In all likelihood smart containers will become as ubiquitous as smart phones if the promises made on their behalf only meet half of their expectations. What gives them an edge is that any container in reasonable shape can become a smart container by installing sensors to monitor its contents with various metrics.

With the advancement of technology, smart containers bring together an array of techniques - Internet of things (IoT), Big Data, Blockchain and data pipelines.

While the advantages of deploying smart containers are obvious when shipping pharmacueticals and perishables, not enough is known about how they would mitigate costs by identifying inefficiecies, thus reducing if not eliminating invisible waste, say proponents, writing in Hamburg's Container xChange.

Even port authorities will find smart containers useful in maintaining infrastructure such as bridges, depots, terminals by enabling the collection and analysis of high-level statistics on what and goes through their facilities.

Such data puts the basis for their communications with the government on a firm footing as well as providing solid knowlege on how one port performance stands against another's. Currently, ports rely on much unreliable, often self-serving dead reckoning.

From a shipper's point of view, smart containers also provide data that can reduce congestion and better manage traffic flow.

The key elements in the smart containers are the hardware equipment such as connectivity devices, sensors, and telemetry and telematics devices that are used for various applications ranging from sensing the environment to relaying data for central database evaluation.

For smart container hardware, accuracy, and reliability of monitoring several applications are critical. Devices such as data loggers and gateways are used throughout the container movement for reliable connectivity and monitoring of temperature, pressure and humidity within the container to maintain appropriate conditions for food, pharmaceuticals, chemicals and other environmentally sensitive products.

Of all the hardware, sensors are the most used electronic components in smart containers. As several parameters are monitored in containers, the number of hardware components installed is large.

Smart containers put an end to black spots and speculations, providing 24/7 visibility and real-time notifications of shipment status. They also notify you about unexpected events. That can range from an accidental door opening to a shock or being late in or out of a site. One can even analyse the data collected over time about a particular container. This provides predictability in the supply chain, and contributes to concrete planning. In doing this, one enhances decision making ability to monitor suppliers, packaging, inventory and delivery. Trustworthy data also reveals weaknesses in supply chains and helps eliminate them.

Moreover, smart containers optimise investments and reduce costs. They have the power to manage logistics assets from anywhere in the world. Because they can do that, these containers transform multimodal supply chains by giving better control over finances. This shows a direct improvement in the international supply chain performance as it facilitates trade, reduces losses and boosts economic growth globally.

Smart container monitoring can also be used for several purposes by supply chain stakeholders. For example, the shipper and the recipient, both, require timely and accurate information about the shipment. But, in the current process, they have limited or no information about the transportation process. Because of that, they cannot take any action during emergencies in transit.

Smart containers can allow them to have active information about containers in a timely manner. And that can help them increase their profit by helping them make effective decisions, reducing supply chain packaging costs, out-of-stock scenarios, insurance fees as well as avoiding cargo loss and, quality deterioration.

There is also a question about how containers are montored in transit. A ships' crew is responsible for keeping a check on the containers and maintaining them throughout. They are in charge of counting the number of empty/full containers, and when the containers were loaded. The crew must also know whether each reefer container is working correctly. As well as constantly checking whether the temperature inside is right or not. But this leads to an overload of work, miscalculation and error.

Smart containers can improve these operations by automating processes. That enables the crew to monitor these factors remotely and analyse available data efficiently. Allowing smooth management and functioning.

The shipping container owners want to have information about their containers’ location, and their container inventory in general. Smart containers can enable them to trace their containers, monitor them during transit and docking - thus, improving fleet management.

Depot operators are also responsible for reporting the number of containers available at their yards, overseeing container arrival and related operations. Smart containers can help them manage the process by keeping an online inventory that gets updated in real time.

Overall, the pharmaceutical sector is expected to account for the largest market share at least in the beginning. Pharma logistics is highly sensitive to time and quality assurances. Products demand temperature-controlled storage and distribution, along with strict regulatory controls. Pharma supply chains are exacting as shippers are required to maintain cold chain practices in addition to avoiding theft during transit. They must also employ special provisions to move specialised pharmaceutical products.

As a result, the industry aims to deliver critical products to customers in a secure manner and at a competitive operational cost. Smart containers have emerged as the most reliable and efficient form of shipping sensitive pharmaceutical products. Owing to their benefits, the pharmaceutical industry is rapidly employing smart containers.

North America is one of the key markets for smart containers. The region is the largest exporter of food and beverage products, which has a high demand for smart container solutions during transit. North America witnesses some of the highest technology adoption rates, leading to the faster implementation of new technologies such as those offered by smart containers. The presence of key players, such as ORBCOMM Inc (US), Phillips Connect (US), Sealand - A Maersk Company (US) and ZillionSource Technologies (US), creates growth opportunities for the market in the region.

As the competition increases, the number of market players also increases in the North America. While determining and verifying the market size for several segments and sub-segments gathered through secondary research, extensive primary interviews have verified with key industry experts.

Undoubtedly, it will be some time before the smart container becomes universal, but with increasing regulatory demands on the industry, it will likely be sooner rather than later.