Freight Management System Market Size & Share, by Component (Solutions, Planning [Supplier & Vendor Management, Freight Order Management], Execution & Operation [Electronic Data Interchange]), Control & Monitoring [Freight Tracking & Monitoring Solution]), Transportation Mode (Rail Freight, Road Freight), End-user (Third-Party Logistics, Forwarders) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2024-2036

Growth Drivers

• Growing Merges and Acquisitions among the Key Players - Trimble acquired Kuebix, the largest connected shipping community in North America, in January 2020 with the goal of developing a state-of-the-art freight management system (FMS) that would enable shippers and carriers to collaborate more closely on a single platform. The industry trend that would have a positive effect on FMS solutions is mergers and acquisitions (M&A) and the combination of leading FMS product suppliers with new age/startup solutions. The pursuit of expansion heavily relies on M&A. These mergers have positive effects on the development of new technologies and capacities, regional expansion, and acquisition of new clientele.
•  Surge in Construction of Roads - A total of about 5,830 km of national highways were built in FY22 (up through December) by the Ministry of Road Transport and Highways. As opposed to about 1,680 km in June 2020, the Ministry of Road Transport and Highways built approximately 2,280 km of national highways in June 2021.
• Growth in Shipment - According to the survey, there were about 3 billion units shipped globally in 2021, an increase of close to 12 % or approximately 450 million units. Nine million business and private consumers in Germany received about 19 million units.
• Growing Government Initiatives - The government of India has introduced the 14 policies listed in the guidebook, which represent high-leverage areas for cities to increase their economic competitiveness and lessen traffic and pollution. Work with the relevant public and commercial parties to quickly implement several of these low-cost, low-effort initiatives. remarked Sh. Pawan Agarwal, Special Secretary, Ministry of Commerce & Industry, Logistics Division.
• Rise in Urban Population - Approximately 4.4 billion people, or 56% of the world's population, reside in cities. By 2050, approximately 7 out of 10 people would live in cities, with the urban population predicted to more than double from its current level. Owing to the growing urban population demand for goods also increase, hence urban freight distribution is expected to boost, further leading a surge in market growth.

Challenges

• Rising Concern for Traffic Congestion
• Poor Freight Data Visibility
• Challenges with Fleet Managers - Fleet managers' ability to schedule and track trips, maintain drivers and vehicles, and plan and arrange freight routes is limited. Vehicles in maintenance, vehicles in breakdown, cars parked, cars in traffic, vehicles in detention, or vehicles being held up are signs that they are not moving and are not being productive. The case shows that fleet managers are not carrying out the transportation tasks or transporting the loads as required. Hence this factor is estimated to hinder the growth of the market.