Market Size of South Korea Domestic Courier, Express, and Parcel (CEP) Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | > 10.00 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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South Korean Domestic Courier, Express, and Parcel Market Analysis
The South Korean domestic courier, express, and parcel (CEP) market is expected to register a CAGR of over 10% during the forecast period (2023-2028).
- As a result of the COVID-19 pandemic, distribution infrastructure was expanded across the country outside Seoul and metropolitan centers. The retail industry has stepped up to strengthen the same-day delivery system. As non-face-to-face consumption became commonplace due to the COVID-19 pandemic, an immediate delivery system was introduced, and omnichannel started becoming consolidated.
- Even though the Korean e-commerce market was ranked fourth in the world in 2020, its share of the total retail market, including online and offline sales, was 35.8%, placing it first. The number of online market transactions exceeded USD 155 billion in 2021.
- Moreover, In September 2022, online shoppers in South Korea spent more than USD 1.93 billion on food and beverages, USD 1.18 billion on clothing, USD 750 million on cosmetics, and USD 1.1 billion on household goods.
- The leader among online shopping properties active as of September 2021 is Coupang. Their fast next-day delivery service is one of their most prized services. Coupang defeated G-market, an eBay-owned website, after months of increasing market share.
- However, in 2021, the South Korean Trade, Industry, and Energy Ministry planned to invest more than USD 267 million to accelerate the growth of online retail in the country, and this investment was made over the next three years. in addition, Ministry planned to develop unmanned delivery services across the country, as well as more than 4,000 logistics robots will be distributed by 2023. Thus, the growing e-commerce sector and government initiatives will drive the domestic express and parcel delivery industry in the country.
