The Ultimate Guide to Logistics Software Development

Updated on Dec 18th, 2023

The Ultimate Guide to Logistics Software Development

When technology entered the business territory, the market welcomed it with a glad hand. Digital transformation has stirred every industry establishing a larger platform and speeding up the operations. Logistics is a notable industry to exemplify the perks of digitization. Major companies in the industry use logistics software and its effects are loud and clear. According to a report, the logistics software market is estimated to reach US $18.31 billion, at a compound annual growth rate of 10.5% by 2030. With everything turning into a digital avenue, it is for the best to partake in a solution that makes everything straightforward and error-free. This is exactly what logistics software development brings to the companies. Let’s get started with this guide and we’ll learn everything about logistics management software. 

  • Logistics software refers to a platform that manages various logistics operations such as transportation, inventory, warehouse, and packaging. 
  • The prominent features of logistics management software include real-time tracking, data analytics, process automation, and vehicle management. 
  • The logistics software market is estimated to reach US $18.31 billion, at a compound annual growth rate of 10.5% by 2030.  
  • Transportation, warehouse, inventory management, and route planning are the commonly used types of logistics software. 

What is Logistics Software and How it Works? 

Logistics software refers to a platform for managing logistics operations such as transportation, inventory, warehouse, and packaging. The software aids overall management and scheduling of shipping, and tracking of packages, documents, etc. Transportation management, warehouse management, inventory management, and route planning are the major types of logistics software. 

The software can be implemented to engage customers, boost customer service experience and retain existing customers. When you work on customer insights and are able to track everything in real-time, you can easily form a long-term relationship with your customers. This digital solution will help you customize their preferences and add value to their shopping experience. In the end, you’ll have more customers to welcome. 

Businesses can obtain detailed analysis of their processes and performance, cost, time delays, and average resource utilization – thanks to AI in logistics and transportation mechanisms. Moreover, they can also have useful insights on manufacturing, delivery, and quality. It allows them to formulate effective strategies, reduce costs and implement better services.

Read More: How Cloud Technology Can Benefit Logistics Industry? 

Benefits of Logistics Management Software

Benefits of Logistics Management Software

Does your business really need logistics software development? How is it going to help you grow your business? 

Before attempting to find the best logistics software development and budgeting the spending, you should make sure that this software is what you need. Every company has different goals and needs which determine the direction in which it should commence digital transformation.  

If you’re not sure whether logistics management software development is useful to your business, you must consider the perks it adds to the overall operations.  

Let’s take a look at the topmost benefits of logistics software that can help your business grow:  


This is certainly the most significant advantage of using a logistics software. You can automate every process in your business using this software. It allows you to manage various operations simultaneously, be it billing or maintaining the inventory. On top of that, you will be able to manage your data in the software. 

Cost Optimization 

You can use logistics software to determine and optimize the cost-related factors. The software offers features like data analysis and reporting which can shape your decision-making. Moreover, you will be able to compare different options that you can take. This will help you find the most suitable one for your business.  

Minimum Human Intervention  

One of the top benefits of logistics software is that it minimizes the role of the human factor in various ways. Human labor doesn’t come without the risk of error, workload, tiredness, and negligence. At times, the work pressure can take a toll and lead to errors in documents, data management and so on. Thanks to process automation, logistics software can do a lot on its own which allows your employees to be more active and productive by reducing manual workload. 

Seamless Data Management 

Logistics software collects and stores data. You can count on it for fetching data from various sources. You can discuss the plan with your logistics software development partner, you can come up with the features and system configuration required to collect the data.  

Customer Service at its Best  

With logistics software, you can win the game of customer service. It helps you simplify the process of deliveries and enhances the process of receiving orders for customers. Since the software allows you to work with incredible efficiency and accuracy, it directly impacts the customer service factor, in a beneficial way. 

Cost Reduction 

Logistics software allows you to minimize overall spending. The fact that it automates various operations, and renders smooth data management and reporting turns out to be a cost-saving factor. You can easily determine where your money is going and where you can cut down the expenses.  

Optimizes work with documents 

When you have logistics software, you can easily keep and maintain your documents in one place. With everything placed in one system, it will become easier for you to find the required documents on time. This will not only save your time but will also reduce the usage of paper. 

logistics software development company

Key Features of Logistics Software

Key Features of Logistics Software

On your way to developing logistics management software, you will need to create a checklist of all the features that work for your business. By investing in custom logistics software development, you can implement the necessary features and filter out the ones that don’t align with your business needs. The purpose for which you are implementing the software will help you determine the best set of options.  

There are certain functions in this type of software that you might not want to miss out on. Let’s take a look at the most essential features of logistics software:  

Login/ Registration  

This feature is a welcome part of your software. Users will be able to create an account to access the software seamlessly. You can add the option to sign in using email as it will make the registration process faster for your users. 


The dashboard is one of the primary features of logistics software which displays the important information in one place. Users will be able to check various sorts of insights without switching between multiple sections. 

GPS Tracking 

GPS tracking is a crucial feature to have in your logistics software. This feature lets you and your team keep tabs on vehicle movement in real-time. It makes work feasible as you and your customers will be informed of the status and location of their cargo. It will also help you determine the time it will take to reach the pickup point. 

Vehicle Management 

This feature allows users to select the vehicles that may be needed in transportation. Using this option, both the user and the agency will be able to look after the delivery of the goods easily. 

Schedule Bookings 

This one is yet another feature that tremendously helps your team in various ways. It allows users to schedule and manage the bookings as per their requirements and other tasks. The ability to schedule and manage bookings makes the process viable and reduces the chances of delays.  


Notifications is one of the must-have features of logistics software. This feature will help you and your customers in staying up-to-date with news, messages related to cargo status (sending/receiving), system changes, and more.  


The option for calculation makes a difference in the level of ease your software is offering. With an integrated calculator in the software, you can quickly check the amount that you require to spend on shipping. So, you won’t have to travel between two places to make calculations. 

Data Analysis  

With predictive data analytics, you can top the game of decision-making. Today, the implementation of strong data and analytics capabilities in logistics software development has become one of the topmost priorities for many businesses. It is because this function provides demand forecasts on the basis of previous shopping trends, preferences, order history, and buying behavior. This makes understanding the future scope for improvement easier and allows you to make more informed decisions.  


The option to add documents and reports to your logistics software helps you work more efficiently. This feature will make sure that all your documents and reports are located in one place. So, it will become a lot easier to find the required one. All you need to do is filter your search to find it quickly. Reports will allow you to stay informed about everything, whether it is the progress you made in recent months or the total count of shipments shipped in the last three months.  

Two-Factor Authentication 

Security is a concern to address for obvious reasons. When you are to develop logistics management software for business, security will be one of the major aspects to cover. To protect your software, you can opt for two-factor authentication. This amazing feature will enable the users who successfully check double identity verification to access the system. No one else will be allowed to step into your logistics software. 


Online payments have become a thing. Apart from being the most convenient, and fast method, it is also a secure option. You can add more feasibility by adding the option of online payments. This will enable your customers to make hassle-free payments right from the software. They will be able to pay for deliveries no matter where they are or what time it is. It will boost the pace of the delivery process.  

Route Optimization 

Route optimization is one of the essential features of logistics software. This feature will help you determine the fastest or most efficient route for delivery. You will be able to identify all available shipping routes.

logistics software development

Logistics Management Software Development Process 

If you’re planning to go with custom logistics management software development, you will need to pay keen attention to planning. So, it is essential to find the best logistics software development company. The expertise and expertise of your team have a significant role to play in every phase of development. These steps are going to be an integral part of the process: 

Define Your GoalsDefine Your Goals 

Defining your goals is the primary step to developing logistics management software. With your objectives clearly defined, you will be able to determine the next move in the process – the planning. While checking up on your goals, you must consider the following factors:

  • What do you expect from this software? 
  • Which segment of logistics are you planning to use the software for? 
  • Why do you need custom logistics software? 
  • What functions and features do you need to implement to succeed in your project?

Considering these questions will help you come to terms with your idea. Moreover, it will allow you to estimate the cost of development.  

Select the FeaturesSelect the Features 

The features you choose for your software depending on the type of logistics software you are planning to develop. Whether you’re aiming for warehouse management software or transportation management software development, it is going to determine the features you must have in your plan. 

Some of the common features of logistics software include real-time tracking, inventory management, route planning and optimization, reporting and analytics, and a dashboard. Moreover, your project goals will also tweak the functionalities. So, you must consider these checkpoints to come to the conclusion. 

Focus on IntegrationsFocus on Integrations 

Integrating your software with other systems is a critical part of the process. The first step is to determine the integrations you need for your software. You will need a finance system, for instance, to use options like billing. Using advanced integration functions will allow you to use GPS tracking, offering you and your drivers to obtain updates and route navigation. 

Custom Logistics Software Development Cost 

There is a myriad of factors that contribute to the cost of custom logistics software development. The transportation and logistics industry has different sorts of applications when it comes to technology implementation. Moreover, There are various types of software solutions and business models which ultimately makes the cost vary.

Read More: How to build a Logistics App?

The common features that you will implement in your software and the platforms you want your software to develop on are going to be the biggest cost determinants. Then there is the technology stack that will significantly impact the logistics software development cost. Not to mention the UI/UX are also a factor to consider. 

Another crucial consideration to make is the logistics software development services you opt for. It is important to partner with a team that understands your goals and has years of experience. But more than that, it is imperative to determine whether they will be able to align their offerings with your goals and what services they are bringing to you. 

The geographical factor is one of the major constituents of logistics software development costs. It is recommended that you draft your requirements first, and share them with the logistics software development company you’re considering. It will help you calculate the amount you will need to invest in your project. 

Final Thoughts 

When you are to build a successful custom logistics software solution for your business, it is imperative to consider the development services. The company you partner with should have experience in developing logistics software. If you approach this step by compiling your requirements in a document, it will be easier for you to cover the important aspects when you communicate with your logistics software development partner. 

If you are looking for assistance with logistics software development, we are here to help you. Whether it is about planning the features or the post-development maintenance errands, Matellio helps businesses build custom software solutions from scratch. Our engineers bring their experience and knowledge into crafting a product that works the way your business requires. Opt for a consultation to communicate your idea and we’ll help you figure out the best roadmap to your digital journey.

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