×
Request Free Sample ×

Kindly complete the form below to receive a free sample of this Report

* Please use a valid business email

Leading companies partner with us for data-driven Insights

clients tt-cursor
Hero Background

US Connected Logistics Market

ID: MRFR/ICT/12907-HCR
100 Pages
Garvit Vyas
October 2025

US Connected Logistics Market Size, Share and Trends Analysis Report By Software (Asset Management, Warehouse management system, Security), Platform (Application Management, Device Management, Connectivity Management), Transportation Mode (Roadways, Railways, Airways, Waterways) - Forecast till 2035

Share:
Download PDF ×

We do not share your information with anyone. However, we may send you emails based on your report interest from time to time. You may contact us at any time to opt-out.

US Connected Logistics Market Infographic
Purchase Options

US Connected Logistics Market Summary

As per analysis, the US Connected Logistics Market is projected to grow from USD 13.04 Billion in 2024 to USD 70.18 Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 16.53% during the forecast period (2025 - 2035).

Key Market Trends & Highlights

The US Connected Logistics Market is poised for substantial growth driven by technological advancements and evolving consumer demands.

  • The market is witnessing an increased adoption of IoT solutions, enhancing operational efficiency across various sectors.
  • Fleet Management remains the largest segment, while Warehouse Management is emerging as the fastest-growing segment in the connected logistics landscape.
  • In the retail sector, which is currently the largest, there is a notable shift towards sustainability initiatives and advanced analytics integration.
  • Key market drivers include the growing demand for real-time tracking and advancements in supply chain technology, which are shaping the future of logistics.

Market Size & Forecast

2024 Market Size 13.04 (USD Billion)
2035 Market Size 70.18 (USD Billion)
CAGR (2025 - 2035) 16.53%

Major Players

Amazon (US), UPS (US), FedEx (US), DHL (DE), C.H. Robinson (US), XPO Logistics (US), J.B. Hunt Transport Services (US), Oracle (US), SAP (DE)

US Connected Logistics Market Trends

The US Connected Logistics Market is currently experiencing a transformative phase, driven by advancements in technology and the increasing demand for efficiency in supply chain operations. The integration of Internet of Things (IoT) devices, artificial intelligence, and big data analytics is reshaping how logistics companies manage their operations. This evolution not only enhances visibility across the supply chain but also facilitates real-time decision-making, which is crucial for maintaining competitiveness in a rapidly changing environment. Furthermore, the emphasis on sustainability and reducing carbon footprints is prompting logistics providers to adopt smarter, more connected solutions that align with environmental goals. In January 2026, the landscape of the US Connected Logistics Market appears to be characterized by a growing focus on automation and digitalization. Companies are increasingly investing in technologies that streamline processes, reduce operational costs, and improve customer satisfaction. The rise of e-commerce continues to influence logistics strategies, necessitating more agile and responsive supply chains. As organizations navigate these changes, collaboration among stakeholders, including technology providers and logistics firms, is likely to play a pivotal role in shaping the future of connected logistics in the United States.

Increased Adoption of IoT Solutions

The US Connected Logistics Market is witnessing a surge in the adoption of Internet of Things (IoT) solutions. These technologies enable real-time tracking of shipments, enhancing visibility and operational efficiency. Companies are leveraging IoT devices to monitor conditions such as temperature and humidity, which is particularly vital for sensitive goods. This trend suggests a shift towards more data-driven decision-making processes, allowing logistics providers to respond swiftly to potential disruptions.

Focus on Sustainability Initiatives

Sustainability is becoming a central theme within the US Connected Logistics Market. Organizations are increasingly prioritizing eco-friendly practices, such as optimizing routes to reduce fuel consumption and implementing green technologies. This trend indicates a broader commitment to corporate social responsibility, as companies seek to align their logistics operations with environmental standards and consumer expectations for sustainable practices.

Integration of Advanced Analytics

The integration of advanced analytics into logistics operations is gaining traction in the US Connected Logistics Market. By utilizing big data and predictive analytics, companies can enhance their forecasting capabilities and improve inventory management. This trend highlights the importance of data in driving operational improvements and achieving a competitive edge in the logistics sector.

US Connected Logistics Market Drivers

Rising E-commerce Activities

The US Connected Logistics Market is significantly influenced by the rapid growth of e-commerce activities. With online shopping becoming increasingly prevalent, logistics companies are under pressure to adapt their operations to meet the demands of fast and efficient delivery. Data indicates that e-commerce sales in the US have reached over 900 billion dollars, necessitating a robust logistics infrastructure. This surge in e-commerce is prompting logistics providers to invest in connected logistics solutions that facilitate last-mile delivery and improve inventory management. As businesses strive to enhance their service offerings and maintain competitive advantages, the integration of connected logistics technologies is likely to become a priority, further propelling the growth of the US Connected Logistics Market.

Focus on Cost Reduction Strategies

The US Connected Logistics Market is increasingly characterized by a focus on cost reduction strategies among logistics providers. Companies are under constant pressure to minimize operational costs while maintaining service quality. Connected logistics solutions, such as automated inventory management and predictive analytics, offer opportunities for significant cost savings. By optimizing routes and improving resource allocation, logistics firms can reduce fuel consumption and labor costs. Recent studies suggest that companies implementing connected logistics technologies can achieve cost reductions of up to 20%. This emphasis on cost efficiency is driving the adoption of connected logistics solutions, as organizations strive to enhance their profitability in a competitive market. As a result, the focus on cost reduction is likely to be a key driver of growth in the US Connected Logistics Market.

Growing Demand for Real-Time Tracking

The US Connected Logistics Market is experiencing a notable surge in demand for real-time tracking solutions. Companies are increasingly recognizing the value of visibility in their supply chains, which allows for enhanced decision-making and operational efficiency. According to recent data, approximately 70% of logistics companies in the US have adopted some form of real-time tracking technology. This trend is driven by the need to improve customer satisfaction and reduce delays. As consumers expect timely deliveries, businesses are compelled to invest in connected logistics solutions that provide accurate tracking information. This growing demand for transparency in logistics operations is likely to propel the US Connected Logistics Market further, as organizations seek to leverage technology to meet customer expectations and optimize their supply chain processes.

Advancements in Supply Chain Technology

The US Connected Logistics Market is witnessing a wave of advancements in supply chain technology, which is reshaping logistics operations. Innovations such as blockchain, artificial intelligence, and machine learning are being integrated into logistics processes, enhancing efficiency and accuracy. These technologies enable better data sharing and collaboration among supply chain partners, which is essential for optimizing logistics operations. As companies increasingly recognize the potential of these advancements, investments in connected logistics solutions are expected to rise. The integration of cutting-edge technologies not only streamlines operations but also provides a competitive edge in the market. Consequently, the ongoing technological evolution is likely to drive the growth of the US Connected Logistics Market, as firms seek to leverage these innovations to improve their supply chain performance.

Regulatory Support for Digital Transformation

The US Connected Logistics Market is benefiting from increasing regulatory support aimed at promoting digital transformation within the logistics sector. Government initiatives, such as the Federal Motor Carrier Safety Administration's (FMCSA) efforts to enhance safety and efficiency through technology, are encouraging logistics companies to adopt connected solutions. These regulations often incentivize the use of advanced technologies, including IoT and data analytics, which are crucial for the development of connected logistics. As a result, logistics firms are more likely to invest in innovative solutions that align with regulatory requirements. This supportive regulatory environment is expected to drive growth in the US Connected Logistics Market, as companies strive to comply with evolving standards while enhancing their operational capabilities.

Market Segment Insights

By Application: Fleet Management (Largest) vs. Warehouse Management (Fastest-Growing)

In the US Connected Logistics Market, Fleet Management stands out as the largest segment, accounting for a significant portion of the overall market share. This segment plays a crucial role in optimizing transportation and logistics operations, facilitating real-time tracking, and enhancing operational efficiency. On the other hand, Warehouse Management is emerging rapidly, benefiting from the surge in e-commerce and the need for more efficient inventory handling and movement within warehouses. This competition strengthens both segments, leading to innovations and improvements in connected logistics solutions.

Fleet Management (Dominant) vs. Warehouse Management (Emerging)

Fleet Management solutions are characterized by comprehensive systems that provide visibility and control over transportation fleets. These systems enhance route optimization, reduce operational costs, and improve compliance with regulatory standards. Comparatively, Warehouse Management systems are becoming increasingly vital as they help businesses streamline warehouse operations amid rising demands for faster deliveries. These systems leverage advanced technologies, such as IoT and AI, to automate processes and improve accuracy in inventory handling. Despite Fleet Management's dominance, the Warehouse Management sector is witnessing rapid growth, driven by the necessity for more agile and efficient logistical operations in response to e-commerce needs.

By End Use: Retail (Largest) vs. Healthcare (Fastest-Growing)

The US Connected Logistics Market displays a varied distribution across its end-use segments, with the retail sector commanding the largest market share. Retail operations leverage connected technologies to enhance supply chain visibility and efficiency. Meanwhile, the healthcare sector is rapidly gaining traction, driven by the increased demand for real-time tracking of medical supplies and pharmaceuticals, marking it as a significant player in the market landscape. As organizations adopt connected logistics solutions, segment dynamics are evolving, allowing for more strategic resource allocation and supply chain responsiveness. Current trends indicate robust growth across all end-use segments, particularly in the healthcare domain, where the need for enhanced patient care and operational efficiencies is paramount. This growth is fueled by the integration of IoT devices and data analytics, enabling stakeholders to gain valuable insights and optimize logistics processes. Retail remains a critical component of the market, focusing on inventory management and consumer delivery expectations. Overall, the connected logistics market is witnessing a shift as sectors adapt to modern demands and technological advancements.

Retail (Dominant) vs. Food and Beverage (Emerging)

The retail sector stands out as a dominant force in the US Connected Logistics Market, characterized by its extensive use of data analytics and inventory management systems. Retailers are increasingly employing connected logistics solutions to streamline operations and enhance the customer experience. The emphasis on efficient supply chain practices drives investments in technologies that support real-time tracking and improved operational decision-making. In contrast, the food and beverage sector is viewed as an emerging segment, harnessing connected logistics to ensure product freshness and compliance with safety regulations. This sector is gradually adopting innovative technologies to improve traceability and manage complex supply chains, allowing brands to meet customer expectations for quality and reliability. The contrast between these segments highlights a market dynamic where established players are leveraging technology while newer players are pursuing growth through innovation.

By Technology: Internet of Things (Largest) vs. Artificial Intelligence (Fastest-Growing)

In the US Connected Logistics Market, the Internet of Things (IoT) holds the largest share, driven by its capacity to enhance operational efficiency and enable real-time visibility throughout the supply chain. Following IoT, Artificial Intelligence (AI) is rapidly gaining traction, leveraging advanced algorithms to optimize logistics operations, forecasting, and decision-making processes. The combined impact of IoT and AI shapes a landscape where logistics is increasingly automated and intelligent, leading to significant improvements in service delivery and cost reduction. The growth trends for technology segments indicate a robust shift towards automation and data-driven decision-making. The proliferation of IoT devices is fueling data collection and real-time monitoring, which, when integrated with AI, enhances predictive analytics and operational efficiency. Furthermore, the increasing demand for data security is propelling the adoption of Blockchain technology among enterprises, while Cloud Computing provides the necessary infrastructure for scalable solutions. Together, these technologies are crucial in transforming the logistics sector into a more interconnected and efficient ecosystem.

Logistics: IoT (Dominant) vs. Blockchain (Emerging)

The Internet of Things (IoT) has emerged as the dominant force within the US Connected Logistics Market, primarily due to its ability to streamline operations and provide real-time tracking of goods. The extensive deployment of IoT devices enhances visibility across the supply chain, allowing businesses to monitor inventory levels, transportation conditions, and more. In contrast, Blockchain technology is considered an emerging segment with significant potential. It addresses pressing issues such as transparency and traceability in logistics, securing data transactions and minimizing fraud. While IoT focuses on connecting devices and collecting data, Blockchain offers a decentralized approach to secure that data, promising a transformative impact on supply chain integrity and efficiency.

By Service Type: Consulting (Largest) vs. Support and Maintenance (Fastest-Growing)

In the US Connected Logistics Market, the service type segment is characterized by three primary services: Consulting, Integration, and Support and Maintenance. Among these, Consulting holds the largest market share, driven by the increasing need for optimization and strategic guidance in logistics operations. Support and Maintenance, while smaller in market share, represents a rapidly growing segment due to the ongoing necessity for system upkeep and technical assistance as organizations invest in more complex connected systems. The growth trends in the Service Type segment are primarily influenced by technological advancements and the rising demand for seamless integration of logistics functions. With the proliferation of IoT devices and data analytics, businesses are seeking comprehensive consulting services for implementation strategies. Furthermore, the focus on customer satisfaction is propelling the support and maintenance services, highlighting a shift towards prioritizing sustained operational efficiency and reliability in logistics processes.

Consulting (Dominant) vs. Integration (Emerging)

Consulting services have emerged as the dominant force in the US Connected Logistics Market, offering essential expertise in strategy development, technology implementation, and operational efficiency. These services are crucial for organizations aiming to maximize the benefits of connected logistics systems, as they provide tailored solutions that address specific business requirements. On the other hand, Integration services are seen as an emerging area, reflecting the growing complexity of logistics environments where disparate systems need to work cohesively. The emphasis is on creating interoperable systems that enhance visibility and control throughout the supply chain, thus ensuring that integration remains a critical component as businesses adapt to changing market demands.

Get more detailed insights about US Connected Logistics Market

Key Players and Competitive Insights

The Connected Logistics Market is currently characterized by a dynamic competitive landscape, driven by technological advancements and the increasing demand for efficient supply chain solutions. Major players such as Amazon (US), UPS (US), and FedEx (US) are at the forefront, each adopting distinct strategies to enhance their operational capabilities. Amazon (US) continues to leverage its vast logistics network and advanced data analytics to optimize delivery times, while UPS (US) focuses on integrating AI and IoT technologies to improve route efficiency and reduce operational costs. FedEx (US), on the other hand, emphasizes sustainability initiatives, aiming to achieve carbon neutrality by 2040, which reflects a broader industry trend towards environmentally responsible logistics solutions. Collectively, these strategies not only enhance individual company performance but also intensify competition within the market, as firms strive to differentiate themselves through innovation and service reliability.

In terms of business tactics, companies are increasingly localizing manufacturing and optimizing supply chains to respond swiftly to market demands. The competitive structure of the market appears moderately fragmented, with several key players holding substantial market shares. This fragmentation allows for a diverse range of services and solutions, fostering innovation as companies seek to capture market share through unique offerings. The collective influence of these major players shapes the market dynamics, as they continuously adapt to evolving consumer expectations and technological advancements.

In December 2025, Amazon (US) announced the expansion of its drone delivery service, aiming to enhance last-mile delivery efficiency. This strategic move is significant as it positions Amazon (US) to capitalize on the growing demand for rapid delivery services, potentially reducing delivery times to mere hours. The integration of drone technology not only streamlines operations but also aligns with the company's commitment to innovation and customer satisfaction.

In November 2025, UPS (US) unveiled its new sustainability program, which includes investments in electric vehicles and renewable energy sources. This initiative is crucial as it reflects the company's proactive approach to addressing environmental concerns while simultaneously improving operational efficiency. By committing to sustainable practices, UPS (US) not only enhances its brand image but also meets the increasing consumer demand for eco-friendly logistics solutions.

In October 2025, FedEx (US) launched a new AI-driven analytics platform designed to optimize supply chain management for its clients. This platform is expected to provide real-time insights and predictive analytics, enabling businesses to make informed decisions regarding inventory and logistics. The introduction of such technology underscores FedEx's (US) focus on digital transformation and its commitment to providing value-added services to its customers.

As of January 2026, the Connected Logistics Market is witnessing a pronounced shift towards digitalization, sustainability, and AI integration. Strategic alliances among key players are increasingly shaping the competitive landscape, fostering collaboration that enhances service offerings and operational efficiencies. Looking ahead, it is likely that competitive differentiation will evolve, with a greater emphasis on innovation and technology rather than solely on price. Companies that successfully integrate advanced technologies and sustainable practices into their operations are poised to lead the market, as reliability and efficiency become paramount in meeting customer expectations.

Key Companies in the US Connected Logistics Market include

Future Outlook

US Connected Logistics Market Future Outlook

The US Connected Logistics Market is projected to grow at a 16.53% CAGR from 2025 to 2035, driven by advancements in IoT, AI, and data analytics.

New opportunities lie in:

  • Integration of AI-driven predictive analytics for supply chain optimization.
  • Development of blockchain solutions for enhanced transparency and security.
  • Expansion of real-time tracking systems for improved customer engagement.

By 2035, the market is expected to be robust, driven by technological advancements and increased demand for efficiency.

Market Segmentation

US Connected Logistics Market End Use Outlook

  • Retail
  • Manufacturing
  • Healthcare
  • Food and Beverage

US Connected Logistics Market Technology Outlook

  • Internet of Things
  • Artificial Intelligence
  • Blockchain
  • Cloud Computing

US Connected Logistics Market Application Outlook

  • Fleet Management
  • Warehouse Management
  • Inventory Management
  • Transportation Management

US Connected Logistics Market Service Type Outlook

  • Consulting
  • Integration
  • Support and Maintenance

Report Scope

MARKET SIZE 202413.04(USD Billion)
MARKET SIZE 202515.16(USD Billion)
MARKET SIZE 203570.18(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)16.53% (2024 - 2035)
REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR2024
Market Forecast Period2025 - 2035
Historical Data2019 - 2024
Market Forecast UnitsUSD Billion
Key Companies ProfiledAmazon (US), UPS (US), FedEx (US), DHL (DE), C.H. Robinson (US), XPO Logistics (US), J.B. Hunt Transport Services (US), Oracle (US), SAP (DE)
Segments CoveredApplication, End Use, Technology, Service Type
Key Market OpportunitiesIntegration of advanced analytics and Internet of Things technologies enhances efficiency in the US Connected Logistics Market.
Key Market DynamicsRising demand for real-time data analytics drives innovation in the US Connected Logistics Market.
Countries CoveredUS
Leave a Comment

FAQs

What is the current valuation of the US Connected Logistics Market?

As of 2024, the US Connected Logistics Market was valued at 13.04 USD Billion.

What is the projected market size for the US Connected Logistics Market by 2035?

The market is projected to reach a valuation of 70.18 USD Billion by 2035.

What is the expected CAGR for the US Connected Logistics Market during the forecast period?

The expected CAGR for the US Connected Logistics Market from 2025 to 2035 is 16.53%.

Which companies are considered key players in the US Connected Logistics Market?

Key players include Amazon, UPS, FedEx, DHL, C.H. Robinson, XPO Logistics, J.B. Hunt Transport Services, Oracle, and SAP.

What are the main applications of connected logistics in the US market?

The main applications include Fleet Management, Warehouse Management, Inventory Management, and Transportation Management.

How does the retail sector contribute to the US Connected Logistics Market?

The retail sector accounted for 3.91 USD Billion in 2024 and is expected to grow significantly by 2035.

What technological advancements are driving the US Connected Logistics Market?

Technologies such as the Internet of Things, Artificial Intelligence, Blockchain, and Cloud Computing are pivotal, with IoT valued at 4.5 USD Billion in 2024.

What service types are included in the US Connected Logistics Market?

Service types encompass Consulting, Integration, and Support and Maintenance, with Integration valued at 5.22 USD Billion in 2024.

What is the projected growth for the transportation management segment?

The Transportation Management segment is projected to grow from 3.41 USD Billion in 2024 to a much larger figure by 2035.

How does the healthcare sector impact the US Connected Logistics Market?

The healthcare sector represented 2.6 USD Billion in 2024 and is anticipated to expand as logistics solutions evolve.

Download Free Sample

Kindly complete the form below to receive a free sample of this Report

Compare Licence

×
Features License Type
Single User Multiuser License Enterprise User
Price $4,950 $5,950 $7,250
Maximum User Access Limit 1 User Upto 10 Users Unrestricted Access Throughout the Organization
Free Customization
Direct Access to Analyst
Deliverable Format
Platform Access
Discount on Next Purchase 10% 15% 15%
Printable Versions