"Market Intelligence for High-Geared Performance"
The U.S. white glove services market size was valued at USD 7.84 billion in 2022. The market is projected to grow from USD 8.78 billion in 2023 to USD 20.25 billion in 2030 at a CAGR of 12.7% in the 2023-2030 period.
White glove services are a type of delivery service that goes further than a simple pick-up and drop-off of items. These services provide a premium and exceptional delivery experience for customers. Often, white glove services refer to the delivery of items that require certain assistance and extra handling of the products. The service also includes delivery and installation of the items in the specific room and also involves removing debris in some cases.
The U.S. market for white glove services is one of the most influential and prominent markets owing to increased demand for extra care logistics services in the country. The increasing presence of e-commerce companies and the higher presence of consumers ordering items online support the growth of the U.S. market. With the continuous growth of e-commerce, there has been an increase in the delivery of high-value and fragile goods directly to consumers. This includes items such as furniture, electronics, art pieces, and other luxury items that may require special handling.
Pandemic Restrictions Hampered the Growth of the Market to Some Extent
The coronavirus pandemic disrupted supply chain operations around the world. The crisis placed unprecedented pressure on transportation and logistics resources. Moreover, shippers faced major challenges in the movement of goods due to entry and exit restrictions in certain countries. The pandemic also created a slightly disrupted situation for the U.S. region owing to the temporary shutdown of raw material suppliers' logistics operations, and further, reduced spending capacity of various end-users accounted for a notable drop in the white gloves market size in the U.S.
Furthermore, the COVID-19 pandemic drastically impacted e-commerce and the associated deliveries, especially as people shifted toward online purchasing of items to avoid leaving their houses. According to the 2020 ARTS release, e-commerce sales increased by USD 244.2 billion or 43% in 2020, the initial year of the pandemic, rising from USD 571.2 billion in 2019 to USD 815.4 billion in 2020 in the U.S. However, post-pandemic, the U.S. market witnessed rapid recovery coupled with greater demand for logistics services than before. Therefore, even this market was able to recover successfully post-pandemic and is on a trajectory to grow at a significant growth rate.
Rise of 3PL Services and Increasing Emphasis on Reducing the Environmental Impact of Logistics Operations is the Prominent Market Trend
The rise of 3PL services has contributed to the demand for white glove services. As consumers increasingly purchase high-value goods online, the demand for the solution within the 3PL sector has risen to meet the need for specialized delivery. In addition, technological advances are becoming increasingly common in the transportation and logistics market. Leading logistics companies operating in the market are focusing on technological advancements to maintain their dominant position in the market.
Moreover, all major industry participants are digitizing their supply chain systems. Transportation management System (TMS), such as freight viewers and tracking systems, are also moving to the cloud for greater efficiency. In addition, there is a growing emphasis on reducing the environmental impact of logistics operations. Companies are adopting sustainable practices such as optimizing transportation routes using eco-friendly packaging to align with customers' preferences. The boom in the e-commerce sector is driving the demand for personalized and customized experiences and white glove services. White gloves minimizes handoffs and thus reduce the chance of loss, theft, and damage, all of which are expensive for a manufacturer to address.
Request a Free sample to learn more about this report.
Growing Demand for Personalized and Premium Customer Delivery Experience to Drive Market Growth
Growing demand for personalized and premium customer experience is a prominent factor driving market growth in the U.S. White glove service is becoming a norm in last-mile logistics. Today’s customers expect a different level of service compared to previous decades, and logistics companies are taking initiatives to keep up with these shifting expectations.
White glove deliveries contribute to enhanced customer satisfaction by providing a seamless and personalized experience. Customers feel valued and appreciated when their goods are handled with care and delivered with precision. This positive experience promotes trust and loyalty, leading to repeat business and referrals. Companies, therefore, are rendering white glove delivery services to improve their brand image and distinguish themselves from competitors in a crowded marketplace. Thus, these aspects, among a few others, are expected to drive U.S. white glove services market growth.
Rapid Boom in E-Commerce Business Fueled Market Growth
The rapid boom in the e-commerce market has intensified the demand for white glove transportation services in the U.S. As online shopping continues to grow, customers increasingly value services that go beyond standard delivery. As per the Census Bureau of the Department of Commerce, the U.S. retail e-commerce sales for the third quarter of 2023 were worth USD 284.1 billion, an increase of 2.3% from the second quarter of 2023.
As e-commerce continues to boom, the number of products being purchased online is expanding. There is a significant rise in the number of consumers purchasing home appliances, furniture, and white goods online. White glove services offer specialized handling, such as assembly, installation, and personalized consultation, enhancing the overall experience. According to the U.S. Department of Commerce, e-commerce sales reached USD 1.03 trillion in 2022, surpassing USD 1 trillion. Moreover, businesses are investing in premium services to set themselves apart, gain customers’ trust and capture a wider customer base. These few aspects, among others, drive the growth of the U.S. white glove services market.
High Cost and Logistical Challenges May Hamper Market Growth
White glove services often involve higher costs due to specialized care and attention provided. This can limit the accessibility for budget-conscious customers and businesses. In addition, these services involve additional steps, including assembly and in-home setup, contributing to higher operational costs. Balancing these additional costs while remaining competitive can be challenging. Moreover, coordinating services, including assembly, installation, or personalized consultation, may pose logistical challenges, especially when dealing with diverse products and locations. Similar other factors might have a negative impact on the market, further hampering market growth.
Cost-effectiveness of Traditional Services to Foster Segment Growth
Based on type, the market is segmented into traditional and non-traditional.
In 2022, the traditional sub-segment dominated the U.S. white gloves services market share. Traditional white glove services logistics have been cost-effective for domestic transportation, especially for bulk goods. These factors have contributed to the largest market share of the traditional segment. Traditional logistics practices also involve various techniques, such as freight consolidation, route optimization, storage, and freight handling, among others, aimed at ensuring the timely and smooth delivery of the items. These factors account for a larger market demand for traditional white glove services in the U.S.
The non-traditional segment is expected to grow at the highest CAGR during the forecast period. The upsurge of e-commerce has changed the retail landscape by bringing more flexibility, efficiency, and incorporating technologies in the logistics operations. In addition, customers are expecting faster, more transparent, and customized premium services. All these factors are propelling the growth of the non-traditional logistics market.
To know how our report can help streamline your business, Speak to Analyst
Electronics Appliances Segment Dominates Due to the Requirement for Precise Handling
Based on application, the market is classified into electronics appliances, furniture, sports equipment, and others.
In 2022, the electronics appliances segment held the largest share of the U.S. market. The largest market share can be attributed to its higher value, the fragility of goods, and the need for precise handling. The high demand for electronics, in turn, resulted in higher demand for the solution. White gloves are crucial for electronics as they involve specialized care, ensuring items such as electronic appliances are handled with meticulous care.
The furniture segment is expected to grow at a high rate during the forecast period, followed by electronics appliances. Customers purchasing furniture seek premium service that goes beyond standard delivery, ensuring hassle-free and personalized experiences.
Sports equipment and others sub-segments are also expected to record a moderate growth rate during the forecast period, owing to rising consumer preferences and the reliability of the solution.
Significant Economic Development in Southern U.S. Fuels Market Growth in the Region
Based on region, the market is classified into western U.S., southern U.S., midwestern U.S., and northeastern U.S.
In 2022, the southern U.S. accounted for the largest market among other regions in the U.S., therefore accounting for the majority of the U.S. white glove services market share. The higher market share can be attributed to significant population growth, economic development, and increasing consumer spending on high-end products such as furniture, household appliances, and electronics.
The northeastern U.S. region accounted for the highest growth rate of 13.8% CAGR during the 2023-2030 period, owing to the region being home to dense population urban areas, including New York City and Boston, with high-income groups. Consumers in this region are eager to spend more on premium services. Moreover, the demand for the solution is higher in this region.
The western and midwestern regions also accounted for a decent market share in 2022 and are expected to grow at a decent rate during the forecast period, owing to the rising penetration of the solution in the region.
XPO, SEKO and UPS Dominated the Market due to Their Diverse Service Portfolio
The U.S. white glove services market is fragmented, with various players operating in local and regional markets depending on the services offered by the players operating in the U.S. markets. The top 3 players include the XPO, SEKO and UPS. The XPO dominated this market with a leading market share in 2022. XPO Inc. is one of the leading companies in the U.S., and it specializes in the delivery of logistics, shipment handling, and tracking services. The company offers a variety of logistics and shipping services for its customers, along with a few premium services on demand from customers. Some of the other prominent players in the market include Ryder, J.B. Hunt Transport and Werner Global Logistics. The major players in the U.S. within the white glove market are highly focused on expanding their market presence across various regions within the country.
The report provides a detailed analysis of the U.S. market and focuses on key aspects, such as prominent market players, type, and leading applications of the services. Besides this, it offers insights into the latest market trends and highlights key industry developments. In addition to the factors mentioned above, the report encompasses several factors that have contributed to the market’s growth in recent years.
An Infographic Representation of U.S. White Glove Services Market
To get information on various segments, share your queries with us
CAGR of 12.7% from 2023 to 2030
Value (USD Billion)
A study by Fortune Business Insights Inc. says that growing at a CAGR of 12.7%, the market is poised to exhibit steady growth during the forecast period (2023-2030).
The growing demand for personalized and premium customer experience is expected to drive market growth.
XPO, SEKO and UPS are the major players in the U.S. market.
By type, the traditional segment dominated the market in 2022.
The market size of U.S. white gloves services market was USD 7.84 billion in 2022.
“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”- U.S.-based biotechnology company focussing on treatment of chronic pain.
“Kudos to your team. Thank you very much for your support and agility to answer our questions.”- Europe-based provider of solutions to automate data centre operations.
“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”- India-based manufacturer of industrial and specialty intermediates with a strong global presence.
“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”- One of the largest cosmetics company in the world.
“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”- U.S. based startup operating in the cultivated meat market.
“We received the below report on the U.S. market from you. We were very satisfied with the report.”- Global hearing aids manufacturer.
“I just finished my first pass-through of the report. Great work! Thank you!”- U.S. based solar racking solutions provider.
“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”- World’s leading advisory firm.
“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”- Germany based machine construction company.
“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”- Japanese manufacturing company of stationery products.
“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”- One of the Leading Food Companies in Germany
“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”- Intuitive Surgical
“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”- Major Food Company in Japan
“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”- Ziering Medical
“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”- Major Manufacturer of Precision Machine Parts in India
“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”- Hewlett-Packard
“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”- Global Management Consulting Firm
“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”- UK-based Start-up in the Medical Devices Sector
“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”- One of the Largest Companies in the Defence Industry