Future Growth Opportunities in Freight Management
Posted by World Trade Distribution
Filed Under: Container Freight
While freight management has changed throughout the years, there is still more room for adjustment and growth in the field. That is good news for companies that handle freight, transportation, shipping, and related activities, as they have the opportunity to advance their companies. So, what does the future of freight management really look like? Here are some predictions for 2019 and beyond.
A Significant Share of the Multimodal 2019-2025 Market
Sea, road, and rail will all be very important through 2025, at least. By combining the modes of transportation and addressing logistics to move products smoothly from production to the end user, companies can handle their shipments in more cost-effective ways. This multimodal approach means that a single contract and a single provider will handle all the shipping and the interactions. By doing that, communication is made easier for carriers and companies alike.
Software for Logistics and Resources Creates Visibility
With software options for logistics, companies will be better able to see their supply chains clearly. That allows these companies to find problems or areas of concern, and address those in a way that lets them correct issues and advance their company’s abilities. Without a strong level of transparency and clarity, a company could struggle to create a supply chain that operates as smoothly and efficiently as possible. As software for logistics and freight management continues to improve, more growth opportunities will become available.
North America Will Dominate the Freight Market
Because the transportation and logistics industries in North America are growing so rapidly, that area of the world is projected to dominate the market. As far back as 2015, the North American market was moving toward dominance with a daily transportation average of nearly 50 million tons of freight that equaled over $52 billion. Since that time the growth has continued, with road transportation in the US, Canada, and Mexico adding up to nearly 64 percent of the transported freight.
Ecommerce Platforms Will Improve the Asia Pacific Market
The Asia Pacific freight market will see rapid and explosive growth over the period from 2019 to 2025. This is largely due to advancements in logistics brought about by the adoption of platforms for ecommerce. It can be difficult to find strong distribution networks, but ecommerce platforms can make it faster and easier to do so. With a good balance between the services provided and the costs of doing business, freight transportation in the Asia Pacific market can benefit from ecommerce platform options.
High Demand Will Continue Through 2025
Improvements in warehouse and operational efficiency are both taking place in the transportation and freight management industries and will continue to do so through 2025 and potentially beyond. As technology improves and is more easily utilized by growing companies, these companies will be able to provide more value and better services to their customers. This will result in additional growth, and a continuation of the opportunities that are currently being established and developed.