Just in time: Increased industrial activity will spur demand for industry services

Demand for industry services is largely determined by domestic and international trade volumes, as well as the propensity of businesses to outsource freight forwarding and customs brokering operations rather than perform these functions in house. Over the five years to 2018, industry revenue is estimated to rise. Strengthening consumer spending drove growth in domestic shipments during the five-year period, while improving conditions in the global economy propelled imports and exports. The industry will continue to grow over the next five years. Increased consumer spending will spur growth in industrial production as manufacturers expand operations to meet rising consumer demand...read more.

Industry Statistics & Market Size
Revenue
$18bn
Annual Growth 13-18
3.6%
Forecast Growth 18-23
Profit
Employment
36,468
Businesses
4,802
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Demand for industry services is largely determined by domestic and international trade volumes
  • Industrial production has struggled to reach capacity in recent years
  • As industrial activity rises, more companies will require freight forwarders and customs brokers
  • Industry Report - Starting a New Business Chapter

    Barriers to entry in the Freight Forwarding Brokerages and Agencies industry in Canada are moderate. Customs brokers need to be licensed bythe Canada Border Services Agency (CBSA), while freight forwarders must be issued codes by the CBSA to bring goods into Canada or transport shipments through Canada. Low capital investment and high fragmentation add to ease of entry.Once established, it could be difficult for new entrants to grow their operations. While smaller operators can set up a single route or specialize in a particular area, larger participants benefit from economies of scale. Industry leaders have developed extensive systems that involve terminal facilities and tracking technologies to service shippers’ needs. Mor...purchase to read more.

    Additional Insights for the Freight Forwarding Brokerages & Agencies Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Freight Forwarding Brokerages & Agencies Industry are

  • Ability to quickly adopt new technology
  • Understanding government policies and their implications
  • Provision of superior after-sales service
  • IBISWorld analysts also discuss how external factors such as Total trade value and Consumer spending in the Freight Forwarding Brokerages & Agencies industry impact industry performance..

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    What's in this report

    What is the Freight Forwarding Brokerages & Agencies Industry?

    This industry acts as an intermediary between shippers and carriers. These companies are generally called freight forwarders, marine shipping agents or customs brokers and can offer a combination of services, which may span transportation modes. Companies in the industry also arrange and coordinate the transportation and storage of industry goods without providing actual transportation and storage services.

    Industry Products
  • Domestic freight transportation arrangement services
  • International freight forwarding and customs brokerage services
  • Industry Activities
  • Freight forwarding
  • Providing marine shipping agency services
  • Customs brokering
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Total trade value
  • Consumer spending
  • Industrial capacity utilization
  • Corporate profit

  • Current Performance
  • Growth
  • Regulations and competition
  • Industry landscape
  • Chart: Revenue Growth

  • Industry Outlook
  • Continued growth
  • Industry structure
  • Table: Freight Forwarding Brokerages & Agencies Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Freight Forwarding Brokerages & Agencies Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Manufacturing In Canada
  • Wholesale Trade In Canada
  • Retail Trade In Canada
  • Transportation and Warehousing In Canada

  • Key Selling Industries
  • International Airlines in Canada
  • Local Freight Trucking in Canada
  • Long-Distance Freight Trucking in Canada
  • Ocean & Coastal Transportation in Canada
  • Rail Transportation in Canada

  • Products & Services
  • International freight forwarding and customs brokerage services
  • Domestic freight transportation arrangement services
  • Chart: Freight Forwarding Brokerages & Agencies Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Automobiles, parts and other transportation equipment
  • Machinery and electrical equipment
  • Metals, minerals and energy products
  • Chemical, plastic and rubber products
  • Other
  • Agriculture and food products
  • Chart: Major Market Segmentation for the Freight Forwarding Brokerages & Agencies Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Freight Forwarding Brokerages & Agencies

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Freight Forwarding Brokerages & Agencies Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Freight Forwarding Brokerages & Agencies Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Freight Forwarding Brokerages & Agencies Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Total trade value (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Integrated Logistic Services
  • Provision of transportation activities from door to door through the vertical integration of the supply chain.
  • Just-In-Time (Jit)
  • A strategy implemented to improve profitability by reducing inventory and purchasing the raw materials that are needed for the immediate term only.
  • Less-Than-Container Load (Lcl)
  • Shipments that do not occupy the space of a single standard cargo container.
  • Less-Than-Truckload (Ltl)
  • When carriers fill trucks with merchandise from several companies, as opposed to one company. Combining multiple shipments enables carriers to be more efficient.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Freight Forwarding Brokerages & Agencies market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Freight Forwarding Brokerages & Agencies:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Freight Forwarding Brokerages & Agencies market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Freight Forwarding Brokerages & Agencies, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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