Market Trends of North America CEP Industry
This section covers the major market trends shaping the North America CEP Market according to our research experts:
E-Commerce is growing in the region:
In 2019, North America accounted 26% of global e-commerce revenue, Internet penetration rates are also good in North America (84%).
The ubiquity of smartphones in North America is one factor affecting the continued growth of online commerce.
Consumers spent USD 601.75 billion online with U.S. merchants in 2019, up 14.9% from USD 523.64 billion the prior year 2018, Total retail sales increased 3.8% in 2019 to USD 3.763 trillion from USD 3.626 trillion the year before 2018.
North-American e-commerce logistics is expected to grow significantly due to various pivotal factors which includes technological advancement, developed Infrastructure and wide connectivity through roadways & railways. High production of goods, presence of large number of e-commerce industries, high disposable income and high internet penetration are some other factors boosting the North America e-commerce logistics market. US contributes highest in the growth of North America e-commerce market followed by Canada due to quality infrastructure and smooth logistic system.
Express and small parcel segment to grow:
North America grew at 9% with the US, the regional market leader growing at 10%. Higher delivery rates and less competition characterize in North America region, The North American market is dominated by UPS and FedEx in the express and small parcel segment. Due to the increased e-commerce and online retail sales in the region, North America is projected to dominate the overall demand for postal automation systems during the forecast period. The growing need for the rehabilitation of existing postal automation systems in North America has resulted in the implementation or expansion of such systems, leading to the growth of postal automation system market.
The growth of value-added services in express delivery is one of the latest trends that will contribute to the growth of this market in North America. Vendors in the express delivery services market in North America are increasingly focusing on providing distinct types of services, such as grading and assortment of products,packaging, online tracking of parcels, mobile applications, e-mail, and SMS alerts. This focus of vendors towards providing such value-added services will subsequently drive the growth of the express delivery market in North America.
