Cargo and Delivery Drone Logistics Market Outlook: Ken Research

Overview: An unmanned aerial vehicle (UAV) commonly known as a drone is an aircraft without a human pilot aboard. Small drones designed to deliver small commodities such as pharmaceuticals to remote hospitals have been around for years but face bans to operate beyond line of sight from world regulatory agencies in the interest of public safety. However, larger more capable machines are being developed.

Evolution: Innovation has led to developments in air travel for people, with reliable cargo aircrafts being modifications of passenger jets. However, things have started to change by the introduction of UAVs in the field of cargo and delivery which have been designed with the view to save time and money. Drones are a result of extensive research and they have even begun modest use with tech giants and e-commerce companies.  Some companies have even started developing their own drone’s .Even renowned aircraft manufacturers like Boeing have begun building drones to cater to the growing demand for air freight.

Recent developments include-

DHL’s Parcel copter

Boeing’s CAV released in January 2018

UPS unveiled a battery powered residential delivery drone in 2017.

Sabrewing Aircraft Co. and JD.com are all working on large prototypes that have a long range.

Beijing based Sichuan Tengden Technology is developing a cargo drone which would carry 20 tons of cargo.

California based Natilus is working on cargo drones with a 90 ton capacity.

Market Scenario: The market for air freight is one of the key drivers for growth of the logistics market as indicated by several market research reports for logistics. Despite this the market for drones is still very primitive .Major companies have launched their drone promotion projects for instance Amazon’s Prime Air drone and Google’s Project Wing which was used for deliveries in Australia. Chinese companies such as drone maker Beihang UAS are tapping into interests of delivery drones as suggested by a logistic market research report which estimates the Chinese parcel delivery industry to grow by 25%-30% in the coming years .The 2017 data for global air freight markets showed that the demand had grown by 9% which was more than double the growth recorded in 2016.

Competition: In the interest of research, development and more efficient freight transportation many companies have joined forces.  Microsoft partnered with DJI a Chinese drone manufacturer and Alphabet partnered with Guzman Y Gomez in 2018. In 2016 UPS began testing commercial drones in partnership with drone maker CyPhy Works. China’s largest courier service SF Express Delivery uses drones in partnership with Tengoen Technology to drop cargo pods. Beihang UAS has entered into a strategic partnership with logistics firm Cainiao.

Conclusion: Undoubtedly the drone oriented cargo delivery system has immense potential and with leading players like China who are willing to invest immensely in this sector we can expect drone services being more easily accepted in the future .Ecommerce is also expected to develop and with it the demand for APAC economies, like China, which is expected to further drive the air cargo and delivery industry.

Key Factors Considered in the Report:

Logistics and Shipping Market Research Reports

Logistics and Shipping Industry Analysis

Market Research Reports for Logistics

Logistic Market Research Report

Logistics and Transportation Market Research Reports Consulting

Logistics Business Review

Logistics and Shipping Industry Research and Market Reports

To know more, click on the link below:

https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/SC-100-45.html

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Ken Research 

Ankur Gupta, Head Marketing & Communications

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+91-9015378249

Artificial Intelligence in the Logistics Sector: Ken Research

Introduction: The logistics sector is a highly volatile and cost heavy sector involving a large number of fixed costs involved by companies looking to control end to end function and value production of the supply chain and is high in variable cost for companies looking to use contracted services for their supply chain operations. The direct delivery and last mile delivery component of any supply chain is the most tasking in terms of costing resources and the overall costs are high for specialized warehousing, air based freight and for land based freight based on Logistics Business Review. The other categories of cost though lower than the above indicated factors still end up being a major contributor to the expenses of a business and could lead to major loss if the operational resource requirement is not accurately analyzed. The need for accurate prediction has led to the explosive popularity of data analytics in the field of logistics and supply chain based operations. The application of analytics is also for prediction of need for warehouse space, transportation services, fleet requirement, order prediction and customer satisfaction which helps gauge brand value. All of the above pieces of information can be calculated accurately in a time and cost effective manner using Artificial Intelligence.

AI: Artificial Intelligence or AI is simply the application of computers to scenarios which would require human intelligence. The increasing demand for artificial intelligence has been due to reduced transistor prices reducing the cost of computational power and the advent of new chips such as Google’s TPU (Tensor Processing Unit). These specialized pieces of hardware are capable of the computational power needed for AI based systems to utilize computers for the tasks which are tedious and difficult to achieve through human labor. Another big factor requiring machine thinking capability rather than a human‘s is due to the recent explosive adoption of big data technology. Big data allows machines to reveal insights which may not have been visible before by analyzing large blocks of data and using predictive analytics, assisting companies make a decision on the implementation of their resources as well as the estimation of the level of profitability from operations.

AI and Supply Chain: The integration of Artificial intelligence into the supply chain can have a variety of benefits for different aspects of the logistics process. There are roughly 26 sub processes in logistics which can be impacted through the integration of Artificial Intelligence. AI can help with Omni Channel delivery, Package quality tracking, Process efficiency management, Cloud based logistics, IoT integration and functionality, Autonomous vehicles, Energy efficient logistics and more. The integration of AI in logistics allows for a long term reduction in cost post implementation of the system, paves the path for the introduction of automation and also allows for the minimization of operational error by removing human error. Adapting automation practices will lead to major increase in operational productivity in the short run and in the long run will lead to optimization of human resources as well, as the only jobs that will be handled by humans are the tasks where either the machine cannot handle the task at hand or in the scenario where employing a machine to tackle the task would be less profitable than to employ a human. The optimization of the human resource element and the ideal adoption of machines would lead to efficient space usage and effective reduction in payroll and human resources which is considered one of the major expenses of running an organization. The integration of artificial intelligence with IoT allows for effective real time collection of data, the application of analytics allows for real time analysis of data, integration of machine learning would allow the AI to learn to work on its own and to further develop the effectiveness and efficiency of the process. The potential game changing level of benefit seen in implementation of AI has led to companies like IBM and DHL working together to establish prominent presence of AI in the logistics business. Although the technology is yet to be fully industrialized, Artificial intelligence combined with automation is expected to be way of operation of the logistics companies of the future

Key Factors Considered in the Report:

Logistics and Shipping Market Research Reports

Logistics and Shipping Industry Analysis

Market Research Reports for Logistics

Logistic Market Research Report

Logistics and Transportation Market Research Reports Consulting

Logistics Business Review

Logistics and Shipping Industry Research and Market Reports

To know more, click on the link below:

https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/SC-100-45.html

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Ken Research 

Ankur Gupta, Head Marketing & Communications

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+91-9015378249

Global Logistics Market: Is Autonomous the Future of the Last Mile: Ken Research

Introduction:  The global Logistics and Shipping Industry Research and Market Reports is forecasted to be worth USD 15.5 Trillion by the year 2023 with a CAGR of 7.5% for the period 2015-2024 and is forecasted to grow by volume with a CAGR of 6% for the same period. The introduction of ecommerce and express delivery coupled with the recent explosive growth in online industrial sales has led to a massive growth in the logistics sector. Although logistics is a high cost field, the major factor behind the cost is the cost of last mile delivery. Last mile delivery, on average accounts for 50% of the total cost of delivering a parcel. The last mile delivery is the biggest cost factor when considering the delivery of a parcel owing to high transportation costs leading to a significant amount of goods having a transportation cost higher than manufacturing cost. The increasing need for an effective last mile delivery option has led to the introductory integration of autonomous technology into the logistics sector.

The Technology : The integration of autonomous trucks and automated factories is an evolving trend in the logistics sector with many companies still using a high amount of manual labor for warehousing and logistics services. Although automated logistics is a long term solution which will have a while before implementation the recent trend in the logistics sector is the usage of Drones for last mile delivery. The concept which is driven majorly by an initiative for easier delivery and minimum costs by companies like Amazon, spearheaded by Jeff Bezos himself has been emerging to be the major solution to the high cost of last mile delivery. Approx. 90% of packages that require to be delivered are capable of being delivered via drones and future estimates predict that only 2% of packages will be delivered manually via bike messengers for express delivery. The Amazon prime air initiative expects that the drones would be capable of delivering a parcel 30 min within placement of an order owing to the drones being capable of travelling at speeds of up to 60 mph. A critical bottleneck currently being that the range of the drones is within a radius of 7.5 miles leading to any greater distance not being currently possible but the proximity is expected to improve with time. An increasing number of startups have begun focusing on implementing autonomous cars as well attempting to deliver higher payload packages with minimum effort using specially designed spatial navigation algorithms to help the vehicles track and plan the routes independently. The increasing emergence of the unmanned aerial vehicle segment has led to the Drone and unmanned aerial bot market to grow rapidly with the market for drones to be worth USD 17 billion by the year 2024. The market growth has led to increased participation with major aerospace companies looking to have their own autonomous electric aerial vehicle such as the Boeing CAV Prototype which was made public in January 2018. Aside from implementing UAV’s, As of March 2018, Amazon made public their patent, for integration of Drone technology and Autonomous trucks aiming to showcase the extent to which the e commerce company homes to automate the process of logistics and transportation. Market estimates believe autonomous vehicles will be making 80% of all deliveries by 2025. The impact that Autonomous cars have in this sector is also major with companies like Nuro investing around USD 1.5 million into their self driving cars used for last mile delivery. 

Opportunity: The growing need for last mile delivery technology has emerged as the biggest need in the logistics sector as well as one of  the major commercial areas  for the application of Autonomous vehicles. The competition is virtually nonexistent with heavy research and development costs and high innovation cycles antiquating technology faster than ever before. Companies like Nuro, Amazon Air, Starship technologies and more are working towards pioneering UAV based drone delivery with lower requirement for energy as energy requirements for drones become the biggest challenge towards implementing drone based last mile delivery at scale with the second major obstacle being the network proximity owing to high initial capital costs 

Major Markets: Rapid evolution of the market is prominent in the US and in European regions with a majority of focus being in the US. A major growing application area for the implementation of drone delivery has been e commerce in China which is the major factor behind growing demand in the Asia Pacific region expected to have a CAGR of about 7.5% for the period 2017-2021

Key Factors Considered in the Report:

Logistics and Shipping Market Research Reports

Logistics and Shipping Industry Analysis

Market Research Reports for Logistics

Logistic Market Research Report

Logistics and Transportation Market Research Reports Consulting

Logistics Business Review

Logistics and Shipping Industry Research and Market Reports

To know more, click on the link below:

https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/SC-100-45.html

Contact Us:

Ken Research 

Ankur Gupta, Head Marketing & Communications

sales@kenresearch.com

+91-9015378249

European Logistics Industry to Blossom via Futuristic Transition of the Economy: Ken Research

Logistics basically refer to the business processes that include management and movement of goods and services from the point of origin to the point of consumption. It is the core segment of supply chain management and generally involves a variety of services like freight forwarding, multimodal transport via air, ship, truck, and rail. It also deals with provision of customs brokerage, warehousing and storage, tracking, and tracing of freight goods services.

According to Logistics and Shipping Market Research Reports, the Logistics market in Europe is majorly split into- Contract Logistics, Transportation, Value-added Services and Warehousing. In 2014, the European logistics market was somewhere around 960 billion Euros in valuation wherein Germans logistics market accounted for the highest share, with a market size of about 235 billion Euros. The leading market players since then namely involve DB Schenker Logistics, Deutsche Post DHL, Kuehne+Nagel International AG and SNCF Geodis while some other prominent vendors in the industry also include ACP Freight Services, Agility, Alkomtrans, APL Logistics, AWT Group, Baltic Rail, and BDP International. These players have come a long way and have thereby managed to record much higher revenues as compared to what was generated in 2014 and even, the existing trends are all set to ameliorate in the years to proceed where all these players are foreseen to register massive revenues every year owing to spurring demands in the economy.

In Logistic Market Research Report, it has been discovered that there has been a rise in the overall demand for European Automotive and Auto Components Industries which in turn have led to a positive impact on the logistics of the continent. Also, the statistics have depicted a healthy increase in Logistics Outsourcing being implemented in the economy and furthermore, with developing numbers of outsourced operations in the future; the industry is expected to flourish beautifully and relish ever growing demands owing to the success rates that will continue surging due to increased efficiency and effectiveness.

Besides that, escalating innovations in technology have evidently marked their presence in our daily lives and logistics and supply chain industries are being impacted by all new technological upgradations and system changes, more than ever. Over time, the dynamism of globalization has transformed the logistics chain completely making it much more complex to be managed. Thus, the need for advanced IT solutions has arisen to cope up with the changing environment. Nowadays, several solutions have been proposed that have the ability to produce more traceability, visibility and transparency of orders and hence, the transport and logistics industry in Europe is anticipated to keep on developing. Even, the number of consumers who buy online has multiplied, over the years and associated to this; the innovative technology has now made it possible for the consumers to track their orders more easily. Tracking has showcased a growth in its importance and thus, most of the biggest companies have already started with the implementation of alert systems, which can inform the customers about the status of their orders.

Geographically, as per Logistics and Shipping Industry Analysis, it has been witnessed that imports and exports to Asia have prevailed significantly. This tendency has resulted in augmenting fragmentation in the orders today and consequently, an increase in the imports and exports of Europe has also been observed. In Europe, Germany has sustained its position and has been the largest occupier market in Europe owing to its resilient manufacturing activities and increasing demands from logistics providers. For the third year in a row, the German market yet again managed to reach the mark of 2.5 million m² threshold of transaction of warehouses taken up in mid-year 2017.  While during the same time, in France, demand for logistics premises remained robust to reach 1.56 million m² taken up; in the UK, the manufacturing sector reckoned for the largest share of take-up boosted mainly by the automotive sector since some key transactions took place at the outskirts of Birmingham; in  Spain, take-up amplified by more than 84% to reach over 660,000 m² ; and in the Czech Republic and Poland, e-commerce and distribution for retailers were observed to be the major demand drivers contributing to the holistic market growth. Cumulatively, the logistics market of this continent has boosted via the support of a favorable economic backdrop that has successfully been able to trigger exports, retail sales and associated consumer expenditure. These trends are further projected to show affirmative improvements in the long run.

According to the Logistics research report, the sales of major portfolios in Germany have managed to generate tremendous volumes of investments lately and further, the expectations across Europe in the forthcoming years point towards a good return particularly to the more average level of investments. Latest trends have depicted that Spain and the South Netherlands have recorded the highest growth in this continent in this quarter and the retail and e-commerce is all set to contribute largely to market growth in most European countries. Also, many acquisitions and alliances in the logistics and transport industry have been seen and are further expected to evolve rapidly while at the same time; major shipping companies are noticed as investing more and more in larger vessels such that the ultimate operational costs are reduced.

To know more, click on the link below

https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/SC-100-45.html

Related Reports:

https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/germany-logistics-market-research-report/142308-100.html

https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/poland-logistics-market/149100-100.html

Contact Us:

Ken Research 

Ankur Gupta, Head Marketing & Communications

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+91-9015378249

UAE Logistics Industry To Burgeon Through Innovative Upcoming Business Opportunities –Ken Research

Logistics basically refer to the business processes that include management and movement of goods and services from the point of origin to the point of consumption. It happens to be the core segment of supply chain management and generally involves a plethora of services like freight forwarding, multimodal transport via air, ship, truck, and rail. It also deals with provision of customs brokerage, warehousing and storage, tracking, and tracing of freight goods services.

Talking about the United Arab Emirates, the country’s geographical location and infrastructure has made it an ideal supply and re-distribution gateway and thus, certainly offer huge growth potential for the logistics companies in the region, according to Logistics and Shipping Industry Research and Market Reports. Basically, the UAE is strategically located at the centre of international trade since over one-third of the world's population resides within the range of a four-hour flight and two-thirds within eight hours.

Over the years, UAE has well maintained its position to be amongst the top logistics hotspots in the world offering an evolving major transshipment hub, which has been, in the recent past, ranked first in the emerging market infrastructures and operates on one of the leading busiest airports globally, superbly connected and well-suited for multi-modal transport. According to the World Bank's latest Logistics Performance Index, the UAE has been ranked “13^th” out of 160 countries which means that UAE supersedes countries like Canada, Finland, France, Denmark and Australia; and on comparison with its emerging market peers, it is ranked “first” cementing to its position as the leading logistics hub for rapidly growing economies. Furthermore, in the years to come, with optimal integration of logistics functions and harmonization of the GCC customs regulations; a synchronized, coordinated, and interconnected regional logistics network is bound to be formed in the region.

As per the UAE Logistics Market Business Review, it has been explored that factors such as economic diversification, amplifying domestic demand and holistic development of export-oriented industrial centers and free zones are highly likely to continue bolstering both trans-shipment and regional trade growth in UAE since these factors are expected to undergo a certain level of amelioration as the years roll by and thus, with improving trends; industry will prosper on its own!

Lately, The United Arab Emirates has managed to retain its third position after China and India on the 2018 Agility Emerging Markets Logistics Index mainly due to success being experienced in Dubai since the logistics industry over there has been noticed to be more promising about this sector unlike previous years. The UAE has significantly tried to maintain a high ranking across several indices owing to the abundance of free trade zones, no corporation tax, offer of full ownership, and unlimited repatriation of profits that have well aided the region in establishing a benchmark especially for the emerging markets. Consequently, the countries in this region are moving vigorously to trigger non-energy economic growth, create job opportunities, attract new investments, and develop knowledge economies.

According to Ken Research Logistics and Transportation Market Research Reports, it has been revealed that government investment plans and infrastructure development initiatives are further expected to propel the economic growth in UAE. Also, the logistics infrastructure has gain a lot of popularity recently since UAE has emerged out evidently as a transshipment hub for a successful Europe-Asia trade. Investments are being undertaken in full swing at this time ultimately resulting in overall infrastructure development which will as a result, embolden competitiveness of the logistics market. Particularly, the investments connected to EXPO 2020 are anticipated to lure foreign investments and thereby ameliorate the holistic investment climate that prevails in the region.

Besides that, the facts of 2017 have identified that the air freight volumes at Dubai International Airport grew by nearly 5% and are further envisioned to surge at a decent CAGR of about 3.2% by 2022. While at Abu Dhabi Airport, the air freight volumes evolved by nearly 12% in 2017 and furthermore are anticipated to prosper at a healthy CAGR of around 5.2% by 2022. These trends well depict that the demand for these logistics services have multiplied in the recent years and therefore in order to properly cater to the growing demands; several initiatives have been undertaken for embellishing logistics parks as well as free trade zones near airports and seaports.

Not only this; the two leading airports of this region have rigorously made investments for widening and enriching the associated logistics facilities in recent years. For instance, Emirates Sky Cargo has recently launched a new pharmaceuticals facility at Dubai International Airport in order to meet the spurring demands for pharmaceutical and cold storage products. Going forward, this expansion of cold-chain logistics services at both the airports is projected to raise the air freight volumes in UAE. Thus, both Emirates along with Etihad Airways have played a crucial role in air cargo in the UAE till now and will persist contributing to augmenting cargo volumes in the coming years.

Majorly, UAE is observed to be at the forefront of adoption of newer technologies due to which warehouses are becoming automated with the support of robotics and automation, and the related companies have been able to experiment on different autonomous vehicles and drone deliveries for efficient and faster last mile deliveries. Additionally, a horde of tech-based start-ups are mushrooming in the region offering robust delivery solutions across various e-Commerce logistics segments and such hyper-loop, drones, autonomous vehicles, block chain, robotics, and artificial intelligence are further projected to completely transform the UAE logistics market in future.

To know more, click on the link below

https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/SC-100-45.html

Related Reports:-

https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/uae-logistics-market-report/4634-100.html

Contact us:-

Ken Research

Ankur Gupta, Head Marketing & Communications

sales@kenresearch.com

0124-4230204