Global Next-Day Delivery Services Market (2023-2028) Competitive Analysis, Impact of Covid-19, Ansoff Analysis

Next-day delivery can increase customer satisfaction. 95% of consumers consider next-day delivery to be “fast”

The Global Next-Day Delivery Services Market is estimated to be USD 2.27 Bn in 2023 and is expected to reach USD 3.89 Bn by 2028 growing at a CAGR of 11.34%.

Next-day delivery Services are specialized goods transport services that guarantee that items or materials are delivered to their destination the following business day after placing the order. These services are commonly utilized in e-commerce, high-tech, and manufacturing businesses, where timely and dependable delivery is important to preserving a competitive advantage. Businesses can separate themselves from the competition by providing next-day delivery services and giving their consumers the choice of receiving their products or materials as soon as feasible.

The growth of the e-commerce business leads to expanding the market for same-day delivery services. The e-commerce business has changed the way people buy and sell items. It is rapidly growing because of rising population density and urbanization, the usage of smartphones and tablets, the availability of internet connection, the acceptance of digitalization and online payment forms, faster purchasing possibilities, lower costs, reduced travel expenses and time, and convenience. The demand for same-day delivery is growing as it becomes a more popular shipping option for online customers. For example, during the festival season 2020, India Brand Equity Foundation (IBEF) recorded USD 8.3 billion in Indian e-commerce GMV, 66% greater than the previous year's festive season. In addition, the US Census Bureau of the Department of Commerce forecasted USD 222.5 billion in US retail e-commerce sales for the second quarter of 2021 in 2021. There was a 3.3% increase over the first quarter of 2021. As a result, the growth of the e-commerce business stimulates the market's growth for same-day delivery services.

Logistics requires good supply chains, infrastructure, and trade facilitation. Businesses must collect more working capital and stock reserves without these, which substantially influences regional and national competitiveness due to high costs. Furthermore, the logistics sector is plagued by a lack of infrastructure, which drives costs and impairs supply chain dependability. This is due to considerable transit inefficiencies, poor storage facilities, a confusing tax structure, sluggish acceptance of new technology, and a lack of professional logistical abilities. One of the Market's biggest issues is producers' and retailers' lack of control over logistical services. Manufacturers normally distribute their products to wholesale distributors or retailers, who then manage the last stage of delivery to end customers in the traditional supply chain. Because they rely on third-party providers, manufacturers and retailers have little influence over the quality and timeliness of logistical services. This resulted in delivery delays, poor service quality, and a negative impact on client satisfaction.

Technological innovations are gaining traction in the industry for same-day delivery services. To meet the increased demand for same-day delivery of goods and services, major participants in the same-day delivery services sector are focusing on technology developments in their services. For example, in April 2021, Domino's, a global pizza delivery retailer firm, and Nuro, a leading self-driving delivery company, introduced Nuro's R2 robot for pizza delivery in Houston. In addition, in July 2021, Yandex Self-Driving Group announced a collaboration with GrubHub for robotic food delivery on college campuses. The robots will use self-driving technology such as autonomous pavement, crosswalk, and pedestrian navigation to reach campus regions inaccessible to cars.

Market Segmentations

• The Global Next-Day Delivery Services Market is segmented based on Type, Service, Mode of Transportation, Application, and Geography.
• By Type, the market is classified into B2B, B2C, and C2C.
• The B2B segment dominated the market in terms of revenue. Manufacturers, merchants, and distributors are among the end-user consumers served by the B2B category. The rise of online B2B e-commerce platforms is boosting industry growth. Furthermore, the revenue share of the B2B category is higher due to the heavier weight of the goods, which results in high delivery expenses.
• By Service, the market is classified into International and Domestic.
• The domestic segment dominated the market share in terms of revenue. This expansion can be described as numerous local e-commerce platforms operating within the country. Furthermore, rising internet penetration, combined with an increasing number of e-shoppers, is expected to drive segment growth throughout the projection period. Customers' purchasing decisions are influenced by shipment time; hence, e-commerce platforms have begun to provide same-day delivery options.
• By Mode of Transportation, the market is classified into Airways, Roadways, Railways, and Intermodal.
• Air freight is predicted to account for the lion's share because it provides the quickest and most dependable delivery option, with items arriving in a matter of hours or, at most, days. This makes it a popular alternative for time-sensitive items such as medical supplies or perishable goods that require a rapid turnaround time.
• By Application, the market is classified into Retail, E-Commerce, Healthcare, Manufacturing, and Other Applications.
• The E-Commerce Segment is predicted to have the greatest market share due to rising demand for faster and more convenient delivery alternatives, increased rivalry among e-commerce companies, and enhanced customer experience, all propelling the segment's growth.
• By Geography, the market is classified into the Americas, Europe, Middle East & Africa, and Asia-Pacific.
• The Asia Pacific region led the same-day delivery market. The growing number of e-commerce enterprises and the increasing number of online shoppers are credited with regional market growth. Furthermore, rising internet penetration, smartphone use, and rapid urbanization are expected to drive regional market expansion. The number of smartphone devices in Asia Pacific is predicted to reach 3,900 billion by 2025, according to the GSMA.

Recent Development

• Domino’s, a global pizza delivery retailer company, and Nuro, a leading self-driving delivery company, launched a fully autonomous pizza delivery on-road robotic vehicle called Nuro’s R2 robot for pizza delivery in Houston. - April 2021

Company Profiles

The report provides a detailed analysis of the competitors in the market. It covers the financial performance analysis for the publicly listed companies in the market. The report also offers detailed information on the companies' recent development and competitive scenario. Some of the companies covered in this report are AI Express Services, Amazon Logistics, Aramex, etc.

Countries Studied

• America (Argentina, Brazil, Canada, Chile, Colombia, Mexico, Peru, United States, Rest of Americas)
• Europe (Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, Netherlands, Norway, Poland, Russia, Spain, Sweden, Switzerland, United Kingdom, Rest of Europe)
• Middle East and Africa (Egypt, Israel, Qatar, Nigeria, Saudi Arabia, South Africa, United Arab Emirates, Rest of MEA)
• Asia-Pacific (Australia, Bangladesh, China, India, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Sri Lanka, Thailand, Taiwan, Rest of Asia-Pacific)

Competitive Quadrant

The report includes Competitive Quadrant, a proprietary tool to analyze and evaluate the position of companies based on their Industry Position score and Market Performance score. The tool uses various factors for categorizing the players into four categories. Some of these factors considered for analysis are financial performance over the last 3 years, growth strategies, innovation score, new product launches, investments, growth in market share, etc.

Ansoff Analysis

• The report presents a detailed Ansoff matrix analysis for the Global Next-Day Delivery Services Market. Ansoff Matrix, also known as Product/Market Expansion Grid, is a strategic tool used to design strategies for the growth of the company. The matrix can be used to evaluate approaches in four strategies viz. Market Development, Market Penetration, Product Development and Diversification. The matrix is also used for risk analysis to understand the risk involved with each approach.
• The publisher analyses the Global Next-Day Delivery Services Market using the Ansoff Matrix to provide the best approaches a company can take to improve its market position.
• Based on the SWOT analysis conducted on the industry and industry players, the publisher has devised suitable strategies for market growth.

Why buy this report?

• The report offers a comprehensive evaluation of the Global Next-Day Delivery Services Market. The report includes in-depth qualitative analysis, verifiable data from authentic sources, and projections about market size. The projections are calculated using proven research methodologies.
• The research report also provides a detailed market size analysis and projections in volume and value terms. The projections are calculated using verified research methodologies.
• Excel data sheet for the market size will also be provided with the report.
• The report has been compiled through extensive primary and secondary research. The primary research is done through interviews, surveys, and observation of renowned personnel in the industry.
• The report includes an in-depth market analysis using Porter’s 5 forces model, PESTLE Analysis, and the Ansoff Matrix. In addition, the impact of COVID-19 on the market is also featured in the report.
• The report includes the regulatory scenario in the industry, which will help you make a well-informed decision. The report discusses major regulatory bodies and major rules and regulations imposed on this sector across various geographies.
• The report includes Self-Assessment Form, which helps customers evaluate their position in the market compared to their competitors.
• The report offers customized research - tailored uniquely to our customers with a quick turnaround time. We offer a 15% customization option at no extra charge to all our clients for any of our syndicated reports.

Report Highlights

• A complete analysis of the market, including the parent industry
• Important market dynamics and trends
• Impact Analysis - a comprehensive assessment to confront risk and make strategic & operational decisions to counter the changes in the market environment.
• Market segmentation
• Competitive Analysis: Comparative analysis of competitor
• Historical, current, and projected size of the market based on value and volume
• Market size of the US states
• Market shares and strategies of key players
• Recommendations to companies for strengthening their foothold in the market