According to our latest market study on “Secure Logistics Market Forecast to 2028 – COVID-19 Impact and Global Analysis – by Type and Application,” the market was valued at US$ 47.25 billion in 2021 and is projected to reach US$ 75.64 billion by 2028; it is expected to grow at a CAGR of 7.0% from 2021 to 2028.
The increased use of cash logistics solutions such as cash management and cash-in-transit has resulted from the increase in currency circulation in the economy. For example, in November 2018, the Reserve Bank of India (RBI) declared that the money in circulation in India had increased by roughly US$ 6.54 billion, the greatest increase since demonetization. The adoption of cash logistics services improves cash management and provides benefits such as the reduced risk of errors, improved cash flow, and more. As a result, an increase in cash circulation propels the global secure logistics market ahead. Further, multinational cash logistics corporations have been steadily shifting their operations bases to rising areas such as Asia, South America, and the Middle East. The cash logistics industry took a major hit during the European banking crises in 2009, with several banks and financial institutions requisitioning bailouts. Cash logistics firms are also expanding their reach into emerging regions to get a competitive advantage. Since the global economic slump of 2008–2009, economies like India, China, and Brazil have expanded dramatically. As a result, significant opportunities for market expansion are anticipated.
In recent days, the number of cash-in-transit vehicle robberies has skyrocketed. In South Africa, for example, a surge in cash robbery is one of the key causes discouraging cash logistics companies from accepting cash payments. In recent financial years, cash-in-transit robberies surged by roughly 56%, resulting in an increase in demand for secure logistics for cash movement and management by cash logistics companies.
Key Findings of Study:
Geographically, the secure logistics market is broadly segmented into five major regions—North America, Europe, Asia Pacific (APAC), Middle East and Africa (MEA), and South America (SAM). APAC led the market in 2020.
The secure logistics market in APAC is expected to grow at a significant rate during the forecast period. Factors such as rapid growth and expansion of banking and financial institutions across the region are propelling the market growth. Also, the growing logistics industry would create lucrative growth opportunities for the market players present in APAC in the coming years.
The growth of the North America secure logistics market is attributed to the rising security concerns among institutions and corporations owing to the need for safe cash transportation. Further, the cash-in-transit services and the presence of many market players are dominating the region’s market growth.
