6 Interesting Facts About Courier Industry in India-The Rise of E-Commerce Logistics Providers

eCourierz having multiple courier partners.

The growth rate is Astonishing-Did you know it’s on par with other sectors?
With an annual growth rate of 25%,the Indian parcel courier market is estimated to be in the tune of 4000 crores. It's been a phenomenal growth, before the Industrial era, messages were hand-delivered using runners, trained pigeons, riders on horseback etc.

The Population of Asian countries makes it count!
The Global E-commerce sales touched $1.5 trillion this year, with consumers in Asia-Pacific overtaking North America for the first time in terms of E-commerce sales; China would overtake the USA next year as the single largest E-commerce market (source: emarketer.com)
Worldwide report of global ecommerce sales

Get ready to count Billions!
India does not rank in top 10 countries in terms of e-commerce sales,  however,  India & China today are one of the fastest growing countries in terms of e-commerce sales.  India’s E-commerce market, As per Goldman Sachs is expected to hit $100 billion by FY 2020. The top three e-commerce logistics providers in India and market leaders who are driving these numbers are Flipkart, Amazon, and Snapdeal.


B2C eCommerce sales growth

Courier, Express, Parcel- Deliver anything, anywhere
The CEP Industry(Courier, Express, Parcel) came into existence due to the failure of traditional postal companies to deal with the changing customer requirements without being able to provide faster services.  As markets began globalized, The CEP firms then expanded into various countries, providing various other global services and capturing a major part of market share. Some of the global market leaders we know today are DHL, FedEx. Some of the local players who carved a niche for themselves in India are Gati, DTDC, BlueDart.

B2B v/s B2C- Who is more profitable?
Ideally, The CEP firms came into existence to cater to the needs of B2B sector, Many companies then tied up with CEP firms to cut down on transit times and adhere to the needs of just in time supplies so that there was always frequent orders but less volume of supplies, To acquire market share globally, CEP firms went on massive expansion spree, with extensive networking, acquiring more air fleets to provide faster and secure services. Until today, for CEP firms, the share of B2B has always remained a major and secure business model compared to B2C component
Rising eCommerce business & logistics providers- The ultimate game changer for B2C
In the last decade, with the rise in the e-commerce business, CEP firms have witnessed tremendous growth. Not only has this provided them with a major opportunities but also confront newer challenges. Earlier, their routes were well planned with small consignments, with the rise of e-commerce sales, CEP firms had to focus extensively on route planning and resource planning, which meant handling and delivering a huge volume of small packets and even traveling to difficult areas. Assuming that the client did not receive the package today, there was always a need for multiple delivery attempts which would obviously result in higher costs. The CEP firms then needed to align their services, examine their network and delivery process.
With the current market and opportunity so huge, the established players are still not able to serve the requirements fully. This opportunity gave birth to many niche based logistics companies who then focussed on various segments of eCommerce logistics providers in India

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  2. Thanks for sharing this information it's very useful for me. These blogs is fabulous corrugated box and carton box really helpful for packaging.

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  3. What a Fantastic blog! This is full of information I cant wait to dig deep and start utilising the useful resource given by you. This is probably the best blog I came across today. I want to add little more information that WPS is the best courier site to Send a Parcel To Australia & Compare quotes from several couriers at WPS. Send your Parcel at cheap rates today.

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