Enjoy complimentary customisation on priority with our Enterprise License!
The trade management software market size is estimated to grow at a CAGR of 10.72% between 2022 and 2027. The market size is forecast to increase by USD 1,052.31 million. The market's growth depends on several factors, including the growing need for improved supply chain efficiency, the rising import and export volumes of emerging countries, and the increasing complexities in global trade. Trade management software is an enterprise application that bolsters supply chain efficiency by automating import and export processes and ensuring trade compliance. It enables the flow of goods across international borders in the most efficient and profitable way.
This trade management software market report extensively covers market segmentation by deployment (cloud-based and on-premise), end-user (retail and consumer goods, IT and telecom, automotive, transportation and logistics, and others), and geography (North America, Europe, APAC, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
To learn more about this report, View Report Sample
The growing need for improved supply chain efficiency is a driving trend in the trade management software market. Visibility and optimization of supply chains are becoming necessary due to factors such as extending delivery timelines, higher costs associated with global shipments, or variations in lead time. Trade management software forms an essential link between order management systems and distribution centers to facilitate the exchange of information regarding inventory and end products between departments, such as warehouses, inventory, and production.
Moreover, trade management software also saves time, labor, and money by replacing manual functions with digital ones. Predictive analytics tools are being integrated into trade management software to gain a better understanding of the supply-demand cycle and communication between transportation carriers. By implementing trading management software, enterprises are able to reduce their costs through better route planning and efficient optimization of loads due to improved visibility across the transport chain. Thus, the growing need for improved supply chain efficiency will significantly drive the global trade management software market during the forecast period.
The inclusion of trade compliance as an important feature is a key trend in the trade management software market. In making decisions that do not take into consideration the effects on its whole supply chain due to trade compliance, an undertaking to sell its products and services in global markets will lose money and be at risk. Furthermore, if the procurement team changes the sourcing location or supplier of raw materials without intimating the compliance department, it may accidentally lose preferential treatment from an applicable free trade agreement.
Moreover, these concerns can be effectively addressed with the implementation of trade management software. In the early stage of product development, trade management software assists enterprises to analyze and select the most appropriate supplier option in the world. Trade management software, which collects trade data from different countries, also enables enterprises to view their global trade compliance status and allows them to identify opportunities for where to sell their products and whom to sell them. Thus, the inclusion of trade compliance will fuel the growth of the global trade management software market during the forecast period.
The increasing complexities in global trade are a major challenge faced by the market. The varied problems of multiple languages, time zones, currencies, and modes of transport must be dealt with by trade management software platforms. From the trade management software provider's perspective, the challenge is to keep the software up to date with regulatory content accessible from the rules-based transactional software deployed at each supply chain party.
Also, each global trade participant has its unique requirements, and developing a universal solution requires incorporating numerous combinations of functional requirements across the trading partner network. In addition, the providers of trade management software have to provide simple and seamless integration of application programming interfaces in order that they do not require major IT consultancy or professional services because each partner might use different enterprise software. Thus, adapting to changing regulations and business conditions may hamper the growth of the global trade management software market during the forecast period.
The market share growth by the cloud-based segment will be significant during the forecast period. Trade management software is an alternative to manual processes and traditional enterprise resource planning software, which also has in-built trade management software features and internally developed trade management solutions. In particular, businesses concentrating on reducing IT infrastructure costs while improving the flexibility and efficiency of supply chain operations have selected cloud-based deployment models for trade management software.
Get a glance at the market contribution of various segments View Free PDF Sample
The cloud-based segment showed a gradual increase in the market share of USD 681.98 million in 2017 and continued to grow by 2021. Cloud-based software is scalable, controls quality, manages all assets centrally, and streamlines the workflow. It can be deployed quickly and requires a minimum investment. Cloud-based trading management solutions allow enterprises to retain updated information on the cloud in a timely manner so that authorized parties can access them in real-time. The global trade management software market is anticipated to expand during the forecast period as a result of these advantages of cloud-based trade management software.
On-premise trade management software is mainly used by large enterprises that are not price-sensitive and focus on the functionality of the software. Moreover, enterprises' concerns about data privacy and data and network security compel them to opt for on-premises trade management software. The strategies for risk management are also used by these organizations to protect their reputation. The on-premise segment will continue to grow during the forecast period as many organizations use legacy systems to manage their business processes and spend on maintenance and support of those systems to keep them up and running.
The retail and consumer goods end-user are the largest segment of the market in focus in terms of market share during the forecast period. Consumer goods can be categorized as durable, nondurable, or carrier items. Consumer items are classified primarily based on customer behavior. In order to do business, retail, and consumer goods require automation, and trade management software services make it easier for them to do so. Demand for trade management software is based on the strong requirement to cut expenses, driven by growing consumer goods and retail sectors. Shifting recognition from sole sales technology to computerized operations, online documentation, pipeline visibility, and consumer satisfaction is fueling the adoption of trade management software in the retail and consumer goods sector, which will fuel the growth of the global trade management software market during the forecast period.
The IT and telecom segment holds a significant market share in the global trade management software market. The IT and telecom segment includes IT and telecommunication companies. These companies are increasing their focus on attracting more businesses. The increased globalization of trade has led to a growing demand for global trade automation and trade management software. IT companies import and export several software and services, which raise the demand for trade management software in the company. The rapid advancement and the rise in the export of software services will drive the requirement for trade management software, which, in turn, will drive the global trade management software market during the forecast period.
For more insights on the market share of various regions Download PDF Sample now!
North America is estimated to contribute 33% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
In North America, the market is mainly driven by the increasing need for effective global trade compliance and efficient management of the supply chain due to an uncertain trade environment. The trade dynamics in this region are changing, due to factors such as the disintegration of the Trans-Pacific Partnership, possible North America Free Trade Agreement modifications, and the U.S. recasting its economic relations with China. The presence of major trade management players, such as Amber Road, The Descartes Systems Group, Integration Point, QAD, and QuestaWeb, is aiding in the widespread adoption of trade management software in the region. All these factors will drive market growth in the region during the forecast period.
In 2020, the trade management software market in North America witnessed low growth due to the COVID-19 pandemic. However, in 2021, all restrictions were lifted by countries in North America, which led to the improvement of trade between countries. This, in turn, led to increased demand for trade management software in 2021. The rise in import and export activities in the region is expected to drive the demand for trade management software, which will fuel the regional trade management software market during the forecast period.
The Trade Management Software Market industry report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Trade Management Software Market Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Acme Trade Group Pty Ltd. - The company offers trade management software namely Trade Software Suite including ImpexDocs, ImpexRFP, ImpexEDN, ImpexCOO, ImpexPRA, and ImpexBooking.
AEB SE - The company offers trade management software namely AEB transport management software.
Aptean Group of Companies - The company offers trade management software such as transportation management systems, product lifecycle management, enterprise asset management software, advanced route planning, and scheduling solution.
The research report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The trade management software market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
Trade Management Software Market Scope |
|
Report Coverage |
Details |
Page number |
166 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 10.72% |
Market growth 2023-2027 |
USD 1,052.31 million |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
9.21 |
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
Performing market contribution |
North America at 33% |
Key countries |
US, Canada, China, Germany, and the UK |
Competitive landscape |
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks |
Key companies profiled |
Acme Trade Group Pty Ltd., AEB SE, Aptean Group of Companies, Bamboo Rose LLC, Cognizant Technology Solutions Corp., Descartes Systems Group Inc., E2open Parent Holdings Inc., Expeditors International of Washington Inc., Koch Industries Inc., Livingston International Inc., MIC Datenverarbeitung GmbH, Noatum Holdings SLU, OCR Services Inc., Oracle Corp., QAD Inc., S and P Global Inc., SAP SE, Thomson Reuters Corp., Trademo Technologies Inc., and United Parcel Service Inc. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period. |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements.
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.