Report : Express Delivery Market Forecast to 2027 - COVID-19 Impact and Global Analysis By Destination (Domestic, International); Business Type (Business-to-Business, Business-to-Consumer); and End-User (BFSI, Automotive, Pharmaceuticals, IT and Telecom, Electronics, Retail and E-commerce, and Others) and Geography
The global express delivery market was valued at US$ 239337.5 million in 2019 and is projected to reach US$ 378233.7 million by 2027; it is expected to grow at a CAGR of 6.3% from 2020 to 2027. Several vendors present in North America are increasingly focusing on providing distinct types of services, such as packaging, product grading, assortment, online parcel tracking, email alerts, mobile applications, and SMS alerts. Furthermore, the adoption of software-as-a-service (SaaS) is more prevalent in BFSI, logistics and transportation, electronics, retail, and E-commerce sectors of North America than other verticals. The region is moving to adopt advanced technologies to digitalize every vertical industry present in the region, and thus, boosting the adoption of cloud services from SaaS. The constant growth in North America's online food and medicine delivery market is further driving the demand for express delivery. Rising urban population, lack of domestic assistance and busy lifestyles are constantly demanding the express food and medicine delivery option in the region. High living standards of individuals continue to spur the demand for express online food and medicine delivery services in the region. All the factors mentioned above are expected to contribute to market growth during the forecast period. The market is expected to witness a slight decline in growth over the next few years, due to the negative impact of COVID-19. However, it is expected to rise again at a healthy pace after the COVID-19 pandemic is over.
In 2019, Europe stood second in the express delivery market with a decent market share, and it is anticipated to witness a decent CAGR from 2020 to 2027. The European region comprises Germany, France, Italy, the UK, Switzerland, and the Rest of Europe. Sweden, the Netherlands, and Belgium, among others, are considered under the Rest of Europe region. The fashion retail industry in the European region is one of the crucial sectors. In 2019, the region showed promising results for tech investments in Europe as, despite the UK and EU economic slowdowns; European tech continued to break records. Furthermore, economically strong countries, such as the UK, Italy, and Spain, are observing significant development in the implementation of express delivery solutions for the optimization of supply chains across various end-user sectors, such as pharmaceuticals, retail and e-commerce, automobile, and food & beverages, across the region. E-commerce and online retail are key drivers for the surge in demand for express delivery or same-day delivery. The global warehouse and storage market in Europe grows annually by ~2–3% due to the growth in online retail and e-commerce sectors. In the past 3 years, industrial warehousing properties recorded healthy demand from investors due to huge returns of about 8.5% over other assets.
The report segments the global express delivery market as follows: