“Global Digital Logistics Market to reach a market value of 92.3 Billion by 2031 growing at a CAGR of 17.2%”
The Global Digital Logistics Market size is expected to reach $92.3 billion by 2031, rising at a market growth of 17.2% CAGR during the forecast period.
Europe’s supply chains are often complex, involving multiple countries and diverse logistics networks. These logistics solutions help manage this complexity by providing real-time visibility, enhancing coordination, and optimizing cross-border operations. Consequently, the European region would acquire nearly 30% of the total market share by 2031.
The major strategies followed by the market participants are Partnerships as the key developmental strategy to keep pace with the changing demands of end users. For instance, in July, 2024, Blue Yonder Group, Inc. announced the partnership with Avon, a logistics technology firm to integrate AI into its supply chain, enhancing agility and sustainability. We're excited to support Avon's digital transformation, reflecting our shared values of inclusion, women empowerment, and equity. This partnership ensures Avon stays adaptable and competitive in a dynamic market. Moreover, in January, 2024, Softlink Global teamed up with Coimbatore Marine College, a maritime education and training company to integrate advanced industry tools and practices into their logistics education. This collaboration marks a major shift, emphasizing the need for academic programs to align with the evolving demands of the logistics sector.
Based on the Analysis presented in the KBV Cardinal matrix; Oracle Corporation, IBM Corporation, and Siemens AG are the forerunners in the Market. In February, 2023, Oracle Corporation teamed up with Uber Technologies to boost Uber's innovation, market products, and profitability. The collaboration will leverage Oracle's advanced cloud technology and security to enhance Uber's global logistics and retail operations. Oracle will also become a key Uber for Business client. Companies such as Blue Yonder Group, Inc. SAP SE Honeywell International, Inc. are some of the key innovators in Market.
Modern digital solutions provide detailed tracking information, allowing customers to see exactly where their goods are at any moment. In addition, by having access to real-time data, organizations can quickly detect and respond to disruptions or issues, such as delays, damage, or theft. Thus, increased demand for transparency and visibility drives the market's growth.
Managing intricate supply chains across borders presents a challenge for businesses operating in multiple countries and regions. The logistics solutions help organizations navigate these complex regulatory environments by providing tools for documentation, reporting, and adherence to local laws and regulations. In conclusion, rising globalization and supply chain complexity propel the market's growth.
Implementing these logistics systems requires significant upfront capital for software, hardware, and infrastructure. Implementing these logistics systems requires significant upfront capital for software, hardware, and infrastructure. In conclusion, high implementation costs are hampering the market's growth.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Partnerships & Collaborations.
Based on deployment mode, the market is divided into on-premises and cloud. The on-premises segment attained 36% revenue share in the market in 2023. Some logistics companies prioritize having direct control over their data, especially when handling sensitive information like customer details, trade secrets, or proprietary logistics strategies.
On the basis of solutions, the market is segmented into tracking & monitoring, data & analytics, fleet management systems, electronic data interchange (EDI) systems, and others. In 2023, the data & analytics segment attained 26% revenue share in the market. Data and analytics empower logistics companies to make informed decisions by providing insights into various aspects of their operations.
By application, the market is divided into transport, warehouse, and labor management. The warehouse management segment procured 32% revenue share in the market in 2023. Warehouse management systems (WMS) often integrate with other logistics tools such as transport management systems (TMS), order management systems (OMS), and enterprise resource planning (ERP) systems.
Based on end user, the market is divided into manufacturing, retail & consumer goods, healthcare, energy & utilities, automotive, and others. In 2023, the retail & consumer goods segment procured 21% revenue share in the market. The rapid expansion of e-commerce has transformed the retail landscape, increasing demand for efficient, fast, and reliable logistics solutions.
Free Valuable Insights: Global Digital Logistics Market size to reach USD 92.3 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America region witnessed 36% revenue share in the market in 2023. North America has well-developed infrastructure, including extensive transportation networks (roads, railways, ports, and airports) and advanced warehousing facilities.
The market is fiercely competitive, with numerous players vying for dominance through technology advancements like AI, IoT, and blockchain. Major logistics companies and tech startups alike are racing to offer innovative solutions for efficiency and transparency, driving rapid growth and constant evolution in the sector.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 26.4 Billion |
| Market size forecast in 2031 | USD 92.3 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 17.2% from 2024 to 2031 |
| Number of Pages | 329 |
| Tables | 493 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Deployment Mode, Solutions, Application, End User, Region |
| Country scope |
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| Companies Included | Cognizant Technology Solutions Corporation, Softlink Global (Constellation Software, Inc.), Blue Yonder Group, Inc. (Panasonic Holdings Corporation), SAP SE, Advantech Co., Ltd., Oracle Corporation, IBM Corporation, Siemens AG, Bristlecone (Mahindra Group) and Honeywell International, Inc. |
By Deployment Mode
By Solutions
By Application
By End User
By Geography
This Market size is expected to reach $92.3 billion by 2031.
Increased demand for transparency and visibility are driving the Market in coming years, however, HHigh implementation costs of digital logistics solutions restraints the growth of the Market.
Cognizant Technology Solutions Corporation, Softlink Global (Constellation Software, Inc.), Blue Yonder Group, Inc. (Panasonic Holdings Corporation), SAP SE, Advantech Co., Ltd., Oracle Corporation, IBM Corporation, Siemens AG, Bristlecone (Mahindra Group) and Honeywell International, Inc.
The expected CAGR of this Market is 17.2% from 2024 to 2031.
The Cloud segment generated the highest revenue in the Market by Deployment Mode in 2023; thereby, achieving a market value of $61 billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $32.3 billion by 2031.
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