On-demand Freight Transportation Market Size and Share
On-demand Freight Transportation Market Analysis by Mordor Intelligence
The On-demand Freight Transportation Market size is estimated at USD 123.14 billion in 2025, and is expected to reach USD 259.46 billion by 2030, at a CAGR of 16.07% during the forecast period (2025-2030). Growing e-commerce activity, persistent driver shortages, and corporate decarbonization mandates are converging to accelerate platform-based capacity matching and push legacy brokerage toward real-time, API-first models. Asia-Pacific’s manufacturing depth and rapid consumer digital adoption keep the region in a leadership position, while technology investment is shifting competitive advantage from asset ownership to data and algorithm quality. Same-day and next-day delivery options capture outsized value as shippers pay premiums for speed, but road transport remains the dominant mode because of its cost efficiency across most freight categories. At the same time, air freight’s double-digit expansion signals that time-sensitive cross-border parcels are rising faster than bulk commodities.
Key Report Takeaways
- By service type, on-demand last-mile freight captured 45.71% revenue share of the on-demand freight transportation market in 2024, while digital freight brokerage is advancing at a 20.25% CAGR through 2030.
- By mode of transport, road held 64.44% of the on-demand freight transportation market share in 2024, whereas air freight is projected to expand at an 18.76% CAGR through 2030.
- By delivery speed, same-day services are growing at a 19.55% CAGR to 2030, while standard 3-5 day delivery retained 38.53% share of the on-demand freight transportation market size in 2024.
- By end-user, healthcare and pharmaceuticals are forecast to rise at a 19.97% CAGR through 2030, whereas e-commerce and retail generated 26.10% of 2024 revenue.
- By geography, Asia-Pacific accounted for 41.87% of the 2024 value and is expanding at an 18.49% CAGR through 2030.
Global On-demand Freight Transportation Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| E-commerce-driven surge in spot trucking demand | +3.2% | Global, led by Asia-Pacific & North America | Medium term (2-4 years) |
| Driver shortage catalyzing digital load-matching | +2.8% | North America & Europe, spreading to Asia-Pacific | Long term (≥ 4 years) |
| Corporate net-zero targets are accelerating low-carbon freight options | +1.9% | Europe and North America core, spill-over to Asia-Pacific | Long term (≥ 4 years) |
| API-first TMS integration unlocking real-time capacity | +2.1% | Global, early take-up in developed markets | Medium term (2-4 years) |
| Decentralized micro-fulfillment hubs boosting same-day freight flows | +1.7% | Urban centers worldwide, concentrated in Asia-Pacific | Short term (≤ 2 years) |
| IoT-enabled condition tracking raising the premium on-demand services | +1.4% | Global, pharma & food sectors lead | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
E-commerce-driven Surge in Spot Trucking Demand
The global shift toward digital retail fractures shipment sizes and compresses delivery windows, pushing shippers into the spot market where capacity can be secured on short notice. Amazon’s USD 4 billion outlay to extend same-day delivery to 4,000 rural U.S. communities illustrates how online sellers reshape regional fulfillment networks. Digital freight platforms benefit because algorithmic load matching aggregates fragmented freight and minimizes empty miles. As more retailers adopt micro-fulfillment hubs, real-time coordination becomes mission-critical, keeping the on-demand freight transportation market on an elevated growth path[1]Mathias Cormann, “International Transport Forum Outlook 2025,” Organisation for Economic Co-operation and Development, oecd.org.
Driver Shortage Catalyzing Digital Load-Matching
A projected 1.2 million global driver gap by 2030 is forcing carriers to squeeze more productivity out of existing equipment. Platforms that offer automated reload suggestions and optimized routing help drivers reduce wait times and mileage without freight, effectively creating virtual capacity. Uber Freight’s collaboration with Aurora Innovation to pilot autonomous trucks on lanes tied to its USD 18 billion brokerage book highlights how technology can offset labor scarcity. Smaller carriers, lacking proprietary dispatch systems, increasingly rely on third-party apps for workflow automation, accelerating platform penetration across the on-demand freight transportation market[2]Pete Buttigieg, “2025 Truck Driver Workforce Report,” Federal Motor Carrier Safety Administration, fmcsa.dot.gov.
Corporate Net-zero Targets Accelerating Low-carbon Freight Options
Climate-focused procurement policies are turning carbon visibility into a purchasing criterion alongside cost and speed. The Biden administration’s USD 1.5 billion program for zero-emission heavy trucks aligns public funding with corporate Science-Based Targets, ensuring infrastructure support for cleaner fleets. FedEx has invested USD 2 billion since 2023 to cut emissions intensity, setting industry benchmarks for integrating sustainability with logistics operations. Platforms that embed emissions calculators and prioritize carriers with newer, fuel-efficient assets differentiate their offer, adding momentum to the on-demand freight transportation market.
API-first TMS Integration Unlocking Real-time Capacity
Shippers increasingly expect their transportation management systems to connect to marketplaces through APIs instead of phone or email. C.H. Robinson’s AI-enabled freight classification raised its LTL order automation rate above 75%, proving that embedded connectivity slashes manual workload. DAT’s purchase of Trucker Tools brought carrier sourcing and live tracking into a single interface, illustrating how marketplaces evolve into infrastructure providers. As integration deepens, platform transactions migrate from ad-hoc spot bookings to recurring flows, creating more predictable volumes inside the on-demand freight transportation market.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Regulatory risk over gig-economy freight labour (AB5, EU Platform Work) | -2.1% | North America and the Europe primarily | Medium term (2-4 years) |
| Spot-rate volatility and freight-cycle whiplash | -1.8% | Global, with North America most exposed | Short term (≤ 2 years) |
| Cyber-attacks on SaaS freight platforms undermine shipper trust | -1.3% | Global, with developed markets most vulnerable | Medium term (2-4 years) |
| Urban curbside & cross-dock congestion bottlenecks | -1.1% | Urban centers globally, concentrated in Asia-Pacific and Europe | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Regulatory Risk Over Gig-economy Freight Labor
California’s AB5 statute and the EU Platform Work Directive 2024/2831 seek to reclassify many independent drivers as employees, potentially lifting operating costs for digital marketplaces. While the Owner-Operator Independent Drivers Association’s legal challenges continue, platforms must budget for higher payroll tax, insurance, and benefits should rulings go against them. Insurance brokers already report premium hikes as underwriters reassess risk under new employment definitions. Compliance costs could squeeze margins, prompting consolidation that favors well-capitalized leaders within the on-demand freight transportation market.
Spot-rate Volatility and Freight-cycle Whiplash
Freight rates fell sharply during the 2024 trucking recession, only to rebound as capacity exited the market. Smaller shippers shifted loads from spot to contracts to avoid price spikes, temporarily dampening marketplace volume. Because rate swings are tied to macro indicators that digital models cannot fully predict, revenue forecasting becomes harder for platform operators. Persistent volatility forces them to diversify service offerings and develop hedging tools, adding complexity to scaling the on-demand freight transportation market[3]Gina Raimondo, “Quadrennial Freight Review 2024 Executive Summary,” U.S. Department of Commerce, commerce.gov.
Segment Analysis
By Service Type: Digital Brokerage Outpaces Last-mile Growth
Digital freight brokerage accounted for a 20.25% CAGR through 2030, overtaking the already sizable last-mile segment that held 45.71% revenue in 2024. The brokerage model benefits from network effects that reward early scale, as each new shipper or carrier increases liquidity and reduces search frictions. Higher automation means incremental bookings add volume without proportional headcount, improving margins and accelerating the on-demand freight transportation market size. Last-mile remains crucial for retailers, but physical handling and driver availability keep costs elevated, limiting scalability relative to pure digital dispatch.
Crowd-sourced delivery platforms form a niche inside the broader on-demand freight transportation market, leveraging gig drivers for overflow capacity in dense urban zones. Regulatory uncertainty around labor classification, however, may cap their share. Specialized services—temperature-controlled, hazardous materials, white-glove—occupy the “Others” category and show steady but slower growth because certification and equipment needs constrain supply. Overall, platform-enabled digital brokerage is positioned to become the anchor service tier by 2030.
Note: Segment shares of all individual segments available upon report purchase
By Mode of Transport: Road Holds Scale, Air Leads Momentum
Road freight dominated with 64.44% of 2024 revenue, underscoring its versatility across full-truckload and less-than-truckload lanes. Algorithmic matching cuts empty miles and raises asset utilization, making digital platforms a natural fit for road carriers. Nevertheless, air freight is rising fastest at 18.76% CAGR as international e-commerce forces shippers to compress delivery times, especially on cross-border small-parcel lanes. This growth elevates the on-demand freight transportation market share of air, though cost keeps it a premium option. Rail intermodal and maritime appear in the “Other” grouping; both integrate with platforms for door-to-door coordination but expand at more tempered paces because infrastructure projects move slowly.
Capacity bottlenecks at major airports create opportunities for digital load aggregation, allowing smaller shipments to share space that forwarders once controlled manually. Road and air synergy strengthens multimodal solutions, helping platforms deliver end-to-end visibility and ensuring the on-demand freight transportation market offers comprehensive service menus.
By Delivery Speed: Same-day Drives Premium Value
Same-day services are advancing at a 19.55% CAGR, outpacing next-day and standard 3-5 day options, as retailers promise increasingly aggressive cut-off windows. Although standard services still held 38.53% of 2024 spend, shipper willingness to pay for speed diverts share to premium tiers and lifts the on-demand freight transportation market size for rapid offerings. Next-day sits between cost and urgency, maintaining relevance for mid-value goods. Economy (more than 5 days) remains a fallback for price-sensitive freight, but consolidation benefits make it vulnerable to cycles in fuel cost and capacity availability.
Infrastructure investments—micro-fulfillment nodes, nighttime delivery programs, and autonomous middle-mile pilots—bring unit costs for same-day deliveries down over time. As rural coverage expands thanks to Amazon-style programs, the total reachable market for premium delivery widens and supports longer-term growth trajectories.
Note: Segment shares of all individual segments available upon report purchase
By End-user Industry: Healthcare Leads Digital Adoption
Healthcare and pharmaceuticals, with a 19.97% CAGR, demand real-time condition tracking and strict regulatory compliance, pushing them toward technology-rich platforms. Cold-chain complexities require data transparency that legacy brokers cannot provide at scale, explaining healthcare’s outsized momentum in the on-demand freight transportation market. E-commerce and retail remained the largest user in 2024 at 26.10% share, reflecting sheer shipment volume but indicating slower relative growth as digital penetration matures. Consumer packaged goods, food & beverage, and industrial sectors maintain stable, cyclical demand tied to macroeconomic conditions and benefit from optimization tools that cut empty miles. Niche verticals—auto parts, electronics, chemicals—round out the “Others” group, each with specialized handling needs that encourage platform differentiation through tailored modules.
Geography Analysis
Asia-Pacific’s 41.87% 2024 revenue share reflects its twin roles as global factory and fast-growing consumer hub. China anchors intra-Asia flows, while India’s digital payment boom sparks demand for last-mile services. Mature logistics ecosystems in Japan and South Korea support advanced TMS adoption, and Southeast Asia’s internal trade corridors flourish under RCEP tariff reductions. With an 18.49% CAGR to 2030, the region will keep widening its lead in the on-demand freight transportation market.
North America ranks second in value and continues to innovate, but its growth moderates from earlier highs as platform use becomes mainstream. The United States faces acute driver shortages and evolving labor laws such as AB5, prompting both compliance spending and automation pilots. Cross-border trade with Canada and Mexico channels significant road freight through digital marketplaces, boosting the on-demand freight transportation market size. Autonomy testing in the Southwest corridor and zero-emission mandates in California illustrate how regulatory diversity shapes localized adoption curves.
Europe centers its strategy on sustainable logistics, supported by EU Green Deal targets and legislation promoting rail and low-carbon modes. The Platform Work Directive establishes a clearer playing field but increases operator costs. Sennder’s EUR 1.4 billion (USD 1.62 billion) acquisition of C.H. Robinson’s European business evidences consolidation aimed at scaling greener transport offerings. Growth varies: Germany and France, with dense industrial bases, require multimodal orchestration; the Nordics pioneer fossil-free fleets; BENELUX acts as a gateway for containerized flows. Despite a moderate CAGR, Europe’s emphasis on carbon accounting sets global standards that ripple through the on-demand freight transportation market.
Competitive Landscape
Competition remains fragmented, yet technology-led differentiation is driving a gradual shift toward oligopolistic dynamics. Digital freight brokers focus on API connectivity and machine-learning rate engines, aiming to become embedded within shipper TMS environments. Platform aggregation is visible in deals such as DAT’s Trucker Tools takeover, which combines load boards with real-time tracking to deepen marketplace liquidity. Vertical integration surfaces in Uber Freight’s autonomous truck trials, where control over both platform and rolling stock could unlock margin from end-to-end orchestration.
Specialists target compliance-heavy niches like cold-chain healthcare, where data integrity and certification barriers limit new entrants. Acquisitions of regional 3PLs by larger digital players reveal a strategy to build density rapidly rather than replicate networks from scratch, as seen in BlueGrace’s purchase of FreightCenter. Incumbent asset-based carriers, notably XPO, invest in proprietary linehaul algorithms and dynamic pricing to protect share while selectively trading on third-party platforms for backhaul efficiency. As funding costs rise, late-stage startups prioritize profitability, leaving well-capitalized incumbents to pick up distressed assets and data troves that reinforce network effects across the on-demand freight transportation market.
On-demand Freight Transportation Industry Leaders
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Uber Freight
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C.H. Robinson Worldwide
-
J.B. Hunt 360
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Flexport Inc.
-
XPO Logistics
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- August 2025: Uber Freight, in collaboration with Waabi, initiated a pilot for AI-driven autonomous trucks in Texas, eyeing broader expansion.
- February 2025: GenLogs raised USD 14.6 million in Series A financing to expand roadside sensor networks for truck tracking and plans to enter Mexico’s intermodal corridors.
- January 2025: BlueGrace Logistics acquired FreightCenter to broaden less-than-truckload service offerings and integrate optimization software.
- December 2024: DAT Freight & Analytics completed its acquisition of Trucker Tools, adding carrier sourcing and live-load tracking to DAT One.
Global On-demand Freight Transportation Market Report Scope
| Digital Freight Brokerage / Matching |
| On-demand Last-mile Freight |
| Crowd-sourced Delivery Platforms |
| Others |
| Road | Full-Truckload (FTL) |
| Less-than-Truckload (LTL) | |
| Air | |
| Other Mode of Transportation |
| Same-day (less than 24 h) |
| Next-day (24–48 h) |
| Standard (3-5 days) |
| Economy (more than 5 days) |
| Others |
| E-commerce and Retail |
| Consumer Packaged Goods |
| Food and Beverage (incl. Cold-chain) |
| Healthcare and Pharma |
| Industrial and Manufacturing |
| Others |
| North America | United States |
| Canada | |
| Mexico | |
| South America | Brazil |
| Peru | |
| Chile | |
| Argentina | |
| Rest of South America | |
| Asia-Pacific | India |
| China | |
| Japan | |
| Australia | |
| South Korea | |
| Southeast Asia (Singapore, Malaysia, Thailand, Indonesia, Vietnam, and Philippines) | |
| Rest of Asia-Pacific | |
| Europe | United Kingdom |
| Germany | |
| France | |
| Spain | |
| Italy | |
| BENELUX (Belgium, Netherlands, and Luxembourg) | |
| NORDICS (Denmark, Finland, Iceland, Norway, and Sweden) | |
| Rest of Europe | |
| Middle East And Africa | United Arab Emirates |
| Saudi Arabia | |
| South Africa | |
| Nigeria | |
| Rest of Middle East And Africa |
| By Service Type | Digital Freight Brokerage / Matching | |
| On-demand Last-mile Freight | ||
| Crowd-sourced Delivery Platforms | ||
| Others | ||
| By Mode of Transport | Road | Full-Truckload (FTL) |
| Less-than-Truckload (LTL) | ||
| Air | ||
| Other Mode of Transportation | ||
| By Delivery Speed | Same-day (less than 24 h) | |
| Next-day (24–48 h) | ||
| Standard (3-5 days) | ||
| Economy (more than 5 days) | ||
| Others | ||
| By End-user Industry | E-commerce and Retail | |
| Consumer Packaged Goods | ||
| Food and Beverage (incl. Cold-chain) | ||
| Healthcare and Pharma | ||
| Industrial and Manufacturing | ||
| Others | ||
| By Geography | North America | United States |
| Canada | ||
| Mexico | ||
| South America | Brazil | |
| Peru | ||
| Chile | ||
| Argentina | ||
| Rest of South America | ||
| Asia-Pacific | India | |
| China | ||
| Japan | ||
| Australia | ||
| South Korea | ||
| Southeast Asia (Singapore, Malaysia, Thailand, Indonesia, Vietnam, and Philippines) | ||
| Rest of Asia-Pacific | ||
| Europe | United Kingdom | |
| Germany | ||
| France | ||
| Spain | ||
| Italy | ||
| BENELUX (Belgium, Netherlands, and Luxembourg) | ||
| NORDICS (Denmark, Finland, Iceland, Norway, and Sweden) | ||
| Rest of Europe | ||
| Middle East And Africa | United Arab Emirates | |
| Saudi Arabia | ||
| South Africa | ||
| Nigeria | ||
| Rest of Middle East And Africa | ||
Key Questions Answered in the Report
How large is the on-demand freight transportation market in 2025?
The market is valued at USD 123.14 billion in 2025.
What CAGR is forecast for on-demand freight platforms through 2030?
Global revenue is anticipated to rise at a 16.07% CAGR between 2025 and 2030.
Which region leads adoption of on-demand freight solutions?
Asia Pacific holds 41.87% of 2024 revenue and exhibits the fastest 18.49% CAGR to 2030.
Why are digital freight brokerages growing faster than last-mile services?
Brokerages scale through automation and network effects, achieving a 20.25% CAGR versus physical constraints in last-mile delivery.
What is the main challenge posed by labor regulations?
Laws such as California’s AB5 may reclassify independent drivers as employees, potentially raising platform operating costs and pressuring margins.
Which end-use sector is expanding the fastest?
Healthcare and pharmaceuticals, propelled by cold-chain and compliance needs, are projected to grow at a 19.97% CAGR.
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