Please Wait.....
Report
United Arab Emirates (Uae) Courier, Express, and Parcel (Cep) Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)
Market Report I 2023-01-23 I 150 Pages I Mordor Intelligence
The market for Courier, Express, and Parcel (CEP) in United Arab Emirates is estimated to be valued at more than USD 1.6 billion and is estimated to grow at a CAGR of 7.5% during the forecast period.
Key Highlights
UAE being a leading e-commerce and smart hub in the region, the logistics companies are working to fill the logistics supply gaps and to offer faster delivery services to customers.
The growth in e-commerce being driven by young and tech-savvy consumer base, rising international trade are driving the volumes of express and parcel deliveries.
The major e-commerce players in the country, such as Souq, noon.com, awok.com, and Wadi, were forced to develop the logistics network in-house, due to the lack of an e-commerce eco-system.
However, the CEP market in the country has been quickly adapting to the needs of e-commerce platforms. The companies have been developing new technologies and experimenting new supply chain models to increase parcel volumes and expedite deliveries.
With the growing demand for on-time deliveries and increasing preference for convenience, the companies are developing solutions such as PickUp DropOff (PUDO) points, automated parcel delivery terminals, etc. In Nov 2019, Aramex has launched a new PUDO service called 'Aramex Spot' in UAE and Saudi.
The companies are increasing investments in technology, infrastructure and increasing their presence across the region. Warehouses are becoming automated with the aid of robotics and automation, and companies are experimenting on autonomous vehicles and drone deliveries for efficient and faster last mile deliveries.
Many tech-based start-ups are emerging with robust delivery solutions across various eCommerce logistics segments. These start-ups help eCommerce companies, as well as the traditional brick and mortar stores, deliver at low costs.
The Country is home to major courier and express service providers such as Aramex, UPS, DHL, FedEx and the government owned Emirates Post. The unique geographical positioning of Dubai, excellent infrastructure facilities and economic growth patterns have made it an ideal regional base for most courier and express service operators.
With the impact of COVID-19 on supply chains and trade, the CEP market is expected to have a significant drop in 2020, and it is expected to continue its growth trajectory post 2020 through the forecast period.
UAE CEP Market Trends
International deliveries to dominate the market
UAE being a key trading hub in the Middle East, the CEP market in the country is dominated by international B2B deliveries. The International CEP segment dominates accounting for more than 65% of the total market and is expected to continue the growth through the forecast period.
The significant share of cross-border online shopping is also contributing to the growth of international CEP market. The country's initiatives towards the development of cross-border e-commerce is expected to foster the growth of the segment. In Jan 2020, Dubai Customs has launched Cross Border e-commerce platform to make the country a global hub for e-commerce and to encourage e-commerce companies to establish their businesses in Dubai.
In 2019, while the logistics sector as a whole has been affected by global trade slowdown, the sub-sectors like international CEP have witnessed steady growth when compared to others such as freight forwarding, inventory and supply chain management.
Online marketplaces venturing into delivery business with in-house logistics
With e-commerce penetration being relatively low, some ambitious investments have been observed in the new online marketplaces in the past few years and those investments also extend to the delivery aspect of online shopping, too. The e-commerce players are building their own last-mile delivery infrastructure. The players such as noon express of noon.com and Q Express of Amazon's Souq.com has become largest delivery companies in the country taking up significant market share. Despite the capital that goes into developing the infrastructure, it offers the companies more flexibility and significant cost savings over the long-term.
After Souq getting acquired by Amazon, the company has acquired Wing.ae, a startup that is building out a network for Prime-style same-day and next-day deliveries for various e-commerce marketplaces. Wing.ae's fast-delivery network also potentially can help Amazon build out its Prime business into the region. Wing.ae facilitates the shipment of products and merchandise between merchants and consumers through a range of local and small shipping companies. Wing.ae has an integrated web platform and mobile devices and has partnerships with more than 15 shipping companies.
The companies operating in other businesses are also expanding to courier delivery business owing to the growth prospects in delivery business. For instance, the ride-sharing app Careem has launched delivery service 'BOX' in 2017. In the same year, the Transguard Group, the multifaceted business support services company, has also announced expansion of its delivery business.
UAE CEP Market Competitor Analysis
The Courier, Express, And Parcel (CEP) market in UAE is moderately fragmented in nature with some major players accounting for significant share of the total market. While the companies such as Aramex and Emirates Post are long established players operating in the country, the companies such as Fetchr and Snap delivery services are comparatively new entrants to the market. These companies are able to gain significant portion of the market by leveraging the technology and expanding their own fleet. With high competition, the major international express integrators such as DHL, FedEx, and UPS are not able to gain significant footprint in the domestic delivery business. However, these companies dominate the international delivery business with their strong global network.
Additional Benefits:
The market estimate (ME) sheet in Excel format
3 months of analyst support
1 INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
2.1 Analysis Methodology
2.2 Research Phases
3 EXECUTIVE SUMMARY
4 MARKET INSIGHTS
4.1 Current Market Scenario
4.2 Technological Trends
4.3 Government Regulations
4.4 Value Chain / Supply Chain Analysis
4.5 Overview of Logsitics and Warehousing Market in UAE
4.6 Brief on Freight Rates (avg. cost per parcel for domestic and international transport, trends, etc.)
4.7 Spotlight on 3PL Market in UAE
4.8 Insights on Reverse Logistics
4.9 E-Commerce Logistics Market in UAE
4.10 Impact of COVID-19 on UAE Logistics and CEP Markets
5 MARKET DYNAMICS
5.1 Drivers
5.2 Restraints
5.3 Opportunities
5.4 Industry Attractiveness - Porter's Five Forces Analysis
5.4.1 Bargaining Power of Suppliers
5.4.2 Bargaining Power of Consumers
5.4.3 Threat of New Entrants
5.4.4 Threat of Substitutes
5.4.5 Intensity of Competitive Rivalry
6 MARKET SEGMENTATION
6.1 By Destination
6.1.1 Domestic
6.1.2 International
6.2 By Business
6.2.1 B2B (Business-to-Business)
6.2.2 B2C (Business-to-Consumer)
6.3 By End User
6.3.1 Services (includes BFSI (Banking, Financial Services and Insurance), etc.)
6.3.2 Wholesale and Retail Trade (including E-commerce/E-retail)
6.3.3 Life Sciences/ Healthcare
6.3.4 Industrial manufacturing
6.3.5 Other End Users
7 COMPETITIVE LANDSCAPE
7.1 Overview (Overall Market Share, Market Concentration and Major Players, and Companies' Comparison Analysis)
7.2 Market Shares (Domestic CEP Market Share, and International CEP Market Share)
7.3 Company Profiles
7.3.1 Aramex
7.3.2 Deutsche Post DHL Group
7.3.3 FedEx Corporation
7.3.4 United Parcel Service
7.3.5 Emirates Post
7.3.6 Fetchr
7.3.7 DTDC Eurostar Courier & Cargo LLC
7.3.8 Century Express Courier Services LLC
7.3.9 First Flight Couriers (Middle East) LLC
7.3.10 Posta Plus*
7.4 Other Companies (Overview/Key Information)
7.4.1 Q Express (Part of Amazon), Noon Express, Parzel, AGL Courier & Cargo LLC, TCS Express, Professional Express Courier Service LLC, Continental Courier Services LLC, Dubai Courier Services LLC, Indian Courier Service, MAX Express Courier LLC, Fly Express Courier Express LLC, Team Express Services LLC, TFM Express Shipping LLC*
8 MARKET OPPORTUNITIES AND FUTURE TRENDS
9 APPENDIX
9.1 Macroeconomic Indicators (GDP Distribution by Activity, Contribution of Transport and Storage Sector to economy)
9.2 Insights on Capital Flows (investments in Transport and Storage Sector)
9.3 E-commerce and Consumer Spending-related Statistics
9.4 External Trade Statistics - Export and Import, by Product and by Country
9.5 Demographics of United Arab Emirates
- Not Sure / Need Reassuring
- Confirm Content
-
Content is provided by our partners and every effort is made to make Market Report details as clear as possible. If you are not sure the exact content you require is included in this study you can Contact us to double check. To do this you can:
Use the ‘? ASK A QUESTION’ below the license / prices and to the right of this box. This will come directly to our team who will work on dealing with your request as soon as possible.
Write to directly on support@scotts-international.com with details. Please include as much information as possible including the name of report or link so our staff will be able to work on you request.
Telephone us directly on 0048 603 394 346 and an experienced member of team will be on hand to answer.
-
- Sample Pages
-
With the vast majority of our partners we can obtain Sample Pages to support your decision. This is something we can arrange without revealing your personal details.
It is important to note that we will not be able to provide you the exact data or statistics such as Market Size and Forecasts. Sample pages usually confirm the layout or the Categories included in Charts and Graphs, excluding specific data.
To ask for Sample Pages by contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Check for Alternatives
-
Whilst we try to make our online platform as easy to use as possible there is always the possibility that a better alternative has not been found in your search.
To avoid this possibility Contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346 and a Senior Team Member can review your requirements and send a list of possibilities with opinions and recommendations.
-
- Confirm Content
- Prices / Formats / Delivery
- Prices
-
All prices are set by our partners and should be exactly the same as those listed on their own websites. We work on a Revenue share basis ensuring that you never pay more than what is offered elsewhere.
Should you find the price cheaper on another platform we recommend you to Contact us as we should be able to match this price. You can Contact us though through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Discounts
-
As we work in close partnership with our Partners from time to time we can secure discounts and assist with negotiations, this is part of our personalised service to you.
Discounts can sometimes be arranged for speedily placed orders; multiple report purchases or Higher License purchases.
To check if a Discount is possible please Contact our experienced team through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Available Currencies
-
Most Market Reports on our platform are listed in USD or EURO based on the wishes of our Partners. To avoid currency fluctuations and potential price differentiations we do not offer the possibility to change the currency online.
Should you wish to pay in a different currency to that advertised online we do accept payments in USD, EURO, GBP and PLN. The price will be calculated based on the relevant exchange rate taken from our National Bank.
To pay in a different above currency to that advertised online please Contact our team and a quotation will be sent within a couple of hours with payment details.
-
- Licenses
-
License options vary from Partner to Partner as is usually based on the number of Users that will benefitting from the report. It is very important that License ordered is not breached as this could have potential negative consequences for you individually or your employer.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Global Site License
-
The Global Site License is the most comprehensive license available. By selecting this license, the Market Report can be shared with other ‘Allowed Users’ and any other member of staff from the same organisation regardless of geographic location.
It is important to note that this may exclude Parent Companies or Subsidiaries.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Formats
-
The most common format is PDF, however in certain circumstances data may be present in Excel format or Online, especially in the case of Database or Directories. In addition, for certain higher license options a CD may also be provided.
If you have questions or need clarification about the specific formats we recommend you to Contact us and a detailed explanation will be provided.
-
- Delivery
-
Delivery is fulfilled by our partners directly. Once an order has been placed we inform the partner by sharing the delivery email details given in the order process.
Delivery is usually made within 24 hours of an order being placed, however it may take longer should your order be placed prior to the weekend or if otherwise specified on the Market Report details page. Additionally, if details have been not fully completed in the Order process a delay in delivery is possible.
If a delay in delivery is expected you will be informed about it immediately.
-
- Shipping Charges
-
As most Market Reports are delivered in PDF format we almost never have to add additional Shipping Charges. If, however you are ordering a Higher License service or a specific delivery format (e.g. CD version) charges may apply.
If you are concerned about additional Shipping Charges we recommend you to Contact us to double check.
-
- Prices
- Ordering
- By Credit Card
-
We work in Partnership with PayU to ensure payments are made securely in a fast and effortless way. PayU is the e-payments division of Naspers.
Naspers operates in over 133 International Markets and ranks 3rd Globally in terms of the number of e-commerce customers served.
For more information on PayU please visit: https://www.payu.pl/en/about-us
-
- By Money Transfer
-
If you require an invoice prior to payment, this is possible. To ensure a speedy delivery of the Market Report we require all relevant company details and you agree to maximum payment terms of 30 days from receipt of order.
With our regular clients deliver of the Market Report can be made prior to receiving payment, however in some circumstances we may ask for payment to be received before arranging for the Market Report to be delivered.
-
- By Credit Card
- Security
- Website security
-
We have specifically partnered with leading International companies to protect your privacy by using different technologies and processes to ensure security.
Everything submitted to Scotts International is encrypted via SSL (Secure Socket Layer) and all personal information provided to Scotts International is stored on computer systems with limited access in controlled environments.
-
- Credit Card Security
-
We partner with PayU (https://www.payu.pl/en/about-us) to ensure all credit card payments are made securely in a fast and effortless way.
PayU offers 250+ various payment channels and eWallet services across 4 continents allowing buyers to pay electronically, whether on a computer or a mobile device.
-
- Website security