The Freight Forwarding market is forecast to experience significant growth over the next few years. According to the MMI Research “Global Freight Forwarding Professional Survey Report 2024, Forecast to 2029,” this growth is driven by increasing globalization, the rise of e-commerce, and advancements in logistics technology. The compound annual growth rate (CAGR) for the 2024-2029 period is projected to be 5.66% based on the MMI Research regression analysis model.

Analysts’ Viewpoint:
"Freight forwarding market faces inefficiencies due to fragmented services and outdated technology. This fragmentation results in higher costs and hinders the ability to optimize supply chains." said Amy, Senior analyst, Software & Service Market Research Center in MMI Research. "To improve, freight forwarders should embrace digital transformation. Implementing blockchain for secure documentation, AI for predictive analytics, and IoT for real-time tracking can enhance efficiency and reduce costs. Standardizing processes across the industry will further streamline operations and improve service quality."

Market insight：
As businesses venture into the global marketplace, they encounter many logistical challenges and complexities. These complexities stem from varying regulations, customs procedures, transport modes, and geographic distances in international commerce. To navigate these challenges successfully, companies require the expertise and support of freight forwarders who understand the intricacies of international logistics. Freight forwarders serve as intermediaries between businesses and the various entities involved in transporting and delivering goods, including shipping lines, airlines, trucking companies, customs authorities, and more.
The rapid expansion of e-commerce has also profoundly impacted the market's growth. Online retail and digital marketplaces have experienced significant growth as consumers increasingly prefer to shop online, transforming how products are sourced and sold. This shift towards digital commerce often involves international trade, which presents intricate supply chain logistics challenges that are met by freight forwarders. Online retailers and e-commerce platforms rely heavily on freight forwarders to efficiently move goods from manufacturers, often located in different countries, to consumers spread across the globe. This reliance on specialized logistics companies has become a hallmark of the e-commerce supply chain.
Online retail businesses acquire goods from a worldwide network of manufacturers to provide customers with various products. Freight forwarding holds a pivotal position in orchestrating the movement of these goods, guaranteeing their smooth transition from the manufacturer's base to the online retail firm's distribution hubs or storage facilities. This entails managing the intricate aspects of international shipping, customs processes, and legal requirements, which can significantly differ between countries.
In addition, online retail firms often need to disseminate products to customers across the globe, necessitating a sophisticated approach to worldwide supply chain management. Freight forwarding is an indispensable collaborator in devising transportation routes, opting for the most suitable modes of transport (whether by air, sea, or land), and overseeing the freight forwarding processes necessary for delivering goods to customers' residences. They possess the necessary expertise to navigate the complexities of international trade and guarantee the timely and efficient movement of merchandise.

Competition Landscape:
A blend of global freight forwarding companies, regional, and local players exist in the freight forwarding market. Small and medium-sized local operators with limited fleets and storage space continue to serve the market. The market is dominated by the top 20 players, which account for more than 50% of it. DHL Global Forwarding, DB Schenker, Kuehne + Nagel International AG, DSV, Expeditors International, and other global freight forwarding companies in the freight forwarding market. The players need to embrace technology, become more digital, and increase the scale and efficiency of their operations as the freight forwarder market share continues to grow steadily, and there are numerous opportunities. For businesses, an extensive network across the globe is essential. Acquisitions and mergers in the ASEAN logistics market have become increasingly attractive to international investors. As a result of increased business and trade activities, global logistics companies have been expanding in the ASEAN region.
This MMI Research market report is designed to help clients improve their market position, and in line with this, this report provides a detailed analysis of several leading Freight Forwarding companies that include Kuehne+Nagel; Deutsche Post AG; DB Schenker; Expeditors International of Washington, Inc.; CEVA Freight forwarding; DSV; FedEx; Uber Technologies, Inc.; United Parcel Service of America, Inc.; NIPPON EXPRESS HOLDINGS.

Segmentation of Freight Forwarding Market:
Based on mode of transport, the market is classified into road, maritime, rail, and air. The road segment dominated in 2024. One of the primary factors contributing to the ubiquity of road transportation is its adaptability and accessibility. Road transportation can access a wide range of locations, even reaching remote areas where alternative modes might not be as feasible. This accessibility makes it the preferred choice for conveying goods to diverse destinations, thus serving a broad clientele. Furthermore, cost-efficiency has played a pivotal role in propelling the expansion of road transport. In numerous instances, road transport is more economically efficient for short to medium-distance shipments than rail or air transport. This cost-related advantage has rendered road transport an appealing alternative for regional and local deliveries, particularly in scenarios where punctual and cost-effective delivery is paramount.
Based on customer type, the market is classified into B2B and B2C. The B2B segment dominated in 2024. Technology integration has been instrumental in driving the growth of the B2B segment. B2B customers are actively seeking technology-driven solutions to enhance supply chain visibility and control. This includes the adoption of transportation management systems (TMS), real-time tracking, and advanced analytics tools to optimize routes, reduce costs, and improve overall efficiency. Sustainability and green freight forwarders have become paramount concerns for B2B customers. Environmental considerations and regulatory pressure are pushing these customers to seek freight providers that offer sustainable transportation options. This may involve carbon-neutral shipping, electric or alternative-fuel vehicles, and the implementation of more eco-friendly supply chain practices.
Based on service, the market is classified into transportation & warehousing, value-added services, packaging, and others. The transportation & warehousing segment dominated in 2024. The rapid growth of e-commerce has been a major driver for the transportation and warehousing segment. Online retailers require efficient freight forwarding solutions to manage inventory, order fulfillment, and ensure timely customer delivery. This has increased demand for transportation and warehousing services to support the e-commerce supply chain. Moreover, last-mile delivery is a critical aspect of e-commerce freight forwarding, and companies are increasingly investing in innovative solutions to optimize this final leg of the delivery process. This has created opportunities for transportation companies specializing in last-mile delivery services.
Based on application industry, the market is classified into retail & e-commerce, healthcare, food & beverages, media & entertainment, industrial & manufacturing, oil & gas, and others. The industrial and manufacturing segment dominated in 2024. The expansion of the segment is influenced by various distinctive trends and factors shaping its progression. One pivotal driver behind this growth is the escalating complexity of global supply chains within these sectors. Industrial and manufacturing companies frequently operate globally, necessitating efficient freight forwarding solutions to oversee the procurement of raw materials, navigate the intricacies of production processes, and distribute finished products to diverse markets. In addition, the adoption of Just-in-Time (JIT) manufacturing practices has significantly contributed to the growth of this segment. Manufacturers increasingly embrace JIT principles to minimize the costs associated with holding inventory. This approach hinges on the punctual and precise delivery of raw materials and components, which, in turn, places substantial demands on freight forwarding services to guarantee a smooth and timely transportation process.

Freight Forwarding Market: Regional Analysis
In terms of geography, the global Freight Forwarding market has been segmented into: North America, Asia Pacific, Europe, South America, and the Middle East and Africa. Asia Pacific led the overall market in 2024. Urbanization and infrastructure development have been instrumental in reshaping the freight-forwarding landscape across the region. The swift pace of urbanization has prompted substantial investments in modern transportation networks, freight forwarding centers, and technologically advanced warehouses, all of which have contributed to enhancing the efficiency and competitiveness of the freight forwarding industry. Furthermore, the expansion of cross-border trade has played a pivotal role in propelling this growth. Countries within the Asia Pacific have been actively involved in cross-border trade facilitated by various trade agreements and economic alliances. Notably, China's Belt and Road Initiative has significantly bolstered trade connectivity, resulting in a heightened demand for cross-border freight forwarding services.
Europe is expected to register the highest CAGR throughout the forecast period. Intermodal transport has gained prominence in European freight forwarding. This approach involves using multiple modes of transportation, such as road, rail, sea, and air, to move goods efficiently. It offers cost savings, reduces environmental impact, and enhances overall freight forwarding efficiency, making it an attractive option for companies seeking to optimize their supply chains. The emergence of digital freight marketplaces and platforms has streamlined the freight forwarding process. These platforms connect shippers and carriers more efficiently, often employing algorithms to match cargo with available transport capacity. Digitalizing freight forwarding operations enhances transparency, reduces friction, and improves customer experience.