Showing posts with label UAE CEP Market. Show all posts
Showing posts with label UAE CEP Market. Show all posts

Wednesday, July 26, 2023

UAE’s Freight Forwarding Market To Grow At The Rate Of 7.20% In The Upcoming Period Between 2021 To 2026 Owing To Government Policies Such As Growth OD E-Commerce Industry Alongside Technological Innovations Such As Efficient Freight Matching: Ken Research

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History of steady growth alongside a positive future forecast provides UAE’s logistics Market increasing confidence & interest of stakeholders, says a report by Ken Research

1. Various Factors to be the backbone of Market development in UAE’s Freight Forwarding Market

UAE Logistics Market

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The government is also upgrading airports, ports, and transportation networks.  Factors such as development of sea ports alongside introduction of innovative technologies such as Blockchain is expected to drive the future market growth of UAE Logistics Market.  Nearly a half of GCC countries cargo inbound flows are channeling through UAE as of 2022. Therefore, expansion of handling capacity of ports such as Khalifa Port, will serve as a catalyst for the freight forwarding market in UAE.

2. “Technology to the Rescue:” Efficient Freight Matching, Better Profitability, Smarter Operations and Greater Service Quality are some of the benefits of Digital Freight Aggregator Platforms.

UAE Logistics Market

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Technology options such as Efficient Freight Matching, better profitability, smarter operations & greater service quality serve as a major benefit for UAE’s Logistics Market. A major benefit of Digital Truck Aggregator Platforms is that they have a large Shipper and Trucker Base and offer services such as Freight Listing, Freight Brokerage and Online Transactions to earn revenue. Furthermore, digital Truck aggregator platforms are reshaping the trucking industry in UAE by increasing operational efficiency, reducing costs & increasing profitability.

For more insights on market intelligence, refer to the link below: –

UAE Logistics Market Report

Related Reports:

USA Logistics Industry Outlook to 2026

Australia Logistics Market Outlook to 2025

Tuesday, December 28, 2021

UAE Express Delivery Market Outlook to 2025 – By Domestic and International Express, By Mode (Ground & Air Express), By Business Model (B2C, B2B & C2C), By Shipment Weight (3kg, 3-5kg, 5kg), By Region (Dubai, Abu Dhabi, Sharjah & Others: Ken Research

December 2021|UAE News

High Heightened Technological Adoption, Support & Initiatives for E-Commerce Growth by the Government, and Changing Consumer Preference owing to Covid-19 has Accelerated Growth Prospects in UAE CEP Market 

Growing Government Support: The UAE CEP market continues to be an attractive avenue that has seen a growth of ~ 11% CAGR for the volume of shipments even after international trade has faced disruptions owing to the pandemic. This is attributed to the continued support by the government for adequate infrastructure and other reforms to support express delivery players. The Government has taken up initiatives such as improvement of Ease of Doing Business Parameters, along with the creation of Economic Zones which offer tax-exempts to businesses as well as facilities for courier and other delivery companies.

This is supplemented by the fact that there has been growth in Physical Infrastructure with development of highways, airports & seaports as UAE is one of the major transshipment hubs in the region. Furthermore, Dubai Executive Council has approved the Dubai e-Commerce Strategy with a primary goal of with the aim of solidifying the emirate's position as a hub for global ecommerce. The market is bullish with the GDP Per Capita of UAE standing at ~ 300% above the world average in 2020 & is expected to increase to ~ 10% in 2025 over 2020.

Expatriates and Demographic Advantages: The Express Delivery Market maintains its status as an attractive space for increased revenue as 80% of the population is expatriate which means that they receive and send couriers, mails and parcels to and from more often than non-expatriate population. Furthermore, the median age in UAE is 32.6 Years (as of 2020), along with high internet penetration rates (91%) means that the express delivery segment is witnessing high demand as E-Commerce and E-Deliveries have seen large scale adoption in the country.

Challenges in UAE Express Delivery Market: One of the major concerns coming out of the market is the fact that inflation has been in the negative category for the last couple of years (-2.1% for 2020). This points to the fact that consumer spending has been slowing down and could be a potential challenge for businesses vying for customers. Another point of concern remains concerning the postal address code integration due to the absence of postal codes leading to the increased cost borne by companies for last-mile deliveries by ~25%. Even though steps have been taken by both the government and various private players, there exists challenges with last-mile delivery. Lastly, certain small CEP companies are making inroads into the industry without paying the due registration fees and offering deliveries at a lower rate as compared to the registered players. These companies are less technologically adapt to the new systems but have a moderate to strong user base with respect to price sensitive customers. 

Multi-Faceted Impact of COVID-19 on UAE CEP Market: The UAE was one of the top-performing economies globally before the sudden outbreak of the new novel coronavirus. However, the pandemic has positively impacted the growth of the Express Delivery Market in the UAE. Digitalization and increased technological up-gradation were witnessed in the country.

The onset of COVID-19 acted as a catalyst and accelerated the process of familiarity with E-Commerce and E-Retail. Existing physical or brick and mortar stores had witnessed a fall in sales which prompted them to shift their focus towards online shopping. This has served as an added demand for more shipments, especially in the B2C segment. This is corroborated by the fact that lockdowns have made inter-country travel difficult, and due to the high population of expatriates living in the country, deliveries during the festive seasons and other important occasions has led to an increase in the number of express shipments.

However, a challenge that the CEP companies are facing is the additional cost being borne by the express delivery companies owing to the operational disruptions stirred by lockdown.

Analysts at Ken Research in their latest publication UAE CEP Market Outlook to 2025 – By Domestic and International Express, By Mode (Ground & Air Express), By Business Model (B2C, B2B & C2C), By Shipment Weight (<3kg, 3-5kg, >5kg), By Region (Dubai, Abu Dhabi, Sharjah & Others)have observed that the CEP market in UAE has a great potential to grow supported by increased E-Commerce Demand in the country. The Covid-19 outbreak has further accentuated the growth of the market by shifting major retailers to online platforms affecting consumer preference concerning online retail. UAE CEP Market is expected to grow at a CAGR of ~15.4% based on the number of shipments delivered over the forecast period 2020-2025. 

Key Segments Covered

  • By Domestic and International Express
  • Domestic Express
  • International Express
  • By Mode of Transport
  • Ground Express
  • Air Express
  • By Major Regions
  • Dubai
  • Abu Dhabi
  • Sharjah & Others
  • By Business Model
  • B2C
  • B2B
  • C2C
  • By Shipment Weight
  • < 3 Kg
  • 3 Kg – 5 Kg
  • > 5 Kg
  • By Delivery Period
  • Same Day Delivery
  • 1-2 Day Delivery
  • More than 2 Day Delivery

CEP Companies Covered

  • Aramex
  • Emirates Post
  • SMSA Express
  • DHL Express
  • FedEx
  • UPS
  • Team Express Services
  • First Flight Couriers
  • TFM Express
  • Sky Express
  • Zajel Courier Services
  • Century Express

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Cross-Comparison on GCC Postal Networks Covered

  • Bahrain Post
  • Emirates Post
  • Oman Post
  • Qatar Post
  • Saudi Post

Key Target Audience

  • CEP Companies
  • Express Delivery Companies
  • 3PL Logistics Companies
  • Postal Network Association
  • E-Commerce Companies/Platforms
  • Integrated Logistics Companies
  • Logistics/Supply Chain Industry Associations
  • Parcel and Mail Companies
  • Ministry of Transport and Communications

Time Period Captured in the Report: -

  • Historical Period – 2015-2020
  • Forecast Period – 2020-2025F

Key Topics Covered in the Report

·         UAE CEP Market Overview

·         Industry Lifecycle of UAE CEP Market

·         UAE CEP Market Ecosystem

·         Timeline of Major CEP Players

·         Delivery Model in CEP Market

·         UAE CEP Market Sizing Analysis, 2015-2020

·         Seasonality Trends in CEP Market

·         Growth Drivers for UAE CEP Market

·         UAE CEP Market Segmentation, 2020

·         Competition Scenario amongst Players in UAE

·         Market Share of Leading Players in the Overall UAE CEP Market

·         Market Share of Leading International and Domestic Players

·         Competition Parameters in UAE CEP Market

·         Cross Comparison of Major UAE CEP Players

·         UAE CEP Market Pricing Analysis

·         Laws and Regulations Governing CEP Market in UAE

·         Issues and Challenges Faced by CEP Players

·         SWOT Analysis of CEP Market in UAE

·         New Trends and Developments in the UAE CEP Market

·         Customer Analysis for the UAE CEP Market

·         Future Market Size and Segmentations, 2020-2025F

·         Covid-19 Impact on UAE CEP Market

·         Analyst Recommendations

·         Cross-Comparison of GCC Postal Networks

For more information on the research report, refer to the below link:

UAE Parcel Delivery Market Growth | UAE Courier Delivery Market Future Outlook

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Contact Us:-

Ken Research

Ankur Gupta, Head Marketing & Communications

support@kenresearch.com

+91-9015378249

Sunday, December 19, 2021

UAE CEP Market Outlook 2025- Future Analysis of UAE E-Commerce and Express Delivery Market Growth, Share 2021 Upcoming Trends, Industry Size, Demand and Forecast Research Report to 2025: Ken Research

Executive Summary

The report titled, UAE CEP Market Outlook to 2025 – By Domestic and International Express, By Mode (Ground & Air Express), By Business Model (B2C, B2B & C2C), By Shipment Weight (<3kg, 3-5kg, >5kg), By Region (Dubai, Abu Dhabi, Sharjah & Othersprovides a comprehensive analysis of the CEP Market Landscape in the UAE. The report covers various aspects including the market size (by shipments and revenue), industry life cycle, a timeline of the major CEP players, delivery model in CEP market, market sizing analysis, market segmentation by domestic and international express, by mode of transport (ground and air express), by business model (B2C, B2B and C2C), by delivery period duration (same-day delivery, 1-2 day delivery, and more than 2-day delivery), and by shipment weightage (less than 3 kg, 3kg-5kg and greater than 5kg). 

The report also elucidates the key lanes for shipments both internationally and domestically. The report adds context to the dynamic nature of the CEP market by providing seasonality trends, growth drivers, and the various regulations put in place by the government. The report also covers the overall competitive landscape basis certain parameters. Additionally, the market share of both international and domestic players is computed. The report concludes with future growth projections, impact of Covid-19 on the sector, analysts’ take where market entry strategies for potential players willing to enter the market are discussed along with focus areas for existing CEP companies.

UAE CEP Market Overview and Size

UAE Express Delivery Market has witnessed an upward trajectory with a CAGR of 11.2% during 2015-2020. A strong performance despite the brief halting of commercial activities in 2020 due to the pandemic shows that the CEP market is resilient and has scope for further growth.

The UAE presents itself as an attractive destination for the CEP market due to inherent advantages that make it ideal for become a hub for express delivery shipments. Its consumer demographic consists of a young internet-savvy population (~91% internet penetration rate in 2020), geographical benefits and with a developed infrastructure. This is corroborated by the presence of a high consumer confidence, increasing consumer preferences towards online shopping, that has augmented the growth of CEP market. Furthermore, a surge in online shopping and E-Commerce products owing to the pandemic has provided a boost to the CEP market landscape. Dubai and Abu Dhabi have emerged as the key hub for the express delivery shipments. The COVID-19 pandemic has also led the market players in focusing towards improving their online presence, websites, collaborations and technology for better unit economics. The government has also been playing an active role in incubating the space for further growth by implementing policies such as creation of Special Economic Zones, proving taxes breaks for start-ups in this space and creating physical infrastructure to support more shipments and deliveries.

UAE CEP Logistics Market Segmentations

By Domestic and International Express: In terms of total number of shipments, domestic express captured the majority of the market share. Domestic deliveries tend to be faster in UAE due to the well-connected transport system of the country. However, international express shipments have increased significantly in the recent years owing to the high cross-border e-commerce trade.

By Mode of Transport: In terms of the mode of transport used to deliver the product, most of the deliveries happen through the ground express as compared to the air express on account of UAE being a relatively small country and having concentrated demand in certain commercial hubs. Furthermore, only established companies/international companies are able to deliver the shipments through air.

By Business Model: The B2C segments commands the highest share in terms of shipments in 2020 owing to sudden surge witnessed in the e-commerce shipments. The surge in B2C was induced by the change in consumer preference towards online shopping for a wide range of products fueled by the onset of Covid-19 pandemic.

By Shipment Weight: Most of the shipments weigh less than 3 kg which corroborates the fact that a large chunk of deliveries in the market happen in the B2C segment. Furthermore, CEP companies cater to mails sent in terms of postal cards and letters, and deliver them from one client to another. 

By Delivery Period: Majority of the shipments are delivered in the country within 2 days in UAE owing to the smaller geography. International express shipments coming in from Asia & America usually takes more than 2 days to be delivered in UAE. Companies are focusing on providing better services along with quicker deliveries to remain relevant in the competition.

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Competitive Landscape of UAE CEP Market:

The competition in the CEP space in UAE is fragmented with presence of ~ 50 international and domestic players in the CEP Market. The major CEP companies include Aramex, Emirates Post, SMSA Express, DHL Express, FedEx, UPS, Team Express, First Flight Couriers, TFM Express, Sky Express, Zajel Courier Services and Century Express. Aramex & SMSA Express are the market leaders in domestic & international players segment respectively. Same day delivery service, competitive pricing, technology adoption, user interface, network coverage, key clientele, fleet size, value added services are the key competing parameters for express delivery service providers.

UAE CEP Market Future Outlook and Projections

Over the forecast period, UAE CEP market is expected to grow owing to increased internet penetration, shift in consumer preference, advanced technologies in improving efficiencies, collaboration between logistics and delivery companies, and favorable government initiatives. Due to the COVID-19 outbreak, there has been a shift from offline sales to online sales, which is expected to ensure substantial growth in the future as well as E-commerce booms and more deliveries are made through this route. The CEP market in the country is expected to grow on the back of new technologies such as Automation, Blockchain, and the Internet of Things, which will be explored to increase efficiency, improve customer experience and enhance service quality.

Key Segments Covered

  • By Domestic and International Express
  • Domestic Express
  • International Express
  • By Mode of Transport
  • Ground Express
  • Air Express
  • By Major Regions
  • Dubai
  • Abu Dhabi
  • Sharjah & Others
  • By Business Model
  • B2C
  • B2B
  • C2C
  • By Shipment Weight
  • <3 Kg
  • 3 Kg – 5 Kg
  • > 5 Kg
  • By Delivery Period
  • Same Day Delivery
  • 1-2 Day Delivery
  • More than 2 Day Delivery

CEP Companies Covered

  • Aramex
  • Emirates Post
  • SMSA Express
  • DHL Express
  • FedEx
  • UPS
  • Team Express Services
  • First Flight Couriers
  • TFM Express
  • Sky Express
  • Zajel Courier Services
  • Century Express

Cross-Comparison on GCC Postal Networks Covered

  • Oman Post
  • Bahrain Post
  • Saudi Post
  • Qatar Post
  • Emirates Post

Key Target Audience

  • CEP Companies
  • Express Delivery Companies
  • 3PL Logistics Companies
  • Postal Network Association
  • E-Commerce Companies/Platforms
  • Integrated Logistics Companies
  • Logistics/Supply Chain Industry Associations
  • Parcel and Mail Companies
  • Ministry of Transport and Communications

Time Period Captured in the Report:

  • Historical Period – 2015-2020
  • Forecast Period – 2020-2025F

Key Topics Covered in the Report

  • UAE CEP Market Overview
  • Industry Lifecycle of UAE CEP Market
  • UAE CEP Market Ecosystem
  • Timeline of Major CEP Players
  • Delivery Model in CEP Market
  • UAE CEP Market Sizing Analysis, 2015-2020
  • Seasonality Trends in CEP Market
  • Growth Drivers for UAE CEP Market
  • UAE CEP Market Segmentation, 2020
  • Competition Scenario amongst Players in UAE
  • Market Share of Leading Players in the Overall UAE CEP Market
  • Market Share of Leading International and Domestic Players
  • Competition Parameters in UAE CEP Market
  • Cross Comparison of Major UAE CEP Players
  • UAE CEP Market Pricing Analysis
  • Laws and Regulations Governing CEP Market in UAE
  • Issues and Challenges Faced by CEP Players
  • SWOT Analysis of CEP Market in UAE
  • New Trends and Developments in the UAE CEP Market
  • Customer Analysis for the UAE CEP Market
  • Future Market Size and Segmentations, 2020-2025F
  • Covid-19 Impact on UAE CEP Market
  • Analyst Recommendations
  • Cross-Comparison of GCC Postal Networks

For More Information, refer to below link:-

UAE E-Commerce and Express Delivery Market Research Report

Related Reports

UAE E-Commerce Logistics Market Outlook to 2025 – Driven by Growth in Online Shoppers along with Introduction of New Age Technologies by Logistics Players

UAE Fitness Services Market Outlook to 2025F (Second Editiion) - Driven by increasing health concerns resulting in addition of number of health clubs and gyms in the country

Contact Us:-

Ken Research

Ankur Gupta, Head Marketing & Communications

support@kenresearch.com

+91-9015378249