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Innovative Digital Air Freight Service ECU360 Simplifies Global Shipping Industry Trends Gaining Momentum in the Global Air Freight Market
Air Freight
Air Freight Market Size Valuation Forecast: What Will the Market Be Worth by 2025?
In the past few years, the air freight market has seen a significant growth in size. From $48.19 billion in 2024, it is expected to surge to $52.27 billion in 2025, marking a compound annual growth rate (CAGR) of 8.5%. This growth during the historical period could be associated with factors such as the customization of footwear, biometric foot mapping, incorporation of health and wellness elements, the forming of connected footwear ecosystems, and integration of fashion technology.
Air Freight Market Size Forecast: What's the Projected Valuation by 2029?
The size of the air freight market is projected to witness robust expansion in the upcoming years, reaching $68.27 billion by 2029, with a compound annual growth rate (CAGR) of 6.9%. This growth throughout the forecast period is likely due to factors such as the implementation of adaptive learning algorithms, emphasis on environmental sustainability, health monitoring and feedback mechanisms, integration with smart assistants, and the use of augmented reality (AR) in retail experiences. Notable aspects of the forecast period include the advent of material innovation, the technology of smart insoles, exclusive collaborations and limited editions, the opportunity for dynamic style customization, along with adaptive and responsive design.
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What Are the Drivers Transforming the Air Freight Market?
The growth of the air freight market is anticipated to be spurred by the increasing demand for quick delivery services. These services belong to the logistic and transportation sectors and are developed to guarantee the quick and punctual delivery of goods or packages from one place to another. Unmatched speed is what makes air freight stand out against other forms of transportation like sea or land. The high speed allows companies to meet tight deadlines and curtail the total transit time of goods. High-value and time-sensitive products such as electronics, perishables and pharmaceuticals often utilise air freight as the preferred mode of transportation. For example, it's anticipated that, as per ShippyPro, a software firm based in Italy, France and the UK will see the delivery of 1.2 billion packages by 2023, which is projected to expand to 1.9 billion by 2027. Besides, the market for same-day delivery is predicted to see significant growth, with an estimated 260 to 521 million items being delivered on the same day by 2027, a leap from 70 million in 2022. Thus, the increasing demand for quick-delivery services is fuelling the growth of the air freight market. The foreseeable growth of the air freight market is also likely to be driven by the burgeoning e-commerce industry. E-commerce, which involves the buying and selling of goods and services over the internet or online platforms, enables digital transactions, payments, and interactions between businesses and consumers. Air freight is integral to the e-commerce industry as it enables the swift and efficient transportation of goods, guarantees timely delivery, and aids the global outreach of online enterprises. For example, as per the U.S. Census Bureau, in the third quarter of 2023, U.S. retail e-commerce sales reached an estimated $271.7 billion, registering a 0.9% (±0.4%) increase from the previous quarter. Compared to the same quarter in 2022, e-commerce sales increased by 7.8% (±1.2%), while total retail sales rose by 2.0% (±0.4%). E-commerce sales accounted for 14.9% of total sales in the third quarter of 2023. Hence, the burgeoning e-commerce industry is propelling the growth of the air freight market.
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What Long-Term Trends Will Define the Future of the Air Freight Market?
Leading firms in the air freight industry are focusing on the creation of cutting-edge technological solutions like ECU360, to enhance their market profitability. ECU360 is an innovative digital air freight service that aims to simplify the shipping process for businesses of all scales. For example, ECU Worldwide, a logistics firm based in Belgium, rolled out a digital air freight service titled ECU360 in April 2023. Clients can avail various unified services, such as obtaining an estimate, instantly converting that estimate into an online booking, and tracking their consignments in real-time. This technology simplifies air freight and shipping operations, making it easier for companies to dispatch their products globally. The launch of ECU360 equips ECU Worldwide to offer unique digital logistics platform which can potentially contribute to the company's expansion and wider penetration in the logistics industry.
Which Segments in the Air Freight Market Offer the Most Profit Potential?
The air freight market covered in this report is segmented -
1) By Service: Freight, Express, Mail, Other Services
2) By Destination: Domestic, International
3) By End Use: Pharmaceutical, Personal Care, Chemicals, Automobile, Fashion, Other End Users
Subsegments:
1) By Freight: General Cargo, Perishable Goods, Dangerous Goods, Other Freight
2) By Express: Time-sensitive Shipments, Door-To-door Services, Other Express Services
3) By Mail: Letters, Parcels, Other Mail Services
4) By Other Services: Charter Services, Customs Clearance, Warehousing And Distribution, Other Services
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Which Firms Dominate the Air Freight Market by Market Share and Revenue in 2025?
Major companies operating in the air freight market report are Deutsche Post AG, United Parcel Service Inc., FedEx Corporation, Deutsche Bahn AG, Delta Air Lines Inc., American Airlines Inc., Kuehne+Nagel International AG, DSV Panalpina A/S, Southwest Airlines Co., Expeditors International Inc., British Airways PLC, Singapore Airlines Limited, Korean Air Lines Co. Ltd., UPS Supply Chain Solutions Inc., Air China Limited, XPO Logistics Inc., TNT Express BV, Kintetsu World Express Inc., Bollore Logistics, Cathay Pacific Airways Limited, Hellmann Worldwide Logistics SE & Co. KG, Cargolux Airlines International S.A., Lufthansa Cargo AG, ANA Cargo Inc., Yusen Logistics Co. Ltd., Qatar Airways Company Q.C.S.C., Nippon Express Co. Ltd., Etihad Airways PJSC, Agility Logistics Pvt. Ltd., CEVA Logistics Ltd.
Which Regions Offer the Highest Growth Potential in the Air Freight Market?
Asia-Pacific was the largest region in the air freight market in 2024. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the air freight market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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