by Secure logistics involves transportation of valuables such as currency, diamonds, pharmaceuticals, electronics, and other high-value commodities in a secure manner. It involves activities such as cash-in-transit, transportation of valuables, and ATM services. Growing e-commerce sector globally has increased the demand for high-value deliveries, thereby boosting the need for secure logistics. The requirement for securing high-value shipments and deliveries has propelled the growth of armored vehicles across the world. Furthermore, rising crime rates have compelled industries such as retail, banking, and pharmaceuticals to opt for secure logistics services.
The global secure logistics market is estimated to be valued at US$ 89.94 billion in 2023 and is expected to exhibit a CAGR of 7.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The growing demand for safety of high-value assets is a key driver propelling the growth of the global secure logistics market. Secure logistics help industries safely transport currency, diamonds, electronics and other valuables from one place to another without any damage, theft or loss. Furthermore, rising crime rates across both developed and developing nations have increased the risk of stealing valuables during transportation. This has compelled industries to invest in security and adopt secure logistics services to protect their high-value assets. Additionally, expansion of e-commerce sector has surged the transportation of high-value shipments such as electronics and this growing demand acts as another driver augmenting market growth over the forecast period.
Segment Analysis
The global secure logistics market can be segmented based on product, end user, and geography. Based on product, the market is dominated by cash-in-transit sub segment which holds over 35% share of the global market. Cash-in-transit services dominate as they form a crucial part of the financial ecosystem and enable functioning and security of day to day activities involving transfer of cash.
PEST Analysis
Political: Regulations around security of currency transfer have been strengthened in various countries which is positively impacting the market.
Economic: Growing financial inclusion and digital payments in developing regions is driving the need for secured transportation of cash.
Social: Rising crime rates globally has increased awareness around the need for secure logistics of valuables.
Technological: Adoption of technologies like GPS tracking, AI and IoT is helping logistic providers enhance security and monitoring of shipments.
Key Takeaways
The Global Secure Logistics Market Demand is expected to witness high growth over the forecast period.
Regional analysis – North America dominates currently with over 30% share due to stringent regulations and early adoption. However, Asia Pacific is expected to witness fastest growth supported by growing financial inclusion in developing nations like India and China.
Key players operating in the secure logistics market are Garda World, Brinks, Securitas, G4s, and Loomis. Garda World is a leading global security services provider. Brinks is a leading cash management company providing secured transportation of cash and other valuables. Securitas is a security services giant providing on-site, mobile and remote guarding services.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
