Secure Logistics Market Size 2024-2028 

The secure logistics market size is forecast to increase by USD 32.73 billion, at a CAGR of 7.4% between 2024 and 2028. The market is experiencing significant growth, driven by the increasing need for secure transportation of valuable goods, particularly in the context of global cash circulation. This trend is further fueled by the ability to track shipments in real-time, providing greater transparency and reducing the risk of theft or loss. Competition from multiple secure logistics players is intensifying, leading to innovation and advancements in technology and security measures. Additionally, the growing importance of supply chain security in the face of increasing global trade and the threat of terrorism and cyber attacks is further boosting the market growth. Overall, the secure logistics market is poised for continued expansion, driven by these key trends and challenges.

What will be the Size of the Market During the Forecast Period?

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Market Dynamic and Customer Landscape

Deregulation in the financial sector is attracting significant foreign direct investments from high net-worth individuals seeking advanced wealth management services. The integration of blockchain, Internet of Things (IoT), and artificial intelligence is transforming inventory and warehousing management, particularly for diamonds and gemstones. With the use of global positioning systems (GPS) and real-time monitoring, security has become a priority, leading to increased reliance on security personnel, armored vehicles, and cash-in-transit companies. Financial organizations are enhancing cash management services and electronic payment systems to ensure security and efficiency. Additionally, advancements in machine learning algorithms are improving both security services and cash services, while airplanes and ATMs support global and local financial transactions.

Key Market Driver

• One of the key factors driving growth in the secure logistics market is the rising need for secure logistics for global cash circulation.
• Cash circulation is the regular and continuous use of monetary units of cash for market transactions.
• In 2020, the rise of digital payments was anticipated to replace the use of cash for transactions across the world. However, recent data still shows that the flow of cash across the world, especially in developing countries, is soaring high.
• Convenience is a reason behind the prevalence of cash transactions. One of the convenient features of cash transactions is that cash transactions do not need a valid bank account or a phone number to complete the transaction.
• Cash remains one of the most important payment methods all over the world, despite the rise of electronic and mobile payment methods,
• As cash logistics is the backbone of cash circulation, secure logistics emerges as an important process in making cash available to users.

Significant Market Trends

• The growing ability to track shipments is a secure logistics market trend that is expected to have a positive impact in the coming years.
• Secure logistics providers allocate consumers with a tracking code to track the movement and time required for the arrival of goods.
• The shippers can keep track of the exact pick-up time of the goods and the total transit time, and in case of a delay, shippers can accordingly make cost-effective changes to enhance the performance of logistics. 
• The shippers can track and inform customers about delays, besides being able to change the mode of transportation for process improvement if required.
• Traditional tracking devices, such as bar codes and radio frequency identification (RFID), still remain relevant. However, innovations and the declining cost of cellular and satellite technology make it easier to secure near-real-time coverage across almost the entire globe.
• The continuous advancements in shipment tracking technologies for better supply chain visibility are a recent trend in the market.

Major Market Challenge

• The competition from multiple secure logistics players will be a major challenge for the secure logistics market during the forecast period.
• The main reason for the presence of multiple secure logistics players in the market is globalization, which has opened the market to many competitors providing similar services but with unique selling propositions that help differentiate them from other providers.
• Adapting logistics models to the needs of customers is one of the challenges faced by competitors and many companies that do not provide logistics as a core competency opt for outsourcing a part of or the entire logistics process.
• Logistics providers need to align the company’s value chain based on, cost optimization, order processing, and fixed assets.
• In the global secure logistics market, successful logistics players gain a competitive advantage by selecting a model that best suits the company’s objectives and is adherent customers’ requirements.

Exculsive Customer Landscape

The market forecasting report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.

 Customer Landscape

Key Companies & Market Insights

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

Allied Universal: The company offers commercial security systems such as web and GPS-based patrol route management.

The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about key companies, including:

• AGS Transact Technologies Ltd.
• Cash Logistik Security AG
• CMS Info Systems Ltd.
• GardaWorld Security Corp.
• Global Security Logistics Co.
• Japan Post Holdings Co. Ltd.
• Loomis AB
• Paragon Security
• Prosegur Compania de Seguridad SA
• Securitas AB
• Security Plus Group
• SIS Ltd.
• SSL Logistics
• StorageVault Canada Inc.
• The Brinks Co.
• Writer Business Services Pvt. Ltd.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Market Segmentation

By Service 

The security services segments is estimated to witness significant growth during the forecast period.  An increase in the outsourcing of security services can be attributed to the growing need to outsource non-core activities to prominent vendors for focusing on the core competencies of the company. This is a trend seen globally in the market due to the high additional cost of maintaining an in-house security team, recruiting eligible candidates, and managing security personnel. As the cost of forming and maintaining an in-house team is high, organizations prefer outsourcing their security services to established players that provide and maintain entire security teams without any need for intervention by the organization.

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The security services segments accounted for USD 35.99 billion in 2018 and showed a gradual increase during the forecast period. Securitas and G4S are the major vendors of security services in the global market. They provide and maintain their security teams without the need for any form of intervention to assess the quality of the security services provided. Vendors have a trained workforce for specific user requirements and provide security services as per the needs of corporate clients, shopping malls, individual customer requirements, and airport security. Thus, such factors are expected to drive the growth of the focused market during the forecast period.

Regional Analysis

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APAC is estimated to contribute 37% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The secure logistics industry in APAC is predicted to witness fast growth during the forecast period. Vendors such as G4S, Prosegur, and Securitas are the major players in APAC. China, Japan, and India are the three prominent countries in the security logistics market in APAC. Increasing security requirements in these countries is a contributing factor to the growth of the secure logistics industry in APAC.

Segment Overview

The market research report provides comprehensive data (region wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2024 to 2028, as well as historical data from 2018 to 2022 for the following segments.

• Service Outlook
  • Security services
  • Cash services

• Region Outlook
  • North America
    • The U.S.
    • Canada
  • Europe
    • U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • South America
    • Chile
    • Argentina
    • Brazil
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa

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Market Analyst Overview

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What are the Key Data Covered in this Market Forecast Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting of the market between 2024 and 2028
• Precise estimation of the market size and its contribution to the parent market
• Accurate predictions about upcoming market trends and analysis and changes in consumer behavior
• Growth of the market across Europe, North America, APAC, South America, and Middle East and Africa
• Thorough market growth analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive market analysis and report on the factors that will challenge the market research and growth of market companies