Descartes study shows transportation tech investment up nearly 50 per cent over a decade

Descartes Systems Group’s 10th Annual Global Transportation Management Benchmark Survey finds transportation technology investment has risen sharply over the past decade, with 78 per cent of North American organizations planning to increase spending in 2026, up from 53 per cent in 2017.

The study says transportation has shifted from an operational function to a strategic driver of growth, customer experience and competitive advantage. It also says the next phase of transformation will depend on organizations’ ability to scale automation and artificial intelligence.

Despite sustained investment, the survey shows operational maturity gaps remain. Only 19 per cent of shippers and 15 per cent of logistics service providers report using AI at scale. Most organizations are still testing or partially deploying it. Data quality is the top barrier to scaling AI, cited by 45 per cent of LSPs and 33 per cent of shippers, followed by integration complexity. Descartes says effective AI adoption will increasingly rely on digital infrastructure that can support real‑time, high‑quality data across transportation networks.

Growth expectations remain strong. Seventy‑nine per cent of shippers and 84 per cent of LSPs expect at least 5 per cent annual growth over the next two years. Freight cost management is the largest current challenge for both groups, and rising industry costs are the top external factor expected to affect transportation management over the next five years. Shippers report the biggest AI benefit in reduced administrative and labour costs, while LSPs cite improved service and lower freight costs.

Truckload visibility continues to lag, with 57 per cent of shippers and 43 per cent of LSPs identifying full truckload as the mode most in need of better real‑time visibility. Increasing AI adoption is the top transportation priority for shippers and LSPs combined over the next two years, with reducing freight costs close behind.

Descartes and SAPIO Research surveyed 600 senior transportation decision‑makers globally, including 300 in the United States and Canada, evenly split between shippers and LSPs across manufacturing, distribution, retail, freight brokerage, forwarding and 3PL/4PL operations.