Market Size of United States Contract Logistics Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
Market Size (2024) | USD 139.86 Billion |
Market Size (2029) | USD 168.21 Billion |
CAGR (2024 - 2029) | 3.76 % |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
United States Contract Logistics Market Analysis
The United States Contract Logistics Market size is estimated at USD 139.86 billion in 2024, and is expected to reach USD 168.21 billion by 2029, growing at a CAGR of 3.76% during the forecast period (2024-2029).
- The COVID-19 pandemic caused lockdowns all over the world. Business stopped, and the economy was put to the test. The market was thrown off by huge changes to operations, supply chains, regulations, and the number of workers needed.Later, after restrictions eased, the increasing e-commerce sales in the country recovered the contract logistics market.
- Moreover, the country is the biggest contributor to the contract logistics market in North America. The growth in the market is driven by the increasing demand for integrated services and the advanced implementation of IoT and logistic automation. In addition, the retail sector is one of the major end users of the market, followed by the high-tech and automotive industries.
- In the meantime, most of the market players are focusing on adding autonomous elements to their existing infrastructure and systems to change the fulfillment process without disrupting the supply chain. This is to meet the growing demand from end users. Contract logistics companies are also getting more productive by using technologies like drones, robots, augmented reality, and virtual reality in their work. Thus, the increasing retail and e-commerce sales and the adoption of innovative technologies will drive the contract logistics industry in the country.
United States Contract Logistics Industry Segmentation
Contract logistics is a long-term partnership that includes many services, from moving goods or replacement parts to delivering goods to the final customer. The service offerings of contract logistics include the following, among others: warehouses, personnel, appropriate equipment, stock management, dispatch follow-up, and after-sales service. A complete background analysis of the United States contract logistics market, including the assessment of the economy and contribution of sectors in the economy, a market overview, market size estimation for key segments, emerging trends in the market segments, market dynamics, and geographical trends, and COVID-19 impact, is included in the report.
The United States Contract Logistics Market is segmented by Type (Outsourced and Insourced), by End User (Manufacturing and Automotive, Consumer Goods and Retail, High-Tech, Healthcare, and Pharmaceuticals Other End Users (Energy, Construction, Aerospace, etc.)). The report offers market size and forecasts in dollars (USD) for all the above segments.
By Type | |
Insourced | |
Outsourced |
By End-User | |
Manufacturing and Automotive | |
Consumer Goods and Retail | |
High-tech | |
Healthcare and Pharmaceuticals | |
Other End-Users(Energy, Construction, Aerospace, etc.) |
United States Contract Logistics Market Size Summary
The United States contract logistics market is poised for significant growth, driven by the increasing demand for integrated logistics services and the adoption of advanced technologies such as IoT and automation. The market, which experienced disruptions due to the COVID-19 pandemic, has rebounded with the surge in e-commerce sales. The retail sector, along with high-tech and automotive industries, plays a crucial role as major end users. Companies are focusing on enhancing their infrastructure with autonomous elements and innovative technologies like drones and augmented reality to meet the evolving demands of consumers. This technological advancement is expected to further propel the market, making it a key player in the North American region.
The expansion of the warehouse network in the United States is a testament to the growing contract logistics market. The rise in online shopping and the demand for same-day delivery have led to strategic investments in warehouses and distribution centers, optimizing the supply chain process. Major logistics companies are investing in automated systems and temperature-controlled storage to accommodate the increasing need for warehouse space. The market's growth is also supported by the increasing number of warehousing businesses and the significant role of e-commerce in retail sales. The fragmented market landscape, with key players like DHL Supply Chain, XPO Logistics, and CEVA Logistics, is characterized by technological advancements and strategic mergers, enhancing service quality and expanding global reach.
United States Contract Logistics Market Size - Table of Contents
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1. MARKET DYNAMICS AND INSIGHTS
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1.1 Current Market Scenario
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1.2 Market Dynamics
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1.2.1 Drivers
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1.2.2 Restraints
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1.2.3 Opportunities
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1.3 Industry Attractiveness - Porter's Five Forces Analysis
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1.3.1 Threat of New Entrants
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1.3.2 Bargaining Power of Buyers/Consumers
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1.3.3 Bargaining Power of Suppliers
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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1.4 Value Chain / Supply Chain Analysis
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1.5 Insights on Industry Policies and Regulations
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1.6 Insights on Technological Integration
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1.7 Insights on E-commerce Industry in the Region (Domestic and Cross-border)
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1.8 Brief on Different Services Provided by Contract Logistics Players (Integrated Warehousing and Transportation, Supply Chain Services, and Other Value-Added Services)
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1.9 Spotlight - Freight Transportation Costs/Freight Rates
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1.10 Impact of COVID-19 on the Contract Logistics Market
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2. MARKET SEGMENTATION
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2.1 By Type
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2.1.1 Insourced
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2.1.2 Outsourced
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2.2 By End-User
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2.2.1 Manufacturing and Automotive
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2.2.2 Consumer Goods and Retail
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2.2.3 High-tech
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2.2.4 Healthcare and Pharmaceuticals
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2.2.5 Other End-Users(Energy, Construction, Aerospace, etc.)
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United States Contract Logistics Market Size FAQs
How big is the United States Contract Logistics Market?
The United States Contract Logistics Market size is expected to reach USD 139.86 billion in 2024 and grow at a CAGR of 3.76% to reach USD 168.21 billion by 2029.
What is the current United States Contract Logistics Market size?
In 2024, the United States Contract Logistics Market size is expected to reach USD 139.86 billion.