UPS(UPS) GlobeNewswire News Room·2024-10-17 08:13Market Overview - The US Fourth-Party Logistics (4PL) market is projected to grow from USD 15.16 billion in 2024 to USD 20.30 billion by 2029, with a CAGR of 6.01% during the forecast period [1] - The US is expected to dominate the North American 4PL market due to strong macroeconomic development, corporate tax cuts, and a stable labor market [2][3] Market Drivers - Increasing demand for logistics services driven by growing imports and exports, as well as the relocation of manufacturing operations to Mexico due to affordable labor [2][3] - The complexity of global supply chains necessitates effective and user-friendly supply chain systems, contributing to the growth of the 4PL market [4] - Rising consumer demand for eco-friendly logistics solutions is prompting the logistics and e-commerce sectors to adapt their methods [5] E-commerce Influence - The e-commerce sector is a significant driver of growth in the 4PL market, with US e-commerce sales expected to reach USD 1.01 trillion by 2023 [7] - The demand for quick deliveries is increasing, leading major retailers to enhance their logistical services to meet customer expectations [7] Technological Integration - Technological advancements such as artificial intelligence, machine learning, and cloud computing are enhancing the efficiency of 4PL providers in managing complex supply chains [7][9] - The integration of data analytics allows businesses to better understand consumer behavior and optimize inventory management [9] Market Segmentation - The US 4PL market is fragmented, with key players including UPS Supply Chain Solutions, DB Schenker, GEODIS, and XPO Inc. [10] - The market is segmented by operating model and end-user, with significant demand from sectors like FMCG, retail, and healthcare [13]