Courier and Express Delivery - UK - March 2015
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“With the economic inefficiency of home delivery stretching margins for industry operators, there is a need to sway retail customers away from automatically selecting home delivery. But which alternative is most likely to do this?”
– Ben Harris, B2B Analyst
This report answers the following key questions:
For the purposes of this report, the terminology of courier and express delivery is defined as delivery of documents and parcels up to a maximum of 50kg, including to both households and businesses, thereby excluding pallet and freight delivery.
Express delivery typically involves a time specific constraint, traditionally on a 24-hour, 48-hour or 72-hour basis. However, with growing demand from online retailers, the target is increasingly based on a particular window of time that the customer chooses.
Courier delivery primarily involves same-day deliveries at very short notice over small distances, and is commonly undertaken through distribution on pedal bikes, motorbikes or small vans.
With parcel volumes expected to continue rising sharply in the coming years, it is crucial that operators expand capacity to process packages in greater numbers. Investment in networks and infrastructure will be key to ensuring firms are able to deliver consistently for both business and retail customers. The development of the B2B market across 2015 will be affected by business confidence in the second half of the year, with the upcoming election pivotal to this. It is expected that B2C parcel volumes will continue to grow, though the rate of growth will slow as the UK e-commerce market matures further.
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