Global air cargo industry is continuously growing. According to a study released by International Air Transport Association (IATA) in February, 2018, air cargo represents more than 35% of the global trade by value. Air cargo is a crucial enabler of the global economy. IATA also forecasted a continuous rise in cargo carried to 62.5 million tons in the year 2018 (+4.5% on the 59.9 million tons in 2017). Additionally, the value of goods is also expected to rise and reach up to US$ 6.2 trillion by the end of 2018. The value is expected to represent 7.4% of the world GDP. Many of the big industries including pharmaceutical, FMCG, electronic, and e-commerce rely heavily on air transport for fast and efficient delivery of goods. In fact, currently, live animals are also being transported by air from one place to another. However, rather than being a catalyst to the global economy, the air cargo industry is facing several challenges. These challenges are largely related to sustainability, profitability and customer satisfaction. Therefore, today, one of the key priorities of the air cargo industry is to streamline the transportation operation for better customer service.
Air cargo software is available to make air cargo operations more efficient. Air cargo software is a comprehensive software solution that maintains the bookings of cargo on the flight to monitoring the consignment. It therefore enables the paperless exchange of data. The software solution manages the entire air export shipment from quotes to booking. It also manages import shipment by seamlessly transmitting import data to customs and handling all the compliances efficiently. Some of the highlighted features of the solution include quotation handling, flight scheduling management, compliance check and validation, automatic document achieving, and tracking and tracing various events. The air cargo software solution is also sometimes referred to as air freight software and cargo management software.
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The Air cargo software market is driven by the exceptional growth of the global air cargo industry and the continuous need to automate air cargo operations. The air cargo industry is now willing to invest in software solutions to streamline the transportation process. With the continuous growth in amount of cargo carried via Airs, there is an urgent need to manage the flow of cargo. Manual or paper based management of air cargo operations led to considerable errors. Such errors severely impacted the overall operation of air cargo. Therefore, software solutions are being implemented in order to minimize such errors.
The Air cargo software market can be segmented on the basis of enterprise, deployment type, and region. On the basis of enterprise, the air cargo software market can be segmented into small & medium enterprises (SMEs) and large enterprises. Based on deployment, the air cargo software market can be divided into on-premise and cloud based solutions. In terms of region, the air cargo software market can be categorized into North America, Europe, Asia Pacific, Middle East & Africa, and South America.
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The air cargo software market is made up of a large number of big and medium size solution providers. The air cargo software market is expected to witness entry of more players with the growth in demand for such solutions. It will then lead to more competition in the air cargo software market. Competition might be on the basis of software features and price. In order to efficiently compete in the air cargo software market, solution providers will have to continuously improve and upgrade their offerings to retain their customer base.
Key players operating in the Air cargo software market are IBS Software, Riege Software International GmbH, Kale Logistics Solutions, Boltrics, The Descartes Systems Group Inc., Magaya Corporation, Unisys, Accenture, and Aurora Software, Inc.
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