North America Contract Logistics Market to 2025 - Regional Analysis and Forecasts by Type; Services; and End-user

The North America Contract Logistics market accounted for US$ 50,984.7 Mn in 2017 and is expected to grow at a CAGR of 3.9% over the forecast period 2018-2025, to account for US$ 68,729.1 Mn in 2025. Factors including instantaneous growth of manufacturing industry and profits in handling seasonal variations of products driving the North America Contract Logistics market. The manufacturing industry is presently found to be in the middle of a technological renaissance, which is changing the outlook, systems, and processes of the modern factory. The 21st century is characterized by cut-throat competition in all the industry sectors. The manufacturers of various products face stiff competition with their competitors on account of costs, quality, service, and time-to-market. Also, manufacturers have faced significant challenges concerning maintaining a perfect balance between the demand and supply of the product in the diverse geographies are expected to drive the North America market for Contract Logistics. The market players are focusing on various initiatives to enhance its reach to rural areas and boost its position in the North America Contract Logistics market.

The North America Contract Logistics market is fragmented with the presence of several industries and the competitive dynamics in the market is expected to change during the upcoming years. In addition to this, various initiatives are undertaken by the governmental bodies to accelerate the North America Contract Logistics market further. For instance, the change in government leads to a change in regulatory policies. Several policies in this region are conducive to the growth of the business, which is one of the causes of the significant growth of e-commerce. However, the decision for setting a regulatory framework may affect the configuration of transport and logistics networks. These initiatives are implemented to enhance the technologies that positively impact on the North America Contract Logistics market. These initiative provide various benefits to the Contract Logistics based companies located in the region thus, increasing the growth of North America Contract Logistics markets. This is further expected to provide the North America Contract Logistics market players to cope up with the rapidly transforming automotive industry. This initiative offers multiple benefits to the companies present in this region and thus increasing the growth of North America Contract Logistics market.

Based on type, the insourcing segment is leading the North America Contract Logistics market and are anticipated to grow at the highest CAGR. Many companies that run small and medium scale businesses do not have the scale required or the complexity in their shipping operations for contracting logistics service providers. Moreover, maintaining an utterly in-house shipping operation provides the companies with complete control over the shipping operations. These operations include negotiating carrier rates, planning and optimizing loads, and executing the distribution plans. The insourcing logistics type mandates the need for an appropriate set of transportation system capabilities as well as the human capital to manage these tasks. Currently, the market players are looking ahead to support North America Contract Logistics industry by innovating advanced technological components.

The overall North America Contract Logistics market size has been derived using both primary and secondary source. The research process begins with exhaustive secondary research using internal and external sources to obtain qualitative and quantitative information related to the North America Contract Logistics market. It also provides an overview and forecast for the Contract Logistics market based on all the segmentation provided concerning the North America region. Also, primary interviews were conducted with industry participants and commentators to validate data and analysis. The participants who typically take part in such a process include industry expert such as VPs, business development managers, market intelligence managers, and national sales managers, and external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the Contract Logistics industry. Some of the players present in Contract Logistics market are Deutsche Post AG, XPO Logistics Inc., Kuehne + Nagel International AG, CEVA Logistics AG, DB Schenker, Hitachi Transport System Ltd, Geodis, Neovia Logistics Services, UPS Supply Chain Solutions, and Ryder System among others.