The imminent explosion of cross-border e-commerce websites will cause a stir in the global e-commerce logistics market, predicts TMR in a new study. The market will also receive a boost from the availability of low-cost cargo. Already, the spread of B2C and C2C e-commerce websites has resulted in an increase in the demand for both domestic and international e-commerce logistics.
Sellers are now expecting a greater degree of transparency and efficiency in their chosen e-commerce logistics providers. This will also pave the way for higher customization in e-commerce logistics services. At the same time, companies providing these services are trying for look for practical ways to reduce costs – especially those associated with reverse logistics. Among the key services that e-commerce logistics companies provide are warehousing and transportation along with some other types of niche services.
The global e-commerce logistics market is expected to surpass US$781 bn in 2024, up from its valuation of US$122.2 bn in 2014. The estimated CAGR of the market between 2016 and 2024 is 20.6%.
Transportation Segment to Lead in Terms of Revenue Given its Pivotal Role in Delivery Process
TMR finds that in 2015, the transportation segment was larger than the warehousing segment of the global e-commerce logistics market by service type. This is explained by the fact that transportation is important all through the e-commerce logistics process and will gain even more importance as all large and small companies target last-mile delivery.
The transportation segment has been split further into air/express delivery, trucking/over road, freight/rail, and maritime. Of these, the trucking and over road segment accounts for the larger share because it is the most prevalent transportation method. The preference for trucking and over road transportation is further elevated with the logistical difficulties and costs associated with rail and air transport.
Asia Pacific E-commerce Logistics Market Teeming with Opportunities
The sheer population growth in the Asia Pacific region has created multi-billion dollar opportunities for companies in the e-commerce logistics market. About 60% of the world’s population resides in Asia Pacific, the World Population Review 2015 has revealed. Add to this the stupendous rise in sales of smartphones and in internet connectivity and it is easy to see why companies are looking a massive opportunity in the face.
Although several countries in Asia Pacific are still in the development phase, their burgeoning middle-income families represent a ripe target market for e-commerce companies. Moreover, e-commerce companies in Asia Pacific are expected to widen their reach in line with road and infrastructure development projects. Thanks to these dynamics at play, the Asia Pacific e-commerce logistics market will log a CAGR of 22.4% between 2016 and 2024.
However, in terms of revenue, North America will not budge from its dominant position through the forecasting horizon, TMR expects. The excellent digital infrastructure in the region and the healthy B2C sales will continue to create a conducive climate for the growth of the e-commerce logistics market in North America, which stood at US$48.32 bn in 2015.
However, with the U.K.’s exit from the European Union, the e-commerce logistics market in Europe could run into a rough patch. The regulations are poised to become more complex and compliance will pose a challenge.
The top companies in the e-commerce logistics market are FedEx Corporation and DHL International GmbH with over 50% of the market. Other notable players are Gati Limited, Clipper Logistics Plc., Aramex International, XPO Logistics, Inc., Kenco Group, Inc., United Parcel Service, Inc., and others.
The e-commerce logistics market report provides an analysis of the global market for the period from 2014 to 2024, wherein 2014 is the base year and the period from 2016 to 2024 is the forecast period. Data for 2014 has been included as historical information. The report covers all the prevalent trends playing a major role in the growth of the e-commerce logistics market over the forecast period. It also highlights the various drivers, restraints, and opportunities expected to influence the market’s growth during the said period. The study provides a holistic perspective on market growth throughout the above forecast period in terms of revenue estimates (in US$ Bn) across different geographies, which include North America, Europe, Asia Pacific (APAC), Middle East & Africa (MEA), and Latin America (LATAM). The report also provides cross-sectional analysis of the global e-commerce logistics market in terms of market estimates and forecasts for all the segments across different geographic regions. The comprehensive e-commerce logistics market estimates are the result of our in-depth secondary research, primary interviews, and in-house expert panel reviews. These market estimates have been analyzed by taking into account the impact of different political, social, economic, technological, and legal factors along with the current market dynamics affecting the e-commerce logistics market’s growth. An impact analysis of the key trends has additionally been provided for each geographic area in this report, keeping in mind the end goal to give an inside - out analysis of the situation of the e-commerce logistics market.
This research report provides in-depth analysis of the global e-commerce logistics market on the basis of service type, operational area, and geography. The report includes competitive profiling of major players, their growth strategies, their market positioning, and their various recent developments. The report provides a market positioning analysis of key players operating in the e-commerce logistics market. The report also provides market share of the key players which was estimated on the basis of their revenue from e-commerce logistics services across various regions in the e-commerce logistics market
Additionally, the report offers an in-depth analysis of the drivers, restraints, and growth opportunities for the market. These factors enable the analysis of various trends that will impact the market during the forecast period from 2016 to 2024.
This research study on the global e-commerce logistics market provides a detailed analysis of the various types of services in the market. Based on the service type, the e-commerce logistics market is segmented into the warehousing, transportation, and others. The warehousing segment is further segmented on the basis of types into mega centers, hubs/delivery centers, and returns processing centers, whereas the transportation segment is further segmented into air/express delivery, freight/rail, trucking/over road, and maritime. The others segment includes services such as packaging and promotional services. On the basis of operational area, the market is segmented into domestic and international (cross border) e-commerce logistics services.
On the basis of country, North America region is segmented into the U.S. and Canada. Similarly, Europe has been further segmented into the U.K., Germany, France, Italy, Spain and Rest of Europe. Asia Pacific has been segmented into China, India, Australia, Japan and Rest of Asia Pacific; whereas, MEA is divided into the UAE, Saudi Arabia, South Africa and Rest of MEA. Latin America has been further categorized into Brazil and Rest of Latin America. The revenue estimates for these countries is also included in the report.
FedEx Corporation, DHL International GmbH, Gati Limited, Aramex International, Kenco Group, Inc., Clipper Logistics Plc., XPO Logistics, Inc., Agility Public Warehousing Company K.S.C.P., United Parcel Service, Inc., and Ceva Holdings LLC. are some of the key service providers within the global e-commerce logistics market profiled in the study. The report also highlights the competitive landscape of the e-commerce logistics market, positioning all the major players according to their geographic presence, key recent developments, historical roadmap and comparison their revenue of 2014 and 2015.
The global e-commerce logistics market has been segmented as follows:
E-commerce Logistics Market, by Service Type
- Mega Centers
- Hubs/Delivery Centers
- Returns Processing Centers
- Air/Express Delivery
- Trucking/Over Road
E-commerce Logistics Market, by Operational Area
- International (Cross Border)
E-commerce Logistics Market, by Geography
- North America
- The U.S.
- The U.K.
- Rest of Europe
- Asia Pacific (APAC)
- Rest of APAC
- Middle East & Africa (MEA)
- United Arab Emirates (the UAE)
- Saudi Arabia
- South Africa
- Rest of MEA
- Latin America
- Rest of Latin America