Express Delivery Market Size, Trends and Growth Analysis by 2027

The express delivery sector was valued at approximately US$ 239,337.5 million in 2019 and is anticipated to grow to US$ 378,233.7 million by 2027, reflecting a compound annual growth rate (CAGR) of 6.3% from 2020 to 2027.

There has been a significant increase in the adoption of express delivery services across essential industries, particularly in food & beverages and healthcare, in major economies around the globe. The global demand for same-day delivery has surged, with consumers increasingly expecting their orders to arrive within a day. For example, the demand for same-day grocery deliveries stands at 64%, while healthcare products account for 46%, specialty snacks 42%, alcohol 41%, and other household items 28%. The healthcare sector shows the highest demand for express delivery, where timely access to medical supplies can significantly impact patient outcomes and save lives. Companies like DHL International GmbH, FedEx Corporation, Poste Italiane, TNT Holdings B.V., and United Parcel Service of America, Inc. are leading providers in this space, offering innovative delivery solutions.

The express delivery market in the Asia-Pacific (APAC) region is projected to experience remarkable growth during the forecast period. The region is witnessing a high adoption rate of advanced technologies, which is driving the expansion of express delivery services. Government investments and initiatives aimed at enhancing the retail and e-commerce sectors have further fueled this growth. Countries like China, India, Japan, and Singapore are recognized as key players in the global economy, often referred to as its growth engine. The manufacturing sectors, including automotive, pharmaceuticals, and retail, are increasingly embracing advanced technologies, which in turn boosts the express delivery market. Factors such as economic development, rapid digitalization, rising educational awareness, increasing middle-class incomes, and supportive government policies are facilitating the transition of developing economies towards more developed statuses.

Among the fastest-growing e-commerce markets in APAC are India and China, where consumers are increasingly favoring online shopping. The rise in internet accessibility is transforming various aspects of e-commerce in these nations. With the right technological infrastructure and logistics, it has become feasible to offer online shopping and delivery services even in rural areas. The Asia-Pacific region is recognized as the fastest-growing area globally for the freight and logistics industry, driven by the expanding logistics sector in ASEAN countries and the economic strength of China. Additionally, increased government support for logistics is contributing to the growth of the express delivery market.

Key players in the global express delivery market include AfterShip Ltd, Aramex International LLC, DHL International GmbH, FedEx Corporation, Koninklijke PostNL, Poste Italiane, SF Express (Group) Co. Ltd., TNT Holdings B.V., United Parcel Service of America, Inc., and USPS.

Impact of the COVID-19 Pandemic on the Express Delivery Market

The COVID-19 pandemic, which originated in Wuhan, China in December 2019, has rapidly spread worldwide, severely impacting countries such as China, Italy, Iran, Spain, South Korea, France, Germany, and the United States in terms of confirmed cases and fatalities. The pandemic has disrupted economies and industries globally, leading to lockdowns, travel restrictions, and business closures. Consequently, the express delivery market has also faced challenges due to factory shutdowns, supply chain disruptions, and a downturn in the global economy.

The effects of COVID-19 varied across different countries in Europe, with some nations experiencing a surge in cases that necessitated extended lockdowns and social distancing measures. However, countries in Western Europe, such as Germany, France, Russia, and the UK, have seen a relatively moderate decline in growth activities, attributed to their robust healthcare systems. To safeguard public health, European governments have made significant investments in technology to enhance their healthcare systems, enabling better detection and management of the virus.

The overall size of the global express delivery market has been determined through extensive primary and secondary research. The research process began with comprehensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. Additionally, numerous primary interviews were conducted with industry stakeholders and experts to validate the findings and gain deeper insights. Participants in this research typically include industry professionals such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders in the express delivery sector.