The secure logistics market involves transportation, warehousing and distribution of goods under strict security protocols. It ensures safety of goods and cargo during transit as well as storage from theft, damage and other risks. The need for secure logistics has grown significantly with rising international trade and growing vulnerabilities in supply chains. Various industries such as banking, pharmaceuticals, defence and government organizations rely on professional secure logistics services for transporting sensitive and high value products and documents.
The global Secure Logistics Market is estimated to be valued at US$ 89.94 Bn in 2023 and is expected to exhibit a CAGR of 8.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The adoption of blockchain technology by logistics companies is a key trend in the market. Blockchain allows supply chain participants to share real-time updates about shipment locations and details in an immutable digital ledger. This enhances transparency and security. Smart contracts powered by blockchain automate transportation and payments between entities. Furthermore, implementation of IoT devices in logistics is gaining traction. Devices such as RFID tags, sensors and GPS trackers provide real-time shipment monitoring and prevent theft. This drives efficiency and security in logistics operations.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as the secure logistics market requires high capital investment and is a heavily regulated industry.
Bargaining power of buyers: The bargaining power of buyers is moderate as there are a limited number of secure logistics providers and buyers have some influence on pricing.
Bargaining power of suppliers: The bargaining power of suppliers is low as there are many suppliers for secure logistics equipment and services.
Threat of new substitutes: The threat of new substitutes is low as there are limited alternative means to transport high-value or sensitive cargo securely apart from secure logistics providers.
Competitive rivalry: High as the major players compete aggressively on parameters like pricing, service quality, and security capabilities.
Key Takeaways
Global Secure Logistics Market Demand is expected to witness high growth, exhibiting CAGR of 8.0% over the forecast period, due to increasing global trade and rising demand for secure transportation of valuable cargo.
The market size for secure logistics was valued at US$ 89.94 Bn in 2023. North America dominated the secure logistics market with a share of over 35.0% in 2023. Factors such as growing e-commerce sector and presence of key players have driven the market in the region. Asia Pacific is expected to witness the fastest growth during the forecast period owing to rising international trade in countries such as China and India.
Key players operating in the secure logistics market are Garda World, Brinks, Securitas, G4s, and Loomis. Garda World is one of the largest private security companies in the world, providing cash services, consulting, and operational security solutions. Brinks is a multinational provider of secure logistics and security services.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it