Logistics software market poised for growth

LONDON – The global logistics services software market is expected to post a compound annual growth rate (CAGR) of over 10 per cent during the period 2018-2022, according to the latest market research report by Technavio.

A key factor driving for the market is the growth in global containerized seaborne trade. The increased use of containers in seaborne trade has spurred the need for container tracking and security software systems to improve the traceability, efficiency, and security of the containers. This, in turn, will improve the performance of the entire supply chain and drive the use of logistics services software during the forecast period.

In this report, Technavio highlights the growth of the tracking-as-a-service market as one of the key emerging trends in the global logistics services software market.

Global economic growth and globalization have prompted business, logistics, and shipping vendors to deploy tracking and monitoring software solutions to improve productivity and increase operational efficiency.

Tracking as-a-service or solutions such as software-as-a-service (SaaS) or platform-as-a-service (PaaS) models are gaining popularity in the global transportation and logistics market. The rising demand from end-users for the GPS-enabled tracking of ships, containers, and fleets is expected to drive the growth of the global logistics services software market.

“An increase in the number of Free Trade Agreements between various countries is expected to fuel the growth of containerized international seaborne trade, which in turn will drive the global logistics services software market during the forecast period,” Technavio said.