E-commerce Logistics Market: Innovative Delivery Technologies will Attract Both Interest and Investments
In 2015, the global e-commerce logistics market was the playground of Fedex Corporation and DHL International GmbH, who collectively held sway over 50% of the business worldwide, says Transparency Market Research (TMR) in a new analysis. The other two key players in this space are XPO Logistics, Inc. and United Parcel Service, Inc., albeit their reach isn’t as wide as the two logistics behemoths. However, companies are already upping the ante in anticipation of explosive growth of the e-commerce sector in India and China. Browse The Press Release: http://www.transparencymarketresearch.com/pressrelease/e-commerce-logistics-market.htm.
In 2015, the global e-commerce logistics market was the playground of Fedex Corporation and DHL International GmbH, who collectively held sway over 50% of the business worldwide, says Transparency Market Research (TMR) in a new analysis. The other two key players in this space are XPO Logistics, Inc. and United Parcel Service, Inc., albeit their reach isn’t as wide as the two logistics behemoths. However, companies are already upping the ante in anticipation of explosive growth of the e-commerce sector in India and China.
Browse The Press Release: http://www.transparencymarketresearch.com/pressrelease/e-commerce-logistics-market.htm.
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E-<strong>commerce</strong> <strong>Logistics</strong> <strong>Market</strong>: <strong>Innovative</strong> <strong>Delivery</strong> <strong>Technologies</strong> <strong>will</strong> <strong>Attract</strong><br />
<strong>Both</strong> <strong>Interest</strong> <strong>and</strong> <strong>Investments</strong><br />
In 2015, the global e-<strong>commerce</strong> logistics market was the playground of Fedex Corporation<br />
<strong>and</strong> DHL International GmbH, who collectively held sway over 50% of the business<br />
worldwide, says Transparency <strong>Market</strong> Research (TMR) in a new analysis. The other two<br />
key players in this space are XPO <strong>Logistics</strong>, Inc. <strong>and</strong> United Parcel Service, Inc., albeit their<br />
reach isn’t as wide as the two logistics behemoths. However, companies are already upping<br />
the ante in anticipation of explosive growth of the e-<strong>commerce</strong> sector in India <strong>and</strong> China.<br />
Browse The Press Release: http://www.transparencymarketresearch.com/pressrelease/e<strong>commerce</strong>-logistics-market.htm.<br />
The e-<strong>commerce</strong> logistics space thus is extremely attractive currently <strong>and</strong> <strong>will</strong> witness the<br />
rise of many new companies, TMR says. While large companies are investing in drones <strong>and</strong><br />
last-mile connectivity to keep ahead of the others, the smaller firms are focusing on valueadded<br />
differentiating services such as route optimization <strong>and</strong> innovative parcel tracking.<br />
These trends <strong>will</strong> make the e-<strong>commerce</strong> logistics market a space bubbling with innovation,<br />
TMR forecasts. Other companies to watch out for in the e-<strong>commerce</strong> logistics business are<br />
Gati Limited <strong>and</strong> Clipper <strong>Logistics</strong> Plc<br />
According to TMR, the global e-<strong>commerce</strong> logistics market had reached a valuation of<br />
US$146.14 bn in 2015 <strong>and</strong> <strong>will</strong> exhibit a high double-digit CAGR of 20.6% between 2016<br />
<strong>and</strong> 2024.<br />
<strong>Innovative</strong> <strong>Delivery</strong> <strong>Technologies</strong> <strong>will</strong> <strong>Attract</strong> <strong>Both</strong> <strong>Interest</strong> <strong>and</strong> <strong>Investments</strong><br />
The emergence of the contemporary B2C e-<strong>commerce</strong> model has forced companies to align<br />
<strong>and</strong> re-align their business models several times in the past years. <strong>Innovative</strong> delivery<br />
technologies are the key facilitator of this change. All eyes are on drone delivery, which <strong>will</strong><br />
arguably be the biggest trend in the e-<strong>commerce</strong> logistics market in the coming years.<br />
Companies such as Amazon.com have already jumped into the fray with its Amazon Prime<br />
Air service that uses small drones to deliver packages in 30 minutes or less - about the same<br />
time that it takes to get a pizza delivered home. Drones, droids, <strong>and</strong> parcelcopters are here to<br />
stay, says TMR.<br />
Moreover, the mushrooming of e-<strong>commerce</strong> startups in countries such as India, Brazil,<br />
Mexico, <strong>and</strong> Saudi Arabia <strong>will</strong> give the dem<strong>and</strong> for e-<strong>commerce</strong> logistics a further boost.<br />
C2C e-<strong>commerce</strong> models are also projected to boost the market for e-<strong>commerce</strong> logistics.
Complications Associated with Reverse <strong>Logistics</strong> St<strong>and</strong> in the Way of E-<strong>commerce</strong><br />
<strong>Logistics</strong> Providers<br />
In a space that’s as competitive as e-<strong>commerce</strong> logistics, companies are forced to offer<br />
value-adds such as free delivery of goods <strong>and</strong> reverse logistics. Although most companies<br />
have a minimum value order for goods ordered in order for customers to avail free delivery,<br />
there are loopholes in this arrangement. The most common one is customers ordering goods<br />
to reach the stipulated minimum order for a free delivery <strong>and</strong> then returning unwanted<br />
goods. This burdens the reverse logistics chain <strong>and</strong> cause a spike in the cost incurred by e-<br />
<strong>commerce</strong> logistics companies.<br />
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Similarly, in developing countries where infrastructure challenges abound, last-mile<br />
connectivity is limiting the business of e-<strong>commerce</strong> logistics providers. These factors are<br />
expected to restrain the growth of the global e-<strong>commerce</strong> logistics market through the<br />
report’s forecast period.<br />
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