Autonomous Last Mile Delivery Market by Platform (Aerial Delivery Drones, Ground Delivery Vehicles (Delivery Bots, Self-Driving Vans & Trucks)), Solution, Application, Type, Payload Weight, Range, Duration and Region - Global Forecast to 2030

Autonomous Last Mile Delivery Market by Platform (Aerial Delivery Drones, Ground Delivery Vehicles (Delivery Bots, Self-Driving Vans & Trucks)), Solution, Application, Type, Payload Weight, Range, Duration and Region - Global Forecast to 2030

The autonomous last mile delivery market is valued at USD 0.9 billion in 2023 and is projected to reach USD 4.2 billion by 2030, at a CAGR of 22.7%. The ever-expanding e-commerce industry and deployment of omnichannel distribution put higher pressure on last mile logistics through aerial and ground modes. The last mile delivery is the segment of the supply chain that creates big economic and ecological challenges for firms. The recent trend of delivery 'Uberization' (relocation to the on-demand business model based on immediate contact between consumers through mobile technologies for effective delivery) would persist due to the capabilities of IoT solutions and AI. However, in addition to revising delivery (forwarding) business models, last mile logistics would be subjected to higher automation. One of the last mile automation proposals in trans-shipment and fulfillment centers and logistics hubs is the application of dynamic management of ""chaotic"" warehouses, shipping automation, and integration with Transportation Management Systems (for instance, through Warehouse Execution Systems). The last mile delivery automation scheme also includes advanced analytics that employs machine learning in predictive models to simulate and predict customer behavioral patterns and forecast material flows and logistics routes.

Based on the aerial platform segment, Delivery Drone is to grow at the highest CAGR during the forecast period.

Based on Platform, The market for delivery drones in the aerial segment is projected to grow with a higher CAGR during the forecast period. This is due to the increasing need for autonomous delivery solutions in the food and retail sectors. Some of the commercial market players well-known for drone delivery services at present are Flytrex (Israel), Wing (US), UPS Flight Forward (US), Wingcopter (Germany), and furthermore.

Based on the ground platform segment, Self-driving Vans & Trucks are to grow at the highest CAGR during the forecast period.

Based on Platform, The market for Self-driving Vans & Trucks in the ground segment is projected to grow with a higher CAGR during the forecast period. Autonomous self-driving delivery vans & trucks have larger cargo weight handling capacity than delivery bots. These delivery vans & trucks are critical for cities wherein traffic congestion is a serious problem. These vehicles have a large payload-carrying capacity and can operate for 12 hours on a single charge. The self-driving system employs infrared radar, LiDAR, advanced cameras, modern motion sensors, exceptionally accurate sensors, and very important complex algorithms that permit the truck to drive itself. Decongestion of traffic is an incredible self-driving truck market opportunity.

Based on Range, aerial and ground segments comprise Short Range (< Kilometers) and long-range segments (>20 Kilometers).

Based on Range, The long-range segment (>20 kilometers) is projected to dominate both the aerial and ground autonomous last mile delivery markets, displaying a higher CAGR throughout the forecast period. This can be attributed to several factors, including the high portability, improved efficiency, and reduced operating costs associated with aerial drone delivery services. The demand for long-range autonomous delivery solutions stems from the necessity to address pollution concerns in large cities. By utilizing long-range aerial drones and ground robots, carbon dioxide emissions can be significantly reduced, making this market segment a key driver in the industry. The advantages of long-range autonomous delivery services extend beyond environmental benefits. These solutions offer enhanced flexibility and accessibility, enabling the efficient transportation of goods over extended distances. The ability to reach remote and underserved areas with ease further contributes to the growth of the long-range segment. Moreover, the increasing emphasis on sustainability and the growing awareness of environmental impact drive the adoption of long-range autonomous delivery options. Businesses and consumers alike are actively seeking eco-friendly alternatives, making the long-range segment an attractive choice for meeting their needs. With its combination of convenience, efficiency, and environmental friendliness, the long-range segment in both aerial and ground autonomous last mile delivery markets is positioned to experience substantial growth in the foreseeable future.

Based on the solution, the aerial delivery drone/ground delivery vehicle market is classified into hardware, software, and infrastructure.

The infrastructure solution segment is poised to experience the highest growth in both the Aerial and Ground segments. This growth can be attributed to ongoing technological advancements that have fueled the demand for infrastructure solutions for drone and ground bot operations. These advancements enable the integration of sophisticated sensors and AI technology into existing airframes and autonomous delivery vehicles, resulting in improved flight control, performance, and overall operational efficiency.

“ North America is expected to hold the highest market share.”

North America is projected to lead the autonomous last mile delivery market in 2023. The US is the largest market for autonomous last mile delivery in North America. The growing spending by the US government organizations for drone/autonomous ground vehicle upgradation and private players, along with the deployment of autonomous last mile delivery solutions, are key factors expected to drive the market in North America.

The break-up of the profile of primary participants in the autonomous last mile delivery market:

By Company Type: Tier 1 – 49%, Tier 2 – 37%, and Tier 3 – 14%

By Designation: C Level – 55%, Director Level – 27%, and Others – 18%

By Region: North America – 55%, Europe – 27%, Asia Pacific – 9%, RoW – 9%

The major players in the autonomous last mile delivery market mainly resorted to contracts to drive their growth. They also entered new markets by launching technologically advanced and cost-effective products. Nuro (US), JD.com (China), Kiwibot (US), Starship Technologies (US), Amazon (US), United Parcel Service (UPS) (US), Zipline (US), Wing (US), Matternet, Inc. (US), Flirtey (SkyDrop) (US), Alibaba Group (China), are some of the leading players in the market who adopted this strategy. An increase in the demand for advanced autonomous last mile delivery products and the growth of emerging markets has encouraged companies to adopt this strategy to enter new regions.

Research Coverage:

Based on the platform, the autonomous last mile delivery market in the aerial segment is divided into Cargo Drone and Delivery Drones, and for the ground segment, the market is divided into Delivery Bots and Self Driving Trucks and Vans. Based on range, the autonomous last mile delivery market in the aerial and ground segments comprise Short Range (< Kilometers) and long-range segment (>20 Kilometers). By Payload Weight, Aerial and Ground segments are divided into <5 kilograms, 5–10 kilograms, and >10 kilograms. Based on application, the aerial delivery drone market has been segmented into logistics & transportation, healthcare & pharmacy, and retail & food. Based on application, the ground delivery vehicles market has been segmented into logistics & transportation and retail & food. Based on the solution, the aerial delivery drone/ground delivery vehicle market is classified into hardware, software, and infrastructure.

The autonomous last mile delivery market is segmented according to five key regions in this report, namely, North America, Europe, Asia Pacific, Middle East, Latin America, and Africa, along with their key countries. The scope of the report covers detailed information regarding the major factors, such as drivers, restraints, challenges, and opportunities, influencing the growth of the autonomous last mile delivery market. A detailed analysis of the key industry players has been done to provide insights into their business overviews; solutions and services; key strategies; agreements, collaborations, new product launches, contracts, expansion, acquisitions, and partnerships associated with the autonomous last mile delivery market.

Reasons to buy this report:

The report will help the market leaders/new entrants in this market with information on the closest approximations of the revenue numbers for the overall autonomous last mile delivery market and the subsegments. This report will help stakeholders understand the competitive landscape and gain more insights to position their businesses better and plan suitable go-to-market strategies. The report also helps stakeholders understand the pulse of the market and provides them with information on key market drivers, restraints, challenges, and opportunities.

The report provides insights on the following pointers:

Analysis of key drivers and there are several factors that could contribute to an increase in the autonomous last mile delivery market.

Market Penetration: Comprehensive information on autonomous last mile delivery systems offered by the top players in the market

Product Development/Innovation: Detailed insights on upcoming technologies, research & development activities, and new product & service launches in the autonomous last mile delivery market

Market Development: Comprehensive information about lucrative markets – the report analyzes the autonomous last mile delivery market across varied regions

Market Diversification: Exhaustive information about new products & services, untapped geographies, recent developments, and investments in the autonomous last mile delivery market

Competitive Assessment: In-depth assessment of market shares, growth strategies, and service offerings of leading players in the autonomous last mile delivery market