Voyage Management Software Market Overview
As per MRFR analysis, the Voyage Management Software Market Size was estimated at 1.73 (USD Billion) in 2022. The Voyage Management Software Market Industry is expected to grow from 1.86(USD Billion) in 2023 to 3.5 (USD Billion) by 2032. The Voyage Management Software Market CAGR (growth rate) is expected to be around 7.3% during the forecast period (2023 - 2032).
Key Voyage Management Software Market Trends Highlighted
Key Market Drivers
The rising complexity of supply chains and increasing demand for cost-effective and efficient shipping operations are primary drivers of the Voyage Management Software (VMS) market. VMS enables real-time visibility, coordination, and optimization of vessels, resulting in reduced operating costs, improved fuel efficiency, and optimized voyage planning.
Opportunities to be Captured:
The increasing adoption of digital technologies in the shipping industry presents significant opportunities for VMS providers. By integrating with other systems, such as cargo management software and electronic data interchange platforms, VMS can further automate processes, improve data accuracy, and provide end-to-end visibility. Additionally, the growing trend towards sustainability and decarbonization creates opportunities for VMS to help shipping companies reduce their environmental impact.
Recent Trends:
Recent advancements in VMS include cloud-based solutions, artificial intelligence (AI), and machine learning (ML) capabilities. Cloud-based VMS offers flexibility, scalability, and cost savings by eliminating the need for on-premises infrastructure. AI and ML algorithms analyze large volumes of data to identify patterns, predict delays, and optimize vessel routes, leading to improved efficiency and reduced operational risks.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Voyage Management Software Market Drivers
Increasing Adoption of Cloud-Based Voyage Management Software
There are many benefits to using cloud-based voyage management software, so the adoption of this type of software is growing. First, cloud-based software is cheaper than the software that is implemented on the premises, as there is no need to purchase expensive hardware and develop the IT infrastructure for the software implementation. Also, the software is more flexible and scalable, as shipping companies can add or remove the number of users and the functionality of the software.
Third, the software is more secure because it is provided by a third-party operator who specializes in the secure storage of data. Therefore, the reduction in costs, increased flexibility and scalability, and improved security drive the increasing adoption of cloud-based voyage management software. Indeed, it is expected that the increasing adoption of cloud-based voyage management software should drive the growth of the Voyage Management Software Market.
In particular, this market is expected to grow from USD 1.86 billion in 2023 to USD 3.5 billion by 2032, at a CAGR of 7.3%. There are many benefits to using cloud-based voyage management software, and the increasing adoption of this software is one of the key drivers for the growth in this market. These benefits include the reduction of costs, increased flexibility and scalability, and improved security of cloud-based software. As a result, more and more shipping companies use this software to improve their performance.
Growing Demand for Real-Time Data and Analytics
The need for real-time data and analytics is becoming increasingly in demand in the shipping industry as well. To meet the goals and become more efficient, shipping companies are required to have the ability to track their vessels and cargo in real. Voyage Management Software provides such an opportunity by allowing the collection of data from a variety of sources, such as sensors on vessels and trailers, AIS data, and weather data. The received information can be used to enhance vessel performance, reduce fuel consumption, and avoid delays.
Increasing Adoption of Digital Technologies in the Shipping Industry
The development of digital technologies is characteristic of almost every industry. In the case of international seaborne shipping, the most widespread technology is voyage management software. Most of the world’s existing ships are not integrated into the Internet, which creates a need for the further expansion of voyage management software. This software helps minimize manual labor and automate the greatest possible number of functions related to the organization of the ship’s work. It also facilitates decision-making and sharpens command ability in fleets. For this reason, shipping companies are likely to be the main source of demand for voyage management software as they implement digital technologies over the coming years.
Voyage Management Software Market Segment Insights
Voyage Management Software Market Deployment Mode Insights
The Voyage Management Software Market is segmented by deployment mode into cloud-based and on-premises. The former is expected to hold a larger market share in the coming years due to the number of advantages it offers, such as scalability, flexibility, and cost-effectiveness. The latter, in turn, is expected to exhibit a steady growth rate over the forecast period. In 2023, the cloud-based segment accounted for about 60% of the Voyage Management Software Market revenues. Shipping companies and logistics providers, in particular, are increasingly shifting to the cloud-based deployment mode.
Cloud solutions provide other benefits, including reduced IT infrastructure costs, increased security for data handling, as well as enhanced collaboration among team members. The other segment is expected to experience a CAGR of 5.5% over the forecast period, primarily due to the demand for greater data and security control. This factor is especially important for businesses operating in highly regulated industries. In conclusion, the Voyage Management Software Market is to be significantly driven by the increased acceptance of cloud solutions and the implementation of even more efficient voyage management systems.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Voyage Management Software Market Vessel Type Insights
The vessel type segment of the voyage management software market is expected to reach USD 1.52 billion by 2024 with a CAGR of 7.6% over the forecast period 2023-2032. In 2023, oil tankers accounted for more than 30% of the total market revenue. The factors responsible for the largest market share are the high volume of crude oil and refined petroleum products transported across the globe. Bulk carriers followed oil tankers closely and contributed about 25% to the market share. In the coming years, container ships are also expected to grow significantly due to the high volume of trade and other e-commerce activities. General cargo ships and specialty ships are expected to grow at a constant rate due to the specific types of cargo carried by these ships.
Voyage Management Software Market Application Insights
The Voyage Management Software market is segmented based on its application into Fleet Management, Voyage Planning and Optimization, Cargo Management, Vessel Chartering, and Port Management. The Fleet Management segment is expected to hold the largest market share in 2023, and it is projected to continue its dominance throughout the forecast period. This segment is primarily driven by the increasing need for efficient fleet management solutions to optimize operational efficiency and reduce costs. The Voyage Planning and Optimization segment is also expected to witness significant growth due to the growing demand for advanced voyage planning tools to enhance fuel efficiency and minimize voyage time.
The Cargo Management segment is expected to grow steadily, driven by the increasing trade volumes and the need for efficient cargo tracking and management solutions. The Vessel Chartering segment is expected to witness moderate growth due to the increasing demand for flexible and cost-effective vessel chartering solutions. The Port Management segment is expected to grow at a steady pace, driven by the increasing need for efficient port operations and the adoption of smart port technologies.
Voyage Management Software Market Organization Size Insights
Organization Size Segment Insight and Overview The Voyage Management Software Market is segmented by organization size into Small and Medium-sized Enterprises (SMEs) and Large Enterprises. Among these segments, SMEs are expected to account for a larger share of the market in 2023, owing to their increasing adoption of voyage management software to streamline their operations and improve efficiency. However, Large Enterprises are expected to witness a higher growth rate during the forecast period, as they are more likely to invest in advanced voyage management solutions to gain a competitive edge. By 2032, the Voyage Management Software Market for Large Enterprises is projected to reach a valuation of USD 2.3 billion, growing at a CAGR of 7.8%. This growth is attributed to the increasing need for these enterprises to optimize their shipping operations, reduce costs, and enhance their overall performance.
Voyage Management Software Market End-use Industry Insights
The end-use industry segment plays a pivotal role in shaping the dynamics of the Voyage Management Software Market. Shipping and Logistics, Energy and Offshore, and Government and Defense are the key verticals driving market growth. The Shipping and Logistics industry accounted for a significant share of the market in 2023, owing to the increasing need for efficient vessel planning and optimization. The Energy and Offshore segment is projected to witness substantial growth over the forecast period due to rising investments in offshore exploration and production activities. Meanwhile, the Government and Defense sector is expected to contribute steadily to the market, driven by the adoption of advanced voyage management systems for maritime security and surveillance.
Voyage Management Software Market Regional Insights
The Voyage Management Software Market is segmented regionally into North America, Europe, APAC, South America, and MEA. North America is expected to hold the largest market share in 2023, followed by Europe and APAC. The growth in North America is attributed to the increasing adoption of voyage management software by shipping companies to improve operational efficiency and reduce costs. The European market is also expected to grow steadily due to the increasing adoption of voyage management software by ship operators and managers. The APAC market is expected to witness significant growth in the coming years, driven by the increasing demand for voyage management software from emerging economies such as China and India. The South American market is expected to grow at a moderate pace, while the MEA market is expected to grow at a slower pace.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Voyage Management Software Market Key Players And Competitive Insights
Voyage Management Software Market Key Players is a significant player in the Voyage Management Software Market industry that responds to the growing demand for new, increasingly efficient, and attractive solutions. The key players in the voyage management software market industry are concentrating their efforts on R investments as engines for fast growth and increasing returns. SAP SE, for instance, expanded its product offerings to include new products and services in this sector. Major companies in the Voyage Management Software Market are developing advanced features such as real-time vessel tracking, voyage optimization, and predictive analytics, allowing shipping companies to operate more efficiently and reduce costs. The Voyage Management Software Market Competitive Landscape is expected to continue to have strong competition in the years ahead. As companies aim to introduce novel solutions and expand their market presence, new entrants and established heavyweights are likely to establish their positions. In the various years, this could be determined by key events such as vital acquisitions or vital partnerships.
SAP SE is one of the key players in the voyage management software market. Although primarily a provider of software solutions, it is also a service provider that develops and markets these applications. ABB is a major player based in the United States, and it also has a very strong home market presence. The solutions provided to carriers for voyage planning, scheduling, and execution by ABB are aimed at optimizing the environmental benefits of shipping companies using its technology. Another key player in the market, Oracle, is primarily a provider of voyage management software solutions such as voyage planning, scheduling, and execution to shipping companies. There are opportunities for shipping companies to use Oracle’s solutions to improve operational efficiency. IFS is another key player in the voyage management software market that provides shipping companies. ABB, PCA, ShipNet, SpecTec, and Wartsila are some of the other top software companies in the market.
Key Companies in the Voyage Management Software Market Include
Voyage Management Software Market Industry Developments
The Voyage Management Software (VMS) market is projected to grow from USD 1.86 billion in 2023 to USD 3.5 billion by 2032, exhibiting a CAGR of 7.3% during the forecast period. The increasing adoption of digital technologies in the shipping industry and the need for efficient voyage planning and execution are driving the market's growth. Recent developments include the launch of cloud-based VMS solutions, which offer flexibility and scalability to shipping companies. Additionally, the integration of artificial intelligence (AI) and machine learning (ML) into VMS enhances decision-making and optimizes voyage operations. The market is expected to witness significant growth in the Asia-Pacific region due to the increasing number of shipping ports and trade activities in the region.
Voyage Management Software Market Segmentation Insights
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Voyage Management Software Market Deployment Mode Outlook
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Voyage Management Software Market Vessel Type Outlook
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Oil Tankers
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Bulk Carriers
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Container Ships
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General Cargo Ships
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Specialty Ships
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Voyage Management Software Market Application Outlook
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Voyage Management Software Market Organization Size Outlook
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Voyage Management Software Market End-use Industry Outlook
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Shipping and Logistics
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Energy and Offshore
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Government and Defense
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Voyage Management Software Market Regional Outlook
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North America
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Europe
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South America
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Asia Pacific
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Middle East and Africa
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Report Attribute/Metric
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Details
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Market Size 2022
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1.73(USD Billion)
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Market Size 2023
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1.86(USD Billion)
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Market Size 2032
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3.5(USD Billion)
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Compound Annual Growth Rate (CAGR)
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7.3% (2024 - 2032)
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Report Coverage
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Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
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Base Year
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2023
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Market Forecast Period
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2024 - 2032
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Historical Data
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2019 - 2023
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Market Forecast Units
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USD Billion
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Key Companies Profiled
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Cargotec, Chevron, Wartsila, ExxonMobil, Marine Software Solutions, MacGregor, Wilhelmsen, GEA, Shell, Transas, Yara Marine Technologies, BP, Alfa Laval, OrbitMI Technologies, Veson Nautical, SeaRates
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Segments Covered
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Deployment Mode, Vessel Type, Application, Organization Size, End-use Industry, Regional
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Key Market Opportunities
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Increased demand for efficient fleet managementGrowing adoption of IoT and data analyticsEnhanced capabilities for predictive maintenanceIntegration with other business systems
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Key Market Dynamics
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Increasing Adoption of CloudBased SolutionsGrowing Demand for RealTime Visibility and ControlFocus on Optimization and EfficiencyNeed for Enhanced Collaboration and CommunicationIncreased Focus on Sustainability
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Countries Covered
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North America, Europe, APAC, South America, MEA
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Frequently Asked Questions (FAQ) :
The Voyage Management Software Market was valued at USD 1.86 billion in 2023 and is projected to reach USD 3.5 billion by 2032, exhibiting a CAGR of 7.3% during the forecast period.
North America is expected to dominate the Voyage Management Software Market throughout the forecast period. The region's dominance can be attributed to the presence of a large number of shipping companies and ports, as well as the increasing adoption of advanced technologies in the maritime industry.
The growth of the Voyage Management Software Market is primarily driven by the increasing need for efficient and cost-effective voyage management solutions, the growing adoption of digital technologies in the maritime industry, and the increasing demand for real-time visibility and control over vessel operations.
Voyage Management Software finds applications in various aspects of maritime operations, including voyage planning and optimization, cargo management, vessel performance monitoring, fuel consumption optimization, and emissions monitoring.
The key competitors in the Voyage Management Software Market include ABB, Wartsila, Transas, and DNV GL. These companies offer a range of Voyage Management Software solutions to meet the diverse needs of shipping companies and operators.
Key trends shaping the Voyage Management Software Market include the increasing adoption of cloud-based solutions, the integration of artificial intelligence (AI) and machine learning (ML) technologies, and the growing focus on sustainability and environmental compliance.
The Voyage Management Software Market faces challenges such as the high cost of implementation and maintenance, the lack of skilled professionals, and the resistance to change from traditional methods of voyage management.
Opportunities for growth in the Voyage Management Software Market include the increasing adoption of digital technologies in the maritime industry, the growing demand for real-time visibility and control over vessel operations, and the increasing focus on sustainability and environmental compliance.
Key strategies adopted by players in the Voyage Management Software Market include product innovation, strategic partnerships, and mergers and acquisitions. Companies are also focusing on expanding their geographic presence and developing new solutions to meet the evolving needs of the market.
The future prospects of the Voyage Management Software Market are positive. The market is expected to continue to grow over the forecast period, driven by the increasing adoption of digital technologies in the maritime industry, the growing demand for real-time visibility and control over vessel operations, and the increasing focus on sustainability and environmental compliance.
