Truck-as-a-Service Market Size to grow by USD 13.87 billion between 2024-2028
According to a research report “ Truck-as-a-Service Market” by Service (Rental services, Telematics and analytics, Truck platooning) Application (Chemicals, Pharmaceutical and healthcare, FMCG, Food and beverages, Others) Geography (North America, Europe, APAC, Middle East and Africa, South America)- Global Forecast to 2028 published by Technavio, the market size is estimated to grow by USD 13.87 billion, at a CAGR of 4.09% during the forecast period. The global trucking industry is experiencing a significant shift towards digitalization, driven by OEMs and technology suppliers adjusting their business strategies in response to intensifying competition. This transformation is leading fleet operators to prioritize efficiency and cost reduction, resulting in the emergence of truck-as-a-service business models. Key players in the truck manufacturing sector, including Daimler, Volvo, Ford Motor, and Ashok Leyland, are embracing advanced technologies such as telematics and autonomous trucking to enhance their offerings. Telematics services integrated into trucks provide real-time data on vehicle condition, traffic, loading capacity, and cargo status, enabling operators to optimize their fleet management and maintenance strategies..
Browse market data tables, figures, and in-depth TOC on “Truck-as-a-Service Market” by Service (Rental services, Telematics and analytics, Truck platooning) Application (Chemicals, Pharmaceutical and healthcare, FMCG, Food and beverages, Others) Geography (North America, Europe, APAC, Middle East and Africa, South America) Global Forecast to 2028. Download Free Sample
By Service, the Rental services segment is projected to dominate the market size in 2024
The truck-as-a-service market encompasses a significant portion of the rental segment. This business model offers flexible and economical alternatives to a diverse clientele. Truck rentals are particularly appealing to businesses confronting seasonal shifts or unexpected surges in demand for their goods. These services cater to both short-term logistical requirements and project-specific needs. Furthermore, individuals and small enterprises benefit from truck rentals as they alleviate the burden of owning and maintaining vehicles. Notable global truck rental companies include Tata Motors Ltd, Fleet Complete, and Ashok Leyland Ltd, who lead the industry.
By Application, Chemicals segment is expected to hold the largest market size for the year 2024
In the Truck-as-a-Service (TaaS) market, the chemical segment experiences significant growth due to the expanding role of third-party logistics (3PL) providers in the global chemical industry. These providers offer a range of services, including packaging, inventory management, cross-docking, door-to-door delivery, and advanced technological solutions such as cloud computing, 3D printing, augmented reality, drone delivery, mobile applications, and big data analytics. Through digital freight brokerage, telematics, and other TaaS offerings, 3PLs enhance supply chain visibility for chemical shippers. This increased visibility empowers shippers to execute transactions, monitor assets and shipments, and collaborate with internal and external partners, thereby fueling demand for TaaS in the chemical sector. The burgeoning need for logistics services in the chemical industry presents a lucrative opportunity for TaaS providers to expand their revenue and market presence in emerging markets.
North America is forecasted to hold the largest market size by region in 2024
The North American region is projected to dominate the global Truck-as-a-Service (TaaS) market due to the significant growth of the e-commerce industry in the US and Canada. With e-commerce sales accounting for approximately 8% of total retail sales in the US, there is a surging demand for last-mile delivery and next- and same-day services. This trend is particularly prominent in sectors such as food and beverages, electronics, and other consumer goods. As a result, the requirement for efficient and reliable trucking solutions has escalated, propelling the expansion of the TaaS market in North America.
The Truck-as-a-Service Market growth and forecasting report also includes detailed analyses of the competitive landscape of the market growth and forecasting and information about 20 market companies, including:
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Research Analysis Overview
The Truck-as-a-Service (TaaS) market is revolutionizing the logistics sector by offering heavy-duty and light-duty trucks as a service to carriers and shippers. Digital freight brokerage platforms are at the forefront of this trend, leveraging telematics to optimize route planning and operational efficiency. Autonomous driving technologies are also playing a role, enabling carriers to reduce ongoing maintenance costs and upfront capital expenses. Global TaaS providers like Flexport are leading the charge, offering door-to-door shipping options and international freight forwarding services. Digital platforms enable real-time tracking and monitoring of transportation resources, ensuring timely delivery and improved road infrastructure. Shippers and carriers benefit from the flexibility and cost savings of TaaS solutions, while trucking services providers gain a steady stream of revenue and reduced risk. Fleet electrification is another trend driving growth in the TaaS market, with companies like Flexport investing in sustainable transportation options. The future of TaaS looks bright, with ongoing advancements in digital platforms, telematics, and autonomous driving technologies set to transform the way goods are transported on roadways.
Market Research Overview
The Truck-as-a-Service (TaaS) market is revolutionizing the transportation industry by offering carriers and shippers access to a fleet of trucks on-demand. Ethical considerations, such as liability and safety, are crucial in this sector, with autonomous systems and alternative fuel technologies playing a significant role. TaaS is not limited to heavy-duty trucks but also extends to light-duty vehicles, machinery, electronics, building materials, automobiles, petrochemicals, apparels, footwear, and more. E-commerce activities, agriculture, and the FMCG segment are major contributors to the growth of TaaS. Truck platooning, digital freight brokerage, and route planning through digital platforms are essential elements of this market. The logistics sector, including air cargo facilities, railroads, ports, and the road network, is also undergoing digital transformation. Customer satisfaction and consumer expectation rely on efficient route planning, delivery times, and product freshness. Temperature management, fleet management, and vehicle capacity usage are crucial for the transportation of perishable goods. Maintenance costs and emissions regulations necessitate fleet modernization, with battery electric vehicles and alternative fuel vehicles gaining popularity. Experienced truck drivers, safety regulations, and regulatory hurdles are significant challenges in the TaaS market. Peak seasons and truck-as-a-service providers' delivery networks require cost-effective last-mile delivery solutions. The retail landscape, e-commerce giants, and rapid urbanization are driving the need for cost-effective transportation options and shipping alternatives. The trucking sector is undergoing digital transformation, with artificial intelligence (AI) and machine learning (ML) playing a significant role in optimization, fuel conservation, real-time data monitoring, and collision mitigation technology. Blockchain, telematics, and ongoing maintenance costs are also essential aspects of the TaaS market. The future of TaaS lies in fleet electrification, improved road infrastructure, door-to-door service, and truck-as-a-service solutions.
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