Improved efficiency in the movement of freight is a critical aspect of any country’s economy. The demand for goods and services is increasing, with the increase in population and globalization. This increased demand has paved the way for the current trade market, in which, freight transportation is a critical aspect. Therefore, many shipping companies, to overcome various environmental concerns and security aspects of their operations, are opting for freight transport management solutions. Moreover, on-time delivery is a critical factor to be considered for the success of any logistics industry. This consideration leads to the demand for innovation in the management and transportation of freight, which can be achieved by the adoption of efficient freight transport management solutions.
Inclination of Growth toward Information Technology to Drive the Market
The gradually reducing rates of new technology, combined with an improved awareness among freight operators about the technology’s possible benefits, are expected to boost the freight transportation system to upsurge its use of information technology. The market has already executed cutting-edge technologies, to augment customer service and decrease expenses. These days, freight transport management systems are affecting operational integration, both within and between the organizations. Information technology is making non-integrated transport providers more competitive with integrated ones. Moreover, proper sharing and integration of data will substitute for full-scale control.
This change is expected to upsurge the burden of responsibility on the carriers. Furthermore, information sharing by consignees and shippers will decrease the inventory, if the providers of freight transport management systems are integrated into the information stream.
Cloud Deployment to Witness the Highest Growth
Cloud-based deployment model enables the collection of large volumes of server-storage resources into an integrated solution, while providing backup of the user’s database on the different servers, to guarantee reliability of the data. Cloud models enhance the quality of transportation-related services, with proper maintenance and decision making. The integration of Internet of Things devices has witnessed steady growth in this market, leading to enhanced data collection and communication with back-end systems. Moreover, the cost effectiveness of cloud-based models is further expected to drive the demand for this mode.
North America to Account for the Highest Market Share
With globalization, owing to the growing digitalization and increasing adoption of Internet of Things (IoT) by various industries, the North American freight transport management solution market picked up momentum, especially in the United States.
According to the government figures, in the United States, the transportation system moves more than 54 million metric tons of goods daily, with an estimated value of nearly USD 48 billion. Freight tonnage is expected to increase by 45% by 2040, requiring additional highways, railroads, ports, and pipelines and improvements to multi-modal connections that move freight efficiently. Information communication technology has now become the backbone of every business, confirming business continuity and competition, and it is stimulating enterprises in the United States to invest into various vehicular management solutions, to curb down losses and increase its profit, thereby surging the demand for the regional freight transport management market.
Key Developments in the Market
- October 2017 - Kuebix announced a free multi-modal transportation management system (TMS), which is expected to provide solutions, such as unlimited rating, booking, and tracking of less than load (LTL), Truck Load (TL), and parcel freight. Through this move, Kuebix is expected to stimulate the adoption of the transport management system for a company of any size, by offering a free system to engage directly with their carriers.
- August 2017 - WiseTech Global Limited announced the acquisition of CMS Transport Systems Pty Ltd, a provider of road transport and logistics management systems across Australia and New Zealand.
- May 2017 - Supply Vision, a TMS software provider, announced the launch of Supply Vision 3.0, the newest iteration cloud-based TMS software. This next-generation TMS technology is the first product introduction since Supply Vision, and Phoenix-based Trans-Soft formed a strategic partnership earlier this year.
Reasons to Purchase this Report
- Understanding how the growing demand for on-time delivery affects the market scenario.
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- The solution type and end-user that are expected to dominate the market.
- The regions that are expected to witness the fastest growth during the forecast period.
- Identify the latest developments, market shares, and strategies employed by the major market players.
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1.1 Key Deliverables of the Study
1.2 Study Assumptions
1.3 Market Definition
1.4 Key Findings of the Study
2. Research Approach and Methodology
3. Executive Summary
4. Market Dynamics
4.1 Market Overview
4.2 Factors Driving the Market
4.2.1 Growing Demand for On-time Delivery
4.2.2 Rising Freight Transportation due to Increasing International Trade
4.2.3 Inclination of Growth toward Information Technology
4.3 Factors Restraining the Market
4.3.1 Risk and Congestion Associated with Trade Routes
4.3.2 High Capital Investment
4.4 Market Opportunities
4.4.1 Technological Advancements in IT
4.4.2 Rising Demand for Goods and Services Worldwide
4.5 Industry Value Chain Analysis
4.6 Industry Attractiveness - Porter's Five Forces Analysis
4.6.1 Bargaining Power of Suppliers
4.6.2 Bargaining Power of Consumers
4.6.3 Threat of New Entrants
4.6.4 Threat of Substitute Products or Services
4.6.5 Competitive Rivalry among Existing Competitors
5. Global Freight Transportation Management Market Segmentation
5.1 By Solution
5.1.1 Freight Transportation Cost Management
5.1.2 Freight Security and Monitoring System
5.1.3 Freight Mobility Solution
5.1.4 Warehouse Management System
5.1.5 Freight 3PL Solutions
5.1.6 Other Solutions
5.2 By Deployment
5.3 By Mode of Transport
5.3.1 Rail Freight
5.3.2 Road Freight
5.3.3 Waterborne Freight
5.3.4 Air Freight
5.4 By End User
5.4.1 Aerospace & Defense
5.4.3 Oil & Gas
5.4.4 Consumer & Retail
5.4.5 Energy & Power
5.4.6 Other End Users
5.5 By Geography
5.5.1 North America
5.5.4 Latin America
5.5.5 Middle East & Africa
6. Competitive Intelligence - Company Profiles
6.1 JDA Software
6.2 Manhattan Associates
6.3 CTSI - Global
6.4 Accenture PLC
6.5 Descartes Systems Group
6.6 DSV A/S
6.7 High Jump Software
6.8 CEVA Logistics
6.9 DB Schenker
6.10 Geodis SA (SNCF Logistics)
7. Investment Analysis
8. Outlook of the Freight Transportation Management Market