The Global Transportation Management System Market is expected to grow from USD 12.2 billion in 2022 to USD 29.1 billion by 2032. This represents a Compound Annual Growth Rate (CAGR of 19.5%) during the forecast period.

Growing Demand:

The unabated market growth is due to the aggressive use of the existing transportation management and technology systems, technological advancements and subsequent introductions of innovative transportation management software (TMS), and strengthening bilateral trade relations between countries.

The use of transportation management systems can help incumbents in different industries cut costs, improve efficiency, and provide visibility to their supply chains. Cloud-based solutions enable users to connect with trading partners and manage logistics processes. They can also reuse and share data from supply chains to improve time-to-value. A transportation management system can be directly linked to freight savings by optimizing processes, routing efficiently, and selecting low-cost transport modes.

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New sales and installations have suffered dramatically from the COVID-19 epidemic. Market growth is being slowed by the restrictions and lockdowns imposed to stop the spread of coronavirus.

However, the market will grow if there is an increase in innovative solutions based on the most recent technologies for disaster management, as well as the increasing importance of data-driven solutions in transport and logistics.

Driving Factors:
The eCommerce sector’s exponential growth will continue to drive market growth.

The rapid growth of eCommerce over the past decade was due to the rise in online retail and internet usage. It is estimated that 68% of online shoppers use the internet to find their products. The World Economic Forum predicts that eCommerce penetration will increase to 18% by 2027. To keep up with growing eCommerce sales, manufacturers, retailers, reverse logistics managers, and third-party freight brokers must work faster and more efficiently. Online customers expect speedy delivery and returns, as well as accuracy. eCommerce companies are seeking ways to decrease order delivery times and operational costs. eCommerce is driven by the need to be transparent, affordable, convenient, and speedy in delivery and offer frictionless returns. To cater to this need, it is essential to adopt TMS solutions to digitalize the logistics operations and automate order management, carrier/shipment management, and distribution/delivery management functions. TMS solutions in eCommerce enable shippers to leverage all modes, especially during peak shipping times and tight capacity. TMS reduces shipping costs. eCommerce accounts for approximately 97% of all shippers. This means there is a demand to combine the benefits of eCommerce with TMS connectivity to create an effective logistics strategy.
Restraining Factors:
There are increasing concerns about data security
All logistics users and entities, such as forwarders, shippers and transport companies, and infrastructure operators, are increasing the digitalization in transportation. However, this also increases the risk of data misuse and theft. Data security is essential for any business. Information leaked to the internet will be accessible by anyone with access rights. The loss of data could affect the business’s ability to compete. Enterprise data security can be compromised. The transportation industry faces a lot of privacy and security concerns. As a result, growth is limited.
Market Key Trends:
The key trends driving sales of transportation management systems are increasing production units and technological advances.
Recent development:

In July 2019, Gerber Plumbing Fixtures chose 3Gtms LLC TMS to support its wholesale distribution customers. Since its implementation, Gerber has seen significant cost savings in both cost-per-mile and cost-per-piece. There has also been a reduction in freight cost as an % of sales.

July 2018 – CargoSmart Limited announces developing a Blockchain solution for shipment documentation. This will improve complex supply chain processes. The resolution established a digital basis for trusted shipment documentation management within the shipping and logistics industry.

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Key Market Players included in the report:

  • JDA Software
  • Oracle Corporation
  • Manhattan Associates
  • Descartes
  • SAP SE
  • BluJay
  • TMW Systems
  • Omnitracs
  • HighJump
  • MercuryGate
  • One Network Enterprises
  • Precision Software
  • CargoSmart
  • Next Generation Logistics

Key Market Segments:

  • Railways
  • Roadways


  • Logistics & Transport
  • Manufacturing
  • Commercial
  • Retail


  • What is the market size and growth rate for the Transportation Management System Market?
  • What are the main driving forces and challenges for the market in transportation management systems?
  • Which are the top players in the market for transportation management systems?
  • Which segments are included in the Transportation Management System Market Report?
  • What CAGR would you estimate the growth rate of the transportation management systems market in the forecast period?

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