What is the current market size and future outlook for the inbound logistics market?
The inbound logistics market size has grown strongly in recent years. It will grow from $1591.91 billion in 2024 to $1737.41 billion in 2025 at a compound annual growth rate (CAGR) of 9.1%. The growth in the historic period can be attributed to increasing e-commerce demand, improvements in inventory management systems, a rising focus on cost efficiency, the growth of manufacturing industries, and regulatory changes in trade policies.
The inbound logistics market size is expected to see strong growth in the next few years. It will grow to $2438.02 billion in 2029 at a compound annual growth rate (CAGR) of 8.8%. The growth in the forecast period can be attributed to the expansion of sustainable and green logistics practices, increased adoption of blockchain technology, rising demand for real-time tracking and visibility, the expansion of global trade agreements, and the development of smart infrastructure and IoT solutions. Major trends in the forecast period include expanded use of automation and robotics, heightened focus on real-time tracking and visibility, advancement in blockchain technology, the adoption of predictive analytics for demand forecasting, and the development of more flexible and agile logistics networks to respond to market changes.
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How has the inbound logistics market evolved, and what factors have shaped its growth?
The expansion of global trade is expected to propel the growth of the inbound logistics market going forward. Global trade refers to the exchange of goods and services between countries around the world. Global trade is expanding due to increased international cooperation, advancements in technology, and growing demand for diverse products across borders. Inbound logistics supports global trade by ensuring efficient and timely management of goods and materials from suppliers to production facilities, optimizing supply chains across international borders. For instance, in July 2024, according to a report published by the United Nations Conference on Trade and Development (UNCTAD), a Switzerland-based international organization, global trade will approach $32 trillion in 2024, driven by increased exports from China, India, and the US. The report anticipates an additional $250 billion in goods trade and $100 billion in services trade in the first half of 2024 compared to the latter half of 2023. Therefore, the expansion of global trade will drive growth in the inbound logistics market.
What are the major segments of the inbound logistics market?
The inbound logisticsmarket covered in this report is segmented –
1) By Function: Transportation, Warehousing, Inventory Management, Procurement, Supplier Relationship Management
2) By Mode of Transportation: Roadways, Railways, Airways, Waterways
3) By Application: Primary Inbound Logistics, Secondary Inbound Logistics, Cross-Docking
4) By End User: Retail And E-Commerce, Manufacturing, Automotive, Healthcare, Food And Beverage, Consumer Goods, Aerospace And Defense, Other End Users
Subsegments:
1) By Transportation: Freight Transportation, Last-Mile Delivery Services, Intermodal Transportation Solutions
2) By Warehousing: Public Warehousing, Private Warehousing, Automated Warehousing Solutions
3) By Inventory Management: Inventory Tracking And Control, Demand Forecasting And Planning, Stock Replenishment Strategies
4) By Procurement: Sourcing And Supplier Selection, Purchase Order Management, Contract Negotiation And Management
5) By Supplier Relationship Management: Supplier Performance Evaluation, Collaboration And Communication Tools, Risk Management And Compliance Monitoring
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Which companies dominate the inbound logistics market?
Major companies operating in the inbound logistics market are Deutsche Post DHL Group, A.P. Moller – Maersk A/S, Kuehne + Nagel International AG, DSV A/S, DB Schenker Logistics, C.H. Robinson Worldwide Inc., FedEx Global Logistics Inc., Nippon Express Co. Ltd., CEVA Logistics AG, Sinotrans Limited, Ryder System Inc., Kerry Logistics Network Limited, Expeditors International of Washington Inc., XPO Logistics Inc., Toll Holdings Limited, Hellmann Worldwide Logistics SE & Co. KG, Yusen Logistics Co. Ltd., Dematic Corporation, Honeywell Intelligrated, Penske Logistics LLC, Siemens Logistics GmbH, Blue Yonder, Manhattan Associates Inc., Rhenus Logistics GmbH & Co. KG
How will evolving trends contribute to the growth of the inbound logistics market?
Major companies operating in the inbound logistics market are focusing on advancements in supply chain visibility techniques, such as real-time data analysis, to enable timely decision-making across the supply chain. Real-time data analysis in inbound logistics enhances visibility, efficiency, and accuracy by providing immediate insights into the status and location of shipments, enabling proactive management and optimized operations. For instance, in November 2023, FourKites Inc., a US-based technology company, launched its Inbound Visibility Solution to enhance end-to-end, shipment, and order-level insights across suppliers. This new solution offers predictive and precise management of inbound orders and shipments, featuring real-time data analysis, disruption identification with financial impact assessment, and comprehensive order lifecycle visibility from pre-tendering to delivery. The solution integrates these insights into the My Workspace dashboard, allowing users to quickly access critical supply chain information and take prompt action.
What are the key regional dynamics of the inbound logistics market, and which region leads in market share?
North America was the largest region in the inbound logistics market in 2024. The regions covered in the inbound logistics market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
What Does The Inbound Logistics Market Report 2025 Offer?
The inbound logistics market research report from The Business Research Company offers global market size, growth rate, regional shares, competitor analysis, detailed segments, trends, and opportunities.
Inbound logistics refers to the processes involved in receiving, storing, and distributing raw materials or goods that a company requires to produce its products or services. It is the first step in the overall supply chain process, focusing on how materials are transported from suppliers to a company’s facilities.
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