The global courier management software market to grow at a CAGR of 10.62% during the period 2017-2021.
Global Courier Management Software Market 2017-2021, has been prepared based on an in-depth market analysis with inputs from industry experts. The report also includes a discussion of the Key vendors operating in this market. To calculate the market size, the report considers the revenue generated from the sales of courier management software.
The latest trend gaining momentum in the market is Rising demand for integrated courier management solutions. End-users prefer vendors that provide integrated and converged software suites as opting for different software may lead to integration issues. Integrated products and software suites from the same vendor have better integration ability and support other functions. The increased complexity of network infrastructure has made integration an important buying criterion.
Thus, solutions with better integration are finding higher adoption. Because of this demand, all major vendors are providing software suites with features like accounting, ERP, order management, warehouse management, and logistics management. Integrated courier management software completely automates the front office, back-end business, and in-field courier processes, including online customer order entry, accounts receivable, real-time delivery tracking, and account information.
According to the report, one of the major drivers for this market is Increasing adoption of customer-centric pricing strategies. To grow in a competitive market, courier management software vendors are adopting customer-centric pricing strategies that are technologically advanced. Several vendors are focusing on providing value-based pricing models based on the requirements of customers and value perception. The pricing is based on differentiating features of the software solution and the value-added features provided to the customers.
Further, the report states that one of the major factors hindering the growth of this market is High implementation and maintenance costs. The high deployment expense of on-premises courier management software is one of the major challenges for small courier companies. The price of the courier management software includes the cost of software licensing, system design and customization, implementation, training, and maintenance. An organization that has purchased the software requires IT staff with the relevant skills for successful implementation of the software.
Implementation of the courier management software requires self-assessment, planning, adequate funding, sharp vision, and cooperation at all managerial levels. Enterprises also need to train their employees to use the application efficiently. After implementation, the software requires continuous upgrading to keep up with the market trends. All these factors lead to an increased cost of implementation of the courier management software, which adversely affects its adoption among the end-users.