Market Overview
| Study Period | 2017 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 1.31 Billion |
| Market Size (2030) | USD 1.92 Billion |
| Growth Rate (2025 - 2030) | 7.94% CAGR |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order Image © Mordor Intelligence. Reuse requires attribution under CC BY 4.0. |
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United Arab Emirates Courier, Express, and Parcel (CEP) Market Analysis
The United Arab Emirates Courier, Express, and Parcel (CEP) Market size is estimated at 1.31 billion USD in 2025, and is expected to reach 1.92 billion USD by 2030, growing at a CAGR of 7.94% during the forecast period (2025-2030).
The UAE's logistics landscape is undergoing significant transformation, driven by robust economic growth and infrastructure development. The transportation and storage sector demonstrated remarkable performance with a 10.3% growth in Q1 2023, emerging as the largest contributor to overall economic growth at 48%. The government's commitment to infrastructure development is evident through substantial investments, including the USD 35 billion Al Maktoum International Airport expansion project, which aims to handle over 13 million tons of cargo annually by 2034. This expansion aligns with Dubai's D33 economic plan, launched in 2023, which aims to position Dubai as a leading global financial center and double the size of its economy.
The industry is witnessing a dramatic shift toward sustainable and innovative delivery solutions. In March 2024, Aramex introduced electric motorcycles for last-mile deliveries in the UAE, targeting to transition 98% of its fleet to electric vehicles by the 2030s. Similarly, in 2023, the UAE granted licenses for flying parcel delivery vehicles utilizing vertical take-off and landing (eVTOL) technology, marking a significant step toward revolutionizing parcel delivery. These initiatives align with the country's ambitious goal of achieving net-zero emissions by 2050 and demonstrate the industry's commitment to environmental sustainability.
Strategic partnerships and technological integration are reshaping the competitive landscape. In February 2024, Emirates Post and Qatar Post signed a partnership to streamline cross-border e-commerce shipping between their countries, leveraging Qatar Post's 'Connected' e-commerce platform. Additionally, in October 2024, DHL Group launched DHL Supply Chain in the UAE, offering comprehensive end-to-end supply chain solutions across various sectors including technology, automotive, aviation, and fashion. These developments reflect the industry's focus on enhancing operational efficiency and expanding service capabilities.
The UAE's broader economic diversification efforts are creating new opportunities for the CEP market. The country's non-oil exports exceeded USD 120 billion in 2023, marking a significant 16.7% increase from 2022, while the government aims to produce 1.4 million tons of green hydrogen by 2031. In May 2024, DP World and Einride partnered to electrify container transportation within Jebel Ali Port, planning to support around 1,600 container movements daily through a fleet of 100 connected electric trucks. These initiatives demonstrate the UAE's commitment to diversifying its economy while embracing sustainable logistics solutions.
United Arab Emirates Courier, Express, and Parcel (CEP) Market Trends
Rising transport infrastructure development leading to economic growth, supported by environmental emission control strategies
- In January 2024, Dubai's Roads and Transport Authority (RTA) signed two MoUs, one exploring the Floc Duo Rail system for efficient transportation, and another investigating a solar-powered rail bus system. These initiatives highlight Dubai's commitment to innovative transportation solutions. In July 2024, the UAE's Ministry of Energy and Infrastructure (MoEI) and Emirates Transport announced their collaboration to install and operate EV charging stations at Emirates Transport buildings. This initiative supports the UAE's goal of achieving 50% electric vehicles on the roads by 2050 and promotes green mobility.
- The UAE's Dubai Autonomous Transportation Strategy aims to generate an annual revenue of USD 5.99 billion by 2030 through various means such as reducing transportation costs, carbon emissions, and accidents. This includes reclaiming lost commuting hours and boosting individual productivity. The strategy targets a 44% reduction in transportation expenses, equating to savings of USD 245.01 million annually, and a 12% decrease in environmental pollutants, leading to savings of USD 0.40 billion. Led by Dubai's RTA, the Shindagha Corridor project aims to optimize transportation efficiency and generate an annual economic uplift of USD 4.90 billion by 2030.
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Understand The Key Trends Shaping This Market
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Increasing fuel subsidies for low-income households, with USD 7.62 billion allocation to a social support program
- In May 2024, Super 98 petrol went up to USD 0.909, Special 95 petrol rose to USD 0.876, and E-plus 91 petrol increased to USD 0.857. These prices are determined monthly by the Ministry of Energy, based on the global oil price average and distribution companies' operating costs. In September 2024, Super 98 petrol went down to USD 0.789 a litre and Special 95 petrol declined to USD 0.756 a litre.
- As of May 2024, Abu Dhabi National Oil Company (ADNOC) has increased its crude oil production capacity from 4.65 million bpd to 4.85 million bpd, nearing its goal of reaching 5 million bpd by 2027. This is expected to curtail fuel price hikes. ADNOC, the primary producer and seller of crude oil in the UAE, has been actively investing in upstream activities to enhance capacity. This strategic move is aimed at optimizing its hydrocarbon reserves amidst rising market competition and the shift towards renewable energy sources.
OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT
- The male population accounts for the highest share in the UAE due to the increasing number of male expatriates in the workforce
- Initiatives like 10-year economic plan (D33) in Dubai, aimed to drive GDP & economic growth
- The UAE is leading as the 2nd biggest food and beverages market for online food delivery in the MENA region
- UAE aims to increase its re-exports by 100% by 2030 and has approved 24 national initiatives
- UAE’s Logistic Performance Index rank improved to 7th position due to improvement in country's infrastructure
- The UAE aims for 15 million tons of green hydrogen production by 2050, in line with its National Hydrogen Strategy
- The Russia-Ukraine War caused oil prices to increase, touching a peak of USD 100 per barrel in 2022
- The UAE aims to raise the industrial sector's GDP contribution to USD 81.66 billion by 2031
- UAE sets out plan to boost domestic food production and self-reliance amid rising imports
- Developing road and air infrastructure expected to boost overall cargo trade in the country
Segment Analysis: By Destination
Domestic Segment in UAE CEP Market
The domestic segment dominates the UAE courier, express, and parcel (CEP) market, accounting for approximately 82% of the total market volume in 2024. This significant market share is driven by the robust growth in e-commerce activities within the country, with major retailers expanding their domestic delivery networks. Emirates Post has strengthened its position by launching new e-commerce service portfolios comprising cost-effective domestic shipping options, including same-day and next-day delivery alternatives. The consistent innovations in meeting delivery and fulfillment needs of growing parcel volumes have reinforced the segment's dominance. Additionally, the deployment of advanced technologies like robotized picking systems by major retailers, allowing up to 2,000 items to be picked per hour, has significantly enhanced domestic delivery capabilities. The segment's growth is further supported by the increasing adoption of electric vehicles for last-mile deliveries and the implementation of autonomous delivery solutions by major carriers.
International Segment in UAE CEP Market
The international segment is projected to grow at approximately 8% annually from 2024 to 2029, emerging as the fastest-growing segment in the UAE CEP market. This growth is primarily driven by the UAE's strategic position as a global logistics hub and its expanding cross-border e-commerce activities. In 2024, significant developments have strengthened this segment, including Etihad Cargo's partnership with Envirotainer for secure cold chain solutions in air transport, and Emirates SkyCargo's collaboration with Air Canada Cargo to enhance global cargo operations. The UAE's initiatives to strengthen cross-border e-commerce, particularly through comprehensive economic partnership agreements with various countries, have created new opportunities for international parcel delivery to the UAE. The segment's growth is further supported by the ongoing development of Al Maktoum International Airport, which is expected to handle over 13 million tons of cargo annually upon completion, significantly enhancing the country's international shipping capabilities.
Segment Analysis: By Speed of Delivery
Non-Express Segment in UAE CEP Market
The non-express segment dominates the UAE's courier, express, and parcel (CEP) market, accounting for approximately 72% of the total market volume in 2024. This significant market share is driven by cost-conscious customers who prioritize economical shipping options over speed. In February 2024, Emirates Post and Qatar Post signed a partnership aimed at streamlining cross-border e-commerce shipping between their respective countries, strengthening the non-express delivery infrastructure. The segment has been further bolstered by Aramex's introduction of electric motorcycles for last-mile deliveries in March 2024, demonstrating a commitment to sustainable delivery solutions. The non-express segment continues to benefit from the growing e-commerce sector, with retailers and businesses leveraging these services for their standard delivery requirements where immediate delivery is not critical.
Express Segment in UAE CEP Market
The express segment in the UAE CEP market is experiencing rapid growth, projected to expand at approximately 9% annually from 2024 to 2029. This growth is being driven by several key developments in the market. In March 2024, Uspeed launched their Dubai overseas warehouse on the AliExpress platform, offering comprehensive express logistics services in the UAE to cross-border sellers in the Middle East. The segment's expansion is further supported by FedEx Express's deployment of electric vehicles for expedited delivery in the UAE, demonstrating a commitment to both speed and sustainability. Additionally, the rise of same-day and next-day delivery demands from e-commerce platforms has significantly contributed to the segment's growth, with companies like Swftbox securing substantial funding to enhance their express delivery capabilities across the region.
Segment Analysis: By Model
Business-to-Consumer (B2C) Segment in UAE CEP Market
The Business-to-Consumer (B2C) segment dominates the UAE Courier, Express, and Parcel market, commanding approximately 57% of the total market value in 2024. This segment's prominence is driven by the explosive growth of e-commerce in the UAE, with major retailers expanding their online presence and offering comprehensive delivery solutions. The DED Trader license in Dubai, designed to support the expansion of e-commerce, has witnessed a significant surge in applications, reflecting the growing B2C delivery demands. Leading e-commerce platforms like Namshi, generating over USD 200 million in revenue, have strengthened their delivery networks through partnerships with carriers like Aramex. The segment is experiencing robust growth with an expected CAGR of approximately 11% from 2024 to 2029, driven by increasing online shopping penetration, improved digital payment options, and continuous investments in delivery infrastructure. The growth is further supported by the implementation of innovative last-mile delivery solutions and the expansion of fulfillment centers across the UAE.
Remaining Segments in UAE CEP Market by Model
The Business-to-Business (B2B) and Consumer-to-Consumer (C2C) segments complete the UAE CEP market landscape, each serving distinct market needs. The B2B segment primarily caters to corporate deliveries, manufacturing supply chains, and industrial logistics, with a significant focus on time-critical deliveries and specialized handling requirements. Major players like Emirates Post and DHL have enhanced their B2B service portfolios with dedicated solutions for corporate clients. Meanwhile, the C2C segment has evolved with the rise of social commerce and peer-to-peer marketplaces, supported by innovative platforms like Cloudset's re-commerce solution. The segment has been particularly active in the pre-owned goods market, especially in categories like vehicles, electronics, and fashion, with courier companies developing specialized solutions to serve this growing market need.
Segment Analysis: By Mode of Transport
Road Segment in UAE CEP Market
The road transport segment dominates the UAE's courier, express, and parcel market, accounting for approximately 60% of the total market volume in 2024. The segment's strong performance is driven by extensive last-mile delivery networks and robust e-commerce growth. In May 2024, DP World and Einride partnered to electrify container transportation within Jebel Ali Port, planning to deploy 100 connected electric trucks to support around 1,600 container movements daily. Additionally, Dubai's Roads and Transport Authority completed significant infrastructure improvements in March 2024, including 18 km of new road construction and lighting installations along 17 km of existing streets in Margham, Lehbab, Al Lesaili, and Hatta, which has helped optimize delivery routes and reduce transit times.
Air Segment in UAE CEP Market
The air transport segment is experiencing rapid growth in the UAE's CEP market, driven by strategic developments in aviation infrastructure and sustainability initiatives. In February 2024, DHL Express launched GoGreen Plus, enabling customers to reduce carbon emissions through sustainable aviation fuel usage. Emirates SkyCargo expanded its network through a partnership with Air Canada Cargo, gaining access to over 60 Canadian locations and 150 destinations across five continents. The UAE's commitment to aviation advancement is further demonstrated by the ongoing development of Al Maktoum International Airport, which started construction in April 2024 with a USD 35 billion investment. Upon completion, the facility will handle over 13 million tons of cargo annually, significantly enhancing the country's air cargo capabilities.
Remaining Segments in Mode of Transport
The other modes of transport segment in the UAE CEP market encompasses various alternative delivery methods, including maritime shipping and emerging transportation technologies. This segment is witnessing innovation through the integration of autonomous delivery systems and sustainable transport solutions. The UAE government's support for alternative delivery methods is evident in its recent initiatives to explore new transportation technologies, including the testing and implementation of drone delivery systems and autonomous vehicles for last-mile delivery. These developments are complemented by the country's strategic location as a maritime hub, allowing for efficient multimodal transportation solutions that combine sea and land delivery options.
Segment Analysis: By End User Industry
E-commerce Segment in UAE CEP Market
The e-commerce segment dominates the UAE's courier, express, and parcel market, accounting for approximately 43% of the total market value in 2024. The segment's strong performance is driven by the rapid growth of online shopping platforms and digital retail channels across the UAE. Major e-commerce retailers like Amazon.ae, with its state-of-the-art fulfillment center in South Dubai established in 2023, have significantly boosted storage capacity for e-commerce parcels by 70%. Emirates Post's launch of its e-commerce service portfolio in 2023, featuring cost-effective international shipping and faster transit times of 3-5 days, along with same-day and next-day domestic delivery options, has further strengthened the segment. The consistent innovations in meeting delivery and fulfillment needs, coupled with the UAE's high internet penetration rate and growing digital consumer base, continue to solidify e-commerce's position as the leading end-user segment in the CEP market.
Healthcare Segment in UAE CEP Market
The healthcare segment is emerging as the fastest-growing sector in the UAE's CEP market, with a projected growth rate of approximately 9% during 2024-2029. This robust growth is supported by Etihad Cargo's strategic ten-year partnership with Envirotainer announced in 2024, focusing on secure cold chain solutions for healthcare product air transport. The segment's expansion is further driven by the UAE's strong healthcare infrastructure and growing clinical research capabilities. The adoption of smart health technology, drone technology for medical supplies delivery, and increasing demand for in-vitro diagnostic devices are catalyzing growth. Additionally, the UAE's focus on healthcare ecosystem development in Abu Dhabi and strengthening the global pharma supply chain through enhanced logistics partnerships is expected to maintain the segment's strong growth trajectory in the coming years.
Remaining Segments in End User Industry
The other segments in the UAE CEP market include financial services (BFSI), manufacturing, primary industry, wholesale and retail trade (offline), and others, each contributing significantly to the market's diversity. The BFSI segment is driven by the increasing demand for secure delivery of banking documents, credit cards, and financial instruments. The manufacturing segment benefits from the country's industrial growth initiatives and Operation 300bn strategy. The primary industry segment, comprising agriculture and oil & gas, maintains steady demand for specialized delivery services. The wholesale and retail trade segment continues to evolve with the integration of offline and online channels, while the others segment encompasses various industries including construction, media, arts, and entertainment, each contributing to the market's comprehensive growth.
United Arab Emirates Courier, Express, and Parcel (CEP) Industry Overview
Top Companies in UAE Courier, Express, and Parcel Market
The leading courier companies in Dubai are demonstrating a strong commitment to technological innovation and operational excellence. Companies are increasingly adopting automation and robotics in their sorting facilities, with several players testing autonomous delivery vehicles and drones for last-mile delivery optimization. Digital transformation initiatives include enhanced tracking systems, WhatsApp integration for delivery notifications, and AI-powered routing solutions. Operational agility is being achieved through strategic partnerships with technology providers and the expansion of fulfillment centers. Companies are also focusing on sustainability through electric vehicle adoption and solar-powered facilities. The market is seeing significant investment in infrastructure development, with players expanding their warehouse capacities and establishing new sorting centers to handle growing e-commerce volumes.
Mix of Global and Regional Players
The UAE CEP market exhibits a fragmented competitive structure with a mix of global logistics giants and strong regional players. Global players like FedEx, DHL, and UPS leverage their international networks and technological capabilities, while regional leaders like Aramex have built a strong local presence through deep market understanding and extensive last-mile networks. The market shows moderate consolidation with the top five players accounting for a significant market share, though numerous smaller players serve specific niches or geographical areas. The competitive dynamics are characterized by strong brand recognition and established relationships with key business sectors.
The market is witnessing strategic consolidation through partnerships and acquisitions, particularly in the e-commerce fulfillment space. Companies are forming alliances to enhance their service offerings and geographical coverage, with several players partnering with technology companies to improve their digital capabilities. Regional players are strengthening their position through strategic partnerships with international carriers, while global players are expanding their local presence through investments in infrastructure and acquisition of local expertise. The market structure supports both specialist courier services focusing on specific segments and integrated logistics providers offering end-to-end solutions.
Innovation and Customer Experience Drive Success
Success in the UAE CEP market increasingly depends on technological innovation and service differentiation. Incumbent players must focus on enhancing their digital capabilities, expanding their fulfillment center networks, and developing specialized solutions for high-growth segments like e-commerce and healthcare. Investment in sustainable delivery solutions and advanced tracking systems has become crucial for maintaining market position. Companies need to build strong partnerships with e-commerce platforms and retailers while maintaining operational efficiency through automation and process optimization. The ability to offer flexible delivery options and value-added services will be crucial for maintaining a competitive advantage.
New entrants and challenger brands can gain market share by focusing on underserved segments and innovative delivery models. Success factors include developing specialized solutions for specific industries, leveraging technology for operational efficiency, and building strong last-mile delivery capabilities. Companies must navigate the regulatory environment, particularly regarding drone deliveries and autonomous vehicles, while maintaining compliance with cross-border shipping requirements. The market shows moderate substitution risk from in-house delivery networks of large retailers, making it essential for CEP providers to demonstrate a clear value proposition through service quality and technological integration. Building strong relationships with key business sectors and adapting to changing consumer preferences will be crucial for long-term success. The delivery service in UAE is evolving rapidly, with a focus on efficiency and customer satisfaction.
United Arab Emirates Courier, Express, and Parcel (CEP) Market Leaders
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Aramex
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DHL Group
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Emirates Post
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FedEx
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United Parcel Service of America, Inc. (UPS)
- *Disclaimer: Major Players sorted in no particular order
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United Arab Emirates Courier, Express, and Parcel (CEP) Market News
- October 2024: DHL Group introduced DHL Supply Chain in the UAE by transferring selected operations from DHL Global Forwarding. Alongside the established cross-border transportation, forwarding, and freight services of the Group's global forwarding division, DHL Supply Chain introduced contract logistics services. This expansion enabled DHL to serve multinational corporations and SMEs with warehousing, fulfillment, and aftermarket services across diverse sectors, such as technology, automotive, aviation, energy, engineering and manufacturing, e-commerce, and the fashion and luxury industries.
- October 2024: DHL Group launched DHL Supply Chain in the UAE by transferring selected operations from DHL Global Forwarding. In addition to the already existing cross-border transportation, forwarding, and freight services under the Group's global forwarding division, DHL Supply Chain started offering contract logistics services in the UAE. This move enabled DHL to serve both multinational and SME clients across diverse sectors, including technology, automotive, aviation, energy, engineering and manufacturing, e-commerce, and fashion and luxury, offering services like warehousing, fulfillment, and aftermarket support.
- October 2024: UPS had enhanced its air network, enabling faster deliveries for customers across Asia, Africa, and the Middle East, covering over 35 countries. Customers from major Asia Pacific economies had enjoyed next-day delivery to Seoul, South Korea, and from Bangkok to various destinations in the region. In Vietnam, Ho Chi Minh City customers had benefited from next-day services to select regional cities. Shipments from Hanoi to certain Australian cities were completed in just two business days. Additionally, UPS had rolled out Saturday pick-ups in Hanoi for deliveries heading to Sydney, offering businesses more flexibility and accelerating their speed-to-market. Furthermore, deliveries from select Australian cities to Europe were made in as little as two business days.
Free With This Report
We provide a complimentary and exhaustive set of data points on global and regional metrics that present the fundamental structure of the industry. Presented in the form of 60+ free charts, the section covers difficult to find data on various regions pertaining to e-commerce industry trends, economic contribution of the transportation & storage sector, export-import trends, logistics performance among other key indicators.
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List of Tables & Figures
- Figure 1:
- POPULATION DISTRIBUTION BY GENDER, COUNT, UAE, 2017 - 2030
- Figure 2:
- POPULATION DISTRIBUTION BY DEVELOPMENT AREA, COUNT, UAE, 2017 - 2030
- Figure 3:
- POPULATION DENSITY, POPULATION/SQ. KM, UAE, 2017 - 2030
- Figure 4:
- GROSS DOMESTIC PRODUCT (GDP) SHARE OF FINAL CONSUMPTION EXPENDITURE (IN CURRENT PRICES), SHARE % OF GDP, UAE, 2017 - 2023
- Figure 5:
- FINAL CONSUMPTION EXPENDITURE, ANNUAL GROWTH (%), UAE, 2017 - 2023
- Figure 6:
- POPULATION DISTRIBUTION BY MAJOR CITY, COUNT, UAE, 2023
- Figure 7:
- DISTRIBUTION OF GROSS DOMESTIC PRODUCT (GDP) BY ECONOMIC ACTIVITY, SHARE %, UAE, 2023
- Figure 8:
- GROWTH OF GROSS DOMESTIC PRODUCT (GDP) BY ECONOMIC ACTIVITY, CAGR %, UAE, 2017 - 2023
- Figure 9:
- WHOLESALE PRICE INFLATION RATE, %, UAE, 2017 - 2021
- Figure 10:
- CONSUMER PRICE INFLATION RATE, %, UAE, 2017 - 2022
- Figure 11:
- GROSS MERCHANDISE VALUE (GMV) OF E-COMMERCE INDUSTRY, USD, UAE, 2017 - 2030
- Figure 12:
- SECTORAL SHARE IN E-COMMERCE INDUSTRY GROSS MERCHANDISE VALUE (GMV), SHARE %, UAE, 2023
- Figure 13:
- GROSS VALUE ADDED (GVA) OF MANUFACTURING INDUSTRY (IN CURRENT PRICES), USD, UAE, 2017 - 2023
- Figure 14:
- SECTORAL SHARE IN GROSS VALUE ADDED (GVA) OF MANUFACTURING INDUSTRY, SHARE %, UAE, 2023
- Figure 15:
- VALUE OF TRANSPORT AND STORAGE SECTOR GROSS DOMESTIC PRODUCT (GDP), USD, UAE, 2017 - 2023
- Figure 16:
- TRANSPORT AND STORAGE SECTOR GROSS DOMESTIC PRODUCT (GDP), SHARE % OF GDP, UAE, 2017 - 2023
- Figure 17:
- VALUE OF EXPORTS, USD, UAE, 2017 - 2023
- Figure 18:
- VALUE OF IMPORTS, USD, UAE, 2017 - 2023
- Figure 19:
- FUEL PRICE BY TYPE OF FUEL, USD/LITER, UAE, 2017 - 2023
- Figure 20:
- RANK OF LOGISTICS PERFORMANCE, RANK, UAE, 2010 - 2023
- Figure 21:
- LENGTH OF ROADS, KM, UAE, 2017 - 2023
- Figure 22:
- SHARE OF ROAD LENGTH BY SURFACE CATEGORY, %, UAE, 2022
- Figure 23:
- SHARE OF ROAD LENGTH BY ROAD CLASSIFICATION, %, UAE, 2022
- Figure 24:
- RAIL LENGTH, KM, UAE, 2017 - 2023
- Figure 25:
- CONTAINERS HANDLED AT MAJOR PORTS, TWENTY-FOOT EQUIVALENT UNITS (TEUS), UAE, 2022
- Figure 26:
- CARGO WEIGHT HANDLED AT MAJOR AIRPORTS, TONS, UAE, 2022
- Figure 27:
- VOLUME OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 28:
- VALUE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 29:
- VOLUME OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, NUMBER OF PARCELS, UAE 2017 - 2030
- Figure 30:
- VALUE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, USD, UAE 2017 - 2030
- Figure 31:
- VALUE SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2017 - 2030
- Figure 32:
- VOLUME SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2017 - 2030
- Figure 33:
- VOLUME OF DOMESTIC COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 34:
- VALUE OF DOMESTIC COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 35:
- VALUE SHARE OF DOMESTIC COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 36:
- VOLUME OF INTERNATIONAL COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 37:
- VALUE OF INTERNATIONAL COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 38:
- VALUE SHARE OF INTERNATIONAL COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 39:
- VOLUME OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY SPEED OF DELIVERY, NUMBER OF PARCELS, UAE 2017 - 2030
- Figure 40:
- VALUE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY SPEED OF DELIVERY, USD, UAE 2017 - 2030
- Figure 41:
- VALUE SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY SPEED OF DELIVERY, %, UAE, 2017 - 2030
- Figure 42:
- VOLUME SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY SPEED OF DELIVERY, %, UAE, 2017 - 2030
- Figure 43:
- VOLUME OF EXPRESS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 44:
- VALUE OF EXPRESS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 45:
- VALUE SHARE OF EXPRESS COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 46:
- VOLUME OF NON-EXPRESS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 47:
- VALUE OF NON-EXPRESS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 48:
- VALUE SHARE OF NON-EXPRESS COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 49:
- VOLUME OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY MODEL, NUMBER OF PARCELS, UAE 2017 - 2030
- Figure 50:
- VALUE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY MODEL, USD, UAE 2017 - 2030
- Figure 51:
- VALUE SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY MODEL, %, UAE, 2017 - 2030
- Figure 52:
- VOLUME SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY MODEL, %, UAE, 2017 - 2030
- Figure 53:
- VOLUME OF BUSINESS-TO-BUSINESS (B2B) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 54:
- VALUE OF BUSINESS-TO-BUSINESS (B2B) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 55:
- VALUE SHARE OF BUSINESS-TO-BUSINESS (B2B) COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 56:
- VOLUME OF BUSINESS-TO-CONSUMER (B2C) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 57:
- VALUE OF BUSINESS-TO-CONSUMER (B2C) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 58:
- VALUE SHARE OF BUSINESS-TO-CONSUMER (B2C) COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 59:
- VOLUME OF CONSUMER-TO-CONSUMER (C2C) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 60:
- VALUE OF CONSUMER-TO-CONSUMER (C2C) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 61:
- VALUE SHARE OF CONSUMER-TO-CONSUMER (C2C) COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 62:
- VOLUME OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY SHIPMENT WEIGHT, NUMBER OF PARCELS, UAE 2017 - 2030
- Figure 63:
- VALUE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY SHIPMENT WEIGHT, USD, UAE 2017 - 2030
- Figure 64:
- VALUE SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY SHIPMENT WEIGHT, %, UAE, 2017 - 2030
- Figure 65:
- VOLUME SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY SHIPMENT WEIGHT, %, UAE, 2017 - 2030
- Figure 66:
- VOLUME OF HEAVY WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 67:
- VALUE OF HEAVY WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 68:
- VALUE SHARE OF HEAVY WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 69:
- VOLUME OF LIGHT WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 70:
- VALUE OF LIGHT WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 71:
- VALUE SHARE OF LIGHT WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 72:
- VOLUME OF MEDIUM WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 73:
- VALUE OF MEDIUM WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 74:
- VALUE SHARE OF MEDIUM WEIGHT SHIPMENTS COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 75:
- VOLUME OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY MODE OF TRANSPORT, NUMBER OF PARCELS, UAE 2017 - 2030
- Figure 76:
- VALUE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY MODE OF TRANSPORT, USD, UAE 2017 - 2030
- Figure 77:
- VALUE SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY MODE OF TRANSPORT, %, UAE, 2017 - 2030
- Figure 78:
- VOLUME SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY MODE OF TRANSPORT, %, UAE, 2017 - 2030
- Figure 79:
- VOLUME OF AIR COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 80:
- VALUE OF AIR COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 81:
- VALUE SHARE OF AIR COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 82:
- VOLUME OF ROAD COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 83:
- VALUE OF ROAD COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 84:
- VALUE SHARE OF ROAD COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 85:
- VOLUME OF OTHERS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 86:
- VALUE OF OTHERS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 87:
- VALUE SHARE OF OTHERS COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2024 VS 2030
- Figure 88:
- VOLUME OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, NUMBER OF PARCELS, UAE 2017 - 2030
- Figure 89:
- VALUE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, USD, UAE 2017 - 2030
- Figure 90:
- VALUE SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2017 - 2030
- Figure 91:
- VOLUME SHARE OF COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY END USER INDUSTRY, %, UAE, 2017 - 2030
- Figure 92:
- VOLUME OF E-COMMERCE COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 93:
- VALUE OF E-COMMERCE COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 94:
- VALUE SHARE OF E-COMMERCE COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2024 VS 2030
- Figure 95:
- VOLUME OF FINANCIAL SERVICES (BFSI) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 96:
- VALUE OF FINANCIAL SERVICES (BFSI) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 97:
- VALUE SHARE OF FINANCIAL SERVICES (BFSI) COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2024 VS 2030
- Figure 98:
- VOLUME OF HEALTHCARE COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 99:
- VALUE OF HEALTHCARE COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 100:
- VALUE SHARE OF HEALTHCARE COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2024 VS 2030
- Figure 101:
- VOLUME OF MANUFACTURING COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 102:
- VALUE OF MANUFACTURING COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 103:
- VALUE SHARE OF MANUFACTURING COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2024 VS 2030
- Figure 104:
- VOLUME OF PRIMARY INDUSTRY COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 105:
- VALUE OF PRIMARY INDUSTRY COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 106:
- VALUE SHARE OF PRIMARY INDUSTRY COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2024 VS 2030
- Figure 107:
- VOLUME OF WHOLESALE AND RETAIL TRADE (OFFLINE) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 108:
- VALUE OF WHOLESALE AND RETAIL TRADE (OFFLINE) COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 109:
- VALUE SHARE OF WHOLESALE AND RETAIL TRADE (OFFLINE) COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2024 VS 2030
- Figure 110:
- VOLUME OF OTHERS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, NUMBER OF PARCELS, UAE, 2017 - 2030
- Figure 111:
- VALUE OF OTHERS COURIER, EXPRESS, AND PARCEL (CEP) MARKET, USD, UAE, 2017 - 2030
- Figure 112:
- VALUE SHARE OF OTHERS COURIER, EXPRESS, AND PARCEL (CEP) MARKET BY DESTINATION, %, UAE, 2024 VS 2030
- Figure 113:
- MOST ACTIVE COMPANIES BY NUMBER OF STRATEGIC MOVES, COUNT, UAE, 2017 - 2023
- Figure 114:
- MOST ADOPTED STRATEGIES, COUNT, UAE, 2017 - 2023
- Figure 115:
- VALUE SHARE OF MAJOR PLAYERS, %, UAE
United Arab Emirates Courier, Express, and Parcel (CEP) Industry Segmentation
Domestic, International are covered as segments by Destination. Express, Non-Express are covered as segments by Speed Of Delivery. Business-to-Business (B2B), Business-to-Consumer (B2C), Consumer-to-Consumer (C2C) are covered as segments by Model. Heavy Weight Shipments, Light Weight Shipments, Medium Weight Shipments are covered as segments by Shipment Weight. Air, Road, Others are covered as segments by Mode Of Transport. E-Commerce, Financial Services (BFSI), Healthcare, Manufacturing, Primary Industry, Wholesale and Retail Trade (Offline), Others are covered as segments by End User Industry.| Destination | Domestic |
| International | |
| Speed Of Delivery | Express |
| Non-Express | |
| Model | Business-to-Business (B2B) |
| Business-to-Consumer (B2C) | |
| Consumer-to-Consumer (C2C) | |
| Shipment Weight | Heavy Weight Shipments |
| Light Weight Shipments | |
| Medium Weight Shipments | |
| Mode Of Transport | Air |
| Road | |
| Others | |
| End User Industry | E-Commerce |
| Financial Services (BFSI) | |
| Healthcare | |
| Manufacturing | |
| Primary Industry | |
| Wholesale and Retail Trade (Offline) | |
| Others |
Destination
| Domestic |
| International |
Speed Of Delivery
| Express |
| Non-Express |
Model
| Business-to-Business (B2B) |
| Business-to-Consumer (B2C) |
| Consumer-to-Consumer (C2C) |
Shipment Weight
| Heavy Weight Shipments |
| Light Weight Shipments |
| Medium Weight Shipments |
Mode Of Transport
| Air |
| Road |
| Others |
End User Industry
| E-Commerce |
| Financial Services (BFSI) |
| Healthcare |
| Manufacturing |
| Primary Industry |
| Wholesale and Retail Trade (Offline) |
| Others |
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Market Definition
- Courier, Express, and Parcel - The Courier, Express, and Parcel services, often called as CEP Market, refers to the logistics and postal service providers which specialize in moving small goods (parcels/packages). It captures the overall market size (USD) and market volume (number of parcels) of (1) the shipments/parcels/packages which are under 70kgs/ 154lbs weight, (2) Business Customer packages viz. Business-to-Business (B2B) & Business-to-Consumer (B2C) as well as private customer packages (C2C), (3) non-express parcel delivery services (Standard and Deferred) as well as express parcel delivery services (Day-Definite-Express and Time-Definite-Express), (4) domestic as well as international shipments.
- Demographics - To analyse total addressable market demand, population growth & forecasts have been studied and presented in this industry trend. It represents population distribution across categories like gender (male/female), development area (urban/rural), major cities among other key parameters like population density and final consumption expenditure (growth and share % of GDP). This data has been used for assessing the fluctations in demand & consumption expenditure, and the major hotspots (cities) of potential demand.
- Domestic Courier Market - Domestic Courier Market refers to the CEP shipments wherein the origin and destination is within the boundary of the geography studied (country or region as per the scope of report). It captures the market size (USD) and market volume (number of parcels) of (1) the shipments/parcels/packages which are under 70kgs/ 154lbs weight, including light weight shipments, medium weight shipments and heavy weight shipments (2) Business Customer packages viz. Business-to-Business (B2B) & Business-to-Consumer (B2C) as well as private customer packages (C2C), (3) non-express parcel delivery services (Standard and Deferred) as well as express parcel delivery services (Day-Definite-Express and Time-Definite-Express).
- E-Commerce - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the e-tailers, through online sales channel, on Courier, Express, and Parcel (CEP) services. The scope includes (i) the supply chain of a company's online customer orders being fulfilled, (ii) the process of getting a product from the point of manufacturing to the point at which it is delivered to consumers. It involves managing inventory (deferred as well as time critical), shipping, and distribution.
- Export Trends and Import Trends - Overall logistics performance of an economy is positively and significantly (statistically) correlated to its trade performance (exports and imports). Hence, in this industry trend, total value of trade, major commodities/ commodity groups and the major trade partners, for the studied geography (country or region as per the scope of report) have been analysed alongside the impact of major trade/logistics infrastructure investments & regulatory environment.
- Financial Services (BFSI) - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the BFSI players, on Courier, Express, and Parcel (CEP) services. CEP is important to the financial services industry in shipping of confidential documents and files. The establishments in this sector are engaged in (i) financial transactions (that is, transactions involving the creation, liquidation, or change in ownership of financial assets) or in facilitating financial transactions, (ii) financial intermediation, (iii) the pooling of risk by underwriting annuities and insurance, (iv) providing specialized services that facilitate or support financial intermediation, insurance and employee benefit programs, and (v) monetary control - the monetary authorities.
- Fuel Price - Fuel price spikes can cause delays and diruption for logistics service providers (LSPs), while drops in the same can result in higher short-term profitability and increased market rivalry to offer consumers with the best deals. Hence, the fuel price variations have been studied over the review period and presented along with the causes as well as market impacts.
- GDP Distribution by Economic Activity - Nominal Gross Domestic Product and distribution of the same, across major economic sectors in the geography studied (country or region as per scope of the report) have been studied and presented in this industry trend. As GDP is positively related to the profitability and growth of logistics industry, this data has been used in adjunction to the input-output tables/ supply-use tables for analyzing the potential major contributing sectors towards the logistics demand.
- GDP Growth by Economic Activity - Growth of Nominal Gross Domestic Product across major economic sectors, for the geography studied (country or region as per scope of the report) have been presented in this industry trend. This data has been utilized for assessing the growth of logistics demand from all the market end users (economic sectors considered here).
- Healthcare - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the Healthcare players (Hospitals, clinics, mrdical centres) , on Courier, Express, and Parcel (CEP) services. The scope includes CEP services involved in the defrerred as well time critical movement of medical goods & supplies (surgical supplies and instruments, including gloves, masks, syringes, equipment). The establishments in this sector (i) include the ones providing medical care exclusively (ii) deliver services by trained professionals (iii) involve processes, including labor inputs of health practitioners with the requisite expertise (iv) are defined based on the educational degree held by the practitioners included in the industry.
- Inflation - Variations in both Wholesale Price Inflation (YoY change in producer price index) and Consumer Price Inflation have been presented in this industry trend. This data has been used to assess the inflationary environment as it plays a vital role in smooth functioning of the supply chain, directly impacting the logistics operational cost components e.g., pricing of tyres, driver wages & benefits, energy/fuel prices, maintenace costs, toll charges, warehousing rents, custom brokerage, forwarding rates, courier rates etc. hence impacting the overall freight and logistics market.
- Infrastructure - As infrastructure plays a vital role in an economy's logistics performance, variables like length of roads, distribution of road length by surface category (paved v/s unpaved), distribution of road length by road classification (expressways v/s highways v/s other roads), rail length, volume of containers handled by major ports and tonnage handled by major airports have been analysed and presented in this industry trend.
- International Express Service Market - International Express Service Market refers to the CEP shipments wherein the origin or destination is not within the boundary of the geography studied (country or region as per the scope of report). It captures the market size (USD) and market volume (number of parcels) of (1) the shipments/parcels/packages which are under 70kgs/ 154lbs weight, including light weight shipments, medium weight shipments and heavy weight shipments (ii) Inter-Region as well as Intra-Region Shipments
- Key Industry Trends - The report section named "Key Industry Trends" include all the key variables/parameters studied to better analyze the market size estimates and forecasts. All the trends have been presented in the form of data points (time series or latest available data points) along with analysis of the paramter in the form of concise market relevant commentary, for the geography studied (country or region as per the scope of report).
- Key Strategic Moves - The action taken by a company to differentiate from its competitor or used as a general strategy is referred to as a key strategic move (KSM). This includes (1) Agreements (2) Expansions (3) Financial Restructuring (4) Mergers and Acquisitions (5) Partnerships, and (6) Product Innovations. Key players (Logistics Service Providers, LSPs) in the market have been shortlisted, their KSM have been studied and presented in this section.
- Logistics Performance - Logistics Performance and Logistics Costs are the backbone of trade, and influences trade costs, making countries compete globally. Logistics performance is influenced by market wide adopted supply chain management strategies, government services, investments & policies, fuel/ energy costs, inflationary environment etc. Hence, in this industry trend, the logistics performance of the geography studied (country/ region as per the scope of report) has been analysed and presented over the review period.
- Manufacturing - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the Manufacturing industry (including Hi-Tech/Technology) players, on Courier, Express, and Parcel (CEP) services. The end user players considered are the establishments primarily engaged in the chemical, mechanical or physical transformation of materials or substances into new products. Logistics Service Providers (LSPs) play a crucial role in maintaining a smooth flow of raw materials across the supply chain, enabling timely delivery of finished goods to distributors or end customers and storing & supplying the raw materials to clients for just-in-time manufacturing.
- Other End Users - Other end user segment captures the external (outsourced) logistics expenditure incurred by the construction, real estate, educational services, and professional services (administrative, waste management, legal, architectural, engineering, design, consulting, scientific R&D), on Courier, Express, and Parcel (CEP) services. Logistics Service Providers (LSPs) plays a crucial role in the reliable movement of time critical supplies and documents to/from these industries such as transporting any equipment or resources required, shipping confidential documents and files.
- Primary Industry - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the AFF (Agriculture, Fishing, and Forestry) and Extraction indsutry (Oil &Gas, Quarrying and Mining) players, on Courier, Express, and Parcel (CEP) services. The end user players considered are the establishments (i) primarily engaged in growing crops, raising animals, harvesting timber, harvesting fish & other animals from their natural habitats and providing related support activities; (ii) that extract naturally occurring mineral solids, such as coal and ores; liquid minerals, such as crude petroleum; and gases, such as natural gas. Herein, Logistics Service Providers (LSPs) (i) play a crucial role in acquisition, storage, handling, transportation, and distribution activities for the optimal & continuous flow of inputs (seeds, pesticides, fertilizers, equipment, and water) from manufacturers or suppliers to the producers and smooth flow of output (produce, agro-goods) to distributors/ consumers; (ii) cover entire phases from upstream to downstream and play a crucial role in the transportation of machinery, drilling equipments, extracted minerals, crude oil & natural gas and refined/ processed products from one place to another. This includes both termperature controlled and non-temperature controlled logistics, as and when required according to the shelf life of goods being transported or stored.
- Producer Price Inflation - It indicates inflation from viewpoint of the producers viz. the average selling price received for their output over a period of time. Annual change (YoY) of producer price index is reported as wholesale price inflation in the "Inflation" industry trend. As WPI captures dynamic price movements in most comprehensive way, it is widely used by governments, banks, industry, business circles and is deemed important in formulation of trade, fiscal and other economic policies. The data has been used in adjunction to consumer price inflation for better understanding the inflationary environment.
- Segmental Revenue - Segmental Revenue has been triangulated or computed and presented for all the major players in the market. It refers to the courier, express, and parcel (CEP) market specific revenue earned by the company, over the base year of study, in the geography studied (country or region as per the scope of report). It is computed through the study and analysis of major parameters like financials, service portfolio, employee strength, fleet size, investments, number of countries present in, major economies of concern, etc. that have been reported by the company in its annual reports, webpage. For companies having scarce financial disclosures, paid databases like D&B Hoovers, Dow Jones Factiva have been resorted to and verified through industry/expert interactions.
- Transport and Storage Sector GDP - Value and growth of Transport and Storage Sector GDP has a direct relation to the freight and logistics market size. Hence, this variable has been studied and presented over the review period, in value terms (USD) and as share % of total GDP, in this industry trend. The data has been supported by concise and relevant commentary around the investments, developments, and current market scenario.
- Trends in E-Commerce Industry - Enhanced internet connectivity and boom in smartphone penetration, coupled with increasing disposable incomes, has led to a phenomenal growth in the e-commerce market globally. Online shoppers require fast and efficient delivery of their orders leading to an increase in the demand for logistics services especially e-commerce fulfilment services. Hence, the Gross Merchandise Value (GMV), historial and projected growth, breakup of major commodity groups in e-commerce industry for the studied geography (country or region as per scope of the report) have been analysed and presented in this industry trend.
- Trends in Manufacturing Industry - Manufacturing industry involves the transformation of raw materials into finished products, while logistics industry ensures the efficient flow of raw materials to the factory, and the transport of manufactured products to the distributors & consumers. Demand-Supply of both industries are highly cross-linked and critical for a seamless supply chain. Hence, the Gross Value Added (GVA), breakup of GVA into major manufacturing sectors, and growth of manufacturing industry over the review period have been analysed and presented, in this industry trend.
- Wholesale and Retail Trade (Offline) - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the wholesalers and retailers, through offline sales channel, on Courier, Express, and Parcel (CEP) services. The end user players considered are the establishments primarily engaged in wholesaling or retailing merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. Logistics Service Providers (LSPs) plays a crucial role in the reliable movement of supplies to and finished products from production houses to the distributors and finally to the end customer covering activites like material sourcing, transportation, order fulfillment, warehousing & storage, demand forecasting, inventory management etc.
| Keyword | Definition |
|---|---|
| Axle Load | The axle load refers to the total load (weight) bearing on the roadway through wheels connected to a given axle. Across the globe, there are systems in place to ensure axle load monitoring, wherein surpassing the defined limits set by the concerned regulatory authority can lead to penalty/fine. For transportation of goods via road this can be an important determinant of costs as knowledge about the axle load limits can be used to (i) load the vehicle optimally for maximizing profits (ii) avoid exceeding the same and hence the probable fines associated (iii) avoid wear and tear of the vehicle (iv) avoid damage to pavement resulting in noticeable public maintenance and repair costs (v) achieve better turnaround time. |
| Back Haul | Backhaul is the return movement of a transport vehicle from its original destination to its original point of departure, and can include full, partial, or empty truck loads (all or part of the way) depending on the visibility of the local freight ecosystem. In this regard, transportation of empty containers to the point of origin, known as deadheading is also a significant factor, considering the supply/container shortages across the geographies, resulting in cost escalation and under optimized profit potential attainment. Generally, the carriers offer discounts on the backhaul, to secure freight for the trip. |
| Bill of Lading (BOL) | A bill of lading is a legal contract document issued by a carrier to a shipper to acknowledge reception of their cargo, and is evidence for the contract of carriage between the two parties. Broadly it details the (i) type, quantity, and other specifications of the goods being carried (ii) destination, and terms & conditions of the shipment (iii) carrier and drivers with all the necessary information to process the shipment, which can be used for insurance and customs clearance purposes (iv) assurance that the consignment is damage-free and ready to be shipped to the consignee. In this regard, a house bill of lading (HBL) is a document issued by a freight forwarder or a non-vessel operating common carrier (NVOCC) to acknowledge receipt of items for shipment (to a shipper). If shipments from several shippers are involved a master bill of lading (MBL) might be involved which is a consolidated version of the same for all the shipments being taken care of by the carrier (to a common destination) and might be issued by the carrier to the freight forwarder or the shipper (depending on who books the transport). |
| Bunkering | Bunkering is the process of supplying fuel to power the propulsion system of a ship. It includes the logistics of loading and distributing the fuel among available shipboard tanks. In this regard, (i) Bunker fuel is technically any type of fuel oil used aboard ships. It gets its name from the containers on ships and in ports that it is stored in; in the days of steam they were coal bunkers but now they are bunker-fuel tanks, (ii) Bunker refers to the spaces (Tank) on board a vessel to store fuel, (iii) Bunker trader refers to a person dealing in trade of bunker (fuel), (iv) Bunker call is made when a cargo ship anchors or berths in a port to take on bunker oil or supplies, (v) Bunkering service is the supply of a requested quality and quantity of bunkers to a ship. Bunkering is signficant from point of view of freight rates applicable to the shipper as Bunker Contribution (BUC)/ Fuel Adjustment Factor (FAF)/ Bunker Adjustment Factor (BAF) are applied by shipping lines to offset the effect of fluctuations in the cost of bunkers. |
| Cabotage | Transport by a vehicle registered in a country, performed on the national territory of another country. Cabotage law may restrict domestic cargo traffic to be carried in its own nationally registered, and sometimes built and crewed vehicles, though regulations vary across industries/commodity groups/countries and sometimes specify maximum allowable percentage of cabotage that can be serviced by foreign registered fleet. |
| C-commerce | Collaborative commerce (also known as C-commerce), (i) describes electronically enabled business interactions among an enterprise’s internal personnel, business partners and customers throughout a trading community (industry, industry segment, supply chain or supply chain segment); (ii) is the optimization of supply and distribution channels to capitalize on the global economy by using new technology efficiently. Advantages of C-commerce, to detail few include (i) maximization of organization's efficiency and profitability (ii) technology integration with physical channels to allow companies to work together (iii) increased information exchange such as inventory and product specifications, using the web as an intermediary (iv) increased competitiveness by reaching a broader audience. Examples of C-commerce, also known as peer-to-peer commerce, include (i) companies that allow consumers to rent things from each other, or marketplaces, such as Meta (formerly Facebook) Marketplace, that allow the sale of used goods; (ii) DoorDash teamed up with many national brands, such as McDonald’s and Chipotle, to offer fast food delivery, building their business model on c-commerce. They have since expanded their delivery service from restaurants to retailers and even offer 'fleets' of drivers to businesses. |
| Courier | A business/company that delivers packages/parcels/shipments (upto 70 kgs) including quick door to door pickup and delivery service for goods or documents, domestically or internationally, on a commercial contract basis. Example, DHL Group, FedEx, United Parcel Service of America, Inc., USPS, International Distributions Services, J&T Express, SF Express among several others |
| Cross docking | Cross docking is a practice in logistics management that includes unloading incoming delivery vehicles and loading the materials directly into outbound delivery vehicles, omitting traditional warehouse logistical practices and saving time and money. It requires close synchronization of both inbound and outbound movements. It is highly significant in reduction of costs pertaining to warehousing & storage (and the associated Value Added Services). |
| Cross Trade | International transport between two different countries performed by a vehicle registered in a third country. A third country is a country other than the country of loading/embarkation and the country of unloading/disembarkation. Cross Trade law may restrict international cargo traffic to be carried by respective country's registered vehicles, and sometimes built and crewed vehicles, though regulations vary across industries/commodity groups/countries and sometimes specify maximum allowable percentage of cross trade that can be serviced by foreign registered fleet. |
| Customs Clearance | The process of declaring and clearing cargoes through customs. It includes the procedures involved in getting cargo released by Customs through designated formalities such as presenting import license/permit, payment of import duties and other required documentations by the nature of the cargo. In this regard, a customs broker is a person or company licensed by the respective department of the country to act on behalf of freight importers and exporters. |
| Dangerous Goods | Dangerous goods (or hazardous materials or HAZMAT) include flammable liquids/solids, gases (compressed, liquified, dissolved under pressure), corrosives, oxidising substances, explosive substances and articles, substances which on contact with water emit flammable gasses, organic peroxides, toxic substances, infectious substances, radioactive materials, miscellaneous dangerous goods and articles. |
| First mile Delivery | First mile delivery refers to the (i) first stage of the freight/shipment/cargo/courier transportation (ii) the transportation of goods from a merchant’s premises or warehouse to the next fulfillment centre/warehouse/hub from where the goods are forwarded (iii) shipping goods from local distribution centers to stores (For retailers) (iv) transportation of finished goods from a plant or a factory to a distribution center (For manufacturers), (v) pick up of goods from the end-customer’s home or store followed by movement to a warehouse or storage location (movers and packers), (vi) process where goods are picked up from a retailer and then transferred to third-party logistics providers or courier service providers to be delivered to the end-consumer (e-commerce). Once the package reaches the next warehouse or the courier’s hub, it is then sorted and transported further until it reaches the customer’s doorstep. Example, if one chooses UPS as a courier, first-mile delivery will be the product being delivered from manufacturer's/retailer's warehouse to the UPS’s warehouse/ fulfilment centre. |
| Last Mile Delivery | Last mile delivery refers to the very last step of the delivery process when a parcel is moved from a transportation hub (warehouse or a distribution center or fulfillment centre) to its final destination, which usually is a personal residence/retail store/ business, or parcel locker. It accounts for around half of the total cost involved in entire process of first mile, middle mile, and last mile delivery, though it can vary shipment to shipment, based on commodity, business model and similar factors. |
| Milkrun | A Milk Run is a delivery method used to transport mixed loads from various suppliers to one customer, using lean management principles applied to logistics. Instead of each supplier sending a truck every week to meet the needs of one customer, one truck (or vehicle) visits the suppliers to pick up the loads for that customer. This method of transport got its name from the dairy industry practice, where one tanker used to collect milk from several dairy farms for delivery to a milk processing company. A milk run can be a more efficient way to handle logistics but require proper planning. If the route involves products from different companies, there is need for an agreement about cost-sharing and other aspects of the cooperative delivery arrangement. Once the group settles these issues, this delivery method can save time and money for everyone by pooling operation costs and resources. |
| Multi country consolidation | Multi-Country Consolidation (MCC) is a cost-effective solution that consolidates one's cargo from different countries of origin to build Full Container Loads (FCL). MCC is most suitable for companies that import light volumes of goods from multiple countries but want to take advantage of the more economic FCL freight rates. Apart from costing some of the other advantages include (i) flexibility to choose suppliers from a wider range of origin countries without worrying about the logistics to final destination from each origin, (ii) ability to pick the most suitable suppliers from many different countries for one's business operations. The increase in one's sourcing options by MCC provides the kind of flexibility needed in competitive global markets. |
| Q-commerce | Q-commerce, also referred to as quick commerce, is a type of e-commerce where emphasis is on quick deliveries, typically in less than an hour. The companies providing Q-Commerce services might have vertically intergrated model or might be using third party delivery platforms (outsourced logistics). It has advantages like (i) competitve USP, (ii) potential to earn greater profit margins, (iii) better customer experience, (iv) guaranteed availability of products, (v) traceability, and (vi) scaleability. |
| ReverseLogistics | Reverse logistics is a type of supply chain management that moves goods from customers back to the sellers or manufacturers and may involve ciruclar economy principles (3Rs) viz. recycling, reuse (repurposing, reselling), reducing or repairing. In this regard, reverse commerce (or Recommerce) is the selling of previously owned items through physical or online marketplaces/distribution channels to buyers who reuse, recycle or resell them. |
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Research Methodology
Mordor Intelligence follows a four-step methodology in all our reports.
- Step-1: Identify Key Variables: In order to build a robust forecasting methodology, the variables and factors identified in Step-1 are tested against available historical market numbers. Through an iterative process, the variables required for market forecast are set and the model is built on the basis of these variables.
- Step-2: Build a Market Model: Market-size estimations for the forecast years are in nominal terms. Inflation is considered to be a part of the pricing, and the average selling price (ASP) is varying throughout the forecast period for each country
- Step-3: Validate and Finalize: In this important step, all market numbers, variables and analyst calls are validated through an extensive network of primary research experts from the market studied. The respondents are selected across levels and functions to generate a holistic picture of the market studied.
- Step-4: Research Outputs: Syndicated Reports, Custom Consulting Assignments, Databases & Subscription Platforms
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