European Road Freight Transport 2021

Now available to download

 

European Road Freight Transport 2021 contains unique analysis of European road freight transport trends, growth data and market opportunities.

The report addresses driver shortages and the measures that can be adopted to solve the crisis, recovery prospects for the industry as we continue to navigate through the Covid-19 pandemic, and other factors affecting volumes, pricing and cost factors.

The report contains Ti’s bespoke market sizing data, including 2020 growth rates, full year 2021 projections and Ti’s Covid Recovery Tracker Data, which analyses market growth projections through to 2025 compared to pre-Covid market sizes.

Finally the report contains in depth comparative logistics provider profiles and comprehensive assessment of the digital road freight landscape, including the 2021 market map, analysis of the variety of services offered by marketplaces and digital forwarders and how recent M&A activity could transform the market.


The Digital Road Freight Market

The report contains extensive analysis of the digital road freight landscape, tracking the evolution of digital offers across the value chain.

How is the digital road freight landscape evolving?

What level of service offering do digital forwarders and marketplaces currently provide?

The report contains:

  • Post-Covid 2020-2025 forecasts, 2020 market size & growth rates, 2021 full year projections - split by country, domestic & international, and FTL/LTL
  • Market data analysis including volumes, pricing & cost factors
  • Analysis of the continued effects of Covid-19 disruption, driver shortages, environmental factors & infrastructure issues on the market
  • Comparative logistics provider profiles, including operational strategies, finances, sustainability practices, technologies used & their implementation
  • Extensive analysis of the digital road freight landscape, tracking the evolution of digital offers across the value chain

The report contains:

  • Post-Covid 2020-2025 forecasts, 2020 market size & growth rates, 2021 full year projections - split by country, domestic & international, and FTL/LTL
  • Market data analysis including volumes, pricing & cost factors
  • Analysis of the continued effects of Covid-19 disruption, driver shortages, environmental factors & infrastructure issues on the market
  • Comparative logistics provider profiles, including operational strategies, finances, sustainability practices, technologies used & their implementation
  • Extensive analysis of the digital road freight landscape, tracking the evolution of digital offers across the value chain

Key Questions:

  • How is the industry coping with continued economic and infrastructure pressure?
  • How fast is the market expected to grow throughout the rest of 2021-2025?
  • How fast is the international road freight market expected to grow over the next 5 years?
  • What strategies must the industry adopt in order to solve the issue of driver shortages?
  • Where do opportunities lie within the market? And how can these opportunities best be captured?
  • What strategies are leading road freight providers adopting, and how are they keeping pace with ever changing market dynamics? 
  • What does the digital road freight landscape currently look like? And how will it evolve?
  • What level of service offering do digital forwarders and marketplaces currently provide? How will this change in the coming years?

Key Findings:

  • The European road freight market will expand by 4.7% in 2021, but CRT21 data projects the market will still be 1.5% smaller than it was in 2019
  • Recovery through to 2025 is more positive, Ti’s CRT25 data shows the region will be 10.1% larger in 2025 compared to 2019
  • By 2025, the largest five economies will account for 59.7% of the road freight market, down slightly from 60.2% in 2020
  • As shippers get a clearer picture of the working conditions offered by transport providers, those that do not invest in better working conditions could be left behind
  • The ability for commercial road freight to maintain a competitive advantage over in-house operations is key to growth
  • Activity within the digital freight sector remains high, with interesting developments and consolidation at all fronts
  • Almost all profiled providers have a degree of environmental improvements planned, or already implemented, in order to reduce their climate impact

Nick Bailey is responsible for all of Ti’s research products, including logistics market and vertical sector reports, as well as Ti’s flagship Global Supply Chain Intelligence (GSCi) market intelligence portal. Nick is actively involved in research for these product ranges, as well as in the development of new and existing research capabilities at Ti. Nick also coordinates the efforts of Ti’s team of researchers and analysts, and supports Ti’s consultancy offering for a global client base.

Viki Keckarovska is senior research analyst at Ti. Viki has vast experience in the design, implementation and analysis of electronic and person-to-person surveys. Having worked across a number of sectors, including retail, luxury goods and FMCG, Violeta is experienced in gaining valuable insights across brand perception, voice of customer and strategic re-positioning intelligence campaigns for B-to-B and B-to-C clients. As a member of the Market Research Society, Violeta brings best practice in research, insight and analytics across Ti.

Thomas Cullen is a widely respected writer and has been analyzing the global logistics market for over 15 years. He has edited a number of international publications and written for most of the leading trade publications in Europe. He has written several in-depth reports on a variety of subjects including Automotive and Chemical logistics. Thomas has been vital in adding value to Ti’s Logistics Briefing service for the last 10 years and works on many global consultancy projects.

Connor Wyse is a quantitative analyst who joined Ti in 2021. His main role is the sizing of several core logistics markets for Ti’s market reports. Connor studied economics at The University of Stirling, which has provided him with a strong understanding of economics and statistics. Connor is enthusiastic about researching logistics and deepening his knowledge of the industry.

1.0 MACRO-ECONOMICS AND THE EUROPEAN ROAD FREIGHT MARKET 10

MONETARY POLICY 10

UNDERLYING MONETARY CONDITIONS 10

GERMANY 11

1.3.1 German Exports to non-Euro Economies 12

1.4 ELSEWHERE IN THE EUROZONE 14

1.5 THE UK 15

1.6 SUMMARY16

2.0 EUROPEAN DRIVER SHORTAGES 17

2.1 DATA ON DRIVER SHORTAGES 18

2.2.1 The use of apprenticeships and training schemes to attract young people21

2.2.2 Seasonal Hiring 22

2.2.3 Recruiting Ex-Army Personnel as Drivers 22

2.2.4 The use of technology 23

2.2.5 Institutions and governmental input 23

2.2.6 Reducing the minimum age of professional truck drivers 24

2.2.7 Attracting female truck drivers 24

2.2.8 Attracting foreign drivers 25

2.2.9 The use of financial incentives 25

2.2.3 CONCLUSION 26

3.0 Digital landscape in the European road freight market 27

3.1 INTRODUCTION 27

3.2 DIGITAL LANDSCAPE IN THE EUROPEAN ROAD FREIGHT MARKET 27

3.2.1 Overview – Market Map 27

3.3 TRANSPORT EXECUTION 28

3.3.1 DIGITAL SERVICE PROVIDERS 28

3.4 ENABLING TECHNOLOGIES 29

3.5 EVOLUTION OF DIGITAL BUSINESS MODELS IN THE EUROPEAN ROAD FREIGHT MARKET 32

3.6 DIGITAL FORWARDERS IN EUROPEAN ROAD FREIGHT 35

3.6.1 Independent digital forwarders 36

3.6.2 Captive digital forwarders 37

3.6.3 Comparison of independent and captive digital forwarders 38

3.8 PROVIDER PROFILES 43

3.8.1 Cargonexx 43

3.8.2 Chronotruck 44

Coyote Logistics 44

InstaFreight 45

Sixfold 47

Quicargo 48

sennder 48

Saloodo! 51

4.0 European Road Freight Market Sizing 2020 53

4.1 EUROPEAN ROAD FREIGHT MARKET 53

4.1.1 Prices 54

4.1.2 Country-Level Performance 55

4.1.3 Total European Road Freight Market 2021 (F) 56

4.1.4 Total European Road Freight Market 2021 (F) by country 57

4.1.5 Total European Road Freight Market 2025 (F) 59

4.1.6 Total European Road Freight Market 2025 (F) by Country 60

4.2 DOMESTIC 2020 61

4.2.1 Regional Performance 61

4.2.2 Prices 62

4.2.3 Countries 62

4.2.4 2021 64

4.2.5 Countries 66

4.2.6 2025 67

4.2.7 Countries 69

4.3 INTERNATIONAL 2020 70

4.3.1 Regional Performance 70

4.3.2 Prices 71

4.3.3 Countries 72

4.3.4 2021 73

4.3.5 Countries 75

4.4 EUROPEAN FTL & LTL ROAD FREIGHT MARKET SIZE & GROWTH 80

4.5 TOP 20 EUROPEAN ROAD FREIGHT TRANSPORT PROVIDERS 2020 80

4.6 EUROPEAN ROAD FREIGHT MARKET TRENDS 82

4.6.1 Market Headwinds 87

5.0 European Road Freight Providers – Comparative Profiles 91

5.1 FINANCES 91

5.1.1 Operating margin comparison 91

5.2 SUSTAINABILITY 94

5.2.1 Overview 95

5.2.2 Ecological Fleet 99

5.3 SBTI & UN SDGS 115

 

6.0 European Road Freight Transport Provider Profiles 116

DACHSER 116

1.1 Background 116

6.1.2 Finances 116

6.1.3 Operations 117

6.1.4 Dachser European Logistics 118

6.1.5 Goods consolidation and daily freight services through Eurohubs 119

6.1.6 Tailored solutions 120

6.1.7 Dachser Food Logistics 121

6.1.8 DACHSER Cargoplus Food 122

6.1.9 Investments 122

6.1.10 Technology 124

6.1.11 Strategic Outlook 125

6.2 DB SCHENKER 126

6.2.1 Background 126

6.2.2 Finances  126

6.2.3 Operations, Full Load Solution 129

6.2.4 Technology 132

Sensor Technology (Smartbox) 132

6.2.5 Strategic Outlook 135

6.3 DHL 137

6.3.1 Background 137

6.3.2 Finances 137

6.3.3 Operations 139

6.3.4 Technology 146

6.3.5 Strategic Outlook 148

6.4 DSV A/S 151

6.4.1 Background 151

6.4.2 Finances 151

6.4.3 Operations 154

6.4.4 Technology 156

6.4.5 Strategic Outlook 158

6.5 FEDEX/TNT 161

6.5.1 Background 161

6.5.2 Finances 161

6.5.3 Operations 165

6.5.4 Technology 167

6.5.5 Strategic Outlook 167

6.6 GEFCO 169

6.6.1 Background 169

6.6.2 Finances 169

6.6.3 Operations 171

6.6.4 Technology 176

6.6.5 Strategic Outlook 177

6.7 GEODIS 179

6.7.1 Background 179

6.7.2 Finances 179

6.7.3 Operations 181

6.7.4 Technology 184

6.7.5 Strategic Outlook 185

6.8 GIRTEKA LOGISTICS 187

6.8.1 Background 187

6.8.2 Finances 187

6.8.3 Operations 188

6.8.4 Technology 192

6.8.5 Strategic Outlook 193

6.9 KUEHNE + NAGEL 196

6.9.1 Background 196

6.9.2 Finances 196

6.9.3 Operations 198

6.9.4 Technology 199

6.9.5 Strategic Outlook 200

6.10 LKW WALTER 201

6.10.1 Background 201

6.10.2 Finances 201

6.10.3 Operations 201

6.10.4 Strategic Outlook 204

6.11 RHENUS 206

6.11.1 Background 206

6.11.2 Finances 206

6.11.3 Operations 207

LTL Trucking 209

FTL Trucking 209

6.11.4 Technology 210

6.11.5 Strategic Outlook 211

6.12 XPO LOGISTICS EUROPE 214

6.12.1 Background 214

6.12.2 Finances 214

6.12.3 Operations 218

6.12.4 Technology 218

6.12.5 Strategic Outlook 220

 

 

European road freight market recovery ongoing through 2021, but many challenges remain

16th November, 2021, Bath, UK – Ti’s latest report European Road Freight Transport 2021 shows a European market recovering well from the pandemic, but also struggling with some serious market dysfunctions brought about by supply chain disruption following Covid-19, labour shortages and Brexit. Meanwhile, rapid changes continue to transform the market as digitalisation gathers pace among the market leaders.

  • The European road freight market will expand by 4.7% in 2021, but Ti’s data projects the market will still be 1.5% smaller than it was in 2019
  • Recovery through to 2025 is more positive, Ti data shows the region’s market will be 10.1% larger in 2025 compared to 2019
  • FTL market growth outpaces LTL growth through the pandemic but LTL is still set to account for a record 71.3% of the total European road freight market by 2025
  • Economic stimuluses and monetary policy across Europe are driving inflation and shortages in the labour market are driving up road freight costs
  • Driver shortages are an acute problem in the UK market, leading to a degree of dysfunction but the problem is also present across the rest of Europe with an overall shortage of 400,000 drivers
  • Activity within the digital freight sector remains high, with 12 major M&A deals since 2017 and digital forwarders, marketplaces and TMS providers all competing to capture more of the value chain

Ti’s latest market forecasts show that, while the European road freight market will have nearly recovered fully from the pandemic by the end of 2021, it will still be 1.5% smaller than it was in 2019. But the market did record a growth rate of 4.7% in 2021. By 2025 the market is expected to be a full 10.1% larger than in 2019 and to reach a total size of €378.1bn.

Ti’s research also shows that during the pandemic European FTL was growing faster than LTL. The supply chain disruptions and the capacity crunch during the pandemic drove FTL growth, with companies booking more FTL movements to guarantee access to capacity. Nevertheless in 2021 the LTL market is expected to account for 70.8% of the total market and nearly 71.3% by 2025.

The new report also shows that while both the international and domestic European road freight markets are recovering from pandemic steadily, they are both still smaller than pre-pandemic (2019) levels. By the end of 2021 the domestic market is still expected to be 1.4% smaller than it was in 2019, while the international market is expected to be 1.6% smaller.

Behind this underlying picture of solid but ongoing recovery there are a number of issues that are challenging road freight operators. One of the most significant challenges is the driver shortage, the report shows that this is most acute in the UK but that there is a wider shortage across Europe of over 400,000 drivers. Over the medium term there are a number of strategies highlighted in the report to deal with this, but the report suggests short terms disruption as hauliers and shippers compete to attract the drivers to secure the capacity they need over the peak season.

Additionally the report shows that the European market is also dealing with significant pressure from ongoing Covid and supply chain disruption and widespread interventions in the market by governments in terms of regulations, customs changes (Brexit) and fiscal and monetary stimuluses driving inflation.

Amid all the challenges of 2021, Ti’s report also highlights the extent to which the European road freight market is moving through a period of rapid innovation and change as digitalisation gathers pace among the market leaders. The report sets out the latest market map for the ever evolving digital freight space and examines how digital forwarders, marketplaces and TMS providers are all competing to capture more and more of the value chain. The 8 case studies of major digital players included in the report highlight the high level of activity in the digital space with 12 major M&A deals taking place since 2017 and a constant raft of new innovations being rolled out by these players.

Michael Clover, Ti’s Head of Commercial Development said: “The European road freight market is going through a period of dynamic change as we look ahead to 2022. The market is fighting to respond to the challenges of the pandemic and it’s knock on effects while dealing with the major constraint of driver shortages and disruption in the upstream supply chain. As ever, the market leaders are looking to technology and innovation to help alleviate the challenges of operating under heavy capacity constraints by increasing the efficiency of day to day operations and of movements across borders as new controls are expected for EU to GB trade as of January 1st".

This report is perfect for

This report is specifically written to provide comprehensive and easily accessible strategic information to those involved or with an interest in this sector as well as:

  • Global manufacturers
  • Banks and financial institutions
  • Supply chain managers and directors
  • Logistics procurement managers
  • Marketing managers
  • Knowledge managers
  • Investors
  • All C-level executives

Report Brochure:

Please enter your details below to download a copy of the report brochure: