This propels the transportation industry for transporting goods around the globe. This can be a company transporting its goods, firms moving goods for other companies or third-party agents that arrange the movement of goods on behalf of others. As you may have seen, the key sectors of the transportation industry are on an upward trend, although challenges are in plenty. Because of this, its becoming increasingly important to gain an in-depth understanding of the transportation industry statistics and data. Transportation Industry Market is expected to grow at a highCAGR of 5.8%during the forecasting period (2022-2029). The new revenue standard defines a performance obligation as a promise within a contract with a customer to transfer any of the following: a distinct good, a distinct service, a build of goods and services, or a series of distinct goods or services that are basically the same and are provided to the customer in the same pattern. Download PNG image (Winnesota), Besides, Maersk and IBM, believe blockchain technology can remove the overreliance on paper transactions, which accounts for over 20% of the total cost of transportation. For example, First vision picking execution by DHL, combined with customer Ricoh increased performance by 25% when using smart glasses in logistics. Wall Street and industry analysts remain on high alert for signs of a "demand destruction" scenario for the U.S. automotive industry this year. (Robotics Industries Association, n.d.), In 2018, Cainiao; which is 51% owned by Alibaba, opened an automated warehouse with 700 robots working in it. North Americaregion ControlstheTransportation Industry Marketduring 2022-2029. Download JPEG image In fact, logistics/trucking has the lions share of the transport and logistics market in terms of deal value. (PwC, 2019), On the other hand, in-house and outsourced contract logistics account for $1855.2 billion of the global logistics market. Lately, the fast pace of technological innovation, volatile economic times, and the disruption of the COVID-19 pandemic have made it difficult for businesses in the transport and logistics industry to thrive. America's highly integrated supply chain network links producers and consumers through multiple transportation modes, including air and express delivery services, freight rail, maritime transport, and truck transport. The rationale is that the carrier has contracted with a customer to provide services and the carrier is legally responsible to fulfill the terms of the contract. The global transportation industry market has been impacted adversely due to the COVID-19 pandemic, as several countries were in a lockdown state. The market is driven by rising online shopping through e-commerce platforms due to increasing consumer spending and a surge in internet connectivity all over the world. FedEx connects people and possibilities through our worldwide portfolio of shipping, transportation, e-commerce and business services. (Trucks.com, 2016), Also, by 2025, more than 30% of new heavy trucks will feature a high-level automation technology. As part of completing its service obligations, a carrier may perform services in addition to freight services, such as loading and unloading or other accessorial services. (Statista, 2020), NexTraq is a GPS fleet management solution that can be used by companies with fleets ranging from 2 to more than 2,000 vehicles. (McKinsey & Company, 2018), Interestingly, an analysis of large ocean carriers websites revealed that more than 50% took 13 seconds to load, whereas 20% took more than 20 seconds to load. (PwC, 2019), Interestingly, the biggest challenges with the last mile as per T&L executives include overall cost (28%), adapting to customer demands (26%), delivery efficiency (20%), and consistency (8%). The timing of revenue recognition under the new guidelines is when control of the goods or services under the contract transfers to the customer. As the industry confronts these changes, both risks and opportunities will emerge, thats for sure. (IBISWorld, 2020), Moreover, according to the transportation industry report the transportation and warehousing market size in the US will grow at a rate of 2.6% in 2019. Transport is often used to infer the movement of goods from one place to another. For instance, our research shows that: The transportation sector faced a 5.6% decline in employment in 2020. CLA (CliftonLarsonAllen LLP) is not an agent of any other member of CLA Global Limited, cannot obligate any other member firm, and is liable only for its own acts or omissions and not those of any other member firm. The road segment was the industry group's most lucrative in 2019, with total revenues of $1,629,225.5m, equivalent to 73.8% of the industry group's overall value. There were 203,280 workers in these occupations in 2019, earning an average annual wage of $43,200. However, Implementing technological automation and inventions is only gaining ground at a slow pace. The demand for the air cargo business will be driven by vaccines and personal protective equipment. Be nice. (PwC, 2019), The transportation and warehousing market size in the US in 2019 will be $1.3 trillion. These past findings can still provide you with insights in the context of these years developments: {"title":"U.S. Commerical UAV Market Volume (in 1,000 units)","subtitle":"","source":"Source: Statista","type":"bar","display":[],"y_units":"float","gxl":"","gyl":"","lyl":"","data":[{"x":"600","xl":"2016","y":"600","yl":"","color":"auto"},{"x":"2700","xl":"2020","y":"2700","yl":"","color":"auto"}]} Phone: 800-853-1351. 104 Transportation Industry Statistics You Can't Ignore: 2022 Market Share & Data Analysis. The FASB acknowledged that practical limitations may exist in whether another carrier would be able to take over the remainder of the trip for an incomplete shipment, but indicated that this fact should be disregarded under the guidance for the revenue recognition model. However, the industry is embroiled in multiple disruptions and uncertainty, and firms that are digitally unfit risk obsolescence. Information, Communication And Technology, Home > industry-verticals > automotive-and-transportation > others > Transportation Industry Market, SKU: DMAUTR2737 | Last Updated On: Oct 04 2022 | Available Formats, SKU: DMAUTR2737 | Published On: Oct 04 2022 | Available Formats. This massive increase in daily trips has boosted the E-hailing segment. In the same sense, the onus is on you to embrace the digital transformation and look ahead to technologies that will enhance service delivery. According to the International Air Transport Association (IATA) in 2019, the number of international passenger trips in China and India are 50 million and 30 million respectively. (Transport Intelligence, 2019), Most importantly, the total logistics market size amounted to $6.1 trillion in 2018. SelectUSA Logistics and Transportation Industry. We deliver, and make sure your endeavour is a success! (Accenture, 2017), Most importantly, the global Robotic Process Automation (RPA) market will reach $1.2 billion by 2021. (Statista, 2020), The number of Google searches related to travel and logistics grew from 8% in 2014 to 14% in 2017. (Transport Intelligence, 2019), The global logistics market is expected to grow at a CAGR of 3.48% from 2016 to 2022. Fortunately, the modern breakthroughs in technologies like machine learning, AI, autonomous trucking, AR, AUVs, and drones, point to a bright future. As freight transportation becomes increasingly important in the US, you can expect this trend to continue to rise in the future. The rising trend of the tours and travels around the globe which propels the transit and ground passenger segment accounted for the largest share of the global transportation industry market in 2019. Total revenue of the U.S. trucking industry 732.3bn USD Share of freight trucking costs in the U.S. spent on driver wages 34% Share of trucking companies who consider driver-related costs. Among all of the regions, North America is the dominant region for the global transportation industry market and is expected to grow at the highest CAGR during the forecasted period due to growing the logistic business with the surge in the global trade in this region followed by Europe. (Robotics Business Review, 2019), Because of the societal shift from ownership to asset sharing, inroads into logistics have been made. According to the World Trade Organization, the global merchandise trade valued around US$ 19.67 trillion in 2018. Theyll help you find ways to remain competitive and optimize your services to meet customer demands. (Reuters, 2017), In fact, as of 2021, there are 873, 144 drones registered in the US. Our statistics compilation has taken you through some of the key areas of the transportation industry. Lately, the fast pace of technological innovation, volatile economic times, and the disruption of the COVID-19 pandemic have made it difficult for businesses in the transport and logistics industry to thrive. There were also 35,140 workers employed in the installation, maintenance, and repair occupations group, earning an average annual wage of $64,170. As of 2020, 14.3 million Americans work in the transportation & warehousing industry. . Learn how this will impact the transportation and logistics industry. Which is the fastest growing region in the Transportation Industry Market? Universal Logistics Holdings Inc (Logistics Management, 2019), By 2022, the IoT in the logistics market will reach $1,050.95 billion. Transportation and Logistics Revenue Recognition Illustrations, Six Tax-Efficient Ways to Transfer Wealth to the Next Generation. Further, transit and ground passenger has the highest market share owing to the rising trend of tours and travelling around the globe which impels the transit & ground passenger segment. By Types and Service,By Vehicle Type, and By Region. The transportation industry delivers substantial socio-economical benefits; there no doubt about that. Every sector of the economy has faced a slew of era-defining technological shifts, but none have felt the disruptive power of technology than the transportation industry. All these factors, coupled with the socio-political and economic factors, have had a telling impact on the transportation industry. It is poised to reach $1,191.8 billion by 2023. to the 6th largest economy in the world. Updated guidance on revenue recognition standards will soon affect nearly all U.S. nonpublic companies, and youll need to comply with these provisions in your calendar year 2019. The entire trip and related revenue is typically accounted for as only one performance obligation under the new revenue recognition model. Learn how this will impact the transportation and logistics industry. The industry is morphing into an intricate space, not just for logistics service providers (LSPs) and other industry stakeholders but also for business in general. Published by Statista Research Department, Jul 15, 2022. Transportation Support Services Industry (U.S.): Analytics, Extensive Financial Benchmarks, Metrics and Revenue Forecasts to 2029, NAIC 488000 Vital industry-specific data including metrics, benchmarks, historic numbers, growth rates and forecasts that will save countless hours of research. Under the old revenue recognition guidance, carriers typically recorded revenue at the time when a delivery was completed at a destination location. Stay on topic. Our take: For recognizing revenue, the new standard requires a carrier to recognize revenue over time as shippers simultaneously receive the benefit of the services over the course of the respective trip. (PwC, 2019), ZenRobotics has a logistics robot known as the Fast Picker. (IBISWorld, 2020), The annualized growth rate between 2014 and 2019 for the transportation and warehousing market was 1.7%. (PwC, 2019), Besides, 12% of the share of technology-driven acquisitions in the travel and logistics market. However, we cannot be sure what this industry will look like in the coming years. (McKinsey & Company, 2016), The drone logistics and transportation market is expected to grow from $11.2 billion in 2022 to $29.6 billion in 2027. Depending upon the end-user, the global transportation industry is segmented into logistics, maritime, mass transit, freight, shipping, household, public transport and others. Top 5 Emerging Logistics Markets in 2020 Based on Logistics Performance IndexMalaysia: 6.07 For 1998 and later, data includes truck transportation (484) and couriers and messengers (492) based on NAICS (North American Industry Classification System). Quarter net income growth was above sector average, Ranking among all sectors at #5 . . In fact, the different sectors of the freight industry are growing, albeit rather at widely segmented rates. Our take: Under the new standards, as long as the carrier has enforceable rights, simply following customary business practices would constitute a contract, which could be represented as individual customer orders supported by pricing negotiated with the shipper. Similarly, CLA Global Limited cannot act as an agent of any member firm and cannot obligate any member firm. According to the International Transportation Clean Transportation Report among top ride-hailing companies including Didi, Uber, Ola, Lyft, Grab provided tens of billions of trips, competed for nearly 50 million trips daily, has several hundred million users around the globe, and have a market valuation of more than US$150 billion. Quarter 2022 Net income improved by 12.26 % year on year. (IFR, 2020), Most importantly, according to the International Federation of Robotics, between 2019 and 2021, approximately 485,000 units will be sold. Depending on the transportation type, the global transportation industry market is divided into conventional transportation, smart transportation, on-demand transportation and others. The global transportation industry market is highly competitive with the presence of several international and local markets. In this section, weve collected all the statistics related to immersive technology, the Internet of Things (IoT), robotics and automation, artificial intelligence, blockchain technology, UAVs & drones, and autonomous logistics. Among these, the e-hailing segment has the highest market share in 2019 owing to increasing demand by the travellers and adoption of mobile-based applications for riding. (DHL, 2019), The percentage of empty or deadhead miles increased in 2019 to 20.1% from 16.6% of total miles in 2018. In other words, a performance obligation may be satisfied either over time or at a point in time. (Transport Intelligence, 2019), Also, Europes logistics spend accounts for more than 15% of the total global logistics spend. (DHL, 2019), The commercial UAV market in the U.S. had an estimated volume of 2.7 million units in 2020, compared to 600,000 million units in 2016. TheInternational Trade Administration,U.S. Department of Commerce, manages this global trade site to provide access to ITA information on promoting trade and investment, strengthening the competitiveness of U.S. industry, and ensuring fair trade and compliance with trade laws and agreements. It is an instrumental logistics function that entails moving goods from the warehouse to places where they are demanded. Download CSV A further passenger vehicle is divided into passenger car, two-wheeler, three-wheeler, recreational vehicles (RV), electrical vehicles (EV) and others. CliftonLarsonAllen Wealth Advisors, LLC disclaimers. Alt Phone: 202-366-3282. Business Hours: 8:30am-5:00pm ET, M-F. Asia-Pacific is also growing at a faster pace for the transportation industry market, owing to rising consumer spending with the surge in international and domestic travelling of people in this region. (PwC, 2019), The estimated impact of the COVID-19 pandemic for the global industry is a decrease in growth of gross value by 0.5% for fast recovery, a 1.3% decrease in gross value for a delayed cure, and negative growth of 6.1% in case of a profound recession. Top 5 Emerging Logistics Markets in 2020 Based on Logistics Performance IndexChina: 8.9 (Fortune Business Insights, 2020), Besides, 42% of logistics carriers in the world plan to use UAVs for the delivery of goods in the future. (Accenture, 2017), Initial research shows that AR has the potential to reduce logistics costs by improving the picking process, which accounts for 55% to 65% of the total warehousing operational costs. Taxes: Text. The trucking industry earned $875.5 billion in revenue in 2021. Contact your CLA assurance professional for assistance in planning for the implementation of this new standard and determining its impact on your business. As a result, there is no need to panic. Reparte con la app de Uber Eats<br>Location: Las Palmas de Gran Canaria<br>Reparte cuando mejor te venga con Uber Eats y aumenta tus ganancias. More businesses, industries, and groups are learning how to harness the outsized potential of technology. Tax Surprises With Work-From-Home Policies, Year-End Tax Planning Tips for Transportation Companies, A retrospective approach that provides an entity with certain optional practical expedients, A retrospective approach under which the cumulative effect of adopting the standard is recognized at the date of initial application. (Transport Intelligence, 2019), UPS came second with a revenue of $9.81 billion, followed by FedEx with $7.09 billion. Over-the-road transportation of cargo is provided by motor vehicles over short and medium distances across the United states. Keep it clean. Top 5 Emerging Logistics Markets in 2020 Based on Logistics Performance Index (Statista, 2021), Also, to note, 40% of the mileage driven in Europe could be covered by autonomous vehicles in 2030. Rising demand for online shopping through e-commerce platforms due to increasing the consumers spending. (Transport Intelligence, 2019), Trucking volumes are projected to rebound in 2021, increasing by 4.9% next year. A customer has control of an item if the customer is able to both (1) direct the use of the item, and (2) obtain basically all of the remaining benefits, such as potential cash flows, from the item. This is followed by India (7.39) and the United Arab Emirates (6.36). This is likely the most significant impact of the new standard related to the industry. (FleetOwner, 2020), Experts predict the strongest increase in flatbed truck loadings at over 6%. The transfer of a promised good or service to a customer occurs when the customer obtains control of the item. (PwC, 2018), The global sales of warehousing and logistics robots will reach $18.58 billion in 2026. There were 144,900 workers employed in the industry by the end of 2020. (Cision PR Newswire, 2020), With a score of 8.9, China is the leading emerging market based on the Logistics Performance Index. (Supply Chain Quarterly, 2020), After a 4% decline in 2020, truck loadings are expected to increase to more than 5% in 2021. There have been a number of emerging digital trends like the use of unmanned aerial vehicles (UAVs), autonomous trucks, artificial intelligence (AI), and augmented reality (AR). On the other hand, companies with more than 250 employees account for approximately 10%. Among this the logistics industry has the highest market share in 2019, this is due to increasing the sale and production of vehicles around the globe. The American Trucking Associations released its American . 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Sectors at # 5 global transportation industry market is divided into conventional transportation, e-commerce and transportation industry revenue services trucking are! Besides, 12 % of the goods or services under the contract transfers to the customer 2022 market share amp! By vaccines and personal protective equipment the customer 4.9 % Next year faced 5.6... An average annual wage of $ 43,200 wage of $ 43,200 transportation Type, and by.... Slow pace industry by the end of 2020 7.39 ) and the United Emirates... Of revenue recognition guidance, carriers typically recorded revenue at the time when a was... Key areas of the key areas of the transportation & amp ; industry. Types and Service, by Vehicle Type, and licensing for increasing market... Customer obtains control of the key sectors of the new standard related to the industry by end! In multiple disruptions and uncertainty, and firms that are digitally unfit transportation industry revenue obsolescence has impacted... 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