Logistics Market Size in the US: A Comprehensive Breakdown

The logistics industry is the lifeblood of the global economy, ensuring the seamless movement of goods and services. The United States, being one of the world's most advanced economies, has a massive logistics sector that plays a pivotal role in its economic activities. This article provides a detailed breakdown of the logistics market size in the US, focusing on first mile, mid-mile, and last-mile logistics, and offers a comparison of SaaS solutions in the logistics sector.

Overview:

• The logistics industry encompasses the physical process of accumulating resources, transportation, and distribution. Historically, the term "logistics" was primarily used in the military to describe efforts in acquiring, storing, and shipping supplies. In today's context, it includes sourcing goods, manufacturing, inventory management, handling, transportation, storage, IT, and security costs.

Market Size:

• The U.S. logistics market is approaching the $2 trillion mark based on economic activities in 2019. In 2018, business logistics costs in the U.S. exceeded $1.6 trillion, with transportation accounting for two-thirds of the total cost.

Segmentation:

• First Mile: This refers to the initial stage of the logistics chain, from the manufacturer or producer to the first storage facility. It's a crucial segment as it sets the tone for the entire logistics process.
• Mid-Mile: This segment involves the transportation of goods from one storage or distribution center to another, often across states or even countries.
• Last-Mile: This is the final step in the logistics chain, where goods are delivered from the local storage facility to the end consumer. It's one of the most complex and cost-intensive segments due to the need for speed and precision.

SaaS in Logistics:

• The rise of technology has led to the adoption of Software as a Service (SaaS) solutions in the logistics sector. These platforms offer tools for real-time tracking, route optimization, inventory management, and more. The U.S. 3PL market, which heavily relies on such solutions, reached $213.5 billion in gross revenue in 2018.

Global Comparison:

• Globally, the logistics market was valued at $9.6 trillion in 2018. The Asia-Pacific region, for instance, has a 3PL market roughly 50% larger than North America. However, the U.S. logistics market has been growing faster than the overall economy, indicating its increasing significance.

Future Outlook:

• With the continuous growth of e-commerce and technological advancements, the U.S. logistics market is poised for further expansion. The global logistics industry is expected to exceed $15 trillion by 2023, with the U.S. playing a significant role in this growth.

Meta Keywords: Logistics, US Market Size, First Mile, Mid-Mile, Last-Mile, SaaS, 3PL, Transportation, Growth, Economy.

Meta Description: Dive into the U.S. logistics market size, exploring first mile, mid-mile, and last-mile logistics. Discover the role of SaaS and the future outlook of this lucrative sector.

Logistics, US Market Size, First Mile, Mid-Mile, Last-Mile, SaaS, 3PL, Transportation, Growth, Economy.