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Connected Logistics Market Revenue Growth Supported By A CAGR Of 11.8% Through 2030
The connected logistics market has experienced rapid expansion in recent years. It is anticipated to grow from $32.19 billion in 2025 to $36.71 billion in 2026, achieving a compound annual growth rate (CAGR) of 14.0%. This historical growth can be attributed to several factors including e-commerce growth, the adoption of GPS tracking, advancements in warehouse automation, the increasing demand for delivery optimization, and global trade expansion.
The connected logistics market is anticipated to experience substantial growth over the next few years, projected to reach $57.36 billion by 2030, expanding at a compound annual growth rate (CAGR) of 11.8%. This growth during the forecast period is primarily driven by factors such as AI-driven logistics optimization, smart warehousing investments, sustainability-focused logistics, autonomous delivery systems, and digital supply chains. Concurrently, major trends expected in the forecast period include the adoption of real-time supply chain visibility, growth of IoT-based fleet tracking, expansion of predictive analytics in logistics, demand for end-to-end transparency, and integration of cloud logistics platforms.
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Connected Logistics Market Growth Momentum: Which Factors Are Influencing Demand?
The expanding deployment of IoT-enabled devices is anticipated to fuel the connected logistics market in the foreseeable future. The Internet of Things (IoT) describes a system where devices are interconnected, facilitating communication and data exchange via the internet. This advancement is motivated by an increasing need for connectivity, operational efficiency, and automated processes across diverse sectors and everyday routines. Within logistics, IoT-integrated devices facilitate capabilities such as live shipment tracking, improved route optimization, continuous monitoring of vehicle status, better inventory control, and streamlined supply chain workflows. These capabilities collectively result in greater operational effectiveness, lower expenses, and enhanced client satisfaction. As an illustration, IoT Analytics, a Germany-based premier global market insights provider, reported in October 2025 that the count of linked IoT devices is predicted to rise by 14% in 2025, ultimately reaching 39 billion by 2030. Consequently, the growing prevalence of IoT-enabled devices is a key factor propelling the expansion of the connected logistics market.
Connected Logistics Market Segmentation And Category Breakdown
The connected logistics market covered in this report is segmented –
1) By Component: Hardware, Solutions, Services
2) By Transportation: Roadways, Railways, Airways, Maritime
3) By Application: Inventory Tracking, Optimized Warehousing, Real-Time Fleet Management, Predictive Maintenance, Cargo Integrity Monitoring, End-To-End Delivery Tracking, Other Applications
4) By End-Use Industries: Automotive, Healthcare And Pharmaceuticals, Oil And Gas, Food And Beverage, Aerospace And Defense, Manufacturing, Information Technology (IT) And Telecommunication, Retail And E-Commerce, Other End-Use Industries
Subsegments:
1) By Hardware: Sensors, RFID Tags, GPS Devices, Communication Devices, Others (Drones, Cameras)
2) By Solutions: Fleet Management Software, Warehouse Management Systems (WMS), Supply Chain Visibility Platforms, Route Optimization Software, Inventory Management Solutions, Predictive Maintenance Solutions, Others
3) By Services: Integration Services, Consulting Services, Managed Services, Maintenance And Support Services, Data Analytics Services, Training And Support Services
Connected Logistics Market Trends Reshaping Industry Growth
Major companies operating in the connected logistics market are concentrating on developing advanced solutions, such as cloud-based services, to enhance global supply chain efficiency. Such solutions play a crucial role in connected logistics by offering scalable, accessible, and centralized platforms for data storage, processing, and analysis, thereby facilitating real-time decision-making and collaboration throughout the supply chain. For instance, in December 2023, Fujitsu Limited, a Japan-based information and communications technology equipment and services provider, introduced a cloud-based logistics data standardization and visualization service for shippers, logistics firms, and supply chain vendors. This service provides innovative tools to promote sustainability and address challenges including driver shortages, carbon emissions reduction, and compliance with industry regulations. The service specifically offers automated data conversion to comply with logistics information standard guidelines, along with functions to connect, transform, and store various logistics data, and visualization and analysis tools through logistics KPIs. The new service aims to facilitate inter-company collaboration, optimize the supply chain, and tackle issues like driver shortages and reducing energy consumption through shared vehicle use.
Connected Logistics Market Competitive Analysis Of Major Industry Participants
Major companies operating in the connected logistics market report include Microsoft Corporation, AT&T Inc, DHL International GmbH, Robert Bosch GmbH, FedEx Corporation, Huawei Technologies, Amazon Web Services, Siemens, Intel Corporation, Accenture, International Business Machines Corporation, Cisco System Inc., Oracle Corporation, Honeywell International Inc., SAP SE, TATA Consulting Services Ltd, NEC Corporation, Nippon Express Co. Ltd., Infosys Limited, HCL Technology Limited, Xpo Logistics Inc., Hexagon AB, Senko Group Holdings Co., Ltd, Yusen Logistics Co. Ltd., Trimble, Orbcomm, Eurotech Group, Freightgate Inc.
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Connected Logistics Market Geographic Distribution And Regional Opportunities
North America was the largest region in the connected logistics market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the connected logistics market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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Wasay has over a decade of experience in market research, data modelling, and analytics, with prior experience at GlobalData and Decision Tree Consulting Services. At The Business Research Company , he leads research operations across syndicated studies, customized consulting engagements, and the Global Market Model platform. His professional experience includes supporting organizations such as Boston Consulting Group, KPMG, and Ernst & Young. Wasay holds a degree in Electronics and Communications Engineering, postgraduate management qualifications from International Management Institute Belgium and Indian School of Business and Entrepreneurship, and completed the Integrated Program in Business Analytics from Indian Institute of Management Indore.
