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Last-Mile Delivery Software Market Report 2025-2034: Industry Overview, Trends, And Forecast Analysis
Our market reports now include the latest updates on global tariffs, trade impacts, and evolving supply chain dynamics.What Is the Current Last-Mile Delivery Software Market Size and Its Estimated Growth Rate?
Over recent years, there has been a significant expansion in the size of the last-mile delivery software market. The market, which was valued at $2.70 billion in 2024, is projected to increase to $3.03 billion in 2025, at a compound annual growth rate (CAGR) of 12.3%. The previous period's growth is attributed to factors such as the emergence of localized warehousing, increased investments in automation, escalating fuel prices, a spike in global shipping and a growing need for cold chain deliveries.
The market for last-mile delivery software is predicted to undergo rapid expansion in the coming years. The market is expected to reach a value of $4.76 billion in 2029, reflecting a compound annual growth rate (CAGR) of 12.0%. The escalation during this period is attributable to factors such as the e-commerce surge, a rise in consumer demand for prompt deliveries, increased urbanization, a heightened focus on consumer experience, and a growing push for environmentally friendly delivery modalities. The period's major trends are likely to include IoT incorporation, the integration with fleet management systems, the use of predictive analytics, the uptake of cloud computing, and the growing consumer preference for mobile applications.
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How Are Emerging Segments Shaping the Last-Mile Delivery Software Market Landscape?
The last-mile delivery software market covered in this report is segmented -
1) By Type: Cloud-Based, On-Premises
2) By Enterprise Size: Small And Medium Enterprises, Large Enterprises
3) By Application: Route Planning And Optimization, Fleet Management, Order Tracking, Proof Of Delivery, Customer Communication
4) By End User Industry: E-Commerce, Retail, Food And Beverage, Pharmaceuticals, Manufacturing
Subsegments:
1) By Cloud-Based: Software As A Service (SaaS), Platform As A Service (PaaS), Infrastructure As A Service (IaaS)
2) By On-Premises: On-Premises Software, On-Premises Hardware Solutions
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Which Growth Factors Are Influencing Last-Mile Delivery Software Market Expansion?
The growth of the last-mile delivery software market is expected to be driven by the burgeoning expansion of e-commerce. E-commerce encompasses the digital exchange of goods and services between businesses, consumers, or a mix of both. Its growth is fueled by the convenience it provides, permitting customers to shop without restrictions concerning physical store locations or operation hours. The rise of e-commerce leads to a surge in the necessity for last-mile delivery software due to the generation of numerous time-critical orders. This makes effective and real-time delivery management imperative to fulfill customer expectations for swift and transparent services. For example, in February 2025, a report by the US government agency, the Census Bureau revealed that e-commerce sales surged by 9.4% (±1.1) in the last quarter of 2024 compared to the same period in 2023. Concurrently, overall retail sales saw a growth of 3.8% (±0.5). In this phase, e-commerce accounted for 16.4% of the total retail sales. Thus, the burgeoning growth of e-commerce is poised to propel the last-mile delivery software market.
Who Are the Dominant Players Across Different Last-Mile Delivery Software Market Segments?
Major companies operating in the last-mile delivery software market are Amazon.com Inc., Google LLC, Microsoft Corporation, Oracle Corporation, SAP SE, Uber Technologies Inc., The Descartes Systems Group Inc., Ecom Express Limited, project44 Inc., FarEye (RoboticWares Pvt. Ltd.), Shiprocket, Locus.sh (Locus), Shipsy Private Limited, Bringg Delivery Technologies Ltd., Starship Technologies Inc., DispatchTrack Inc., Relay Platform Inc., Made4net LLC, OneRail Inc., LogiNext Solutions Inc., Route4Me Inc., Matternet Inc., Zorp Technologies Pvt. Ltd., Onfleet Inc., Routific Solutions Inc., Track-POD Ltd.
What Are the Latest Developing Trends in the Last-Mile Delivery Software Market?
Leading organizations in the last-mile delivery software market are prioritizing the creation of innovative technology solutions such as fleet management software in order to improve operational productivity. This kind of software allows companies to monitor, manage and improve vehicle performance, upkeep and transportation logistics, thereby enhancing efficiency and lowering expenses. To illustrate, Bringg, a delivery management firm based in the US, introduced a software called ROAD in October 2023, designed to manage, digitize, and optimize last-mile delivery procedures, including live tracking, route mapping, fleet and driver administration, and automation features. This platform equips businesses with the ability to handle their own fleets with flexibility, automate procedures, and broaden their delivery options. ROAD uplifts time and resource management leading to increased operational efficiency. It provides a versatile tool to streamline last-mile processes and offers scalable features suitable for various businesses. At its core, it enhances the delivery journey for drivers, dispatchers and customers.
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Which Geographic Regions Are Expected to Dominate the Last-Mile Delivery Software Market in the Coming Years?
North America was the largest region in the last-mile delivery software market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the last-mile delivery software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the Last-Mile Delivery Software Market?
2. What is the CAGR expected in the Last-Mile Delivery Software Market?
3. What Are the Key Innovations Transforming the Last-Mile Delivery Software Industry?
4. Which Region Is Leading the Last-Mile Delivery Software Market?
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