Delivery as a Service Market Size, Share & Industry Analysis, By Service Type (Last-Mile Delivery, Reverse Logistics, Scheduled Delivery, On-Demand Delivery and Same-Day Delivery), By Delivery Model (Business-to-Business (B2B), Business-to-Consumer (B2C), and Consumer-to-Consumer (C2C)), By End-Use Industry (E-commerce & Retail, Healthcare & Pharmaceuticals, Food & Beverages, Manufacturing, Logistics & Transportation, and Others) and Regional Forecast, 2025-2032

The global delivery as a service market size was valued at USD 545.64 billion in 2024. The market is projected to grow from USD 597.12 billion in 2025 to USD 1,172.67 billion by 2032, exhibiting a CAGR of 10.12% during the forecast period. 

Delivery as a service is referred to a logistics model where different firms outsource their delivery operations to a third-party provider. It enables businesses to provide fast, on-demand and effective delivery without incurring the cost of maintenance and infrastructure. 

The market is noticing a rapid growth due to growth in e-commerce demand, consumers shifting to online shopping owing to its convenience, competitive pricing and variety. These factors have allowed businesses to rely on prominent delivery solutions to meet the growing consumer needs. 

Few prominent key players operating in the market include Amazon.com, Inc., DHL International GmbH, United Parcel Service, Inc., FedEx Corporation, DPDgroup (La Poste S.A.), SF Express Co., Ltd., JD Logistics, Inc., Kuehne + Nagel International AG and others. These firms are looking for innovations, adopting new technologies and focusing on mergers and acquisitions.

MARKET DYNAMICS

Market Drivers

Rapid Growth of E-Commerce Industry Drives the Market Development 

Growth in global e-commerce section and consumers demanding next-day or same-day deliveries are major forces driving delivery as a service market growth. This growth allows retailers, logistics providers, and restaurants to adopt outsourced and technology based delivery solutions. It has enabled companies to optimize fleet utilization, reduce delivery times, and promote last-mile efficiency. Additionally, the increase in penetration of mobile ordering platforms and digital payments further support this growing demand across B2C and B2B sectors.

• For instance, according to the United Nations Conference on Trade and Development (UNCTAD), global e-commerce sales exceeded USD 5.8 trillion in 2023, with continued double-digit growth expected through 2030.

Market Restraints

High Operating Costs and Infrastructure Constraints Hampers the Market Growth

The market for Delivery as a Service faces challenges aligned with a high operational expenses and inconsistent infrastructure, especially in emerging markets. Despite its rapid expansion, the rising fuel costs, fluctuating urban logistics regulations and labor shortage increases the service costs for delivery operators. 

Additionally, the lack of standardized technology platforms and limited cold-chain infrastructure deters the scalability of time-sensitive deliveries including groceries and pharmaceuticals. Compliance with carbon-emission regulations in North America and Europe also pushes different logistics providers to invest highly in electric vehicles and sustainable fleet modernization, thus adding to the cost.

Market Opportunities

Integration of Autonomous and Sustainable Delivery Solutions Offers Lucrative Growth Opportunities 

Prominent opportunities for the market are evolving through the integration of advanced technologies including drones, autonomous delivery vehicles, and AI based route optimization system. Governments across the U.S., Europe, and Asia Pacific are also supporting pilot programs for the electric last-mile and drone based deliveries to enhance the urban logistics efficiency. 

Additionally, different companies including UPS, Amazon and JP Logistics are vigorously investing in autonomous delivery landscape, thus generating new revenue streams and decreasing the cost of last-mile delivery costs. The growing focus on sustainability also offers opportunities by differentiating the product through green logistics and carbon neutral operations, thus appealing to environmentally conscious consumers and enterprises. 

DELIVERY AS A SERVICE MARKET TRENDS 

Platform Consolidation and Shift Toward Data-Driven Logistics Networks Has Emerged as a Prominent Market Trend

The market is noticing a significant trend with different key players adopting logistics, fulfillment and delivery services into a unified digital ecosystem. There is a rapid shift toward a data driven delivery landscape with the use of predictive analytics and AI to optimize route planning, delivery times and fleet management. 

Additionally, partnerships among the retail platforms and logistics providers, including Amazon’s adoption of third party couriers as well as Uber’s global partnership with delivery as a service provider, tends to create a hybrid network that comprises crowd-sourced and specialized delivery modes. This trend highlights the transformation toward a technology based and flexible logistics network that is capable to supporting the future of urban mobility and global commerce.

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SEGMENTATION ANALYSIS

By Service Type

Surge in Urban Logistics Networks, Omnichannel Retailing and Surge in Investments Boosts Last-Mile Delivery Segment Growth

Based on service type, the market is segmented into last-mile delivery, reverse logistics, scheduled delivery, on-demand delivery and same-day delivery. 

In 2024, last-mile delivery segment held the largest delivery as a service market share and with a revenue of USD 297.90 billion. This dominance is driven by the growing adoption of last-mile delivery solutions across the retail, e-commerce and food services where speed and reliable doorstep delivery fulfillment has emerged as a key differentiator among the players. This segmental growth is also supported by the surge in urban logistics networks, omnichannel retailing and surge in investments across the route optimization and fleet automation technologies by the logistics providers. 

On the other hand, the same-day delivery segment held the highest CAGR of 14.19% in 2024. This growth is owing to the growing consumer expectations for a rapid order fulfillment, integration of advanced logistics technologies including real-time tracking and predictive delivery analytics, and growing penetration of digital marketplaces. Moreover, the expanding urban population and strategic investments by courier as well as e-commerce platforms across the micro-fulfillment centers are also augmenting the segmental growth. 

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By Delivery Model

Growing Expansion of Food Delivery, E-Commerce and Online Retail Platforms Drives Business-to-Consumer (B2C) Segment Growth

The market is divided into Business-to-Business (B2B), Business-to-Consumer (B2C) and Consumer-to-Consumer (C2C), based on delivery model. 

Among these, Business-to-Consumer (B2C) segment dominated the market with a revenue share of USD 358.17 Billion in 2024. The segment also held highest CAGR of 11.36% in 2024. The segment’s growth is driven by growing expansion of food delivery, e-commerce and online retail platforms, where the direct-to-consumer’s logistics is core of delivery operations. This also benefits from the growing smartphone and internet penetration, with consumers preferring doorstep convenience and rapid investment in digital logistics infrastructure by companies. Moreover, strategic partnerships among the retailers, last-mile operators and courier services are also improving the delivery reliability, speed, and visibility, leading to the segment’s growth. 

By End-Use Industry 

Rise in Online Shopping Volumes Drives E-commerce & Retail Segment Growth

The market is divided into e-commerce & retail, healthcare & pharmaceuticals, food & beverages, manufacturing, logistics & transportation and others, based on end-use industry.

Among these, the e-commerce & retail segment dominated the market with a revenue share of USD 265.47 billion in 2024. This segment’s growth is driven by the rise in online shopping volumes and ongoing digitalization of retail operations. Different global and regional retailers are relying on the outsourced delivery services to optimize the logistics efficiency, enhance the customer experience and reduce last-mile costs. Additionally, the combination of offline and online sales with the growth in same and next day delivery has also strengthened segment’s growth. 

The food & beverages segment held highest CAGR of 11.32% in 2024. This segmental growth is attributed to rapid adoption of online food ordering platforms, emergence of cloud kitchens and increased consumer preference for rapid meal delivery. Additionally, the expanding partnerships among aggregators, restaurants, and logistics companies are improving the delivery speed and reliability with growth in subscription based meal services and grocery delivery apps continue to augment the time-sensitive and specialized delivery models. 

DELIVERY AS A SERVICE MARKET REGIONAL OUTLOOK

Geographically the market is segmented into North America, Europe, Asia Pacific, South America and Middle East & Africa.

North America

The North America region dominated the market with a revenue share of USD 175.76 billion in 2023 and USD 190.70 billion in 2024. This regional growth is due to presence of mature e-commerce ecosystem, developed logistics infrastructure and dense sub-urban and urban consumer bases. Additionally, large retailers and marketplaces across the U.S. maintains integrated fulfillment networks as well as long-established carrier partnerships, while the widespread adoption of digital payments, significant private investment across last-mile automation, micro-delivery fulfillment and consumers demanding rapid delivery drives the regional market growth. The U.S. leads the regional market with an expected revenue share of USD 158.53 billion in 2025. 

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Europe

The Europe region is growing with an expected share of USD 4.15 billion in 2025. This growth is attributed to growing demand for flexible and rapid deliveries, rising e-commerce adoption, expansion of cloud-based logistics platforms, and surging use of AI and automation for route optimization. U.K., Germany, and France are some of the major contributors to the market growth with an expected revenue share of USD 33.13 billion, USD 35.77 billion and USD 27.06 billion respectively by 2025. 

Asia Pacific

Asia Pacific region is expected to reach USD 158.81 billion in 2025. The region also held highest CAGR of 12.76% in 2024. This regional growth is attributed to growth in e-commerce penetration, digital adoption across emerging markets and quick urbanization. Moreover, rapid growth in middle class population, mobile commerce and growing investment in drone trials, micro-fulfillment and platform-based logistic models also accelerates the market growth. This is coupled with a low current per capita delivery penetration in the developed markets, producing a higher growth. India and China are the major contributors for the market growth with an expected revenue share of USD 24.48 billion and USD 87.10 billion by 2025. 

South America and Middle East & Africa

The markets in South America and Middle East & Africa are growing with an expected share of USD 30.13 billion and USD 29.66 billion respectively in 2025. This growth is due to increase in urbanization, investment in logistics infrastructure, and rising internet penetration across the region. GCC countries are predicted to have a market share of USD 15.97 billion by 2025. 

COMPETITIVE LANDSCAPE

Key Industry Players

Key Players Are Focusing on Adopting Innovative Strategies to Retain their Market Positions

The delivery as a service industry features different global giants including Amazon.com, Inc., DHL International GmbH, United Parcel Service, Inc., FedEx Corporation, DPDgroup (La Poste S.A.), SF Express Co., Ltd., JD Logistics, Inc., Kuehne + Nagel International AG and others. These firms focus on adopting new technologies, new service launches and partnerships with different firms to sustain the competition and retain market position. 

LIST OF KEY DELIVERY AS A SERVICE COMPANIES PROFILED

• Amazon.com, Inc. (U.S.)
• DHL International GmbH (Germany)
• United Parcel Service, Inc. (U.S.)
• FedEx Corporation (U.S.)
• DPDgroup (La Poste S.A.) (France)
• SF Express Co., Ltd. (China)
• JD Logistics, Inc. (China)
• Kuehne + Nagel International AG (Switzerland)
• DoorDash, Inc. (U.S.)
• Uber Eats (U.S.)
• Delhivery Limited (India)
• Zomato Limited (India)
• Bundl Technologies Private Limited (Swiggy) (India)

KEY INDUSTRY DEVELOPMENTS

• In July 2025, E-commerce major Amazon has launched its 10-minute delivery service, Amazon Now, in parts of Delhi, weeks after its public debut in Bengaluru, marking a calculated but notable entry into India’s fiercely competitive quick commerce space.
• In April 2025, Following a successful launch in Bengaluru, Flipkart announced plans to expand its "Flipkart Minutes" same-day delivery service to New Delhi and Mumbai. This initiative includes establishing around 100 dark stores (small, local warehouses) to enable rapid order fulfillment.
• In January 2025, Delhivery has rolled out a new service called Rapid Commerce, aimed at meeting the growing demand for ultra-fast deliveries. This service, which offers delivery in under two hours, has been launched in Bengaluru and is already managing over 300 orders a day.
• In November 2024, Amazon India launched its quick commerce delivery service, codenamed Tez, as it looks to join the booming sector that notched up gross sales of about USD 5.5-6 billion this month led by Blinkit, Zepto and Swiggy Instamart. 
• In June 2021, FedEx Corp. and Nuro announce a multi-year, multi-phase agreement to test Nuro’s next-generation autonomous delivery vehicle within FedEx operations. The collaboration between FedEx and Nuro launched with a pilot program across the Houston area. This pilot marks Nuro’s expansion into parcel logistics and allows FedEx the opportunity to explore various use cases for on-road autonomous vehicle logistics, including multi-stop and appointment-based deliveries. The Nuro pilot is the latest addition to the FedEx portfolio of autonomous same-day and specialty delivery devices.

REPORT COVERAGE

The global report provides a detailed analysis of the market and focuses on key aspects such as prominent companies, hardware type, deployment type and end user of the product. Besides this, it offers insights into the delivery as a service market trends and highlights key industry developments and market share analysis for key companies. In addition to the aforementioned factors, the report encompasses several factors that have contributed to the growth of the market over recent years. 

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Report Scope & Segmentation