Last Mile Delivery Market is Going to Boom | Major Giants United Parcel Service, FedEx, DHL

HTF Market Report

Updated · May 27, 2023

Last Mile Delivery Market is Going to Boom | Major Giants United Parcel Service, FedEx, DHL

Published Via 11Press : The term “last mile delivery” defines the actual last phase of the shipping procedure, when a set is transported from a transportation hub to its final location, which is typically a residential or commercial building. Organizations aim to ensure that this phase is as quick and environmentally pleasant as possible because it is the most crucial in the shipping process. This is done to keep up with the always-rising consumer demand for quick shipment, which is mostly seen in the e-commerce, food, and retail sectors. It also happens to be the most expensive portion of the journey that goods make to get to their final destination. A “complete toolkit for final mile delivery,” the platform includes features including end-to-end route planning, dispatch, real-time driver chasing, announcement, and analytics. To provide their clients with fresh and intriguing shipping offers with standard returns and exchange policies, several major e-Commerce companies are expanding and setting up their e-Commerce success networks.

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In addition to any verbal or interpersonal hiccups, certain important global outlets are working to enhance their logistical infrastructure to quickly and successfully complete orders. Even some of the industry’s biggest players are working to improve their supply chains and stocks in an effort to lower their delivery costs and attract more customers with quick, efficient services.

Last Mile Delivery Market Report Highlights:

Attributes Details
Study Period 2028
Base Year 2022
Largest Market Asia Pacific
Unit Value (USD Million)
Key Companies Profiled Deutsche Post DHL Group, FedEx Corporation, Kuehne + Nagel International, United Parcel Service, XPO Logistics, C.H. Robinson, Uber Technologies, USPS, DPD, Clipper Logistics

Last Mile Delivery Market Breakdown:

By Application:

  • E-Commerce
  • Package Delivery

By Type:

  • B2C
  • B2B

According to a research analyst at HTF MI, American companies would contribute the most to the global last-mile delivery market’s growth throughout the forecasted time. Due to new methods used by companies in the Last Mile Delivery market, it is anticipated that the competition would get even more fierce in the upcoming years. The Last Mile Delivery research report gives information on the competitive landscape and the product/service offerings of top firms to assist customers in increasing their revenue shares in the sector. This market study on last-mile delivery also identifies critical areas for businesses to concentrate on and proposes techniques that may be used to capitalize on development prospects.

The leading players covered:

  • Deutsche Post DHL Group
  • FedEx Corporation
  • Kuehne + Nagel International
  • United Parcel Service
  • XPO Logistics
  • H. Robinson
  • Uber Technologies
  • USPS
  • DPD
  • Clipper Logistics

Market Overview:

  • As it expands into physical retail tech, Instacart buys Caper AI, a smart cart and rapid checkout firm, in October 2021 for $350 million.
  • There are several logistics businesses, merchants, and technology firms that all provide different Last-Mile Delivery options, which has led to a highly fragmented market for last-mile delivery.
  • High fragmentation makes integration difficult. Different Last-Mile Delivery providers are finding it easier to integrate their solutions and collaborate more effectively thanks to increased competition and inefficiencies in technological advancements like the use of APIs and cloud-based platforms.
  • Businesses are also increasing their investments in R&D, which fosters innovation and will cause further fragmentation as more and more applications surface.

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Influencing Trend:

  • The last-mile delivery market’s major trends include collaborations, contactless delivery, same-day, on-demand, and last-mile delivery, as well as an emphasis on sustainability.
  • Customers want deliveries to happen more quickly, and they’re ready to pay more for same-day or on-demand delivery choices.
  • Because of the increased demand for contactless delivery methods like leaving packages at doorsteps or using locker systems following COVID-19, retailers, and logistics providers are heavily investing in research and development in technology and infrastructure.
  • In addition, logistics providers are collaborating with retailers, restaurants, and other businesses to offer Last Mile Delivery services.
  • Additionally, last-mile delivery is a more environmentally friendly method of logistics, and businesses are placing greater emphasis on sustainable last-mile delivery solutions.
  • This allows businesses to concentrate on their core activities while outsourcing their delivery needs.

Market Growth Drivers:

  • The main factors driving the expansion of the last-mile delivery industry are rising demand brought on by E-commerce, urbanization, and technical improvements.
  • Additionally, the development of new technologies like drones, autonomous vehicles, and delivery robots is changing the landscape of last-mile delivery.
  • Finally, with rising urbanization rates demand for last-mile delivery services increases due to the need to transport goods in densely populated areas.
  • These factors have all contributed to an increase in the demand for last-mile delivery services.

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  • The main obstacles to the expansion of the last-mile delivery sector are cost constraints, navigating through traffic jams that can prevent deliveries and security concerns.
  • Since delivering tiny products to individual consumers necessitates a sizable fleet of trucks and drivers, last-mile delivery is sometimes the most expensive component of the supply chain.
  • For logistics providers, it may be extremely difficult to balance satisfying customer requests with keeping prices down.
  • Additionally, additional research and development funding is still needed to make it possible for last-mile delivery solutions to maneuver through challenging, crowded terrain. These difficulties impede the expansion of the last-mile delivery industry.
  • There is also a risk of theft and robbery of last-mile delivery equipment, which will inevitably result in wasteful losses.

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Craig Francis (PR & Marketing Manager)
HTF Market Intelligence Consulting Private Limited
Phone: +1 434 322 0091
[email protected]    


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