Transportation Management Systems Market Projected to Reach $22.6 Billion with 14.5% CAGR by 2029
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The Business Research Company’s Transportation Management Systems Global Market Report 2025 - Market Size, Trends, And Global Forecast 2025-2034
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What Is The Expected Cagr For The Transportation Management Systems Market Through 2025?
In recent times, the market size for transportation management systems has seen a significant increase. It is projected to rise from $11.75 billion in 2024 to $13.17 billion in 2025, showcasing a compound annual growth rate (CAGR) of 12.1%. Factors contributing to this growth in the historical period include the globalization of supply chains, growth of e-commerce, regulatory compliance, the need for cost efficiency, and an emphasis on customer satisfaction.
Expectations for rapid expansion is projected for the transportation management systems market in the imminent years. The market size is foreseeable to reach $22.6 billion by 2029, growing at a compound annual growth rate (CAGR) of 14.5%. The predicted growth could be due to the complexity of supply chain networks, sustainable and eco-friendly measures, changing consumer expectations, and the rise of end-point delivery solutions. Some anticipated trends for the forecasted period include the need for cloud-based solutions, dynamic route planning and optimization, the incorporation of Internet of Things (IoT) sensors, focus on user-friendly interfaces, and mobile applications.
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What Are The Key Factors Driving Growth In The Transportation Management Systems Market?
The growth of the transportation management system market is projected to be fuelled by the implementation of cloud and IoT applications. These applications incorporate APIs and various interfaces which facilitate the transmission and retrieval of data from IoT sensor devices and downstream applications. In terms of transportation, logistics, and fleet management, the Internet of Things (IoT) provides highly unified and streamlined solutions for transportation and warehouse management. This is achieved by linking in-vehicle sensors and other unified digital machines via the network. For example, Finoit Inc. IT service company reported in 2022, that numerous transportation and logistics firms deploying RFID today are achieving nearly 100% precision in shipping and receiving, 99.5 % accuracy in inventory, 30% quicker order processing, and reducing labor costs by 30%. In conclusion, the transportation management system market will be greatly accelerated by the implementation of cloud and IoT applications.
What Are The Top Players Operating In The Transportation Management Systems Market?
Major players in the Transportation Management Systems include:
• Oracle Corporation
• SAP SE
• C.H. Robinson Worldwide Inc.
• GlobalTranz Enterprises Inc.
• Trimble Inc.
• Blue Yonder Group Inc.
• Manhattan Associates Inc.
• JDA Software Group Inc.
• E2open LLC
• The Descartes Systems Group Inc.
What Are The Future Trends Of The Transportation Management Systems Market?
Major businesses in the transportation management system market are striving to increase their market profitability by developing innovative software like the Transportation Management System (TMS) software. The TMS software aims to boost efficiency and transparency in transportation operations by optimizing the process of planning, executing and optimizing goods movement. For example, WrxFlo, a software company based in Ireland, rolled out the WrxFlo Transport Management System in December 2022. The system enhances warehouse efficiency and reduces transportation costs by optimizing supply chain processes. This cloud-based solution provides live data access for swift decision-making and reduces inefficiencies. The WrxFlo 3PL solution, which integrates seamlessly with existing business systems, aims to increase sales, reduce risks and improve operational efficiency by supporting third-party logistics management. It offers streamlined freight management and excellent logistics planning and execution through secure cloud storage.
Comprehensive Segment-Wise Insights Into The Transportation Management Systems Market
The transportation management systemsmarket covered in this report is segmented –
1) By Component: Solution, Services
2) By Deployment: On-premise, Cloud
3) By Mode of Transportation: Roadways, Railways, Waterways, Airways
4) By Industry Vertical: Retail, Healthcare And Pharmaceutical, Manufacturing, Energy And Utilities, Government Sector, Other Industry Verticals
Subsegments:
1) By Solution: Freight Management Solutions, Route Optimization Solutions, Carrier Management Solutions, Load Optimization Solutions, Visibility Solutions, Analytics And Reporting Tools
2) By Services: Consulting Services, Integration Services, Training And Support Services, Managed Services, Maintenance And Upgrade Services
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Global Transportation Management Systems Market - Regional Insights
In 2024, North America led the market for transportation management systems. Projections predict Asia-Pacific will see the quickest growth in future years. The report includes market data for regions including Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa.
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