Care package: Despite increasing internet use, the industry is expected to grow

While downstream demand for Couriers and Local Delivery Services industry primarily stems from manufacturers and retailers that require couriers to transport commercial goods over relatively long distances, demand for local delivery services is typically derived from local businesses and individual consumers. Demand for these services is generally cyclical, and industry revenue has experienced constrained growth over the past five years as improving consumer conditions have been offset by declining demand for document delivery services and plummeting fuel prices. The industry is projected to experience strong growth over the next five years, with growth in consumer spending and Canadian trade activity bolstering demand for industry courier more.

Industry Statistics & Market Size
Annual Growth 12-17
Forecast Growth 17-22

Industry Threats & Opportunities

  • Improving consumer conditions have been offset by declining demand for document delivery services
  • The majority of documents are created and transferred electronically, reducing the need for a courier
  • Increased consumer spending will cause the volume of goods being transported to rise
  • Industry Report - Industry Products Chapter

    CouriersCouriers pick up documents and packages needing to be sent or received quickly and deliver them to a specified location. Since the vast majority of deliveries by industry couriers occur over short distances within Canada, ground transportation is the most common mode of transport used by industry operators. Additionally, ground transportation is typically a cost-effective option for downstream clients due to the lower fuel and wage costs associated with ground delivery. In addition to ground delivery, the segment's largest players, such as FedEx and UPS, have fleets of aircraft used to transport parcels over relatively long distances. Air transit enables operators to offer overnight delivery services. Air...purchase to read more.

    Additional Insights for the Couriers & Local Delivery Services Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Couriers & Local Delivery Services Industry are

  • Effective quality control
  • Optimum capacity utilization
  • Differentiating services from competitors
  • IBISWorld analysts also discuss how external factors such as Consumer spending and Corporate profit in the Couriers & Local Delivery Services industry impact industry performance..

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    What's in this report

    What is the Couriers & Local Delivery Services Industry?

    This report combines two separate industries: Couriers (NAICS 49211) and Local Messengers and Delivery Services (NAICS 49221). Couriers are establishments that primarily engage in delivery services between urban centres using a network of air and surface transportation systems. In contrast, local messengers provide delivery services within a single urban area and are excluded from courier networks.

    Industry Products
  • Couriers
  • Messengers and local deliveries
  • Industry Activities
  • Providing air courier services
  • Providing general courier services (intercity network)
  • Providing local letter and parcel delivery services (intercity network and nonintercity network services)
  • Providing messenger service
  • Serving as bicycle couriers
  • Providing grocery delivery services (i.e. independent service from grocery stores)
  • Providing restaurant meal delivery services (i.e. independent delivery services)
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer spending
  • Corporate profit
  • Total trade value
  • Number of businesses
  • World price of crude oil

  • Current Performance
  • Petroleum and profit
  • Back to business
  • E-commerce and e-mail
  • Industry landscape
  • Chart: Revenue Growth

  • Industry Outlook
  • Improving conditions
  • Documents and digitization
  • Industry landscape
  • Table: Couriers & Local Delivery Services Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Couriers & Local Delivery Services Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Retail Trade In Canada
  • Finance and Insurance In Canada
  • Hospitals in Canada

  • Key Selling Industries
  • Aircraft Maintenance, Repair & Overhaul in Canada
  • Bicycle Dealership & Repair in Canada
  • Fuel Dealers in Canada
  • New Car Dealers in Canada
  • Oil Change Services in Canada

  • Products & Services
  • Couriers
  • Messengers and local deliveries
  • Chart: Couriers & Local Delivery Services Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Domestic market
  • Foreign market: inbound
  • Foreign market: outbound
  • Chart: Major Market Segmentation for the Couriers & Local Delivery Services Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesRent and UtilitiesDepreciationOther
  • Chart: Cost Structure Benchmarking – Sector vs Couriers & Local Delivery Services

  • Basis of Competition
  • Internal Competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Couriers & Local Delivery Services Industry

  • Industry Globalization
    United Parcel Service of America Inc., FedEx Corp., Purolator Inc., TFI International Inc.,
  • Table: United Parcel Service of America Inc. - financial performance
  • Table: FedEx Corp. - financial performance
  • Table: Purolator Inc. - financial performance
  • Table: TFI International Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Couriers & Local Delivery Services Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Couriers & Local Delivery Services Industry
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Number of businesses (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Courier Service
  • Fast, door-to-door, local or international pickup and delivery service of letters and goods that uses a network of transportation systems, including air and ground transportation.
  • Express Delivery
  • A courier service that guarantees quick delivery, mainly next-business-day or two-day service.
  • Local Messengers
  • Companies that deliver small items within a single metropolitan area.
  • What Our Customers Say

    Why buy this report?

    The Couriers & Local Delivery Services market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
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    This report on Couriers & Local Delivery Services:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Couriers & Local Delivery Services market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Couriers & Local Delivery Services, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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