Enjoy complimentary customisation on priority with our Enterprise License!
The couriers market size is forecast to increase by USD 115.9 billion at a CAGR of 7.18% between 2023 and 2028. In the courier industry, the medical sector holds significant importance, particularly for the transportation of lab specimens, medical supplies, and organs for organ transplant surgeries. To meet the unique requirements of this market, courier service providers are adopting advanced technologies to ensure a temperature-controlled environment during transit. This includes the use of specialized vehicles and tracking systems to maintain optimal temperature conditions. Additionally, the increasing trend of e-commerce logistics has led to a rise in demand for efficient and reliable courier services. The market is experiencing significant growth, driven by the rise in the adoption of advanced technologies to enhance logistics efficiency and reduce costs. This includes the use of real-time tracking systems, automated sorting and routing, and drones for delivery in certain areas. However, challenges persist, such as the complexity of route planning and optimization due to urbanization and congested roads. To stay competitive, courier service providers must continue to innovate and invest in technology to meet the evolving needs of their customers.
The market is experiencing significant growth due to various factors, including the rise of omnichannel retailing, increasing international trade, and the digital transformation of businesses. Omnichannel retailing, which integrates various shopping channels such as brick-and-mortar stores, online retail portals, and mobile applications, has become a key driver for the market. With consumers expecting seamless shopping experiences, the demand for efficient and reliable delivery services has increased. This trend is particularly noticeable during peak shopping periods, such as the holiday season. Another significant trend is the growth of cross-border e-commerce.
Furthermore, the increasing international trade and internet penetration have led to a rise in cross-border shipping. This trend is further fueled by the growing number of e-retail portals that offer international shipping and the convenience of same-day delivery. The digital capabilities of businesses have also played a crucial role in the growth of the market. Fintech startups have introduced innovative payment solutions, making online transactions more secure and convenient. This has led to an increase in e-commerce sales and, in turn, the need for efficient and reliable delivery services. Moreover, the use of advanced tracking systems, automation, and route optimization has streamlined the last-mile distribution process.
Moreover, this has led to improved customer satisfaction and reduced delivery times, particularly in the business-to-business (B2B), business-to-consumer (B2C), and customer-to-customer (C2C) segments. Online grocery shopping has also emerged as a significant trend in the market. With the increasing popularity of online grocery shopping, there is a growing demand for same-day delivery services to ensure freshness and convenience. In conclusion, the market is witnessing significant growth due to various trends, including omnichannel retailing, cross-border e-commerce, and digital transformation. The need for efficient and reliable delivery services, particularly in last-mile distribution, is becoming increasingly important for businesses to remain competitive in today's market.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.
The business to business segment is estimated to witness significant growth during the forecast period. The Business-to-Business (B2B) sector in the global courier market plays a pivotal role in supply chain logistics, serving the shipping and delivery requirements of corporations, manufacturers, wholesalers, and distributors worldwide. This segment concentrates on the transfer of goods and documents between businesses, facilitating trade, manufacturing, and other commercial transactions. Characterized by efficiency and dependability, the B2B segment caters to the unique needs of businesses. These needs include managing large shipment volumes, ensuring timely deliveries, and navigating complex logistics. Courier companies catering to this segment offer solutions that streamline the supply chain, from warehousing and inventory management to customized delivery schedules and expedited shipping options.
Furthermore, E-commerce sales, particularly during the holiday season, have significantly impacted the B2B segment. Digital capabilities have become essential for cross-border e-commerce and e-retail portals. In response, courier companies are investing in carbon-neutral and electric delivery vehicles to reduce their carbon footprint and meet the growing demand for sustainable logistics solutions.
Get a glance at the market share of various segments Request Free Sample
The Business to business segment accounted for USD 119.50 billion in 2018 and showed a gradual increase during the forecast period.
APAC is estimated to contribute 44% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
For more insights on the market share of various regions Request Free Sample
In 2023, the APAC market experienced notable expansion due to the escalating e-commerce sector and the presence of numerous service providers. With over half of the APAC population utilizing the Internet, countries such as South Korea, Japan, and China, which had Internet penetration rates of 97.2%, 94%, and 77.5%, respectively, in 2022, are significant contributors to this growth. The burgeoning manufacturing and consumer goods sector, particularly in China, as a global leader in electronics and automobile production, further fuels the development of the market in APAC. Online grocery shopping and last-mile distribution have become increasingly popular in APAC, leading to an uptick in parcel shipments.
Moreover, secure document delivery and logistics solutions are in high demand in the financial sector, with fintech startups and delivery networks playing a pivotal role. The healthcare industry also relies heavily on courier services for the transportation of medical samples. The market in APAC is poised for continued growth, providing opportunities for businesses to enhance customer experience and streamline their supply chains.
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The rise in the adoption of advanced technologies to enhance logistics efficiency and reduce costs is the key driver of the market. The global courier market is witnessing an increase in the implementation of innovative technologies, including artificial intelligence (AI), blockchain, and the Internet of Things (IoT), to enhance logistics efficiency, improve operations, and reduce costs.
Furthermore, the need for swift, dependable, and transparent delivery services is escalating, prompting courier companies to leverage advanced technologies to optimize their processes, expand visibility, and cater to the demands of the contemporary logistics sector. AI is a pivotal catalyst in transforming various facets of courier operations, from delivery routing and scheduling to demand prediction and customer support. AI-driven algorithms can process massive data volumes to recognize trends, estimate delivery durations, and optimize last-mile delivery routes, resulting in quicker and more economical deliveries.
The rise in the adoption of electric delivery vehicles is the upcoming trend in the market. The market in the United States has experienced significant growth in the implementation of electric delivery vehicles, reflecting a heightened focus on patient care procedures, healthcare planning, and medical logistics sustainability. With the escalating demand for e-commerce and last-mile delivery services, the integration of electric vehicles (EVs) has become a strategic initiative for courier companies to address environmental concerns, minimize operational expenses, and expand their delivery capabilities. The adoption of EVs is primarily driven by the urgent need to lessen the environmental impact of conventional gasoline- and diesel-powered transportation.
Furthermore, amid growing concerns over climate change and air pollution, courier companies are increasingly prioritizing sustainability by transitioning to EV fleets, which generate minimal or no greenhouse gas (GHG) emissions and contribute to cleaner urban areas. This shift not only benefits the environment but also enhances the companies' reputation and competitiveness in the market. In summary, the integration of electric vehicles in the market is a strategic response to the increasing demand for e-commerce and last-mile delivery services, as well as the growing emphasis on sustainability and environmental responsibility. Courier companies in the US are recognizing the benefits of EVs in terms of reduced operational costs, enhanced delivery capabilities, and improved environmental performance.
Complexity in route planning and optimization due to increasing urbanization and congested roads is a key challenge affecting market growth. The market in the US faces intricate challenges due to the intricacy of route planning and optimization, intensified by the consequences of population growth and urbanization. These complications have reverberated throughout various facets of courier services, leading to logistical inefficiencies, elevated costs, and restricted services. Urbanization has resulted in a population boom, leading to a multitude of delivery destinations within compact geographical areas. This has significantly amplified the intricacy of route planning for courier companies, making it increasingly difficult to effectively navigate urban landscapes and punctually deliver parcels. Traffic congestion further complicates this issue, resulting in delays, increased fuel consumption, and decreased operational productivity.
Moreover, the transportation of lab specimens, medical supplies, blood, and organs for organ transplant surgeries necessitates a temperature-controlled environment. E-commerce logistics, a significant segment of the courier market, also requires stringent adherence to time-sensitive delivery schedules. In this context, courier service providers must prioritize efficient route planning and optimization to ensure the timely and secure delivery of these critical items. Effective route planning and optimization are crucial for courier companies to maintain their competitive edge in the market. By utilizing advanced technologies and strategies, such as real-time traffic information, predictive analytics, and dynamic routing, courier service providers can mitigate the challenges posed by urbanization and traffic congestion, ultimately improving their operational productivity and customer satisfaction.
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
AK Express - The company offers couriers services for moving time sensitive documents and parcels around the world.
The market research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market is experiencing significant growth due to the surge in international and domestic trade, fueled by the increasing trend of omnichannel retailing and e-commerce sales. The market is witnessing a boom in both business-to-business and business-to-consumer transactions, with the latter seeing a notable increase in customer-to-customer sales. The rise in internet penetration and smartphone usage has enabled consumers to shop online for various products, including perishable items and medical supplies, from anywhere in the world. The e-commerce sector's digital transformation has led to the adoption of advanced tracking systems, automation, and route optimization, ensuring timely delivery and same-day delivery in many cases.
Furthermore, sustainability goals are driving the adoption of carbon-neutral and electric delivery vehicles, and the integration of smart warehouses and distribution centers into logistics networks is streamlining the last-mile distribution process. The healthcare sector is also leveraging medical courier services for the delivery of lab specimens, medical supplies, and even organs for transplant surgeries, ensuring a temperature-controlled environment for sensitive items. Fintech startups are also entering the scene, offering innovative logistics solutions for secure document delivery and online grocery shopping. The market is expected to continue growing, with a focus on enhancing customer experience and meeting sustainability goals through digital transformation and advanced logistics solutions.
|
Market Scope |
|
|
Report Coverage |
Details |
|
Page number |
207 |
|
Base year |
2023 |
|
Historic period |
2018-2022 |
|
Forecast period |
2024-2028 |
|
Growth momentum & CAGR |
Accelerate at a CAGR of 7.18% |
|
Market growth 2024-2028 |
USD 115.9 billion |
|
Market structure |
Fragmented |
|
YoY growth 2023-2024(%) |
6.51 |
|
Regional analysis |
APAC, North America, Europe, Middle East and Africa, and South America |
|
Performing market contribution |
APAC at 44% |
|
Key countries |
US, China, Japan, Germany, UK, France, South Korea, Spain, India, and Brazil |
|
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
|
Key companies profiled |
AK Express, Allied Express, Antron Express, Aramex International LLC, City Link Express, DHL Group., DPD Local UK Ltd., DTDC Express Ltd., DX Group, FedEx Corp., Geopost, Hermes Europe GmbH, JD.com Inc., Jet Pack Courier Service., NAPAREX, Posten Bring AS, SF Express Co. Ltd., The Courier Guy, United Parcel Service Inc., Yamato Transport Co. Ltd., and ZTO Express |
|
Market dynamics |
Parent market analysis, market growth inducers and obstacles, market forecast, fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, market condition analysis for the forecast period |
|
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements. Get in touch
1 Executive Summary
2 Technavio Analysis
3 Market Landscape
4 Market Sizing
5 Historic Market Size
6 Qualitative Analysis
7 Five Forces Analysis
8 Market Segmentation by Consumer
9 Market Segmentation by Type
10 Customer Landscape
11 Geographic Landscape
12 Drivers, Challenges, and Opportunity/Restraints
13 Competitive Landscape
14 Competitive Analysis
15 Appendix
Research Framework
Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a particular focus on identifying the key industry influencers. The data thus presented is comprehensive, reliable, and the result of extensive research, both primary and secondary.
INFORMATION SOURCES
Primary sources
Secondary sources
DATA ANALYSIS
Data Synthesis
Data Validation
REPORT WRITING
Qualitative
Quantitative
Get the report (PDF) sent to your email within minutes.
Complimentary full Excel data with your report purchase.
Get lifetime access to our
Technavio Insights
Quick Report Overview:
Quick Report Overview:
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.
