Press release
Last-mile Delivery Software Market Forecasted to Expand to US$ 11.35 Bn by 2032 - PMR Insights
Last-mile Delivery Software Market
In today's fast-paced digital economy, consumers expect swift, reliable, and seamless delivery of goods. This expectation has fueled the demand for efficient logistics solutions, particularly in the last leg of the supply chain - the "last mile." The last-mile delivery software market plays a pivotal role in optimizing delivery routes, reducing costs, and enhancing the end-user experience. From real-time GPS tracking to AI-driven logistics automation, the rise of sophisticated delivery platforms is transforming how businesses manage fulfillment.
According to recent estimates, the global last-mile delivery software market is projected to grow from US$ 7,236.5 Mn in 2025 to US$ 11,353.4 Mn by 2032, registering a CAGR of 6.8% during the forecast period. This growth is driven by an explosion in e-commerce, the adoption of cloud-based logistics platforms, and the need for sustainable and scalable delivery systems. The cloud-based software segment is expected to lead due to its affordability and scalability, while North America is anticipated to remain the dominant market owing to the region's mature logistics infrastructure and rising consumer expectations.
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➤ Key Highlights from the Last-mile Delivery Software Market
➤ North America is projected to account for 32.8% of global market share in 2025.
➤ Cloud-based delivery software will dominate with a 50.3% market share by 2025.
➤ Courier, express, and parcel (CEP) applications are set to command 35.4% market share.
➤ AI and real-time tracking features are boosting software demand among logistics firms.
➤ Growing e-commerce in developing nations is increasing need for optimized delivery solutions.
➤ Sustainability goals are prompting companies to use software to monitor carbon emissions.
Market Segmentation: Products and Applications
The last-mile delivery software market is segmented based on software deployment and application type. In terms of deployment, the cloud-based segment is expected to dominate in 2025 with over 50% market share. This growth is fueled by its flexibility, lower infrastructure costs, and ability to scale across regions without the need for physical infrastructure. Cloud-based solutions are also better equipped for remote updates and integrations with AI and IoT features.
By application, courier, express, and parcel (CEP) services are set to lead the market, holding 35.4% market share in 2025. This is largely due to the surge in online shopping and the need for faster, trackable deliveries. Retailers and logistics firms are turning to advanced software to streamline delivery operations, reduce missed deliveries, and offer real-time customer notifications.
Regional Insights
North America is anticipated to be the dominant regional market, commanding 32.8% share in 2025. The United States and Canada are leading in terms of e-commerce penetration, digital infrastructure, and logistics innovation. Major players in the region are investing heavily in software to enhance delivery efficiency and customer satisfaction.
Meanwhile, Asia-Pacific is emerging as the fastest-growing market, propelled by quick commerce expansion in countries like India and China. High urban population density, smartphone penetration, and booming online retail are all contributing factors to this rise in demand for efficient last-mile software solutions in the region.
Market Drivers
The primary driver of the last-mile delivery software market is the exponential growth of e-commerce across both developed and developing economies. Online retailers are under pressure to meet same-day or next-day delivery expectations, and software platforms are essential for optimizing route planning and delivery windows. Additionally, technological advancements in AI, machine learning, and GPS tracking are enabling businesses to offer highly personalized and predictive delivery experiences.
Market Restraints
Despite its potential, the market faces challenges such as integration complexities with legacy systems and data security concerns. Small and medium enterprises may find it difficult to adopt advanced software solutions due to high initial costs or lack of in-house IT expertise. Furthermore, inconsistencies in infrastructure across emerging markets can hamper real-time tracking and cause delivery delays, impacting overall software adoption.
Market Opportunities
The push towards sustainable logistics opens up new opportunities for software vendors. Businesses are increasingly focused on reducing their carbon footprint, and last-mile delivery software can track fuel consumption and optimize vehicle usage. Moreover, the rise of autonomous delivery vehicles and drones creates new use cases for software developers to integrate with hardware, expanding their market reach beyond traditional delivery fleets.
Frequently Asked Questions (FAQs)
➤ How Big is the Last-mile Delivery Software Market?
➤ Who are the Key Players in the Global Last-mile Delivery Software Market?
➤ What is the Projected Growth Rate of the Last-mile Delivery Software Market?
➤ What is the Market Forecast for the Last-mile Delivery Software Market by 2032?
➤ Which Region is Estimated to Dominate the Last-mile Delivery Industry through the Forecast Period?
Company Insights
✦ Bringg
✦ FarEye
✦ Onfleet
✦ LogiNext
✦ GetSwift
✦ Shipwell
✦ DispatchTrack
✦ Track-POD
✦ WorkWave Route Manager
✦ Zebra Technologies
■ In 2024, FarEye introduced a new AI-based delivery orchestration tool aimed at improving predictive delivery windows and reducing failed deliveries.
■ Onfleet announced an API integration with Shopify and Magento to automate last-mile operations for e-commerce retailers in Q1 2025.
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Conclusion
As logistics continues to evolve with increasing digitization, the last-mile delivery software market stands as a critical component in the broader supply chain ecosystem. From small retailers to global logistics giants, businesses are realizing the transformative potential of AI-enabled, cloud-based delivery systems that offer transparency, speed, and sustainability.
With strong market drivers such as growing e-commerce, real-time tracking needs, and customer-centric logistics models, the industry is on a clear upward trajectory. However, addressing integration challenges and ensuring scalability across diverse markets will be key for future success.
In the years to come, vendors that offer flexible, eco-friendly, and intelligent last-mile solutions will not only capture market share but also redefine the global delivery experience.
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Our approach combines traditional market research methods with modern tools to offer comprehensive research solutions. With a decade of experience, we pride ourselves on deriving actionable insights from data to help businesses stay ahead of the competition. Our client base spans multinational corporations, leading consulting firms, investment funds, and government departments. A significant portion of our sales comes from repeat clients, a testament to the value and trust we've built over the years.
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