Waterway Transportation Software Market Size - By Component (Software, Services), By Deployment Model (On-Premises, Cloud, Hybrid), By Industry Vertical & Forecast, 2024 - 2032

Waterway Transportation Software Market Size

Waterway Transportation Software Market size was valued at USD 75 billion in 2023 and is estimated to register a CAGR of over 7.5% between 2024 and 2032. Various water transport infrastructure investments are driving the market. Governments and organizations globally are allocating significant resources to enhance and expand waterway transportation networks. This includes investments in ports, terminals, vessels, and related infrastructure.
 

For instance, in July 2023, Coal India, an Indian government-owned coal entity, and the government of Odisha announced to invest USD 1.46 billion to build an industrial water transport corridor. This corridor will connect two ports in the eastern state of Odisha through the Bramhi River and is expected to carry 12-15 million tons of cargo by 2030. The new project is launched to ease the burden on off-road and rail infrastructure and carry finished products including steel and aluminum.
 

In addition, digital solutions are fueling the waterway transportation software market growth. This technology enhances operational efficiency with the help of different solutions including route optimization, cargo tracking, and logistics management software. Further, they reduce costs and ensure timely deliveries. With increased digitization, companies can access real-time data, streamline operations, and improve decision-making. Companies operating in the market are launching innovative tracking software to help provide users with complete transparency about the exact location of their shipments.
 

For instance, in April 2023, Hapag-Llyod launched Live Position, a dry container tracking product. The product gives customers full transparency regarding the location of their shipments from the beginning of the journey to their destination. The new product launch highlights the company’s commitment to deploy IoT technology in logistics on a big scale.
 

Protecting critical data and systems from cyber threats is a significant challenge in the waterway transportation software market. The industry relies on digital systems for navigation, logistics, and communication. However, the increased digitization makes it susceptible to cyberattacks, potentially disrupting operations, compromising safety, and causing financial losses. Ensuring robust cybersecurity measures, regular updates, employee training, and compliance with maritime cybersecurity regulations are essential in safeguarding sensitive data and maintaining the integrity and security of waterway transportation systems. All these factors hamper the adoption of waterway transportation software and hinder market growth.
 

Waterway Transportation Software Market Trends

The utilization of IoT devices and sensors is considered one of the emerging trends in the waterway transportation software industry. This technology provides real-time monitoring of vessel conditions and cargo, thus offering valuable insights for enhanced safety, efficiency, and decision-making. Additionally, IoT sensors track factors such as temperature, humidity, cargo integrity, and engine performance. Companies operating in the market are using IoT to develop various software for the maritime industry.
 

For instance, in June 2023, Europorte, a rail freight operator and subsidiary of Getlink Group partnered with Kerlink, a provider of IoT solutions announced to launch Track Value, a monitoring solution for all freight activities on road, rail, air, and sea. This is the first industrial application in the freight and logistics sector to use data transmission through Kineis space connectivity.
 

Moreover, predictive analytics is an emerging trend in the waterway transportation software market. It involves using advanced data analytics and AI to forecast maintenance needs and optimize shipping routes. By analyzing historical and real-time data, predictive analytics can predict when vessels and equipment require maintenance, minimizing downtime and reducing operational costs. It also aids in route optimization, allowing for efficient navigation, reduced fuel consumption, and on-time deliveries, contributing to improved overall performance and cost-efficiency in waterway transportation.
 

Waterway Transportation Software Market Analysis

Based on the deployment model, the market is divided into on-premises, cloud, and hybrid. The cloud segment held a market share of over 50% in 2023 and is expected to reach around USD 80 billion by 2032. Cloud-based solutions offer scalability, flexibility, and cost-efficiency, making them an attractive choice for waterway transportation operators.
 

For instance, in July 2023, Unafix, a Dutch start-up, introduced a cloud-based charter platform for shipowners and brokers. This platform streamlines the chartering process, offering efficient communication and document management while enhancing collaborations between stakeholders in the maritime industry. It provides a centralized digital solution to optimize ship chartering operations, reflecting the growing interest in technology-driven solutions within the maritime sector. By leveraging cloud technology, companies can easily access & share critical data, enhance collaboration, and ensure real-time updates, even in remote locations.
 

Based on industry vertical, the waterway transportation software market is categorized into consumer & retail, oil & gas, industrial & manufacturing, energy & mining, aerospace & defense, construction, chemicals, pharmaceuticals & healthcare, food & beverages, and others. The oil & gas segment accounted for a market share of around 22% in 2023.
 

The oil and gas industry is highly regulated to guarantee safety and environmental protection. The presence of international maritime laws and regulations including MARPOL (International Convention for the Prevention of Pollution from Ships) and SOLAS (Safety of Life at Sea) mandates the use of advanced transportation software solutions that offer tools to monitor and reduce potential hazards related to the transport of hazardous materials. Furthermore, this advanced software helps in enhancing shipping routes and lowering fuel consumption and operations in the oil & gas sector, where efficiency in transportation impacts profitability.
 

North America is experiencing growth in the waterway transportation software market. The region accounted for a market share of around 35% in 2023. This region boasts a well-developed waterway transportation infrastructure, and there is a growing emphasis on optimizing operations through software solutions. The need for efficient cargo management, compliance with environmental regulations, and increased security measures are propelling the adoption of waterway transportation software.
 

Furthermore, North America's focus on innovations and technology adoption positions it as a prominent market for the continued expansion of software solutions in the waterway transportation sector. For instance, in November 2023, ABS Wavesight, a maritime software service company announced updates to Nautical Systems, its fleet management software. The updates are aimed at enhancing efficiencies in fleet operations, streamlining and Optimizing maintenance tasks, and enhancing procurement efficiency.
 

Moreover, stricter regulations on emissions and environmental impact are driving the adoption of advanced software solutions for optimizing fuel efficiency and reducing carbon footprints in waterway transportation in Europe. Furthermore, EU policies and initiatives incentivize the use of digital technologies to achieve sustainable transport goals.
 

China's BRI initiative has led to high investments in port and inland waterway infrastructure encouraging connectivity and efficiency improvements. Increased maritime trade volumes along the BRI routes have increased the demand for advanced software solutions for managing logistics and enhancing operational efficiency.
 

Increasing investments in port infrastructure and inland waterway projects across MEA is a major factor driving the growth of the market in the region. Furthermore, rapid economic growth and expanding trade activities in MEA are boosting the demand for efficient transportation and logistics solutions.
 

Waterway Transportation Software Market Share

SAP SE and Cognizant Technology Solutions Corp. held a market share of over 5% in the waterway transportation software industry in 2023. The company focuses on developing innovative software solutions tailored specifically for the waterway transportation sector. They also invest heavily in R&D to optimize existing ERP and logistics solutions with additional features such as real-time data analytics, predictive maintenance, and route optimization.
 

Cognizant develops and implements customized software solutions integrating AI, IoT, and blockchain to enhance operations, streamline fleet management, and improve supply chain visibility. This positions the company as a major player in offering complete digital solutions that drive efficiency and enhance competitiveness for clients in the maritime industry.
 

Waterway Transportation Software Market Companies

The major players operating in the waterway transportation software industry are-

• ABS Wavesight
• Accenture Plc
• Bass Software Ltd.
• Cognizant Technology Solutions Corp.
• Descartes Systems Group
• DNV GL
• Flexport Inc.
• IBS Software
• Oracle Corporation
• SAP SE
   

Waterway Transportation Software Industry News

• In April 2024, Seadronix, AI maritime solution provider launched the Rec-SEA plugin, a modern AI software that transforms regular ships into smart ships. The software uses existing onboard sensors such as LiDAR and RADAR to offer enhanced safety and efficiency across maritime operations.
   
• In May 2023, Manhattan Associates unveiled a next-generation yard management solution, designed to integrate seamlessly with its warehouse and transportation management systems. This unified cloud-native platform optimizes yard management, enhancing the supply chain's efficiency, visibility, and coordination.
   

The waterway transportation software market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) from 2021 to 2032, for the following segments:

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Market, By Component

• Software
  • Warehousing
  • Vessel tracking
  • Freight security
  • Yard management
  • Audit & claim
  • Ship broker software
  • Maritime software
  • Others 
• Services
  • Managed services
  • Consulting/customization services
  • Training services

Market, By Deployment Model

• On-premises
• Cloud
• Hybrid

Market, By Industry Vertical

• Consumer & retail
• Oil & gas
• Industrial & manufacturing
• Energy & mining
• Aerospace & defense
• Construction
• Pharmaceuticals & healthcare
• Food & beverages
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia
  • Rest of Asia Pacific 
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America 
• MEA
  • South Africa
  • UAE
  • Saudi Arabia
  • Rest of MEA