Saudi Arabia Logistics and Warehousing Market Outlook to 2023 (Second Edition)
Expected Recovery in Demand Growth with Rising Infrastructure Spending, Government Reforms and Surge in Trade
Region:Middle East
Author(s):Aarsh Gugliani, Harsh Mittal
Product Code:KR832
July 2019
322
About the Report
Saudi Arabia Logistics and Warehousing Market Size
Saudi Arabia Freight Forwarding Market: Freight forwarding industry has observed a slight decline in past few years, which is majorly due to the decrease in freight movement in the country. However, expanding FMCG, retail, food & e-commerce industry in the kingdom is expected to stabilize the growth of the freight forwarding industry in future. The market decreased at a single digit CAGR during the period 2012 to 2018. Introduction of Saudization has resulted in several labour immigrants to leave the kingdom which has further resulted in the decrease of expatriate population in the country. Additionally, a decrease in oil prices and stagnation of the economy has resulted in low freight movement in the country. International freight forwarding contributed the majority share in the overall revenue of the industry. Major companies operating in this segment include DHL, Panalpina, UPS, DB Schenker, Kuehne + Nagel and several others. It is forecasted that the market will moderately grow at a positive CAGR during the review period of 2018-2023.
Saudi Arabia Warehousing Market: The warehousing sector in Saudi Arabia has increased at a positive CAGR during the review period 2012-2018. The country is experiencing a major rise in the demand for warehousing services. Industrial and retail warehousing has led the warehousing industry by acquiring majority of the total revenue share in 2018. The expanding e-tail companies in the country have also triggered the growth of this industry. Online stores have become quite popular in the kingdom lately. The major reason for their popularity is the convenience of placing an order while sitting at home and getting the product delivered at the door step. The growth in the market is also driven by increased demand for the outsourcing of warehouse services. Vendors in the market provide multiple value-added services to customers, including packaging and kitting, inventory management and others which is difficult to maintain during in-house warehouse operations thereby accelerating the demand for warehousing on lease and rent on third party logistics basis. In case of warehousing market segmentation by city, Jeddah contributed the majority revenue share in warehousing industry. In future, it is anticipated that the market will continue to grow at a single digit positive CAGR during the period 2018-2023.
Saudi Arabia Express Logistics Market: Despite the high cost of express logistics in comparison with non-express logistics, the revenue share of express delivery has been observed grow at a positive CAGR during the review period 2012-2018. Express logistics has been observed as a premium segment of the logistics industry as it involves time sensitive shipments of goods via multi-modal modes of transportation. The rising prominence of online shopping has attributed to the increasing demand for express delivery, especially by B2C segments over the past few years in the kingdom. The express logistics market has evolved from the delivery of documents and parcels to specialist items such as high-tech products, semiconductors and general airfreight commodities. The services provided by the companies such as guaranteed delivery services, door to door delivery, track your orders and others have strengthened the growth of the logistics. Air express has dominated the market by acquiring majority revenue share in 2018 owing to the presence of well planned airport infrastructure to support cargo. In case of express logistics segmentation by business model, B2B dominated the market. The leading companies in this segment include DHL, Aramex, UBS, FedEx-TNT, SMSA, Naqel Express, Zajil Express, Almajdouie Logistics and Abdul Latif Jameel Logistics.
Saudi Arabia E-Commerce Logistics Market: E-Commerce Market in Saudi Arabia has increased at a single digit positive CAGR during the period 2012-2018. The customers have begun demanding quick deliveries which has led to an increase in the logistics and warehousing requirements in the country. E-commerce companies such as Souq.com, Noon, JollyChic, Wadi, and Ali Express are some of the major players that promise one day delivery to its clients. Thus, the rise in demand for quick delivery requires streamlined freight movement thereby augmenting the e-commerce contribution. In the forecast period of 2018-2023, the market is anticipated to grow at a double digit positive CAGR.
Saudi Arabia Third Party Logistics (3PL) Market: Third party logistics market witnessed a marginal increase over the past five years in Saudi Arabia. Third-party logistics (3PL) outsourcing is rapidly gaining prominence as more corporations across the world are entering the kingdom and are unable to manage their complex supply chains and hence are outsourcing logistics activities to the 3PL service providers.
Future Outlook and Projections for Saudi Arabia Logistics and Warehousing Market: Saudi Arabia logistics and warehousing marketis expected to grow at a single digit CAGR during the review period of 2018 to 2023. Rising demand of warehousing and cold storage, growing E-commerce and retail industry, entry of foreign players, rising government support, increasing trade with other major import & export countries will drive the market in coming future. Rising retail and FMCG industry of the country will accelerate the demand for warehouses storage and transportation & logistics facility. Freight forwarding services will majorly contribute in the overall market of logistics by acquiring maximum revenue share in 2023. This decline in share of the freight forwarding market is anticipated to be followed by a corresponding increase in the revenue share of warehousing sector of the kingdom.
Key Topics Covered in the Report
- Logistics Infrastructure in Saudi Arabia Logistics and Warehousing Market
- Cross Comparison of Saudi Arabia Logistics and Warehousing with GCC Countries
- Value Chain Analysis of Saudi Arabia Logistics and Warehousing Market
- Saudi Arabia Logistics and Warehousing Market
- Saudi Arabia Freight Forwarding Market
- Saudi Arabia Warehousing Market
- Saudi Arabia Express Logistics Market
- Saudi Arabia E-Commerce Logistics Market
- Saudi Arabia Third Party Logistics (3PL) Market
- Trade Scenario in Saudi Arabia Logistics and Warehousing Market
- Trends and Developments in Saudi Arabia Logistics and Warehousing Market
- Issues and Challenges in Saudi Arabia Logistics and Warehousing Market
- Government Role and Regulations in Saudi Arabia Logistics and Warehousing Market
- SWOT Analysis of Saudi Arabia Logistics and Warehousing Market
- Recent Mergers and Acquisitions in Saudi Arabia Logistics and Warehousing Market
- Saudi Arabia Logistics and Warehousing Market Future Outlook and Projections
- Analyst Recommendations for Saudi Arabia Logistics and Warehousing Market
Products
Key Target Audience
- Logistics Companies
- Warehousing Companies
- Cold Chain Companies
- Express Logistics Companies
- E-Commerce Logistics Companies
- E-Commerce Companies
- Logistics Association
- Government Association
- Investors and Private Equity Companies
Time Period Captured in the Report:
- Historical Period: 2012 - 2018
- Forecast Period: 2019E - 2023E
Companies
Companies Covered:
Freight Forwarding Market:
- Basem International Shipping and Logistics Co. Ltd.
- Kuehne Nagel
- Panalpina
- DB Schenker
- DHL
- Expeditors
- FedEx – TNT
- Mubarrad (Saudi Transport and Investment Co.)
Warehousing Market:
- LSC Logistics and Warehousing
- Agility Logistics
- Almajdouie Logistics
- Mosanada Logistics
- Tamer Logistics
- BAFCO International Shipping and Logistics Co. Ltd.
- Hala Supply Chain Services
- United Warehouse Co. Ltd.
- Wared Logistics
- Takhzeen Logistics
- Etmam Logistics (Shahini Group)
- Aramex
- Kaden Logistics
- Panda Retail Company
Express Logistics Market:
- UPS
- SMSA Express
- Naqel Express
- Zajil Express
- Abdul Latif Jameel Logistics
Third Party Logistics Market:
- Wared Logistics
- Abudawood Logistics
- Mosanada Logistics
- Tamer Logistics
- DB Schenker
- Abudawood Logistics
- Kuehne + Nagel
- DHL
- Agility Logistics
Table of Contents
1. Executive Summary
1.1. Saudi Arabia Logistics & Warehousing Market Overview and Genesis
1.2. Saudi Arabia Logistics & Warehousing Market Size
1.3. Saudi Arabia Freight Forwarding Market
1.4. Saudi Arabia Warehousing Market
1.5. Saudi Arabia Express Logistics Market
1.6. Saudi Arabia E-Commerce Logistics Market
1.7. Saudi Arabia Third Part Logistics (3PL) Market
1.8. Future Outlook and Projections for Saudi Arabia Logistics & Warehousing Market
2. Research Methodology
2.1. Market Definitions
2.2. Abbreviations
2.3. Market Size and Modelling
2.4. Research Methodology
2.5. Limitations
2.6. Variables (Dependent and Independent)
2.7. Multi Factor Based Sensitivity Model
2.8. Final Conclusion
3. Logistics Infrastructure in Saudi Arabia Logistics and Warehousing Market
3.1. Airports
3.2. Seaports
3.3. Road Network
3.4. Rail Network
4. Cross Comparison of Saudi Arabia Logistics and Warehousing with GCC Countries
5. Value Chain Analysis of Saudi Arabia Logistics and Warehousing Market
5.1. Major Entities Involved
5.2. Challenges in Value Chain
6. Saudi Arabia Logistics and Warehousing Market
6.1. Saudi Arabia Logistics and Warehousing Market Overview and Genesis
Major Economic Activities Contributing to GDP of Saudi Arabia
Major Regions Exporting to Saudi Arabia
MAjor Regions Importing from Saudi Arabia
Major Commodities Imported in Saudi Arabia
Major Commodities Exported from Saudi Arabia
6.2. Saudi Arabia Logistics and Warehousing Market Size, 2012-2018
6.3. Saudi Arabia Logistics and Warehousing Market Segmentation, 2012-2018
6.3.1. By Service Mix (Freight Forwarding, Warehousing and Value Added Services), 2012-2018
6.3.2. By End User Industry (Oil and Gas, Food and Beverages, Automotive, Industrial/Retail Sector, Engineering Equipment, Metals and Others), 2018
7. Saudi Arabia Freight Forwarding Market
7.1. Saudi Arabia Freight Forwarding Market Overview and Genesis
Growth Drivers in Saudi Arabia Freight Forwarding Market
Saudi Arabia Land Freight Import and Export
Saudi Arabia Sea Freight Import and Export
Saudi Arabia Air Freight Import and Export
Saudi Arabia Rail Freight
Need for the Rail Network Improvement in Saudi Arabia
7.2. Saudi Arabia Freight Forwarding Market Size, 2012-2018
Sea Freight
Air Freight
7.3. Saudi Arabia Freight Forwarding Market Segmentation, 2012-2018
7.3.1. By Mode of Freight, 2018
7.3.2. By Type of Delivery, 2012-2018
7.3.3. By Level of Freight, 2018
7.3.4. By Owned and 3PL, 2018
7.3.5. By Flow Corridors (International Freight), 2018
7.3.6. By International and Domestic Companies, 2018
7.4. Competitive Landscape in Saudi Arabia Freight Forwarding Market
7.4.1. Competition Scenario in Saudi Arabia Freight Forwarding Market
7.4.1. Competition Parameters in Saudi Arabia Freight Forwarding Market
7.4.2. Heat Map of Major Companies in Saudi Arabia Freight Forwarding Market
7.4.3. Company Profiles of Major Players in Saudi Arabia Freight Forwarding Market
Basem International Shipping & Logistics Company Limited
Kuehne+Nagel
Panalpina
DB Schenker
DHL
Expeditors
FedEx-TNT
Mubarrad (Saudi Transport & Investment Co.)
7.4.1. Directory of Major Players in Saudi Arabia Freight Forwarding Market
7.5. Saudi Arabia Freight Forwarding Market Future Outlook and Projections, 2018-2023E
7.5.1. Saudi Arabia Freight Forwarding Future Market Size, 2018-2023E
7.5.2. Saudi Arabia Freight Forwarding Market Future Segmentation, 2023E
By Type of Delivery, 2018-2023E
By Mode of Freight, 2023E
By Level of Freight, 2023E
By Owned and 3PL, 2023E
By International and Domestic Companies, 2023E
8. Saudi Arabia Warehousing Market
8.1. Saudi Arabia Warehousing Market Overview and Genesis, 2012-2018
Emerging Technologies in Saudi Arabia Warehousing Market
8.2. Value Chain Analysis for Saudi Arabia Warehousing Market
8.3. Saudi Arabia Warehousing Market Size, 2012-2018
8.4. Saudi Arabia Warehousing Market Segmentation, 2018
8.4.1. By Business Model (Industrial/Retail, Container Freight/Inland Container Depot and Cold Storage), 2018
8.4.2. By Type of Warehouses (Closed Temperature Controlled Warehouses, Closed Non-Temperature Controlled Warehouses, Cold Storage and Open Yards), 2018
Snapshot on E-Commerce Warehouses in Saudi Arabia
8.4.3. By End Users (Consumer Retail, Food and Beverages, Healthcare, Automotive and Others), 2018
8.4.4. By Cities (Jeddah, Riyadh, Dammam and Others), 2018
8.4.5. By Ownership (Owned and Third Party Logistics (3PL) Warehouses), 2018
8.5. Warehousing Cost of End Users in GDP of Saudi Arabia
8.6. Recent Investment Projects for Warehousing in Saudi Arabia, 2013-2018
8.7. Construction Costs in Saudi Arabia Warehousing Market
8.8. Competitive Landscape in Saudi Arabia Warehousing Market
8.8.1. Competition Scenario in Saudi Arabia Warehousing Market
Competitive Landscape Segmentation by Entities
Major Logistics Companies in Saudi Arabia Warehousing Market
8.8.2. Competition Parameters in Saudi Arabia Warehousing Market
8.8.3. Key Metrics of Major Companies in Saudi Arabia Warehousing Market
By Major Clientele and Industries Catered
By Types of Warehouses and Major Locations
By Monthly Price and Leasing (Annual) Price
Heatmap of Major Players
8.8.4. Strengths and Weaknesses of Major Players in Saudi Arabia Warehousing Market
8.8.5. Company Profiles of Major Players in Saudi Arabia Warehousing Market
LSC Logistics and Warehousing
Agility Logistics
Almajdouie Logistics
Mosanada Logistics Services
Tamer Logistics
BAFCO International Shipping and Logistics Company Ltd
Hala Supply Chain Services
United Warehouse Company Limited (UWC)
Wared Logistics
Other Players (Takhzeen Logistics, Etmam Logistics (Shahini Group) and Aramex)
Kaden Logistics
Panda Retail Company
8.9. Saudi Arabia Warehousing Market Future Outlook and Projections, 2018-2023E
8.9.1. Saudi Arabia Warehousing Market Future Outlook and Projections, 2018-2023E
Future Technologies in Saudi Arabia Warehousing Market
8.9.2. Saudi Arabia Warehousing Future Market Segmentation, 2023E
By Business Model (Industrial/Retail Warehouses, Cold Storage and Container/Inland Container Depot), 2023E
By Ownership (Owned and Third Party Logistics (3PL) Warehouses), 2023E
9. Saudi Arabia Express Logistics Market
9.1. Saudi Arabia Express Logistics Market Overview and Genesis, 2012-2018
9.2. Saudi Arabia Express Logistics Market Size, 2012-2018
9.3. Saudi Arabia Express Logistics Market Segmentation, 2018
9.3.1. By Level of Courier (Domestic Express and International Express), 2018
9.3.2. By Type of International Express (Air Express and Ground Express), 2018
9.3.3. By Type of Domestic Express (Air Express and Ground Express), 2018
9.3.4. By Business Model (B2B, B2C and C2C), 2018
9.4. Competitive Landscape in Saudi Arabia Express Logistics Market
9.4.1. Competition Scenario in Saudi Arabia Express Logistics Market
9.4.2. Competition Parameters in Saudi Arabia Express Logistics Market
9.4.3. Strengths and Weaknesses of Major Players in Saudi Arabia Express Logistics Market
Competition Parameters in Saudi Arabia E-Commerce Logistics Market
9.4.4. Company Profiles of Major Players in Saudi Arabia Express Logistics Market
UPS
SMSA Express
Naqel Express
Zajil Express
Abdul Latif Jameel Logistics
9.5. Saudi Arabia Express Logistics Market Future Outlook and Projections, 2018-2023E
9.5.1. Saudi Arabia Express Logistics Future Market Overview and Size, 2018-2023E
9.5.2. Saudi Arabia Express Logistics Future Market Segmentation, 2023E
By Level of Courier (Domestic Express and International Express), 2023E
By Type of International Express (Air Express and Ground Express), 2023E
By Type of Domestic Express (Air Express and Ground Express), 2023E
By Business Model (B2B, B2C and C2C), 2023E
10. Saudi Arabia E-Commerce Logistics Market
10.1. Saudi Arabia E-Commerce Logistics Market Overview, 2012-2018
10.2. Saudi Arabia E-Commerce Logistics Market Size, 2012-2018
10.3. Saudi Arabia E-Commerce Logistics Market Segmentation, 2018
10.3.1. By Time Duration (Delivery Within 6-12 Hours, 1 Day Delivery, 2 Day Delivery and More than 2 Day Delivery), 2018
10.3.2. By Mode of Payment (Cash on Delivery and Online Payment), 2018
10.3.3. By Location (Intra-City and Inter-City), 2018
10.4. Competitive Landscape in Saudi Arabia E-Commerce Logistics Market
10.4.1. Competition Scenario in Saudi Arabia E-Commerce Logistics Market
Competition Parameters in Saudi Arabia E-Commerce Logistics Market
Strengths and Weaknesses of Major Players in Saudi Arabia E-Commerce Logistics Market
10.4.2. Competition Scenario in Saudi Arabia E-Commerce Market
10.5. Saudi Arabia E-Commerce Logistics Market Future Outlook and Projections, 2018-2023E
10.5.1. Saudi Arabia E-Commerce Logistics Market Overview and Size, 2018-2023E
10.5.2. Saudi Arabia E-Commerce Logistics Market Future Segmentation, 2023E
By Time Duration (Delivery Within 6-12 Hours, 1 Day Delivery, 2 Day Delivery and More than 2 Day Delivery), 2023E
By Mode of Payment (Cash on Delivery and Online Payment), 2023E
By Location (Intra-City and Inter-City), 2023E
11. Saudi Arabia Third Party Logistics (3PL) Market
11.1. Saudi Arabia Third Party Logistics (3PL) Market Overview and Genesis, 2012-2018
11.1. Value Chain Analysis of Saudi Arabia Third Party Logistics (3PL) Market
11.2. Saudi Arabia Third Party Logistics (3PL) Market Size, 2012-2018
11.3. Cross Comparison of Saudi Arabia Third Party Logistics Market with Other GCC Countries
11.4. Saudi Arabia Third Party Logistics (3PL) Market Segmentation, 2018
11.4.1. By Market Type (Freight Forwarding and Warehousing), 2018
11.5. Issues and Challenges Faced by Companies in Saudi Arabia Third Party Logistics (3PL) Market
11.6. Competitive Landscape in Saudi Arabia Third Party Logistics (3PL) Market
11.6.1. Competition Scenario in Saudi Arabia Third Party Logistics (3PL) Market
11.6.2. Competition Parameters in Saudi Arabia Third Party Logistics (3PL) Market
11.6.3. Company Profiles of Major Players in Saudi Arabia Third Party Logistics (3PL) Market
Abudawood Logistics
11.6.1. Directory of Major Players in Saudi Third Party Logistics Market
11.7. Saudi Arabia Third Party Logistics (3PL) Market Future Outlook and Projections, 2018-2023E
11.7.1. Saudi Arabia Third Party Logistics (3PL) Future Market Size, 2018-2023E
11.7.2. Saudi Third Party Logistics (3PL) Future Market Segmentation, 2023E
By Market Type (Freight Forwarding and Warehousing), 2023E
12. Trade Scenario in Saudi Arabia Logistics and Warehousing Market
12.1. By Imports (2013-2018)
12.1.1. Trade by Country
12.1.2. Trade by Products
12.1.3. Trade by Partner Regions
12.1. By Exports (2013-2018)
12.1.1. Trade by Country
12.1.2. Trade by Products
12.1.3. Trade by Partner Regions
13. Trends and Developments in Saudi Arabia Logistics and Warehousing Market
Saudi Vision 2030
Geographical Advantage
E-Commerce Growth
Digital Technologies
Infrastructural Development
14. Issues and Challenges in Saudi Arabia Logistics and Warehousing Market
15. Government Role and Regulations in Saudi Arabia Logistics and Warehousing Market
15.1. Regulatory Environment in Saudi Arabia
15.2. Regulations on Foreign Logistics Companies Investing in Saudi Arabia
15.3. Regulations for Value Added Tax
15.4. Regulations for Expat Levy
15.1. Regulations for Products
16. SWOT Analysis of Saudi Arabia Logistics and Warehousing Market
17. Recent Mergers and Acquisitions in Saudi Arabia Logistics and Warehousing Market
18. Saudi Arabia Logistics and Warehousing Market Future Outlook and Projections, 2018-2023E
18.1. Saudi Arabia Logistics and Warehousing Future Market Size, 2018-2023E
18.2. Saudi Arabia Logistics and Warehousing Future Market Segmentation, 2023E
18.2.1. By Service Mix (Freight Forwarding, Warehousing and Value Added Services), 2018-2023E
18.2.2. By End User industry (Oil and Gas, Food and Beverages, Automotives, Industrial/Retail, Engineering Equipment, Metals, and Others), 2023E
18.3. Digital Technologies Supporting Saudi Arabia Logistics and Warehousing Market
19. Analyst Recommendations for Saudi Arabia Logistics and Warehousing Market
Disclaimer
Contact Us
Why Buy From Us?
What makes us stand out is that our consultants follows Robust, Refine and Result (RRR) methodology. i.e. Robust for clear definitions, approaches and sanity checking, Refine for differentiating respondents facts and opinions and Result for presenting data with story
We have set a benchmark in the industry by offering our clients with syndicated and customized market research reports featuring coverage of entire market as well as meticulous research and analyst insights.
While we don't replace traditional research, we flip the method upside down. Our dual approach of Top Bottom & Bottom Top ensures quality deliverable by not just verifying company fundamentals but also looking at the sector and macroeconomic factors.
With one step in the future, our research team constantly tries to show you the bigger picture. We help with some of the tough questions you may encounter along the way: How is the industry positioned? Best marketing channel? KPI's of competitors? By aligning every element, we help maximize success.
Our report gives you instant access to the answers and sources that other companies might choose to hide. We elaborate each steps of research methodology we have used and showcase you the sample size to earn your trust.
If you need any support, we are here! We pride ourselves on universe strength, data quality, and quick, friendly, and professional service.