Shape up or ship out: The rising prevalence of online services will continue to restrain revenue and profit growth

The Packing and Shipping Service Franchise industry has struggled to regain traction over the five years to 2017, as more businesses and households are increasingly engaging with digital communication, thereby lowering demand for a breadth of document and mailing services. Although the economic environment for small businesses has improved, the threat of e-commerce has facilitated greater price-based competition, translating to weak revenue growth. Over the five years to 2022, the rising prevalence of online services will continue to restrain the industry's revenue and profit growth...purchase to read more.

Industry Statistics & Market Size
Revenue
$2bn
Annual Growth 12-17
1.8%
Forecast Growth 17-22
Profit
Employment
19,547
Businesses
9,122
Market Share of Companies

Industry Threats & Opportunities

  • The industry has struggled to regain traction over the past five years
  • The rapid growth in e-commerce sales has presented challenges and opportunities for industry operators
  • The total volume of packages shipped is anticipated to grow over the next five years
  • Industry Report - Starting a New Business Chapter

    The Packing and Shipping Service Franchises industry has few barriers to entry. New entrants must obtain a local business permit and retail store license to begin their operation. Most must also obtain financing to lease, rent or purchase a store location, although some franchisors will assist preferred prospective owners financially. However, there are no requirements for any large, up-front investments in capital equipment, and many operators take the additional step of leasing equipment to further minimize capital costs. This enables operators to update equipment periodically or have it serviced on a contract basis. Store owners must also pay for insurance to cover the cost of lost or broken items...purchase to read more.

    Additional Insights for the Packing & Shipping Service Franchises Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Packing & Shipping Service Franchises Industry are

  • Ensuring pricing policy is appropriate
  • Ability to vary services to suit different needs
  • Ability to manage external (outsourcing) contracts
  • IBISWorld analysts also discuss how external factors such as Consumer spending and Percentage of services conducted online in the Packing & Shipping Service Franchises industry impact industry performance..

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    What's in this report

    What is the Packing & Shipping Service Franchises Industry?

    Establishments in this industry provide parcel packing and shipping, mailbox rental, other mail services and office support services. Reports in our Business Franchise collection focus solely on the operation of franchised outlets and exclude nonfranchise data. They show the total number of franchise outlets, total franchise revenue and the average profit margin earned by franchisees. Our reports also highlight the largest franchisors by market share.

    Industry Products
  • Other services
  • Postal and shipping services
  • Document services
  • Faxing, packaging and labeling services
  • Industry Activities
  • Private mailbox rental centers
  • Private mailbox rental services combined with one or more other office support services
  • Private parcel mailing services combined with one or more other office support services
  • Private parcel mailing services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer spending
  • Percentage of services conducted online
  • Corporate profit
  • Number of businesses

  • Current Performance
  • Client businesses recovering
  • Online services grow
  • Rising competition
  • Chart: Revenue Growth

  • Industry Outlook
  • Sustainable packaging
  • Pick-up centers
  • More than just packing and shipping
  • Table: Packing & Shipping Service Franchises Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Packing & Shipping Service Franchises Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Law Firms
  • Tax Preparation Services
  • E-Commerce & Online Auctions
  • Consumers

  • Key Selling Industries
  • Cardboard Box & Container Manufacturing
  • Copier & Office Equipment Wholesaling
  • Paper Product Manufacturing
  • Polystyrene Foam Manufacturing
  • Urethane Foam Manufacturing

  • Products & Services
  • Postal and shipping services
  • Other services
  • Faxing, packaging and labeling services
  • Document services
  • Chart: Packing & Shipping Service Franchises Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Households
  • Small businesses
  • Other
  • Corporate clients
  • Chart: Major Market Segmentation for the Packing & Shipping Service Franchises Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesOther
  • Chart: Cost Structure Benchmarking – Sector vs Packing & Shipping Service Franchises

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Packing & Shipping Service Franchises Industry

  • Industry Globalization
    The UPS Store,
  • Table: The UPS Store - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Packing & Shipping Service Franchises Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

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

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Packing & Shipping Service Franchises Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Percentage of services conducted online (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Franchisee
  • The party in a franchising agreement that is purchasing the right to use a business's trademarks, associated brands and other proprietary knowledge to open a branch.
  • Franchisor
  • The owner of the franchise who sells licenses to those who wish to operate under the corporate name of the company.
  • Outsourcing
  • To procure goods or services under contract to an outside third-party.
  • Private Mailbox
  • In this industry, an address and location that receives mail on behalf of a business.
  • Royalties
  • Ongoing fees paid to the franchisor by franchisees in respect of ongoing training and support services provided, usually a percentage of revenue.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Packing & Shipping Service Franchises Industry Research Report offers insight into the market at the national level. Our analysis highlights macro trends in the overall sector and the micro trends faced by companies that do business in the Packing & Shipping Service Franchises industry. Our five-year outlook forecasts explain how the market is set to change and the product segments that will drive growth.

    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 Packing & Shipping Service Franchises:
    • 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 Packing & Shipping Service Franchises 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 Packing & Shipping Service Franchises, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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