In IL’s most recent survey, technology providers revealed that demand for their services continues to surge, and AI’s role in their offerings is strengthening.
The appetite for advanced supply chain & logistics technology solutions continues to be ravenous. There appears to be no sign of easing in sight. This is as shippers & their partners seek the tools to manage an increasingly complex & rapidly evolving world, particularly in areas such as real-time tracking, inventory management, and data analytics.
Inbound Logistics’s latest survey of the supply chain & logistics technology market, reflects an industry that is enjoying enviable demand for its services. 65% of respondents reported sales growth of 10% or more year-over-year. This occurred while 52% of respondents reported that their customer base grew by 10% or more.
The trends fuelling this growth are multifaceted.
The demand for advanced supply chain, logistics & transportation technology is accelerating. This occurs while enterprises are facing persistent labour shortages. Additionally, there are supply disruptions, sustainability pressures, and increasing customer expectations. These were the views expressed by Lucy Griffiths, the senior marketing manager for Blue Yonder – a provider of supply chain management solutions with its headquarters in Scottsdale, Arizona. Griffiths added that these challenges expose the limits of fragmented, function-specific systems. It also emphasises the necessity of end-to-end, AI-driven platforms. These connect planning & execution, besides the extended supply chain network, in real time.
Bobby Kaemmer, vice president of supply chain services for Cadre Technologies, a provider of warehouse management solutions & supply chain visibility tools based in Denver, Colorado, said that the convergence of the B2C, B2B, & omnichannel fulfilment models increasingly drives the logistics sector’s growth.
Kaemmer added that, as customer expectations surge & order profiles become more complex, shippers & 3PLs are investing in flexible warehouse operations that are capable of scaling quickly. While sustaining accuracy & efficiency. Kaemmer added that this shift is pushing many 3PLs beyond traditional B2B models, besides accelerating demand for advanced warehouse management solutions. The process includes automation & intelligent tools that support evolving workflows, besides data-driven decision-making.
Meanwhile, a series of disruptions have marked the present era. These affect supply chains across the world. They also prompt enterprises involved in the field to turn to technology for help.
Matt Waldman, senior marketing manager for Americold, an Atlanta-based temperature-controlled warehousing & distribution services provider, said that global volatility continues to drive interest in technologies that support scenario analysis, besides network adjustments.
The increasing availability, besides the capabilities of artificial intelligence (AI), is at the centre of it all.
Griffiths added that AI is now foundational. It enables innovations in network-level orchestration. Additionally, AI contributes to transportation optimisation, warehouse automation, and intelligent order fulfilment. These are all grounded in a single data model, besides a shared source of truth.
IL’s annual survey of a broad assortment of logistics & supply chain technology providers offers a revealing look at their present views of the marketplace. They compile & analyse their responses to yield insights that may help to inform others about the technologies that may bring one’s operations to new heights. Furthermore, to learn what may be coming next.
Industry
Supply chain, logistics and transportation continue to hold steady as the vertical category that vendors most frequently serve. 91% of the survey participants say that they work in that industry, at the same percentage as the previous year.
In general, the industries served by vendors appear to have remained fairly consistent in recent times. Food & beverage increased 2% points to 75% this year. This move places food & beverage in a tie for 2nd with manufacturing (which is down 6 points) and retail (which is down 3 points).
The next tier of enterprise verticals features industrial (64%, down 3 points from ’25), wholesale (58%, down 3 points), & eCommerce, which also dropped 8 points to 56%. Notably, eCommerce has fallen 10 points over the past 2 years, even as the overall eCommerce market has continued to show growth.
