Drone Logistics and Transportation Market by Application and Geography - Forecast and Analysis 2021-2025

The drone logistics and transportation market share is expected to increase by USD 26.32 billion from 2020 to 2025, and the market’s growth momentum will decelerate at a CAGR of 24.78%.

This drone logistics and transportation market research report provide valuable insights on the post COVID-19 impact on the market, which will help companies evaluate their business approaches. Furthermore, this report extensively covers drone transportation and logistics market segmentation by application (transportation and warehousing) and geography (North America, Europe, APAC, South America, and MEA). The drone logistics and transportation market report also offers information on several market vendors, including Deutsche Post DHL Group, Drone Delivery Canada Corp., Flytrex Inc., HARDIS Groupe, Kaleris, Matternet, Skydrop, United Parcel Service Inc., Workhorse Group Inc., and Zipline among others.

What will the Drone Logistics and Transportation Market Size be During the Forecast Period?

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Drone Logistics and Transportation Market: Key Drivers and Trends

The rise in applications of drones is notably driving the drone transportation and logistics market growth, although factors such as operational challenges regarding the use of drones may impede the market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the drone logistics and transportation industry. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.

Key Drone Logistics and Transportation Market Driver

One of the key factors driving growth in the drone transportation and logistics market is the rise in applications of drones. The logistics sector is witnessing expanding applications of drones. With several other logistics companies such as DHL International GmbH and Amazon.com Inc. (Amazon) planning to adopt drone delivery services, the demand for commercial drones will witness the growth of the global drone transportation and logistics market. The increase in traffic congestions has reduced the degree of vehicle maneuverability and poses several limitations to the delivery of goods by roads. The use of drones for delivery will help in overcoming such limitations. Drones are also intensively being deployed in disaster management applications. They can be used to deliver foods, medical kits, and other packages to people stuck in disasters. Drones are also witnessing increased applications in the field of agriculture, weather forecasting, town planning, mining, surveying, and several commercial uses. The expanding application areas of drones are expected to propel the global drone transportation and logistics market.

Key Drone Logistics and Transportation Market Challenge

The operational challenge regarding the use of drones will be a major challenge for the drone transportation and logistics market during the forecast period. Drone manufacturers are introducing advanced and complex technologies in innovative drone offerings, which, is leading to product failure and quality issues. Various issues such as drone malfunction, errors, and possibilities of collision increase the risk of property and personal injuries due to the rise in drone operating complexities. As drone poses a significant threat to civil aviation safety, various stringent government regulations are likely to be formulated for commercial drones used in the logistics industry. Therefore, this may result in product recalls and modification in the design and features, which will incur significant operational expenditure (OPEX) and capital expenditure (CAPEX) to vendors. Thus, this restricts the growth of the global drone logistics and transportation market.

This drone logistics and transportation market analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2021-2025.

Who are the Major Drone Logistics and Transportation Market Vendors?

The report analyzes the market’s competitive landscape and offers information on several market vendors, including:

• Deutsche Post DHL Group
• Drone Delivery Canada Corp.
• Flytrex Inc.
• HARDIS Groupe
• Kaleris
• Matternet
• Skydrop
• United Parcel Service Inc.
• Workhorse Group Inc.
• Zipline

This statistical study of the drone logistics and transportation market encompasses successful business strategies deployed by the key vendors. The drone transportation and logistics market is fragmented and the vendors are deploying organic and inorganic growth strategies to compete in the market.

To make the most of the opportunities and recover from post COVID-19 impact, market vendors should focus more on the growth prospects in the fast-growing segments, while maintaining their positions in the slow-growing segments.

The drone logistics and transportation market forecast report offers in-depth insights into key vendor profiles. The profiles include information on the production, sustainability, and prospects of the leading companies. 

Which are the Key Regions for Drone Logistics and Transportation Market?

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61% of the market’s growth will originate from North America during the forecast period. The US is the key market for drone logistics and transportation in North America. Market growth in this region will be faster than the growth of the market in other regions.

This market research report entails detailed information on the competitive intelligence, marketing gaps, and regional opportunities in store for vendors, which will assist in creating efficient business plans.

What are the Revenue-generating Application Segments in the Drone Logistics and Transportation Market?

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The drone logistics and transportation market share growth by the transportation segment will be significant during the forecast period. The demand for drones for delivering the parcel to the rural and difficult terrain areas such as mountains or hills and during the disaster aid relief operations is expected to drive the global drone transportation and logistics market by the transportation segment. The growing demand for the last mile delivery solutions backed by the growth in the global e-commerce industry is driving many e-commerce companies such as JD.com, Alibaba, SF Express, Amazon, and Walmart to use drones for short-time delivery.

This report provides an accurate prediction of the contribution of all the segments to the growth of the drone transportation and logistics market size and actionable market insights on post COVID-19 impact on each segment.

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What are the Key Data Covered in this Drone Logistics and Transportation Market Report?

• CAGR of the market during the forecast period 2021-2025
• Detailed information on factors that will drive drone logistics and transportation market growth during the next five years
• Precise estimation of the drone logistics and transportation market size and its contribution to the parent market
• Accurate predictions on upcoming trends and changes in consumer behavior
• The growth of the drone transportation and logistics industry across North America, Europe, APAC, South America, and MEA
• A thorough analysis of the market’s competitive landscape and detailed information on vendors
• Comprehensive details of factors that will challenge the growth of drone transportation and logistics market vendors

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