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Road Freight Forwarding in Australia - Market Research Report (2015-2030)

Michael Doyle Michael Doyle Melbourne, Australia Last Updated: January 2025 ANZSIC I5292a

Revenue

$5.7bn

2025-26

$5.9bn

Past 5-Year Growth

Profit

$XXX.Xm

Employees

8,333

Businesses

578

Wages

$XXX.Xm

Road Freight Forwarding in Australia industry analysis

Over the past five years, Road Freight Forwarding industry revenue has expanded with demand from key markets growing. Surging demand from online shopping has significantly boosted forwarder activity, particularly in express freight services, allowing forwarders to charge premium rates. Growth has been subdued by rising competition from vertically integrated logistics firms offering end-to-end solutions, reducing forwarders’ role in the road freight sector. In 2021–22, industry revenue surged significantly because of the boost in international trade and manufacturing activity as the economy emerged from the pandemic. Despite a slight climb in profit margins over the past five years, they remain low compared to historical averages because of significant climbs in fuel prices and intense price competition. Industrywide revenue has been rising at an annualised 3.9% over the past five years and is expected to total $5.7 billion in 2024-25, when revenue will fall by 0.5%.

Trends and Insights

  • The online shopping boom has significantly boosted activity for road freight forwarders. Increases in ecommerce sales lead to greater demand for goods transportation, driving revenue growth for road freight forwarders.
  • Online shopping has elevated demand for express freight forwarding services. The emphasis on timely delivery in ecommerce has allowed forwarders to charge a premium for express services, boosting revenue from this segment.
  • Because of their large populations, New South Wales and Victoria have the highest concentration of road freight forwarders. These eastern seaboard states attract the most establishments as dense populations boost demand for freight forwarding.
  • The Road Freight Forwarding industry is characterized by a low level of market concentration. It is highly fragmented, composed mainly of small enterprises employing fewer than 20 people.

Access hundreds of data points and trends

  • Market estimates from 2015-2030
  • Critical performance data and rankings
  • Detailed analysis of competitive forces and the external environment
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has grown at a CAGR of 3.9 % over the past five years, to reach an estimated $5.7bn in 2025.

Trends and Insights

The online shopping boom has elevated activity for forwarders

  • Consumers became accustomed to online purchases during lockdowns and have continued to favour ecommerce even after restrictions eased, pushing up demand from online shopping.
  • Additional trends and insights available with purchase
Road Freight Forwarding in Australia
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to grow over the next five years.

Trends and Insights

Demand from key markets is poised to grow

  • Demand conditions in the Road Freight Forwarding industry are set to improve over the coming years, aligning with Australia's economic growth.

Biggest companies in the Road Freight Forwarding in Australia

Company
Market Share (%)
2025
Revenue ($m)
2025
Kuehne & Nagel
89.9

To view the market share and analysis for all 1 top companies in this industry, view purchase options.

Products & Services Segmentation

Road Freight Forwarding in Australia
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including General freight services, Express freight forwarding services and Warehousing and distribution services. General freight services is the largest segment of the Road Freight Forwarding in Australia.

Trends and Insights

Online shopping has pushed up demand for express freight forwarding services

  • Express freight forwarding services handle time-sensitive deliveries. Special requirements include real-time tracking and coordination across multiple carriers to ensure timely arrival. Challenges arise from managing logistical complexities, navigating unexpected delays and maintaining reliability under tight time constraints. Minimising transit time is critical in express freight forwarding.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Road freight forwarders primarily organise transport services and consolidate goods for transport. Consolidating loads allows road freight forwarders to achieve and pass on rates otherwise unachievable for their customers. Road freight forwarders do not provide underlying transport services.

What's included in this industry?

General freight servicesExpress freight forwarding servicesWarehousing and distribution services

Companies

Kuehne & Nagel

Purchase this report to view all 1 major companies in this industry.

Related Terms

CONSOLIDATIONTONNE-KILOMETRERADIOFREQUENCY IDENTIFICATION (RFID)

Industry Code

ANZSIC 2006

ANZSIC 5292 - Road Freight Forwarding in Australia

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

The online shopping boom has significantly boosted activity for road freight forwarders. Increases in ecommerce sales lead to greater demand for goods transportation, driving...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Online shopping has elevated demand for express freight forwarding services. The emphasis on timely delivery in ecommerce has allowed forwarders to charge a premium for expre...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Because of their large populations, New South Wales and Victoria have the highest concentration of road freight forwarders. These eastern seaboard states attract the most est...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each region in 2025
  • Number and share of revenue each region accounts for in 2025
  • Number and share of wages each region accounts for in 2025
  • Number and share of employees in each region in 2025

Detailed analysis

  • Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

The Road Freight Forwarding industry is characterized by a low level of market concentration. It is highly fragmented, composed mainly of small enterprises employing fewer th...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

No companies in the Road Freight Forwarding industry account for over 5.0% market share. The industry does not include large vertically integrated road freight transporters.

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Kuehne & Nagel's performance by revenue, market share and profit margin from 2019 through 2025

Detailed analysis

  • Description and key data for Kuehne & Nagel, and factors influencing its performance in the industry

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Total merchandise imports and exports significantly impact the Road Freight Forwarding industry. Growth in merchandise trade value elevates activity for road freight forwarde...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Wages have fallen as a percentage of revenue because of increased automation. Advancements in logistics software and automated processes have improved efficiency and reduced ...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Road Freight Forwarding industry in Australia in 2025?

The market size of the Road Freight Forwarding industry in Australia is $5.7bn in 2025.

How many businesses are there in the Road Freight Forwarding in Australia industry in 2025?

There are 578 businesses in the Road Freight Forwarding industry in Australia, which has declined at a CAGR of 1.6 % between 2020 and 2025.

Has the Road Freight Forwarding industry in Australia grown or declined over the past 5 years?

The market size of the Road Freight Forwarding industry in Australia has been growing at a CAGR of 3.9 % between 2020 and 2025.

What is the forecast growth of the Road Freight Forwarding industry in Australia over the next 5 years?

Over the next five years, the Road Freight Forwarding industry in Australia is expected to grow.

What are the biggest companies in the Road Freight Forwarding market in Australia?

The biggest company operating in the Road Freight Forwarding market in Australia is Kuehne & Nagel

What does the Road Freight Forwarding in Australia include?

General freight services and Express freight forwarding services are part of the Road Freight Forwarding industry.

Which companies have the highest market share in the Road Freight Forwarding in Australia?

The company holding the most market share in Australia is Kuehne & Nagel.

How competitive is the Road Freight Forwarding industry in Australia?

The level of competition is high and increasing in the Road Freight Forwarding industry in Australia.

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Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Australia include:

  • Australian Bureau of Statistics
  • Australian Taxation Office
  • Australian Securities & Investments Commission

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

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