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Add to CartAir Freight Software Market
By Deployment;
On-Premise and Cloud BasedBy Air Freight Service;
Expedited Service, Standard Service and Deferred ServiceBy Application;
Freight Handling, Freight Tracking & Monitoring, Warehouse Management, Price & Revenue Management, Freight Routing & Scheduling and Delivery TrackingBy End User;
Cargo Airlines, Commercial Airlines, E-Commerce Companies, Third-Party Freight Service Providers and OthersBy Geography;
North America, Europe, Asia Pacific, Middle East & Africa, and Latin America - Report Timeline (2021 - 2031)Air Freight Software Market Overview
Air Freight Software Market (USD Million)
Air Freight Software Market was valued at USD 1201.26 million in the year 2024. The size of this market is expected to increase to USD 2340.91 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 10.0%.
Air Freight Software Market
*Market size in USD million
CAGR 10.0 %
| Study Period | 2025 - 2031 |
|---|---|
| Base Year | 2024 |
| CAGR (%) | 10.0 % |
| Market Size (2024) | USD 1201.26 Million |
| Market Size (2031) | USD 2340.91 Million |
| Market Concentration | Medium |
| Report Pages | 378 |
Major Players
- Champ Cargosystems
- Freight Pop
- Freightdata 2000
- IBS
- Inform Software
- Magaya
- Riege Software
- The Descartes Systems Group Inc.
- TMSfirst
- WiseTech Global
Market Concentration
Consolidated - Market dominated by 1 - 5 major players
Air Freight Software Market
Fragmented - Highly competitive market without dominant players
The Air Freight Software Market is witnessing accelerated growth as businesses adopt modern solutions to boost speed, accuracy, and operational efficiency. Over 45% of logistics providers now rely on air freight platforms to streamline routing, scheduling, and shipment visibility. This trend is reshaping logistics workflows and elevating customer satisfaction.
Boosting Efficiency with Automation
Automation has become a cornerstone of industry adoption, with nearly 50% of freight companies utilizing automated systems for documentation, cargo management, and tracking. These solutions minimize human errors, simplify customs clearance, and enable faster shipments, ultimately strengthening the supply chain performance of organizations worldwide.
Adoption of Advanced Digital Technologies
Smart technologies such as AI, IoT, and cloud-based tools are driving innovation in this market, with approximately 55% of deployments now featuring predictive analytics and real-time monitoring. These advancements empower companies with improved decision-making, risk management, and cargo safety, while ensuring more reliable utilization of air transport assets.
Growing Focus on Real-Time Visibility
The rising demand for shipment transparency has encouraged nearly 60% of logistics players to invest in solutions offering real-time updates and end-to-end tracking. Enhanced visibility helps businesses reduce disruptions, strengthen partnerships with clients, and optimize logistics processes with greater consistency and trust.
Positive Market Prospects Ahead
The Air Freight Software Market is poised for strong growth as organizations seek faster and smarter freight solutions. Close to 65% of enterprises intend to increase their investment in digital freight platforms. With ongoing advancements in digitalization, automation, and analytics, the sector is set to transform supply chains into more efficient and resilient ecosystems.
Air Freight Software Market Key Takeaways
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The Air Freight Software Market is expanding rapidly, driven by increasing global trade volumes, the growth of e-commerce, and the rising need for efficient logistics and real-time shipment visibility.
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Air freight software solutions help optimize cargo management, route planning, inventory tracking, and customs documentation, improving operational efficiency across the logistics chain.
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Advancements in cloud computing, artificial intelligence (AI), Internet of Things (IoT), and blockchain are transforming freight operations by enabling automation, predictive analytics, and enhanced data security.
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The integration of real-time tracking systems, digital booking platforms, and API-based connectivity is improving transparency and collaboration among airlines, freight forwarders, and shippers.
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Challenges include high implementation costs, cybersecurity threats, and system integration complexities across diverse logistics networks and legacy systems.
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North America leads the market owing to early adoption of digital logistics solutions and robust trade infrastructure, while Asia-Pacific is witnessing strong growth supported by rapid e-commerce expansion and regional logistics development.
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Future opportunities lie in AI-powered demand forecasting, digital freight marketplaces, and autonomous cargo handling systems that enhance speed, accuracy, and sustainability in global air freight operations.
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Air Freight Software Market Recent Developments
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In December 2024, the Air Freight Software Market saw a strategic partnership as Delta Cargo joined cargo.one to expand digital booking, real-time quoting, and automated capacity access for forwarders.
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In August 2025, the Air Freight Software Market recorded a major acquisition when WiseTech Global completed the purchase of e2open, combining networked supply-chain software with CargoWise to strengthen end-to-end air-freight execution.
Air Freight Software Market Segment Analysis
In this report, the Air Freight Software Market has been segmented by Deployment, Air Freight Service, Application, End User, and Geography.
Air Freight Software Market, Segmentation by Deployment
The Air Freight Software Market is segmented by deployment into On-Premise and Cloud Based. The choice between these deployment modes depends on an organization’s IT infrastructure, scalability requirements, and data security priorities. The rising preference for cloud-based logistics platforms is transforming operational models by improving flexibility, reducing costs, and enabling real-time data access across the freight ecosystem.
On-Premise
On-premise solutions remain preferred among large freight operators seeking complete control over data and system security. These solutions provide high customization but require substantial infrastructure investment and dedicated maintenance.
Cloud Based
Cloud-based platforms are gaining rapid adoption due to their scalability, cost-effectiveness, and remote accessibility. They enable real-time data sharing, integration with IoT devices, and AI-driven analytics—enhancing cargo tracking, billing, and route optimization.
Air Freight Software Market, Segmentation by Air Freight Service
The market is segmented by air freight service into Expedited Service, Standard Service, and Deferred Service. These categories define delivery priorities and pricing models within global freight operations. Rising demand for fast, traceable, and cost-efficient logistics solutions continues to influence software adoption across freight carriers and logistics providers.
Expedited Service
Expedited air freight services prioritize speed and reliability for time-sensitive shipments. Software platforms supporting this service integrate real-time routing, predictive delivery tracking, and automated capacity management to minimize delays and enhance efficiency.
Standard Service
Standard freight services represent the largest market share due to their balance of cost and delivery efficiency. Software solutions optimize route planning, load consolidation, and scheduling to ensure dependable operations.
Deferred Service
Deferred services offer cost-effective logistics for non-urgent cargo. Increasing adoption of AI-powered scheduling systems helps maximize load utilization and reduce idle times, improving the overall profitability of deferred freight operations.
Air Freight Software Market, Segmentation by Application
The market is segmented by application into Freight Handling, Freight Tracking & Monitoring, Warehouse Management, Price & Revenue Management, Freight Routing & Scheduling, and Delivery Tracking. The digitalization of freight operations through automation and analytics is enabling greater transparency, cost control, and operational efficiency across logistics networks.
Freight Handling
Freight handling systems automate cargo intake, sorting, and transfer operations, minimizing manual errors and improving throughput. The use of AI-enabled automation tools and robotics is enhancing accuracy and speed in airport terminals.
Freight Tracking & Monitoring
Freight tracking software ensures real-time visibility across shipment lifecycles. Integration of GPS, RFID, and IoT sensors allows operators to monitor temperature, location, and security conditions throughout the supply chain.
Warehouse Management
Warehouse management applications streamline inventory control, order processing, and cross-docking operations. The transition to cloud-based warehouse systems is enabling greater synchronization between storage and transport operations.
Price & Revenue Management
Pricing and revenue management tools leverage machine learning algorithms to optimize freight rates, predict demand, and improve profitability. These systems are critical for dynamic pricing and route profitability analysis.
Freight Routing & Scheduling
Routing and scheduling solutions use AI-driven route optimization and real-time traffic analytics to ensure on-time deliveries and reduce operational costs. Integration with airline and third-party logistics networks supports efficient load balancing.
Delivery Tracking
Delivery tracking modules enhance customer experience by offering end-to-end visibility and automated notifications. Growing e-commerce shipments and increasing expectations for transparency are driving innovation in this segment.
Air Freight Software Market, Segmentation by End User
The market is segmented by end user into Cargo Airlines, Commercial Airlines, E-Commerce Companies, Third-Party Freight Service Providers, and Others. Increasing integration of digital logistics platforms and cloud computing across stakeholders is transforming operational efficiency, safety, and regulatory compliance in the air freight sector.
Cargo Airlines
Cargo airlines are the primary users of freight management software for flight scheduling, cargo routing, and capacity optimization. Adoption of AI and data analytics tools is helping improve operational predictability and cost efficiency.
Commercial Airlines
Commercial airlines leverage air freight software to manage belly cargo and logistics coordination. The integration of passenger and cargo operations within unified systems enhances overall asset utilization.
E-Commerce Companies
E-commerce players are rapidly deploying cloud-based air freight software to ensure fast, reliable, and trackable cross-border shipments. Growth in same-day and express delivery services continues to fuel segment expansion.
Third-Party Freight Service Providers
3PL and freight forwarding companies utilize integrated systems for customs documentation, shipment tracking, and multi-modal coordination. Increased digitalization and automation are improving visibility across supply chains.
Others
This category includes airport authorities, postal services, and logistics aggregators. These users benefit from improved operational transparency, performance analytics, and real-time data connectivity enabled by advanced air freight platforms.
Air Freight Software Market, Segmentation by Geography
In this report, the Air Freight Software Market has been segmented by Geography into five regions: North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Regions and Countries Analyzed in this Report
LegendNorth AmericaRest of North AmericaEuropeRest of EuropeAsia PacificRest of Asia PacificMiddle East and AfricaRest of Middle East and AfricaLatin AmericaRest of Latin AmericaRest of the WorldNorth America
North America leads the global market driven by strong e-commerce expansion, air cargo modernization, and cloud-based logistics adoption. The U.S. remains a technology hub for freight digitization, with leading airlines and 3PL providers deploying AI and automation platforms.
Europe
Europe holds a major market share due to stringent freight regulations and advanced airport infrastructure. The region’s focus on sustainable aviation logistics and the adoption of data-driven freight management systems are supporting continued growth.
Asia Pacific
Asia Pacific is the fastest-growing region owing to rapid urbanization, booming e-commerce, and expanding regional air networks. Countries like China, India, and Japan are investing heavily in digital freight integration and smart cargo management systems.
Middle East and Africa
The Middle East and Africa region benefits from its strategic location as a global air freight hub. Rapid infrastructure expansion in UAE, Qatar, and Saudi Arabia continues to drive adoption of intelligent freight management platforms.
Latin America
Latin America shows steady growth supported by increasing cross-border trade, airport modernization, and digitization of logistics networks. Brazil and Mexico lead regional adoption, leveraging cloud-based systems for cost efficiency and transparency.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Air Freight Software Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis
Drivers:
- Growth of E-Commerce and Global Trade
- Rising Adoption of Cloud-Based Solutions
- Automation of Logistics Processes
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Increasing Demand for Real-Time Tracking - The increasing demand for real-time tracking is largely driven by advancements in technology, particularly in GPS, IoT (Internet of Things), and cloud computing. These technologies have significantly enhanced the ability to monitor and track assets, goods, and individuals in real time. With the proliferation of smartphones and connected devices, real-time data can be accessed from virtually anywhere, making tracking more reliable and efficient. GPS technology enables precise location data, while IoT sensors can provide continuous updates, leading to more seamless tracking across various sectors like logistics, supply chain, healthcare, and transportation.
Another key driver is the rising consumer demand for better service and personalized experiences. Customers today expect quick, transparent, and accurate updates, especially in industries like e-commerce and delivery services. Real-time tracking allows companies to provide customers with live updates on their orders, increasing customer satisfaction and loyalty. In logistics and supply chain management, real-time tracking allows businesses to optimize routes, reduce delays, and manage inventory more effectively, ultimately driving operational efficiency and improving service levels.
Regulatory requirements and safety standards have increased the need for real-time tracking in industries such as healthcare, pharmaceuticals, and transportation. For instance, in the pharmaceutical industry, regulatory agencies demand strict monitoring of drug shipments to ensure safety and compliance. In transportation, real-time tracking enhances fleet management and ensures driver safety, reducing accidents and improving productivity. As more industries recognize the benefits of real-time tracking in ensuring compliance, reducing risk, and enhancing customer trust, the demand for such solutions continues to grow.
Restraints
- Security and Data Privacy Concerns
- Lack of Skilled IT Professionals
- Complexity of International Trade Regulations
- Potential System Downtimes and Technical Glitches - One significant restraint for many industries, especially in sectors reliant on digital infrastructures, is the risk of system downtimes. These downtimes can be caused by a variety of factors, including software bugs, hardware failures, or network issues, which can disrupt the normal operation of services. A system downtime can halt or slow down critical processes, causing delays in operations and reducing the overall efficiency of an organization. For businesses that depend on continuous data flow and real-time transactions, even a brief disruption can lead to a loss of productivity, missed opportunities, or customer dissatisfaction. The longer the downtime lasts, the higher the risk of losing customer trust and competitive advantage.
Restraint: Technical Glitches
Another restraint factor is technical glitches, which can arise unexpectedly during the operation of digital platforms or hardware systems. These glitches may be minor, such as slow system responses or occasional errors, but they can accumulate over time and cause serious disruptions to business activities. For example, a technical glitch in an e-commerce platform might prevent users from completing transactions, or a glitch in a customer relationship management system could cause data to be improperly stored or accessed. Although many glitches can be fixed with regular maintenance or software updates, the unpredictability of such events can undermine the stability and reliability of the system, leading to operational inefficiencies and loss of business continuity.
Impact on Long-term Performance
The potential for system downtimes and technical glitches is not just an immediate concern but can also affect long-term performance. Repeated downtimes or unresolved technical issues can erode the reputation of a company, especially in industries where uptime and reliability are crucial. Customers and clients may start to lose confidence in the business, leading to decreased customer retention and reduced market share. Additionally, the resources required to constantly troubleshoot, repair, and maintain systems can result in significant operational costs. If these issues are not addressed proactively, they can become an ongoing burden that impedes the company’s ability to innovate or expand its offerings.
Opportunities
- Emergence of IoT and Blockchain Technologies
- Customized Solutions for Specific Industry Verticals
- Market Penetration through Digital Platforms
- Adoption of Mobile and On-Demand Platforms - The adoption of mobile and on-demand platforms has emerged as a transformative trend reshaping the Global Air Freight Software Market. In today's fast-paced business environment, stakeholders across the air freight industry are increasingly relying on mobile applications and on-demand platforms to enhance operational agility, streamline logistics processes, and improve overall efficiency. These mobile solutions offer real-time access to critical information, enabling users to track shipments, manage bookings, and communicate with various stakeholders anytime, anywhere.
By leveraging the power of mobile technology, air freight software providers are facilitating seamless collaboration among shippers, carriers, and logistics service providers, thereby reducing communication barriers and accelerating decision-making processes. On-demand platforms are revolutionizing the way air freight services are procured and managed. These platforms enable users to access a range of services on a pay-as-you-go basis, offering flexibility, scalability, and cost-effectiveness.
Whether it's booking cargo space, procuring insurance, or managing customs clearance, on-demand platforms provide a one-stop solution for all logistics requirements. The integration of advanced features such as Artificial Intelligence (AI), Machine Learning (ML), and Internet of Things (IoT) in mobile and on-demand platforms is driving innovation and unlocking new opportunities in the Global Air Freight Software Market.
Air Freight Software Market Competitive Landscape Analysis
Air Freight Software Market competition is intensifying as TMS suites, visibility platforms, and carrier portals refine strategies for capacity sync, rating accuracy, and compliance. Incumbents defend near 65% share across enterprise lanes, while agile entrants scale mid-market stacks. Heightened collaboration, selective merger interests, and integrator partnerships are catalyzing innovation-led growth in digitized forwarding and airline distribution.
Market Structure and Concentration
Concentration remains balanced, with leading platforms representing roughly 55% of processed airway bills, while niche providers exceed 60% penetration in special cargo. Standardized e-AWB and e-booking flows surpass 70% adoption in audited networks. Vendor strategies emphasize SLA governance, data lineage, and multi-tenant security, enabling disciplined expansion and durable growth across carrier and forwarder estates.
Brand and Channel Strategies
Brands elevate solution selling via GSA alliances, cloud marketplaces, and 3PL partnerships, lifting indirect mix near 58%. Value narratives stress quote speed, margin control, and chargeable weight accuracy. Portfolio strategies tier pricing, capacity, and compliance modules by risk class, supporting phased expansion and measurable growth through coordinated collaboration with payments and customs brokers.
Innovation Drivers and Technological Advancements
Core technological advancements include AI rating engines, digital twins, and NDV-based forecasting that trim rework by ~45%. Event-stream architectures lift milestone fidelity beyond 80% targets, while API orchestration accelerates onboarding. Structured R&D collaboration and certification-lab partnerships compress releases, translating platform innovation into resilient product strategies spanning charter, express, and deferred services.
Regional Momentum and Expansion
Network adoption in North America and Europe sustains about 50% of premium spend, while Asia–Pacific contributes near 35% through airport-led digitization. Local reliability centers push data conformance above 72%. Cross-border partnerships harmonize screening, dangerous goods checks, and tax rules. Regional strategies balance slot access, labor intensity, and service mix, enabling scalable expansion and resilient growth.
Future Outlook
The sector’s future outlook points to autonomous pricing, smart capacity exchanges, and carbon intelligence delivering ~20%–30% efficiency gains. Procurement will favor interoperable stacks, verifiable emissions, and outcome SLAs. Expect deeper collaboration, targeted merger integrations, and performance-based partnerships. Providers aligning roadmap strategies with e-commerce peaks and compliance shifts will capture compounding growth.
Key players in Air Freight Software Market include:
- Champ Cargosystems
- Freight Pop
- Freightdata 2000
- IBS
- Inform Software
- Magaya
- Riege Software
- The Descartes Systems Group Inc.
- TMSfirst
- WiseTech Global
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
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- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Deployment
- Market Snapshot, By Air Freight Service
- Market Snapshot, By Application
- Market Snapshot, By End User
- Market Snapshot, By Region
- Air Freight Software Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Growth of E-Commerce and Global Trade
- Rising Adoption of Cloud-Based Solutions
- Automation of Logistics Processes
- Increasing Demand for Real-Time Tracking
- Restraints
- Security and Data Privacy Concerns
- Lack of Skilled IT Professionals
- Complexity of International Trade Regulations
- Potential System Downtimes and Technical Glitches
- Opportunities
- Emergence of IoT and Blockchain Technologies
- Customized Solutions for Specific Industry Verticals
- Market Penetration through Digital Platforms
- Adoption of Mobile and On-Demand Platforms
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Air Freight Software Market, By Deployment, 2021 - 2031 (USD Million)
- On-Premise
- Cloud Based
- Air Freight Software Market, By Air Freight Service, 2021 - 2031 (USD Million)
- Expedited Service
- Standard Service
- Deferred Service
- Air Freight Software Market, By Application, 2021 - 2031 (USD Million)
- Freight Handling
- Freight Tracking & Monitoring
- Warehouse Management
- Price & Revenue Management
- Freight Routing & Scheduling
- Delivery Tracking
- Air Freight Software Market, By End User, 2021 - 2031 (USD Million)
- Cargo Airlines
- Commercial Airlines
- E-Commerce Companies
- Third-Party Freight Service Providers
- Others
- Air Freight Software Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Air Freight Software Market, By Deployment, 2021 - 2031 (USD Million)
- Competitive Landscape Analysis
- Company Profiles
- Champ Cargosystems
- Freight Pop
- Freightdata 2000
- IBS
- Inform Software
- Magaya
- Riege Software
- The Descartes Systems Group Inc.
- TMSfirst
- WiseTech Global
- Company Profiles
- Analyst Views
- Future Outlook of the Market