This study intends to analyse diverse aspects of the global logistics management services market. The insights offered in this report are expected to aid in market growth examination over the forecast timeline.
Market Analysis in Brief
The continual augmentation of global supply chains is a major aspect that has led to further developments in the global logistics management services market. A host of elements such as improving trade relations between various entities on both domestic and international fronts, as well as the adoption of effective warehouse management protocols including warehouse automation and warehouse robotics solutions which allow for the shipping of higher volumes of goods across borders, have all led to a greater emphasis being placed on the development and implementation of innovative logistics management solutions.
Asia Pacific is expected to retain its dominant position in this industry in the coming years on account of this region being a manufacturing hub with a large consumer pool. Markets in Europe, and North America are also expected to make an impressionable impact on the growth trajectory of the global logistics management services industry in the coming years.
Key Report Findings
Prominence of e-Commerce, and the Globalization of Supply Chains
Particularly over the last 15 years, the e-Commerce sector has grown immensely with each passing quarter. This can be attributed to a host of elements such as the greater convenience that this industry offers, the extra value-added discounts that come with its products & services, as well as the time-saving quotient associated with the e-Commerce sector.
Logistics management services are crucial for the e-Commerce sector to function efficiently. With a surge in the number of goods being bought and shipped directly to consumers, last-mile delivery solutions are also a crucial aspect of this market. Initial studies carried out by Fairfield Market Research indicate that the logistics management services market is expected to grow at an exponential rate over the forecast timeline. Moreover, there continues to be a globalization of supply chains. Heathier trade relations between various international bodies are expected to foster growth prospects accordingly.
With a growing number of goods being traversed across borders, there is expected to be a higher demand for more complex logistics management service solutions. This is inclusive of trade compliance and customs brokerage services, among other specialized logistics services. Factors such as these are expected to have a profound influence on the growth trajectory of the global logistics management services market in the years ahead.
Technological Advancements, and the Outsourcing of Logistics Services
There has been a slew of technological advancements made that are highly beneficial for the logistics management services market. From the real-time tracking and monitoring of shipments, warehouse automation, and the digitization of logistics processes; technologies such as these enable organizations to improve overall efficiency and logistics operations. And this is highly evident, particularly with regards to the retail logistics sector.
Moreover, several companies are opting to outsource their logistics operations to third-party service providers. This allows them to better focus on their core operations, while this in turn has led to a higher demand for cost-effective, efficient logistics management solutions. These elements are expected to augment the logistics management services market in the process.
High Capital Investments, Operational Costs, and Infrastructural Limitations
To establish a network of warehouses, transportation facilities, along with other essential infrastructure such as warehouse automation and warehouse robotics, a significant amount of capital investment is necessary. This can act as a significant barrier for new market entrants. Moreover, the cost of labour, fuel and equipment can be substantial, compelling most logistics organizations to continually optimize their operations to lower costs while remaining competitive.
Additionally, Fairfield Market Research has found that the infrastructure necessary for logistics operations to function seamlessly may be lacking in many countries. In certain cases, roads, ports, and airports may be poorly maintained which in turn makes the transportation of goods a difficult endeavour. A lack of innovative technology further contributes to this conundrum. These factors are expected to have a negative effect on the further progression of the global logistics management services market.
Growth Opportunities Across Regions
Asia Pacific to Surge Ahead
While North America, and Europe are expected to account for a significant share of the global logistics management services market, the Asia Pacific region is expected to remain a frontrunner over the forecast period, growing at a considerable CAGR over the forecast period. This can be attributed to the expansion of the manufacturing and transportation sectors, as well as a booming e-Commerce sector. Countries such as China, Japan, and India are some of the largest economies in the world that have growing population figures, expanding middle classes, and as such have a greater need for more efficient supply chain solutions in this region.
Key Market Players – Logistics Management Services Landscape
Some key companies in the global logistics management services market include DHL Supply Chain & Global Forwarding, Kuehne + Nagel, DB Schenker Logistics, Nippon Express, C.H. Robinson Worldwide, UPS Supply Chain Solutions, DSV, Sinotrans, CEVA Logistics, Expeditors International of Washington, Dachser, Panalpina, GEODIS, Toll Holdings, J.B. Hunt (JBI, DCS & ICS), Hitachi Transport System, XPO Logistics, GEFCO, Yusen Logistics, and Agility, to name a few. To gain a competitive edge, various established industry players are now more focused on new product launches, partnerships, collaborations, acquisitions, and alliances.
Recent Notable Developments:
Regional Classification of the Global Logistics Management Services Market is Listed Below:
Middle East and Africa
*Regions and countries are subject to change based on data availability.
Key Elements Included In The Study: Global Logistics Management Services Market
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