Overview

Tight ship: Rising e-commerce and declining brick-and-mortar stores will benefit operators

IBISWorld’s industry research report on Couriers & Local Delivery Services provides up-to-date sales and market data, allowing you to identify the product and customer segments driving revenue growth. The report identifies the leading companies in the industry, and offers strategic analysis of the key factors influencing the market. Our data forecasts are accompanied by full analysis to illustrate how the market is responding to dominant and emerging trends.

REPORT SNAPSHOT

Industry Threats & Opportunities

  • Developments in the e-commerce and online retailing space have driven growth in this industry
  • The USPS charges competitive rates compared with most privately held courier companies
  • Companies will continue to lower prices or attempt to broaden market share
  • Industry Analysis & Industry Trends

    Over the past five years, many developments in the e-commerce and online retailing space have driven growth in the Couriers and Local Delivery Services industry. Downstream demand for industry services from major online retailers have increased due to increased consumer spending, which has supported industry revenue growth. Over the five years to 2022, the industry is expected to build on its momentum from the past five years moving forward. Factors that historically help boost demand for industry services, such as increases in consumer spending, corporate profit and the number of US businesses, are expected to and help fuel revenue growth over the next five years.

    Industry Report - Starting a New Business Chapter

    The US Couriers and Local Delivery Services industry is composed of two segments with different barriers to entry. The two segments are global couriers such as UPS and FedEx and local delivery services.

    Global couriers

    Barriers are higher for global couriers (i.e. international express market) as these participants are required to set up vast distribution networks, containing sophisticated technological systems and a variety of vehicles. Large-scale couriers must compete with well-established major players and their brand power. The cost of starting up a global courier service can be well into the millions, as an airplane and tracking systems will be needed. Ski

    Additional Insights for the Couriers & Local Delivery Services Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Couriers & Local Delivery Services Industry are

  • Effective quality control
  • Differentiating services from competitors
  • Ability to pass on cost increases to clients
  • IBISWorld analysts also discuss how external factors such as Corporate profit and commerce sales in the Couriers & Local Delivery Services industry impact industry performance..

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    Industry Products

    What is the Couriers & Local Delivery Services Industry?

    This report combines two separate industries, namely Couriers and Local Messengers and Delivery Services. Couriers are establishments that primarily engage in delivery services between urban centers using a network of air and surface transportation systems. In contrast, local messengers provide delivery services within a single urban area and are excluded from courier networks.

    Industry Products
    Air Transit Services
    Ground deliveries
    Other services including Messengers and local deliveries
    Industry Activities
    Providing air courier services
    Providing general courier services (intercity network)
    Providing local letter and parcel delivery services (intercity network and non-intercity network services)
    Providing messenger services
    Serving as bicycle couriers
    Providing grocery delivery services (i.e. independent service from grocery store)
    Providing restaurant meal delivery services (i.e. independent delivery services)
    Providing alcoholic beverage delivery services

    Table of Contents

    About this Industry
    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry at a Glance
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Industry Performance
    Executive Summary
    Key External Drivers
  • Corporate profit
  • commerce sales
  • Consumer spending
  • Number of businesses

  • Current Performance
  • Business customers drive demand
  • Competition persists
  • Growing e-commerce
  • Chart: Revenue Growth

  • Industry Outlook
  • Competition and environmental regulation
  • E-commerce will become the most important market
  • Industry profit
  • Table: Couriers & Local Delivery Services Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Couriers & Local Delivery Services Industry Lifecycle vs The Economy

  • Products & Markets
    Supply Chains
    Key Buying Industries
  • Retail Trade
  • Finance and Insurance
  • Professional, Scientific and Technical Services

  • Key Selling Industries
  • Aircraft Maintenance, Repair & Overhaul
  • Bicycle Dealership and Repair
  • Boat Dealership and Repair
  • Fuel Dealers
  • Motorcycle Dealership and Repair
  • Oil Change Services

  • Products & Services
  • Ground deliveries
  • Air Transit Services
  • Other services including Messengers and local deliveries
  • Chart: Couriers & Local Delivery Services Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Business to Consumers including Households
  • Business to Business
  • All Other
  • Chart: Major Market Segmentation for the Couriers & Local Delivery Services Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Competitive Landscape
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesDepreciationRent and utilitiesMarketingOther expenses
  • Chart: Cost Structure Benchmarking – Sector vs Couriers & Local Delivery Services

  • Basis of Competition
  • Large couriers
  • Local couriers

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Couriers & Local Delivery Services Industry

  • Industry Globalization
    Major Companies
    United Parcel Service Inc.FedEx Corporation
  • Table: United Parcel Service Inc. - financial performance
  • Table: FedEx Corporation - financial performance

  • Operating Conditions
    Capital Intensity
  • Chart: Level of Capital Intensity for the Couriers & Local Delivery Services Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Key Statistics
    Table: Industry Data for the Couriers & Local Delivery Services Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Consumer Spending (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Jargon & Glossary
    Courier Service
  • Fast, door-to-door, local or international pickup and delivery service of letters and goods that uses a network of transportation systems, including air and ground transportation.
  • Express Delivery
  • A courier service that guarantees quick delivery, mainly next-business-day or two-day service.
  • Local Messengers
  • Companies that deliver small items within a single metropolitan area.
  • Why buy this report?

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Couriers & Local Delivery Services:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Couriers & Local Delivery Services market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Couriers & Local Delivery Services, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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