Express Delivery Market Size and Share
Express Delivery Market Analysis by Mordor Intelligence
The Express Delivery Market size is estimated at USD 255.35 billion in 2025, and is expected to reach USD 341.64 billion by 2030, at a CAGR of 6% during the forecast period (2025-2030). Intensifying cross-border e-commerce activity, rising adoption of digital trade corridors, and accelerating demand for healthcare cold chains are strengthening fundamentals, even as volatile energy prices and labor costs test operator profitability. Network scale remains the primary competitive moat, yet technology investments in automation, data analytics, and alternative last-mile modes are allowing agile entrants to challenge incumbents in niche pockets. Regional dynamics continue to evolve: North America commands the largest share due to mature infrastructure and consumer premium-service appetite, while Asia-Pacific registers the fastest growth on the back of mobile-first commerce and digital payment penetration.
Key Report Takeaways
- By destination, domestic services captured 66.37% of the express delivery market share in 2024, while international parcels are projected to grow at a 7.44% CAGR between 2025-2030.
- By model, the business-to-consumer (B2C) segment held 46.55% of 2024 revenue; consumer-to-consumer (C2C) shipments are expected to expand at a 6.52% CAGR between 2025-2030.
- By shipment weight, light-weight parcels accounted for 63.28% of 2024 revenue, whereas medium-weight parcels are expected to rise at a 6.95% CAGR between 2025-2030.
- By mode of transport, road transport led with a 48.46% share in 2024, and air transport is expected to grow fastest at a 6.77% CAGR between 2025-2030.
- By end user industry, e-commerce contributed 33.06% of the express delivery market size in 2024, while healthcare shipments are expected to advance at a 6.37% CAGR between 2025-2030.
- By geography, North America commanded 35.55% of global revenue in 2024; Asia-Pacific is projected to record the highest 7.57% CAGR between 2025-2030.
Global Express Delivery Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Surging demand driven by cross-border e-commerce growth | +1.8% | Global; Asia-Pacific, North America | Medium term (2–4 years) |
| Growing consumer expectation for same‑day and on‑demand delivery | +1.2% | North America, EU; expanding to Asia-Pacific cities | Short term (≤ 2 years) |
| Expanding healthcare shipments and growing cold-chain logistics | +0.9% | Global, early gains in developed markets | Long term (≥ 4 years) |
| SME digitization unlocking new B2C parcel flows in emerging markets | +0.7% | Asia-Pacific core, spill-over to Middle East and Africa, Latin America | Medium term (2–4 years) |
| Faster border clearance enabled by digital trade corridors | +0.5% | EU, ASEAN, North America | Medium term (2–4 years) |
| Automation, drones, and ground robots revolutionizing last-mile delivery | +0.4% | North America, EU pilots; scaling to Asia-Pacific | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Surging Demand From Cross-Border E-Commerce
Cross-border parcel volumes are climbing at a 7.44% CAGR (2025-2030), comfortably outpacing overall market growth and signaling a structural pivot toward international sourcing. Trade agreements such as USMCA and RCEP are streamlining customs data exchange and trimming paperwork, reducing average clearance times by almost one-third. Dedicated cross-border hubs established by major express carriers now anchor multi-country distribution and allow shipment consolidation that preserves margins despite higher service expectations. International parcels typically command prices three to five times domestic equivalents, providing operators with critical earnings diversity. Investment in bonded warehouses, digital customs platforms, and localized last-mile collaborations further widens the moat for networks able to synchronize global inventory flows[1]“Digital Trade Agreements Facilitate Cross-Border Commerce,” World Trade Organization, wto.org.
Growing Consumer Expectation for Same-Day and On-Demand Delivery
Same-day fulfillment has shifted from novelty to a hygiene factor, especially in metropolitan catchments where population density supports route density economics. Amazon’s 2024 roll-out to more than 90 U.S. cities accelerated competitive responses, forcing rivals to compress order-to-delivery cycles through micro-fulfillment build-outs and real-time inventory visibility. Urban route-optimization algorithms are trimming per-package costs 15-20%, but only when shipment density crosses critical thresholds. The bifurcation of premium time-sensitive demand and value-focused slower tiers enables carriers to sharpen their segmentation strategy, charging differentiated tariffs while rationalizing fleet utilization. Continuous demand peaks around seasonal promotions are pressuring operators to adopt dynamic pricing and predictive staffing models that align capacity with hourly volume swings.
Expanding Healthcare Shipments and Growing Cold-Chain Logistics
Healthcare parcels, particularly cold-chain biologics and specialty pharmaceuticals, are expanding faster than any other end-user vertical. Direct-to-patient delivery models, normalized during the pandemic, are now standard practice as regulators encourage resilient, decentralized supply chains. Market leaders responded by certifying more than 220 GDP-compliant facilities globally and embedding IoT sensors that continuously log temperature, humidity, and shock events. High service standards and stringent documentation create formidable entry barriers, protecting incumbents from commoditization. Aging demographics in developed economies and wider access to chronic-disease therapeutics in emerging regions underpin long-range demand visibility[2]“FDA Issues Guidance on Pharmaceutical Supply Chain Resilience,” U.S. Food and Drug Administration, fda.gov.
SME Digitization Unlocking New B2C Parcel Flows in Emerging Markets
Government-led digitization drives, ranging from simplified business registration portals to instant mobile payments, have pushed thousands of small merchants online across Indonesia, India, and Brazil. These sellers value streamlined pickup, transparent pricing, and automated customer notifications, steering parcel volumes away from informal couriers toward organized express networks. Regional operators with a nuanced understanding of address conventions and cash-on-delivery norms remain advantaged. However, global networks are partnering with platform marketplaces to bundle shipping with storefront analytics, reducing churn and deepening ecosystem ties. The structural tailwind widens as smartphones proliferate and logistics APIs integrate seamlessly with merchant dashboards.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Volatile energy prices and rising workforce costs challenge profitability | -0.8% | Global; acute in fuel-dependent markets | Short term (≤ 2 years) |
| Complex and inconsistent international shipping rules create uncertainty | -0.6% | Global trade lanes; emerging markets | Medium term (2–4 years) |
| Urban zero-emission zones and congestion charges impact delivery operations | -0.4% | European cities; expanding to Asia | Medium term (2–4 years) |
| Capacity bottlenecks at secondary airports and sort centers restrict growth | -0.3% | North America, Europe | Short term (≤ 2 years) |
| Source: Mordor Intelligence | |||
Volatile Energy Prices and Rising Workforce Costs
Fuel typically constitutes 15-20% of an express carrier’s operating cost base; hence, a sudden spike reverberates immediately through earnings. In 2024, FedEx lifted its fuel surcharge by 12.5% after geopolitical tensions tightened crude supply. Concurrent talent scarcity pushed driver wages up 8-12% across North America and Western Europe. Electrification and route-planning software mitigate exposure yet require multi-year payback. Smaller regional players lacking balance-sheet depth resort to aggressive pricing to retain volume, eroding margins further. Persistent cost volatility compels network redesign toward consolidation of linehaul legs and greater use of alternative fuels where grid infrastructure permits.
Complex and Inconsistent International Shipping Rules
Regulatory heterogeneity remains a key drag on network fluidity. The EU’s 2024 Import Control System 2 introduced new data fields and security filings that lengthened submission workflows, increasing administrative overhead. Similarly, ASEAN nations differ on de-minimis thresholds and product safety standards, obliging carriers to maintain costly localized compliance teams. Technology investments in classification engines and automated document generation alleviate friction yet add fixed cost layers. Shippers unfamiliar with requirements often mis-declare goods, leading to clearance delays that tarnish delivery reliability metrics. Unless multilateral harmonization advances decisively, express delivery market operators will shoulder duplicated compliance burdens[3]“New Customs Data Requirements Implementation,” European Commission, trade.ec.europa.eu.
Segment Analysis
By End User Industry: E-Commerce Commands, Healthcare Accelerates
E-commerce shipments remain the bedrock of the express delivery market with a revenue share of 33.06% in 2024, supplying predictable volume surges tied to promotional calendars and facilitating data-driven route optimization. Even mature geographies continue to register double-digit parcel growth as same-day propositions unlock incremental frequency.
Healthcare’s 6.37% CAGR between 2025-2030 showcases mounting reliance on temperature-controlled, track-and-trace chains of custody. Express carriers are integrating validated packaging, redundant cooling systems, and in-flight monitoring to uphold regulatory obligations. Manufacturers value door-to-door visibility that minimizes spoilage risk and speeds product recalls when necessary. This synergy elevates the express delivery industry’s role from mere carrier to strategic supply-chain partner within life-sciences ecosystems.
Note: Segment shares of all individual segments available upon report purchase
By Destination: International Parcels Capture Momentum
International shipments are expected to grow faster at a 7.44% CAGR (2025-2030), compared to domestic traffic, fueled by premium cross-border demand and reduced customs friction. Express carriers with bonded hubs and brokerage expertise command pricing power, even as geopolitical risks remain a watch point. Domestic parcels with a revenue share of 66.37% in 2024, while delivering scale economies, face margin compression from intense competition and rising last-mile labor costs.
International revenue benefits from trade corridor digitization initiatives that cut clearance times and enable real-time tracking. The express delivery market size tied to cross-border flows is on track to widen its contribution over the forecast horizon, reinforcing the need for agile capacity management and bilateral air-freight agreements.
By Model: Business-to-Consumer (B2C) Holds the Largest Share
B2C parcels represented 46.55% of 2024 revenue, confirming the irreversible tilt toward consumer-driven commerce. Marketplace promotions, subscription programs, and social-media storefronts fuel a consistent shipment cadence. The express delivery market size tied to consumer-to-consumer (C2C) flows is expected to accelerate at a CAGR of 6,52% between 2025-2030, thanks to second-hand luxury, collectibles, and apparel exchanges that rely on user-friendly pickup and return workflows.
Enterprise shippers in the business-to-business (B2B) segment continue to negotiate stringent rate cards, compressing yield growth, although specialized industrial spares still command rush premiums. Carriers deploy flexible service-level agreements that bundle predictive visibility dashboards and carbon-tracking reports to reinforce enterprise value propositions. The mosaic of model types encourages mixed-loading strategies, wherein low-density C2C parcels backfill trunk routes predominantly serving B2C mega-hubs.
By Shipment Weight: Light Weight Packages Dominate Volume
Lightweight parcels holding 63.28% share in 2024 validate the predominance of small consumer goods that align with online retail assortments. Dimensional-weight policies incentivize compact packaging, magnifying the relative attractiveness of lighter categories to sellers. The express delivery market share for medium-weight consignments is expected to grow at a 6.95% CAGR (2025-2030) as furniture-in-a-box, sports equipment, and household appliances migrate online.
Heavier consignments, though a minority, remain margin-accretive due to limited competitive alternatives for time-critical industrial supply. Network planners now deploy variable-capacity vehicles and pallet-to-parcel conversion algorithms that right-size asset allocation by zone. In parallel, packaging startups collaborate with carriers to develop inflatable and reusable formats targeting cost reduction and sustainability mandates.
Note: Segment shares of all individual segments available upon report purchase
By Mode of Transport: Air Transport Growth Reflects Premium Service Demand
Road transport constituted 48.46% of revenue in 2024, leveraging mature highway grids and predictable dispatch cycles. Nonetheless, the express delivery market size derived from air transport is scaling faster at a 6.77% CAGR (2025-2030) as retailers capitalize on shoppers’ willingness to pay for two-to-three-day intercontinental delivery. Dedicated freighter acquisitions, narrow-body conversions, and nighttime slot leasing underpin network expansion, mitigating passenger belly-hold volatility.
Multimodal combinations such as rail-air and sea-air solutions are gaining traction where cost-time trade-offs align with merchandise value density. Strategic airport partnerships grant integrators priority taxi times and rapid import re-screening, boosting aircraft turns. Carbon emissions considerations are nudging carriers to evaluate sustainable aviation fuel procurement and lighter container materials to temper environmental impact without compromising service levels.[4]“Air Cargo Capacity Constraints at Secondary Airports,” International Air Transport Association, iata.org
Geography Analysis
North America’s 35.55% revenue share in 2024 underscores the region’s advanced e-commerce penetration, expansive highway infrastructure, and high discretionary income. Dense urban agglomerations such as New York, Los Angeles, and Toronto sustain same-day networks that command premium tariffs. The United States anchors cross-border flows under the USMCA, ensuring tariff stability and simplified customs interfaces, while Canada’s bilingual market and Mexico’s maquiladora corridors contribute diversified volume mixes. Labor cost inflation and stricter greenhouse-gas reporting pose immediate profitability challenges.
Asia-Pacific is expected to lead global growth at a 7.57% CAGR between 2025-2030 as mobile wallets and social-commerce platforms unlock incremental shopper cohorts. China’s parcel density dwarfs all peers, yet India, Indonesia, and Vietnam are scaling rapidly through merchant onboarding incentives. Regional governments promote integrated digital-trade frameworks, exemplified by ASEAN’s single-window customs blueprint that trims clearance to under six hours on compliant shipments. Infrastructure bottlenecks persist, but aggressive investment in smart logistics parks and secondary-city airports is bridging capacity gaps.
Europe maintains steady expansion supported by harmonized customs codes and short-haul cross-border commerce facilitated by open internal borders. Fleet electrification mandates and escalating congestion charges elevate operating costs but also reward early adopters via preferred delivery slots and corporate customer preference for sustainable options. Eastern European markets offer under-penetrated growth avenues where rising incomes and EU funding accelerate parcel adoption. Middle East & Africa and South America collectively represent a smaller share yet deliver high-single-digit growth as infrastructure and fintech advances broaden serviceable addressable markets. Long-run prospects hinge on political stability, customs modernization, and expanded air-cargo corridors connecting secondary cities to global trade lanes.
Competitive Landscape
Competitive intensity is rising as incumbents defend scale advantages against asset-light start-ups and regional specialists. Global integrators deploy multi-billion-dollar automation programs across hubs to drive unit-cost deflation and throughput gains. DHL’s 2024 installation of robotic arms in European sort centers raised parcel-handling speed by 25% while lowering injury rates. UPS advanced its healthcare logistics push with 12 new GDP-compliant sites in Asia-Pacific, reinforcing vertical expertise that commands premium yields.
Strategic M&A further consolidates market power: DSV’s EUR 14.3 billion (USD 15.78 billion) takeover of DB Schenker positions the combined entity as the world’s second-largest logistics group, expanding European express coverage and unlocking a projected USD 1 billion synergy run-rate by 2028. In India, Delhivery’s USD 237 million purchase of Ecom Express created a domestic parcel powerhouse with reach across 27,000 postal codes. Such moves signal continued regional consolidation as operators seek density, technology assets, and sector specialization.
Technology partnerships illustrate another competitive vector. FedEx’s alliance with Nuro injects autonomous capability into suburban delivery lanes, aiming to deploy 5,000 driverless units by 2027. Intellectual-property activity echoes the shift: delivery-automation patent filings surged 45% in 2024, underscoring a race to own critical last-mile innovations. Regulatory competencies particularly in hazardous-goods transport, cold-chain validation, and customs brokerage remain key differentiators that shield incumbents from pure-play digital interlopers.
Express Delivery Industry Leaders
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DHL Group
-
FedEx
-
United Parcel Service (UPS)
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SF Holding Co., Ltd.
-
La Poste Group (incl. DPD Group)
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- April 2025: Delhivery acquired Ecom Express for USD 237 million, consolidating India’s parcel landscape.
- January 2025: FedEx committed USD 2.8 billion to deploy 5,000 autonomous delivery vehicles in partnership with Nuro.
- December 2024: UPS opened 12 temperature-controlled facilities across Asia-Pacific, investing USD 800 million in healthcare logistics capacity.
- October 2024: PostNL expanded its electric vehicle fleet with the addition of 500 electric delivery vans across the Netherlands, supporting the company's commitment to carbon-neutral operations by 2030.
Global Express Delivery Market Report Scope
The express delivery market refers to the quick parcel delivery service provided by the companies.
The report provides a complete background analysis of the express delivery market, which includes an assessment and contribution of the sector in the economy, market overview, market size estimation for key segments, key countries and emerging trends in the market segments, market dynamics, and key component flow statistics. The report also covers the impact of COVID-19 on the market.
The express delivery market is segmented by business (B2B and B2C), destination (domestic and international), end user (services, wholesale and retail trade, manufacturing, construction, and utilities, and primary industries), and geography.
| Domestic |
| International |
| Heavy Weight Shipments |
| Light Weight Shipments |
| Medium Weight Shipments |
| Business-to-Business (B2B) |
| Business-to-Consumer (B2C) |
| Consumer-to-Consumer (C2C) |
| E-Commerce |
| Financial Services (BFSI) |
| Healthcare |
| Manufacturing |
| Primary Industry |
| Wholesale and Retail Trade (Offline) |
| Others |
| Road |
| Air |
| Others |
| Asia-Pacific | Australia |
| China | |
| India | |
| Indonesia | |
| Japan | |
| Malaysia | |
| Philippines | |
| Thailand | |
| Vietnam | |
| Rest of Asia-Pacific | |
| Europe | France |
| Germany | |
| Italy | |
| Netherlands | |
| Spain | |
| United Kingdom | |
| Nordics | |
| Central and Eastern Europe (CEE) | |
| Rest of Europe | |
| Middle East and Africa | Qatar |
| Saudi Arabia | |
| United Arab Emirates | |
| Egypt | |
| Nigeria | |
| South Africa | |
| Rest of Middle East and Africa | |
| North America | Canada |
| Mexico | |
| United States | |
| Rest of North America | |
| South America | Argentina |
| Brazil | |
| Chile | |
| Rest of South America |
| Destination | Domestic | |
| International | ||
| Shipment Weight | Heavy Weight Shipments | |
| Light Weight Shipments | ||
| Medium Weight Shipments | ||
| Model | Business-to-Business (B2B) | |
| Business-to-Consumer (B2C) | ||
| Consumer-to-Consumer (C2C) | ||
| End User Industry | E-Commerce | |
| Financial Services (BFSI) | ||
| Healthcare | ||
| Manufacturing | ||
| Primary Industry | ||
| Wholesale and Retail Trade (Offline) | ||
| Others | ||
| Mode of Transport | Road | |
| Air | ||
| Others | ||
| Geography | Asia-Pacific | Australia |
| China | ||
| India | ||
| Indonesia | ||
| Japan | ||
| Malaysia | ||
| Philippines | ||
| Thailand | ||
| Vietnam | ||
| Rest of Asia-Pacific | ||
| Europe | France | |
| Germany | ||
| Italy | ||
| Netherlands | ||
| Spain | ||
| United Kingdom | ||
| Nordics | ||
| Central and Eastern Europe (CEE) | ||
| Rest of Europe | ||
| Middle East and Africa | Qatar | |
| Saudi Arabia | ||
| United Arab Emirates | ||
| Egypt | ||
| Nigeria | ||
| South Africa | ||
| Rest of Middle East and Africa | ||
| North America | Canada | |
| Mexico | ||
| United States | ||
| Rest of North America | ||
| South America | Argentina | |
| Brazil | ||
| Chile | ||
| Rest of South America | ||
Key Questions Answered in the Report
What is the projected value of the express delivery market in 2030?
The market is forecast to reach USD 341.64 billion by 2030, supported by a 6.00% CAGR over 2025-2030.
Which region will record the fastest growth through 2030?
Asia-Pacific is expected to grow at a 7.57% CAGR (2025-2030), driven by mobile commerce, digital payments, and expanding cross-border trade.
How large was North America’s share of global revenue in 2024?
North America accounted for 36.76% of 2024 revenue, reflecting mature e-commerce infrastructure and high consumer willingness to pay for speed.
Why is healthcare an attractive segment for carriers?
Healthcare shipments require temperature control and strict compliance, enabling premium pricing and a forecast 5.24% CAGR between 2025-2030.
What are the main challenges confronting operators?
Volatile fuel prices, rising labor costs, complex international rules, and urban zero-emission mandates are compressing margins and demanding heavy investment.
Which technological trend is reshaping the last mile?
Autonomous delivery vehicles and ground robots are lowering per-package labor costs and are set for scaled deployment as regulatory frameworks mature.
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