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The report highlights the analysis of the drivers and explains the factors for growth of the industry. Global Trade Boom, Growth in e-Tailing, Growing Business of Private Telecom Sector, Financial Institutions Dependence on Courier and Seasonal Business Upsurge Due to Occasions are the key drivers of this market.
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Top courier companies operating in India are specializing in secure and in-time delivery of Indian pharma products. The telecom sector is dependent on courier service largely for Sending postpaid connection bills, Bulk sim delivery in business houses and Sending important notices and intimations to customers. A commercial bank spends approximately INR 2.4 bn annually on courier to meet its business needs. Courier companies are normally hired by florists to deliver fresh flowers to clientele on birthdays, anniversaries and wedding occasions.
There are various challenges too that the courier industry faces, Poor Infrastructure, Poor Warehousing Facility, Delay in Clearances and High operating costs are the major challenges faced by the courier industry. A huge number of roadways in India are un-metalled that poses difficulty for courier service providers almost 40% of villages do not have any access to all weather roads. Due to heavy cargo movement the customs at various international airports is unable to send detention memo for most of the detained parcels and this adversely affects courier service operators business. High level of competition in the industry limits the ability of courier companies to increase pricing and high level of operating costs coupled with the limited pricing power lead to low profitability for the industry overall
Some recent technology adoption in the courier industry...