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    Express Delivery Services Industry Profile

    Report Page Length: 10-12
    Last Quarterly Update: 5/24/2021
    SIC Codes: 4215
    NAICS Codes: 492110, 492210
    Chapters Include:
    Industry Overview Trends & Challenges Industry Forecast
    Quarterly Industry Update Call Prep Questions Website & Media Links
    Business Challenges Financial Information Glossary & Acronyms
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    Excerpt from Express Delivery Services Industry Profile

    Companies in this industry provide express delivery and pickup of parcels. Major companies include US-based FedEx and UPS; as well as Aramex (United Arab Emirates); DHL (Germany); and Yamato Transport (Japan).

    Led by the US, North America is the largest market for express delivery services. Growth in cross-border express delivery volume is much greater in Africa, Asia, and the Middle East.

    The US express delivery services industry includes about 14,400 establishments (single-location firms and units of multi-location firms) with combined annual revenue of about $90 billion.

    COMPETITIVE LANDSCAPE

    Demand is driven by business transactions and online consumer spending. The profitability of individual companies depends on price, reliability, quality, and services. Large companies compete by offering a wide range of services. Small companies compete through specialized customer service. The industry is divided into two segments: large networked couriers capable of nationwide and international delivery, and smaller local services that transport packages within a metropolitan area. The courier segment of the US industry is highly concentrated and accounts for most of the industry's revenue; United Parcel Service (UPS) and Federal Express (FedEx) dominate the market. The local segment, which is much smaller, is fragmented.

    Barriers to entry into the industry vary. National and international delivery services require heavy capital investments in vehicles, material handling equipment, and other technology. Conversely, barriers are low for local market service providers, which rely primarily on labor.

    In addition to other ...

     
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