The global third-party logistics services (3PL) market is expected to rise by a nearly 8% compound annual growth rate (CAGR) over the next several years, reaching more than $2.1 billion by 2032, according to market research released this week.
The adoption of smart technology, such as machine learning and artificial intelligence, will play a key role in that growth as 3PLs seek to boost their service capabilities. More broadly, e-commerce activity, a surge in industrial activities, and demand for outsourced logistics services will also contribute to market growth, according to the report from market research firm Fact.MR.
“The advent of e-commerce platforms across various sectors, including healthcare, railway, automotive, and more, has led to an increased demand for streamlined supply chain management to enhance revenue,” the report’s authors wrote. “Consequently, end-users are turning to smart third-party logistics solutions to ensure productivity and profitable returns.”
By industry, manufacturing is expected to be the dominant force in driving 3PL growth, but healthcare will also stimulate demand—largely because of the need for essential medicines and vaccines worldwide, but also because of a growing emphasis on outsourcing logistics services among healthcare companies, according to the report.
Regionally, the United States is expected to make the most significant contribution to developing the market, driven by demand for cold storage. Asia-Pacific is expected to see the fastest growth during the forecast period, an expected 10% CAGR.