Trade management Market by Component (Solutions, and Services), Deployment Mode (On-Premises, and Cloud), Organization Size (Large enterprises, Small and medium-sized enterprises), Vertical and Region - Global Forecast to 2027
REPORTS PUBLISHERforecasts the global trade management market size is expected to grow from USD 0.9 billion in 2022 to USD 1.3 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 6.4% during the forecast period.
Trade management Market Dynamics
Driver: Increasing volume of international trade
The necessity for improving global logistics and cargo tracking is growing along with the volume of international trade. According to the World Commerce Organization, trade in products recovered by 1% compared to the final three months of 2019 as businesses adapted to the new normal. However, WTO provided a number that indicated a 12% degrowth has been confirmed as of 2019. The value of global trade in goods and services was 22 trillion dollars in 2020. New markets are made available by international trade, and nations are exposed to commodities and services that are not available domestically. Analysts from various organizations confirm that post pandemic the demand for several goods and services will increase, due to which there will be a surge in international trade and will highly impact the usage rate of trade management software and services.
Restraint: Organizations resistant to change legacy systems or adopt new technologies
To manage their trade operations, organisations have relied heavily on the already-existing systems, such as Enterprise Resource Planning (ERP), Supply Chain Management (SCM), and transport management systems. Organizations manage their trade operations using manual methods and the already-existing management systems. These elements are recognised as the main obstacles to the global adoption of GTM. Another barrier preventing the adoption of GTM is the low bandwidth and low budgets of enterprises to build and manage new technologies, such as GTM. One of the main barriers to digital supply chain investment is the supply chain executive's lack of access to technology. Manufacturing and 3PL/warehousing and distribution are falling behind in using the cloud.
Opportunity: Advanced features to link with existing corporate systems
In order to streamline and improve the entire process of international commerce for firms, GTM systems are projected to have a high demand in the upcoming years. However, in order to stay competitive and seize upcoming market possibilities, GTM vendors must keep up with the rapidly changing industry requirements. For instance, to effectively manage the Information Technology (IT) teams in enterprises, GTM solutions must interact with corporate systems like ERP and Sand Transport Management System (MS). Analytics and reporting are anticipated to be critical components that might generate crucial data to aid firms in understanding the supply chain.
Challenge: Lack of capabilities to manage GTM systems
In order to administer GTM systems effectively, one must have practical experience. There hasn't been enough experience using the trade compliance software on a practical level. In order to overcome the difficulties of supporting and managing the software in businesses, vendors must teach industry professionals working in the worldwide market. Additionally, organisations must educate their management staff on high-risk regions. To manage trade money and shipments, in-depth training would be necessary.
By Component, the services segment to have a higher CAGR during the forecast period
Trade management services are vital to ensure the proper integration of trade management solutions with the complex network infrastructure placed in enterprises. Trade management services facilitate the smooth functioning of the solutions over a period of time by monitoring, maintaining, and upgrading the critical aspects of trade management solutions. Trade management helps accelerate the cross-border supply chain by automating and streamlining trade processes, handling control costs, reducing the risk of penalties and fines, and clearing customs faster. The services considered for this report are consulting, implementation and integration, and support and maintenance.
By Deployment Mode, the cloud segment to grow at a higher CAGR during the forecast period
In the trade management market, cloud deployment is a dynamic deployment approach that is implemented in accordance with an organization's demands. The ability to scale up existing solutions with cutting-edge technology without incurring additional hardware and software costs is one of the key benefits of cloud-based deployment. As there is no need for on-site storage, deployment costs are decreased, which also lowers the initial investment and ongoing maintenance expenses for these systems. Due of vendors' competitive pricing for SaaS models and major corporations' cooperation to reach SMEs, businesses are contemplating the cloud deployment option. For instance, Integration Point and GT Nexus partnered to provide a single cloud-based global trade management solution for companies. Clients can get access to trade regulations in more than 190 countries.
Asia Pacific to grow at the highest CAGR during the forecast period
Asia Pacific is emerging as a growing economy due to the increased spending in different verticals, such as manufacturing, healthcare and life sciences, aerospace and defense, and transportation and logistics. The Asia Pacific countries are the major engine of growth by increasing their exports and foreign trade investments. The countries in Asia Pacific are developing countries; this is the reason for increasing exports, which results in a jump in GDP. This would further result in rising living standards and many people rising out of poverty. Asia Pacific comprises major economies, such as China, Philippines, India, Japan, Singapore, Malaysia, and Australia. Major companies operating in different domains are keen on investing and exploring prospective markets and new avenues in this region. Hence, it is expected to drive the growth of international trade in the region and subsequently create prospects for global trade management vendors to facilitate global trade management in Asia Pacific.
Key Market Players
The report includes the study of key players trade management market. It profiles major vendors in the trade management market. The major vendors in the trade management market are Oracle (US), Infor (US), Thomson Reuters (US), Livingston International (Canada), Aptean (US), SAP (Germany), Noatum Logistics (Spain), E2open (US), Descartes (Canada), CargoWise (Australia), Expeditors (US), BDP International (US), Accuity (US), QAD Precision (US), 3rdwave (Canada), AEB (Germany), Shipsy (India), Bamboo Rose (US), Bolero International (UK), MIC Customs Solutions (UK), OCR Services (US), Webb Fontaine (UAE), Neurored (Spain), 4PL Consultancy (UK), Global Custom Compliance (China), Vigilant Global Trade Services (US), and Centrade (US). These players have adopted various strategies to grow in the global offering trade management market. The study includes an in-depth competitive analysis of these key players in the offering trade management market with their company profiles, recent developments, and key market strategies.
Scope of the Report
|Market size available for years||2017-2027|
|Base year considered||2021|
|Forecast units||Value (USD Million/USD Billion)|
|Segments covered||By component, deployment mode, organization size, vertical, and region|
|Regions covered||North America, Europe, Asia Pacific, Latin America, and Middle East and Africa|
|Companies covered||Oracle (US), Infor (US), Thomson Reuters (US), Livingston International (Canada), Aptean (US), SAP (Germany), Noatum Logistics (Spain), E2open (US), Descartes (Canada), CargoWise (Australia), Expeditors (US), BDP International (US), Accuity (US), QAD Precision (US), 3rdwave (Canada), AEB (Germany), Shipsy (India), Bamboo Rose (US), Bolero International (UK), MIC Customs Solutions (UK), OCR Services (US), Webb Fontaine (UAE), Neurored (Spain), 4PL Consultancy (UK), Global Custom Compliance (China), Vigilant Global Trade Services (US), and Centrade (US).|
This research report categorizes the trade management market to forecast revenues and analyze trends in each of the following subsegments:
- Trade Function
- Trade Compliance
- Supply Chain Visibility
- Trade Finace
- Professional Services
- Managed Services
By Deployment Mode:
By Organization Size:
- Large enterprises
- Small and medium-sized enterprises
- Transportation and Logistics
- Government and Public Sector
- Healthcare and Life Science
- Retail and Consumer Goods
- Energy and Utilities
- Other Verticals
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Middle East and Africa
- United Arab Emirates
- Saudi Arabia
- Rest of Middle East and Africa
- Latin America
- Rest of Latin America
- In October 2022, Oracle partnered with healthcare organizations to create patient centered supply chains. Unpredictable supply and demand across the healthcare industry creates complex challenges, which makes it difficult for healthcare organizations to predict supply shortages, manage complex pricing, replenish orders quickly, and maintain accurate billing.
- In October 2022, Aptean signed an agreement with Insight Partners and existing investor TA Associates (TA) to accelerate innovation and global expansion of its solutions.
- In July 2022, Livingston International launched a wholly digital, user-directed platform that provides U.S. importers greater visibility into and hands-on control over online customs clearance.
- In June 2022, Infor has entered into a technology partnership with Everstream Analytics to help organizations better anticipate and navigate supply chain risks and disruptions.