A Small Package Delivery Market

2024 Words Sep 10th, 2016 9 Pages
Small Package Delivery Market
The small-package delivery service revenue grew from $80B in 2009 to over $90B in 2014 (Figure 1). This growth, in large part, has been impacted by the unprecedented expansion of e-commerce, fueled by connected consumers via home computers, tablets and smartphones (Figure 2). Approximately 71% of consumers are connected, 55% want to shop online, 40% of e-commerce transactions are taking place through mobile apps and 28% of retail transactions are being influenced by smartphones. The percent of Overall, the Asia-Pacific region is showing the highest growth in e-commerce market share at 33.4% (Figure 3).

FedEx and UPS: History and Capabilities
In the United States, United Parcel Service Inc. (UPS) and FedEx Corporation (FedEx) dominate the package delivery service market at 46% and 32% of the volume respectively, and DHL capturing most of the remaining US market at 18% (Figure 4).

UPS was Founded in 1907 as a private messenger and delivery service, and is the largest small-package carrier in the world based on both volume and revenue. The company operates in more than 220 countries and employs more than 444,000 employees worldwide. In 2015, the company generated $58.4 billion in global revenue (Figure 5 & 7).

FedEx, founded in 1971, is a multinational delivery company with more than 340,000 employees worldwide, serving more than 220 countries. FedEx Express specializes in time-definite delivery, connecting markets that account for more than…
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