Same Day Delivery Market

Global Same Day Delivery Market Size (2024 to 2029)

The global same day delivery market size is estimated to be USD 4.34 billion in 2024. The global same day delivery market is further forecasted to grow to USD 12.52 billion by 2029 at a compound annual growth rate (CAGR) of 23.6% from 2024 to 2029.

Current Scenario of the Global Same Day Delivery Market 

In the logistics and e-commerce sectors, the delivery expectations of consumers have been constantly changing. In the present era, people have been expecting to receive their orders as early as possible, which is leading to the increasing demand for same day delivery services. In countries such as the United States, the United Kingdom, China, Japan, and South Korea are at the forefront in the adoption of same day delivery services. Companies that operate in these countries and the governments of these countries have been increasingly investing to develop the infrastructure, utilizing the technology to the full potential and entering into partnerships to optimize the delivery networks to address the constantly changing expectations of the consumers. For instance, in the United States, e-commerce giants such as Amazon, Walmart, and Target have implemented Amazon Prime Now, Walmart Express Delivery, and Target's Shipt service to provide the convenience of same day delivery to their customers. The demand for same day delivery services is estimated to fuel in the coming years due to the rapid growth of the e-commerce industry, changing preferences of consumers towards instant gratification, and the intensifying competition among retailers. The global same day delivery market has experienced steady growth over the past few years and is expected to have promising growth during the forecast period. 

MARKET DRIVERS 

Y-o-Y growth in e-commerce and online shopping is primarily driving the global same day delivery market growth. 

Consumers have been increasingly turned towards online platforms for their shopping needs and demand for fast and efficient delivery. The e-commerce industry is growing rapidly worldwide. For instance, retail e-commerce sales worldwide were worth USD 5.8 Trillion in 2023 and are expected to be worth more than USD 8 Trillion by 2027. The benefits of shopping online such as convenience, access to a wide variety of products, and competitive pricing are motivating consumers to do shopping online than traditional shopping. To meet the fast delivery expectations of the consumers, the service providers have been continuously trying to expand their delivery capabilities. This is one of the factors contributing to the widespread adoption of same-day delivery services.  

The rapid urbanization and population density are further boosting the need for same day deliveries and propelling the global market growth. The number of people moving to cities is growing exponentially and is resulting in the growing number of e-commerce sales and driving the demand for same day delivery services. As per a report by McKinsey, an estimated 50% of the consumers who do online shopping frequently expect their orders to be delivered the same day or the next day. Due to the growing demand for quick delivery from customers, E-commerce platforms have been increasingly investing in the logistics infrastructure.  

The growing capital income in developed and developing countries, rising support from government organizations, an increase in the number of online stores, and a rising need for instant medicines, food, and beverages are promoting the growth of the same day delivery market. Furthermore, factors such as the increasing number of advancements in logistics technology, rapid expansion of on-demand services, rising need for last-minute gift delivery, the emergence of same-day grocery delivery services, and the expansion of express courier services are supporting the same day delivery market growth. The integration of real-time tracking and notification systems, the growing popularity of customer loyalty programs offering same-day delivery perks, and increasing demand for same-day delivery in the restaurant and food delivery sector are favoring the growth of the same day delivery market. 

MARKET RESTRAINTS 

High operational costs associated with the same day deliveries are primarily hindering the global market growth. The rise in fraud activities and concern about privacy among people are inhibiting the growth of the same-day delivery market.  

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Same Day Delivery Market By Type 

The B2B segment was the leader in the same day delivery market with 60.9% of the global market share in 2023 and is expected to grow at a healthy CAGR during the forecast period.

The growing retail sales online and the rising prevalence of parcels in express delivery mode options are driving the growth of the B2B segment in the worldwide market. An increase in the demand for time-sensitive deliveries in industries such as healthcare, electronics, and automotive is fueling the need for efficient B2B same-day delivery solutions, which is one of the major factors propelling the growth of the B2B segment in the global market. The rapid adoption of e-commerce platforms and digital marketplaces by B2B buyers and integration of technological advancements in the logistics industry such as route optimization, real-time tracking, and automated warehouse management systems to improve the efficiency and accuracy of B2B delivery operations are further boosting the growth of the B2B segment in the global market. 

The B2C segment is also a major segment in the global same day delivery market and is expected to register a promising CAGR during the forecast period. The rising expectation for on-demand services and the expansion of urban populations are contributing to the growth of the B2C segment. 

Global Same Day Delivery Market By Application 

The e-commerce segment had the major share of the global same day delivery market in 2023 and is predicted to witness the fastest CAGR in the worldwide market during the forecast period.

Owing to the rising awareness among people regarding the available online platforms and the rise in disposable income in urban areas. The growing competition between the e-commerce companies and increasing investments by the e-commerce companies to build logistics networks to offer same-day delivery options to customers are contributing to the expansion of the e-commerce segment in the global market. 

REGIONAL ANALYSIS 

North America had 36.4% of the global market share in 2023 and is expected to continue to flourish during the forecast period.

The domination of the North American market is primarily attributed to the rapid adoption of the latest technology and the launch of various techniques to improve delivery services. Increasing awareness in managing the delivery process is greatly influencing the growth of the North American market. Furthermore, factors such as rapid urbanization, busy lifestyles of the North American population, and the rise of on-demand services are contributing to the expansion of the North American market. The growing efforts from the key market participants in North America to provide quick and on-time deliveries are favoring the growth of the North American market. For instance, in North America, e-commerce giants such as Amazon, FedEx, and UPS have been leveraging technological developments and extensive logistics networks to provide swift delivery services to their customers.  The U.S. is holding the largest share of the North American market. The adoption of drone delivery services to provide quicker delivery service to customers in the U.S. is one of the key trends in the U.S. market. For instance, the usage of drone delivery services in the U.S. is expected to grow annually by 25% in the U.S. 

The Asia Pacific is predicted to be the fastest-growing regional segment in the global market during the forecast period owing to the rising population and also increasing product sales online. India and China are major countries contributing the highest share of the APAC market. The growing e-commerce industry in the Asia-Pacific region and growing investments to improve the infrastructure of logistics are boosting the regional market expansion. China is the leading segment in the Asia-Pacific market.  

Europe is growing tremendously and is to hit a promising CAGR in the coming years. Growing demand to provide better experience is broadening the growth of the market. The Middle East and Africa are anticipated to have the highest CAGR in the coming years. 

RECENT HAPPENINGS IN THE MARKET 

• In January 2024, FedEx gained recognition as the “Best Partner Award for 2023” from Samsung Electronics Logitech. The recognition has been given on account of delivering innovative logistics solutions and ethical practices. 

• In May 2023, FedEx, which is one of the key players in the global same day delivery market. announced their expansion of same day delivery service in Korea. As part of the announcement, people who live outside of Seoul and the Greater Seoul area in Korea can receive their shipments from other continents on the same day of flight arrival. 

DETAILED SEGMENTATION OF THE GLOBAL SAME DAY DELIVERY MARKET INCLUDED IN THIS REPORT

This research report on the global same day delivery market has been segmented and sub-segmented into the following categories.

By Type

• B2B
• B2C

By Application

• Retailers
• E-Commerce

By Region

• North America
• Europe 
• Asia Pacific 
• Latin America
• Middle East and Africa