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Last Mile Delivery Market Size 2020 A Revolution In Transportation & Logistics Industry, Top Players – United Parcel Service of America, DHL, FedEx, XPO Logistics & more by 2025

December 05, 2019 | About:

Last Mile Delivery Market 2020-2025: According to Allied Market Research, Last mile delivery market set to surpass with a robust CAGR during the forecast year 2019-2025.

The global last mile delivery market is segmented based on service type, vehicle type, delivery time, topography and region. Based on service type, the market is categorized into Business-to-Business (B2B), Business-to-Consumer (B2C ), and Customer-to-Customer (C2C). Vehicle type is further classified as motorcycle, light commercial vehicle, heavy commercial vehicle, and drones. Delivery time is divided into regular delivery, and same-day delivery. Based on topography, the market is segregated into rural, low density cities, medium-density cities, and high-density cities. Based on region, the last mile delivery market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

The key players of the last mile delivery market analyzed are United Parcel Service of America, Inc., FedEx Corporation, USPS (United States Postal Service), XPO Logistics Inc., DHL International GmbH, Ryder System Inc. / MXD Group, Schneider National Inc., J.B. Hunt Transport Inc., ArcBest Corporation, SEKO Worldwide LLC (SEKO Logistics), and others.

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The movement of goods from a distribution center to the end-user which is usually the last delivery destination is known as last mile delivery. The focus of last mile delivery companies is mainly on delivery of good to the end-user as fast as possible. The most efficient and cost-efficient manner of shipping is transportation of goods through rail networks and container ships. However, goods arrive at a high capacity ports, they must be transported to the last destination. This last phase of supply chain is less efficient and comprises major part of total cost to move goods from transportation hub to destination and this problem is termed as Last Mile Problem.

Retailers should take measures to prepare transportation for fluctuations in traffic caused due to expected rise in online sales. Retailers have started the search for alternatives to meet the customers need as traditional methods of delivery are not successful in all the regions. Transportation partners have started looking for delivery alternatives such as local regional carriers, drones, click-to-collect locations, and others, to provide faster last mile delivery.

Leading automobile companies are coming up with innovation in the last mile delivery market that are to be commercialized in future. For instance, Volkswagen has started an innovation We, which is now in testing phase in Berlin and is expected to be launched once all the phases of testing are completed. This technology will be launched in partnership with DHL, a leading logistics company, allowing delivery of goods in boot of cars offering a solution for the cases where customer is not present at the time of delivery. In addition, “Vans & Drones” and “Vans & Robots” are projects by Mercedes-Benz in which drones deliver packages to the landing sites or vans roof. This system is developed in partnership with a drone start up company from silicon valley, Matternet.

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Factors such as increase in trading activities due to globalization, surge in e-commerce industry operations, and rise in popularity of Omnichannel retailing are driving the growth of last mile delivery market. However, road congestion in urban areas and rise in cost of operation due to high fuel prices is expected to hamper the growth of the market.

Key Benefits for Last Mile Delivery Market:

•This study includes the analytical depiction of the global last mile delivery market along with the current trends and future estimations to determine the imminent investment pockets.

•The report presents information regarding the key drivers, restraints, and opportunities.

•The current market is quantitatively analyzed from 2017 to 2025 to highlight the financial competency of the industry.

•Porters five forces analysis illustrates the potency of the buyers and suppliers in the industry.

Last Mile Delivery Market Segmentations:

By Service Type

Business-to-Business (B2B)

Business-to-Consumer (B2C)

Customer-to-Customer (C2C)

By Vehicle Type


•Commercial Vehicles

•Light Commercial Vehicle (LCV)

•Heavy Commercial Vehicle (HCV)


By Delivery Time

•Regular delivery

•Same-day delivery

By Topography


•Low density cities

•Medium density cities

•High density cities

By Region

•North America









Rest of Europe






Rest of Asia-Pacific


Latin America

Middle East


About Us:

Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of “Market Research Reports” and “Business Intelligence Solutions.” AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.

We are in professional corporate relations with various companies and this helps us in digging out market data that helps us generate accurate research data tables and confirms utmost accuracy in our market forecasting. Each and every data presented in the reports published by us is extracted through primary interviews with top officials from leading companies of domain concerned. Our secondary data procurement methodology includes deep online and offline research and discussion with knowledgeable professionals and analysts in the industry.


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