Global Retail Supply Chain Management Market size (2024 – 2030)

The Global Retail Supply Chain Management market was valued at USD 31.11 Billion and is projected to reach a market size of USD 58.87 Billion by the end of 2030. Over the forecast period of 2024-2030, the market is projected to grow at a CAGR of 9.54%. The demand for greater visibility and transparency in supply chain data and processes, and high growth in retail and eCommerce is the major factor that is driving the growth of the industry.

Industry Overview:

Retail Supply Chain Management is the method of managing the complete grant chain of retail organizations. The differentiating thing between retail provides chain administration from different provides chain administration is in the extent of product motion and the quickly shifting nature of the merchandise of the retail industry. The retail giant chain has to be monitored very carefully and has to be free from defects as the merchandise is continually on the go and the cycle time is very low. Further, the non-stop motion of substances throughout the provide chain is fundamental to the success of any agency in the retail industry. Hence retail administration is very imperative to any employer in the retail enterprise and has to be monitored carefully and maintained properly.

Increasing demand for grant chain administration (SCM) market options from each giant firms and small and medium firms (SMEs), developing consciousness about the advantages supplied by using SCM solutions, together with provide chain optimization, forecasting accuracy, significant synthesis of enterprise data, and wastage minimization is possible to gas the demand for provide chain administration options over the coming years.

The Supply chain administration (SCM) market has gone through a sea exchange in the twenty-first century by means of embedding product and manner innovation in furnish chain operations and consciously managing and shaping demand from customers. There are a lot of attainable benefits from new age grant chain management options as businesses get better from the latest monetary disaster and role to provide chains as enablers of income and margin growth. Moreover, procurement strategies that guide the diagram and administration of a sustainable provide chain are turning into necessary for companies of items and offerings in almost every phase of the world. In the demand-driven provide chain, corporations are searching towards greater lean procurement processes.

COVID-19 impact on the Retail Supply Chain Management Market  

The COVID-19 pandemic has impacted each and every region and due to social distancing norms, businesses are remodeling toward digitalization to make certain safety. A decades-long focal point on furnishes chain optimization to decrease costs, limit inventories, and pressure up asset utilization has eliminated buffers and flexibility to soak up disruptions and COVID-19 illustrates that many corporations are no longer completely conscious of the vulnerability of their furnish chain relationships to international shocks.

Fortunately, new grant chain applied sciences are rising that will dramatically enhance visibility throughout the end-to-end provide chain, and guide companies’ capability to face up to such shocks. The ordinary linear grant chain mannequin is reworking into digital furnish networks (DSNs), the place practical silos are damaged down, and agencies end up related to their whole provide community to allow end-to-end visibility, collaboration, agility, and optimization.

The latest COVID-19 outbreak is predicted to have an effect on the boom of the variety of end-user industries (excluding the pharmaceutical industry) in the brief term. However, the influence is temporary, and the grant chain administration market (SCM) is predicted to exhibit a large increase all through the forecast period.

MARKET DRIVERS:

An increase in E-Commerce activities is driving the growth of the market

The make bigger opposition amongst organizations has led them to deliver strategic improvements to their personal commercial enterprise fashions to address challenges, such as patron retention, growing competitors, and commoditization of threats. These challenges have motivated agencies to undertake the Internet for online income for customers. Internet penetration amongst businesses is very excessive globally, main to an upward jab in eCommerce players. This upward push will possibly enlarge the boom of online sales, which will decorate the boom of the cloud SCM market globally. The organizations are creating complete techniques to supply end-to-end commercial enterprise fashions with the aid of adopting the cloud-based SCM system.

The increase in the use of AI-based systems is also driving the growth of the market.

AI-enhanced equipment is being used for the duration of provide chains to expand efficiency, minimize the have impact of an international employee shortage, and find out better, safer methods to cross items from one factor to another. AI purposes can be located at some point of provide chains, from the manufacturing flooring to front-door delivery. Supply-chain administration options based totally on synthetic Genius (AI) are predicted to be effective units to assist businesses to address these challenges. A built-in end-to-end strategy can tackle the possibilities and constraints of all commercial enterprise functions, from procurement to sales. AI’s capability to analyze big volumes of data, recognize relationships, supply visibility into operations, and help higher decision-making makes AI a conceivable game-changer.

MARKET RESTRAINTS:

Lack of technical expertise is restraining the growth of the market

Cloud-based SCM consists of complicated hybrid cloud technology, which consists of each personal and public cloud. The cloud-based SCM gadget is extra complicated than the typical on-premises SCM system, which wishes to be assimilated with the legacy device of rising technology. The transformation of the SCM gadget from the typical to the complicated hybrid cloud gadget of an organization requires deep knowledge, experience, and insights into each cloud and legacy applied sciences to function smoothly. Despite the complexities of the cloud-based administration system, cloud specialists want administration competencies that will probably assist in provider integration, knowledgeable shopping for ability, contract facilitation, monitoring, and seller management.

RETAIL SUPPLY CHAIN MANAGEMENT MARKET REPORT COVERAGE:

This research report on the global Retail Supply Chain Management Market has been segmented and sub-segmented based on the solution, Deployment, Industry, and region.

Retail Supply Chain Management Market - By Solution:

• • Software
  • Services

Based on software, the built-in grant chain administration platform/suite is anticipated to make a contribution of almost 54.1% of the universal share in 2021. A commercial enterprise allows relationships with all of its suppliers and manages all distribution and logistics things to do via a centralized gadget as an alternative to having a couple of structures inside the organization. Concentrated expert information and price effectivity are core advantages of the built-in provide chain process. This centralized method leads to extra streamlined and environment-friendly activities, as properly as the implementation of fine enterprise practices in providing chain functions. Development of dealer relationships, acquisition of goods, storage, logistics, and transportation are amongst the principal things to do managed in a built-in provide chain.

Retail Supply Chain Management Market - By Deployment:

• Cloud
• On-premise

Based on deployment, The cloud-based deployment phase is projected to register an excessive demand at a CAGR of 14.2% over the coming years. Cloud computing is shortly developing to assist collaborative transportation administration options and different factors of transportation management, such as sourcing of community capacity, strong visibility and match management, and ancillary functions, which include freight pay and audit. Applying cloud-based enterprise analytics and manufacturing brain approves manufacturing cycle instances to improve, as a result boosting grant chain management.

Retail Supply Chain Management Market - By Industry:

• Retail & Consumer Goods
• Manufacturing
• Automotive
• Healthcare & Pharma
• Food & Beverages
• Transportation & Logistics
• Others

Based on, the industry, The retail & purchaser items section is anticipated to make contributions toward 26.1% of income in 2021 and is anticipated to preserve its dominance in the approaching years. This can be attributed to the surge in the complexity of retail furnish chain networks over a duration of time due to the presence of a giant range of suppliers & logistics providers, channels, products, and value-added offerings.

The retail enterprise is being challenged by a gradual economy, declining in-store sales, and margins, and rising labor costs. Hence, most of the key gamers are adopting cloud-based technologies to radically change they provide chains with unparalleled visibility and insights from data.

Retail Supply Chain Management Market - By Region:

• North America
• Europe
• Asia-Pacific
• Latin America
• The Middle East
• Africa

Geographically, North America is envisioned to stay one of the most eye-catching markets at some stage in the forecast period. According to the study, the U.S. is predicted to account for greater than 79% of the North American market share by 2030. This increase can be attributed to the upward shove in spending on logistics & transportation, which is enhancing the implementation of automation applied sciences in furnish chain and logistics. The transportation & logistic region is massive as nicely as aggressive in the U.S. and consists of wonderful industries such as railroads, air services, and shipping.

Demand for provide chain administration systems in Germany is anticipated to account for an income share of 22.2% by way of 2021 end. As Europe’s greatest economy, Germany has a well-established industrial region and is a dominant producer of chemicals, machinery, and automobiles. The United States of America additionally are diagnosed for its high-tech manufacturing conceivable and most beneficial first-rate products, due to full-size investments inside educational, and lookup and improvement avenues. Huge investments in infrastructure by using the authorities and non-public enterprises, especially in India and Indonesia, with the intent of easing the motion and enhancement in infrastructure, are predicted to pressure the demand for SCM in the Asia Pacific region. The cutting-edge tendencies of great adoption of trucking, containerization, and computerization ensuing in scaled transport and transport of uncooked materials, Work In Progress (WIP), and completed items round the world and successfully enhancing cost, quality, and shipping of furnish chain are additionally a driver for SCM software program and services.

Retail Supply Chain Management Market Share by Company

1. SAP
2. Oracle
3. Infor
4. Descartes
5. Manhattan Associates
6. IBM
7. Logility
8. Kinaxis (Canada)
9. Blue Yonder
10. Körber
11. Coupa
12. Epicor
13. BluJay
14. OMP (Belgium)
15. E2open
16. JAGGAER
17. Zycus
18. GEP. 

Recently, Blue Yonder and Snowflake entered a collaboration to transform access to disparate data for the supply chain management. Blue Yonder’s Luminate Platform, is an end-to-end supply chain solution that enables retailers, manufacturers, and third-party logistics providers (3PLs) to better predict, prevent and resolve disruptions across their business to mitigate risks and tackle growing industry supply chain challenges.

Also, Oracle introduced Supplier Rebate Management, a new solution within Oracle Fusion Cloud Channel Revenue Management.

These organizations are leveraging strategic collaborative initiatives to support their market shares and beautify their profitability. However, with product improvements and technological advancements, midsize to smaller corporations are developing their market presence through securing new contracts and tapping new markets.

NOTABLE HAPPENINGS IN THE GLOBAL RETAIL SUPPLY CHAIN MANAGEMENT MARKET  IN THE RECENT PAST:

• Innovation - In May 2022, Kinaxis announced analytics for supply chain planning by introducing its new Planning.AI analytical approach at Kinexions.
• Integration - In March 2022, Descartes announced that its Descartes ShipRush multi-carrier parcel and less-than-truckload (LTL) shipping solution has been integrated with its suite of e-commerce warehouse management systems (WMS).