Trade Management Software Market by Deployment, End-user and Geography - Forecast and Analysis 2023-2027

Trade Management Software Market Forecast 2023-2027

The trade management software market size is estimated to grow by USD 1.05 billion at a CAGR of 10.72% between 2022 and 2027. The growing need for improved supply chain efficiency is leading companies to invest in advanced technologies and solutions to streamline their operations. The rising import and export volumes of emerging countries are creating new opportunities for logistics and supply chain management providers. Additionally, the increasing complexities, including regulatory requirements and geopolitical factors, are driving the demand for solutions that can help companies navigate these challenges more effectively. Overall, these factors indicate a positive outlook for the market as companies seek to enhance their supply chain capabilities in response to evolving global trade dynamics.

What will be the size of the Trade Management Software Market During the Forecast Period?

To learn more about this report, View Report Sample

Market Segmentation

This 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.

By Deployment

The market share growth by the cloud-based segment will be significant during the forecast period. This is an alternative to manual processes and traditional enterprise resource planning software, which also has in-built features and is internally developed with these 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 these 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. 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 promptly so that authorized parties can access them in real-time. The 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 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. 

By End-user

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.  To do business, retail, and consumer goods require automation, and these services make it easier for them to do so. Demand for these 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 these in the retail and consumer goods sector, which will fuel the growth of the market during the forecast period.

The IT and telecom segment holds a significant market share in the market. The IT and telecom segment includes IT and telecommunication companies. These companies are increasing their focus on attracting more businesses. The increased globalization has led to a growing demand for automation and these software. IT companies import and export several software and services, which raise the demand for these in the company. The rapid advancement and the rise in the export of software services will drive the requirement, which, in turn, will drive the market during the forecast period.

By Region

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 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 players, such as Amber Road, The Descartes Systems Group, Integration Point, QAD, and QuestaWeb, is aiding in the widespread adoption in the region. All these factors will drive market growth in the region during the forecast period.

Market Dynamics and Customer Landscape

The market is witnessing rapid growth, driven by the increasing complexity of international trade and import-export activities. Businesses are turning to these solutions to streamline custom filings, restricted party screening, and shipment tracking. These software solutions help mitigate compliance risk by ensuring adherence to import-export legislation. Key components of these solutions include vendor management, invoice management, and import/export management. Services such as consulting, implementation, and deployment support businesses in integrating these solutions. The trend towards on-cloud solutions is also gaining traction, providing flexibility and scalability to organizations.

Key Market Driver

The growing need for improved supply chain efficiency is a driving trend in the market. Visibility and optimization of supply chains are becoming increasingly necessary due to factors such as extended delivery timelines, higher costs associated with global shipments, and variations in lead time. Ensuring compliance, efficient custom filings, rigorous restricted party screening, leveraging free trade zones, and implementing robust shipment tracking are crucial aspects for businesses involved in international trade. These strategies help enhance operational efficiency, mitigate risks, and improve overall performance in the complex landscape of global commerce. It plays a crucial role in connecting order management systems with distribution centers, enabling the exchange of information regarding inventory and end products among departments like warehouses, inventory, and production.

Furthermore, they help save time, labor, and money by digitizing manual functions. Predictive analytics tools are being integrated into this software to enhance understanding of the supply-demand cycle and improve communication between transportation carriers. These tools offer components for solutions, vendor management, import/export management, and invoice management, along with services such as consulting. Implementing these enables enterprises to reduce costs through better route planning and efficient optimization of loads, thanks to improved visibility across the transport chain. Therefore, the increasing demand for enhanced supply chain efficiency is expected to drive the market significantly during the forecast period.

Significant Market Trend

The inclusion of trade compliance as an important feature is a key trend in the 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. These collect data from different countries, also enable enterprises to view their global trade compliance status and allow 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 market during the forecast period.

Major Market Restrain

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 market during the forecast period.

Key Market Customer Landscape

The 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 Market Customer Landscape

Who are the Major Trade Management Software Market Companies?

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 solutions.

The research report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:

• 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.

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.

Segment Overview

The 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. 

• Deployment Outlook 
  • Cloud-based
  • On-premise

• End-user Outlook 
  • Retail and consumer goods
  • IT and telecom
  • Automotive
  • Transportation and logistics
  • Others

• Region Outlook 
  • North America
    • The U.S.
    • Canada
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa
  • South America
    • Chile
    • Argentina
    • Brazil

Market Analyst Overview

The market is experiencing significant growth driven by the increasing digitalization of supply chains and the need for efficient supply chain management. Industries such as aerospace and defense, automotive, and healthcare and life sciences are adopting cloud-based technologies and AI for real-time insight and improved resource utilization. The market is also influenced by factors such as global trade volumes, cross-border transactions, and trade-related sectors. As digital supply chain investment rises, these solutions are becoming essential for businesses to navigate complex processes and enhance supply chain visibility in a rapidly evolving global trade environment.

The market is evolving rapidly due to the increasing adoption of cloud-based technologies like AI and SaaS in industries such as aerospace, automotive, energy, and healthcare. This adoption is driven by the need for efficient cargo tracking, real-time data, and supply chain management. The market also faces challenges such as limited bandwidth, inefficiencies, and disruption caused by factors like the pandemic. However, emerging technologies and predictive analysis are helping businesses overcome these challenges and optimize their trade activities. As global trade continues to expand, it becomes increasingly crucial for companies to stay competitive in the international marketplace.

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 1.05 billion
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 companies, Market Positioning of companies, 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 Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, market growth and trends, 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.

View PDF Sample

What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting of the market between 2023 and 2027
• Precise estimation of the size of the market size and its contribution to the parent market
• Accurate predictions about upcoming market trends and analysis and changes in consumer behavior
• Growth of the market industry across Europe, North America, APAC, South America, and Middle East and Africa
• Thorough market growth analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive market analysis and report on the factors that will challenge the market research and growth of market companies

We can help! Our analysts can customize this market research report to meet your requirements. 

Get in touch