radio-frequency identification (RFID) tags play a pivotal role in connected logistics by providing unique identifiers for tracking assets throughout their lifecycle. Sensors are crucial in monitoring various conditions, including temperature, humidity, or impact, which can affect the integrity of goods in transit. Services in connected logistics refer to various support and maintenance functions, cybersecurity, system integration, and consultancy services, ensuring that the hardware and software components are effectively implemented and maintained. Consulting services are offered to help businesses understand the intricacies of connected logistics and align their operations with current technological best practices. Integration and deployment services focus on seamlessly implementing connected logistics solutions within existing business frameworks. Managed services in connected logistics encompass third-party management of a company's logistics operations, including network management, application support, and security enforcement to streamline processes and improve uptime. Continuous support and maintenance services are essential in ensuring the longevity and efficacy of connected logistics solutions. Software in connected logistics includes platforms for data analytics, inventory management, fleet management, and transportation management systems (TMS), providing actionable insights and facilitating decision-making, coordination, and operation of logistics tasks. Software for asset tracking and management grants companies the visibility to monitor their assets in real time, increasing the accuracy of inventory tracking and reducing the potential for theft or loss. Data management and analytics software allow companies to aggregate and analyze data from various sources within the logistics network. Fleet management software gives logistics providers control over vehicle fleets by enabling route optimization, maintenance scheduling, and driver performance tracking, leading to more efficient operations and reduced operating costs. This software is specialized in optimizing the shipment process. It supports the planning, execution, and optimization of the movement of goods with features such as carrier selection, freight auditing, and payment processing. Warehouse management systems are central to the connected logistics offering, providing tools to control and manage the warehousing operations from inventory management to order fulfillment and beyond, ensuring a more streamlined process. The software offers scalability and flexibility over hardware and services, with the potential for constant iteration and advancement based on user feedback and data. Services provide a recurring revenue stream for providers and offer customers continuous support, contrasting to the one-time sale of hardware. Services can also adapt to client needs more dynamically than hardware.

Transport Mode: Increasing preference for roadways in connected logistics

Air transport is often used for high-value, time-sensitive goods due to its speed and efficiency. It is a critical mode for emergency shipments and just-in-time supply chain strategies. Preference for air logistics is typically seen in industries requiring rapid, international delivery, such as pharmaceuticals, electronics, and perishables. Rail transport is an energy-efficient mode for long-distance transportation of heavy and bulk commodities. It is generally preferred for commodities, including coal, steel, and automobiles, for its reliability and large shipment capacity. Road transportation is the most widespread mode, offering flexibility, door-to-door service, and an essential link to other transport modes. This mode is favored for short to moderate distances and is essential for the first and last legs of the shipping journey, ideal for consumer goods, retail, and e-commerce. Seaborne trade handles the largest volume of global trade, transporting the bulk of raw materials, oil and gas, or agricultural produce. It is perfectly suited for heavy, non-perishable commodities transported in large quantities over long distances. Waterways are the most cost-efficient mode for large quantities but suffer from the slowest speed and can be susceptible to piracy and weather-related disruptions. Railways are less expensive than airways but have limitations in terms of flexibility and speed. They are more environmentally friendly and have a substantial capacity.

Vertical: Growing adoption of connected logistics across automotive sector for seamless integration between manufacturers, suppliers, and distributors

The aerospace & defense sector highly prioritizes security and real-time data. Connected logistics solutions in this field must support mission-critical operations with utmost reliability. The aerospace & defense sector relies heavily on logistics for the movement of equipment, spare parts, and personnel. The application of connected logistics in this vertical provides real-time tracking, predictive analytics for maintenance, and enhanced supply chain visibility to ensure timely and secure delivery of critical materials. As defense systems become more complex, connected logistics will play a pivotal role in efficient inventory management, cyber-physical systems security, and integrated support across global operations. In the automotive segment, connected logistics are leveraged for optimizing supply chain operations and just-in-time inventory management. In the automotive vertical, connected logistics facilitate seamless integration between manufacturers, suppliers, and distributors. Advanced tracking systems and sensors within this field help in monitoring component quality, managing inventory levels, and ensuring Just-In-Time (JIT) delivery to reduce overhead costs. For electronics & semiconductors, connected logistics are crucial in handling delicate components that demand precise conditions during transport. Real-time data analytics and IoT solutions assist in monitoring temperature, humidity, and handling procedures, which minimizes the risk of damage. Moreover, as product life cycles shorten and consumer demand changes rapidly, agility in supply chain adjustment becomes imperative, making the role of connected logistics ever more important. The energy sector encompasses a diverse array of resources, including oil & gas, renewables, and nuclear power. Connected logistics in this vertical ensures compliance with stringent regulations, facilitates the transport of hazardous materials, and support remote infrastructure maintenance. In healthcare, connected logistics support the controlled distribution of drugs, medical devices, and equipment. Real-time tracking and temperature-controlled environments are vital for the safe transportation of sensitive products. The emergence of personalized medicine and the need for rapid delivery of medical samples accentuate the importance of connected logistics services that offer reliable and efficient logistics solutions. Retail & e-commerce industries are perhaps the most influenced by connected logistics due to the rise in online shopping and customer expectations for fast delivery times. Connected logistics optimize inventory management, warehouse operations, and last-mile delivery through technologies such as drones and robots.

Regional Insights

The connected logistics market in North America is experiencing robust growth due to high levels of automation and a well-established IT infrastructure supporting the integration of connected logistics across the supply chain. The United States leads the market with significant investments in smart transportation and digital freight brokerage solutions. Canada shows a growing interest in sustainable and efficient logistics operations as Canadian consumers display a heightened awareness of environmental impacts, influencing purchasing behaviors to favor companies with a greener supply chain. In South America, the connected logistics market is progressing with growing awareness about the benefits of digital supply chain optimizations. Countries such as Brazil and Argentina are pioneering the adoption of connected logistics solutions, primarily to tackle the complexity of managing extensive logistic networks. In APAC, Countries such as China, Japan, South Korea, and India are at the forefront, with government programs helping the development of smart cities and intelligent transportation systems. China's connected logistics market is one of the largest due to its manufacturing powerhouse status. In Japan, technological innovation is highly prioritized, with the country holding several patents in robotics and automated systems for logistics. India's connected logistics sector is burgeoning, with significant growth potential due to its large consumer base, increasing internet penetration improvements in infrastructure, and the rise of e-commerce, which are catalysts for advanced logistics systems. Europe's connected logistics market demonstrates significant growth with stringent regulations for reducing carbon emissions and promoting energy efficiency in logistics operations. The European Union's encouragement of digitalization across industries, including logistics, is a major growth driver. Countries such as Germany and the Netherlands, with their strong automotive and manufacturing sectors, have become prominent adopters of connected logistics. In the Middle East, the focus on building state-of-the-art logistics hubs, smart ports, and free zones has been instrumental in the growth of connected logistics. Africa's connected logistics market is in the nascent stages but is anticipated to grow with the continent's increasing mobile connectivity and internet penetration. With significant infrastructure developments and the expansion of the retail sector, the demand for sophisticated logistics solutions is rising.

FPNV Positioning Matrix

The FPNV Positioning Matrix is pivotal in evaluating the Connected Logistics Market. It offers a comprehensive assessment of vendors, examining key metrics related to Business Strategy and Product Satisfaction. This in-depth analysis empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success: Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The Market Share Analysis is a comprehensive tool that provides an insightful and in-depth examination of the current state of vendors in the Connected Logistics Market. By meticulously comparing and analyzing vendor contributions in terms of overall revenue, customer base, and other key metrics, we can offer companies a greater understanding of their performance and the challenges they face when competing for market share. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With this expanded level of detail, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Key Company Profiles

The report delves into recent significant developments in the Connected Logistics Market, highlighting leading vendors and their innovative profiles. These include AT&T Inc., Cisco System Inc., Cisco Systems, Inc., Freightgate Inc., HCL Technology Limited, Honeywell International Inc., IBM Corporation, Infosys Limited, Intel Corporation, NEC Technologies, Nippon Express Co., Ltd., One Network Enterprises, Inc., Oracle Corporation, ORBOCMM Inc., Robert Bosch GmbH, SAP SE, Senko Co., Ltd., Siemens AG, SIFFOX, The EuroTech Group PLC, XPO, Inc., YUSEN LOGISTICS CO., LTD., and Zebra Technology Corp..

Market Segmentation & Coverage

This research report categorizes the Connected Logistics Market to forecast the revenues and analyze trends in each of the following sub-markets:

Offering
- Hardware
  - Gateways
  - RFID Tags
  - Sensors

Services
- Consulting
- Integration & Deployment
- Managed Services
- Support & Maintenance

Software
- Asset Tracking & Management
- Data Management & Analytics
- Fleet Management
- Freight Transportation Management
- Warehouse Management

Transport Mode
- Airways
- Railways
- Roadways
- Waterways

Vertical
- Aerospace & Defense
- Automotive
- Electronics & Semiconductors
- Energy
- Healthcare
- Retail & E-commerce

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Illinois
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

The report offers valuable insights on the following aspects:

1. Market Penetration: It presents comprehensive information on the market provided by key players.

2. Market Development: It delves deep into lucrative emerging markets and analyzes the penetration across mature market segments.

3. Market Diversification: It provides detailed information on new product launches, untapped geographic regions, recent developments, and investments.

4. Competitive Assessment & Intelligence: It conducts an exhaustive assessment of market shares, strategies, products, certifications, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players.

5. Product Development & Innovation: It offers intelligent insights on future technologies, R&D activities, and breakthrough product developments.

The report addresses key questions such as:

1. What is the market size and forecast of the Connected Logistics Market?

2. Which products, segments, applications, and areas should one consider investing in over the forecast period in the Connected Logistics Market?

3. What are the technology trends and regulatory frameworks in the Connected Logistics Market?

4. What is the market share of the leading vendors in the Connected Logistics Market?

5. Which modes and strategic moves are suitable for entering the Connected Logistics Market?

Product Code: MRR-69324464D3F9

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Expansion of the logistic industry due to rapid E-commerce growth
  - 5.1.1.2. Proliferation of IoT devices, advancements in AI and machine learning
  - 5.1.1.3. Improving cross-border trade facilitations
- 5.1.2. Restraints
  - 5.1.2.1. High initial investment and implementation costs
- 5.1.3. Opportunities
  - 5.1.3.1. Growing potential for sustainable supply chain practices
  - 5.1.3.2. Integration of blockchain technology for advanced data security and transparency
- 5.1.4. Challenges
  - 5.1.4.1. Concerns associated with data security and privacy
5.2. Market Segmentation Analysis
- 5.2.1. Offering: Rising usage of asset tracking & management software in connected logistics
- 5.2.2. Transport Mode: Increasing preference for roadways in connected logistics
- 5.2.3. Vertical: Growing adoption of connected logistics across automotive sector for seamless integration between manufacturers, suppliers, and distributors
5.3. Market Disruption Analysis
5.4. Porter's Five Forces Analysis
- 5.4.1. Threat of New Entrants
- 5.4.2. Threat of Substitutes
- 5.4.3. Bargaining Power of Customers
- 5.4.4. Bargaining Power of Suppliers
- 5.4.5. Industry Rivalry
5.5. Value Chain & Critical Path Analysis
5.6. Pricing Analysis
5.7. Technology Analysis
5.8. Patent Analysis
5.9. Trade Analysis
5.10. Regulatory Framework Analysis

6. Connected Logistics Market, by Offering

6.1. Introduction
6.2. Hardware
6.3. Services
6.4. Software

7. Connected Logistics Market, by Transport Mode

7.1. Introduction
7.2. Airways
7.3. Railways
7.4. Roadways
7.5. Waterways

8. Connected Logistics Market, by Vertical

8.1. Introduction
8.2. Aerospace & Defense
8.3. Automotive
8.4. Electronics & Semiconductors
8.5. Energy
8.6. Healthcare
8.7. Retail & E-commerce

9. Americas Connected Logistics Market

9.1. Introduction
9.2. Argentina
9.3. Brazil
9.4. Canada
9.5. Mexico
9.6. United States

10. Asia-Pacific Connected Logistics Market

10.1. Introduction
10.2. Australia
10.3. China
10.4. India
10.5. Indonesia
10.6. Japan
10.7. Malaysia
10.8. Philippines
10.9. Singapore
10.10. South Korea
10.11. Taiwan
10.12. Thailand
10.13. Vietnam

11. Europe, Middle East & Africa Connected Logistics Market

11.1. Introduction
11.2. Denmark
11.3. Egypt
11.4. Finland
11.5. France
11.6. Germany
11.7. Israel
11.8. Italy
11.9. Netherlands
11.10. Nigeria
11.11. Norway
11.12. Poland
11.13. Qatar
11.14. Russia
11.15. Saudi Arabia
11.16. South Africa
11.17. Spain
11.18. Sweden
11.19. Switzerland
11.20. Turkey
11.21. United Arab Emirates
11.22. United Kingdom

12. Competitive Landscape

12.1. Market Share Analysis, 2023
12.2. FPNV Positioning Matrix, 2023
12.3. Competitive Scenario Analysis
- 12.3.1. Maersk and Nissan forge long-term partnership, unveiling grand opening of Wuhan Warehousing and Distribution facility
- 12.3.2. Overhaul Announces Shipment Connect App to Optimize Logistics Operations
- 12.3.3. Tata Motors to acquire 27% stake in logistics startup Freight Tiger for INR 150 crore
12.4. Strategy Analysis & Recommendation

13. Competitive Portfolio

13.1. Key Company Profiles
13.2. Key Product Portfolio