Italy Courier, Express, and Parcel (Cep) Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)
The Italy Courier, Express, and Parcel (CEP) Market is anticipated to register a CAGR of more than 8% during the forecast period. The market is driven by the growth in e-commerce, especially the boom in the e-retail fuelled by the pandemic situation. Furthermore, increasing parcel volume throughout the country is also propelling market growth.
Key HighlightsItaly is the eleventh-largest market for e-commerce, with a revenue of USD 47.4 billion in 2021, placing it ahead of Russia and behind Indonesia. The Italian e-commerce market grew by 29% in 2021, contributing to the global growth rate of 18%. Global eCommerce sales are anticipated to grow over the coming years, just like they did in Italy. Over the coming years, the global expansion will continue as new markets develop. East and Southeast Asia, with their expanding middle class and lagging offline infrastructure, will be the driving force behind this progress.
Amazon.it is the dominant participant in the Italian online retail sector. In 2021, the store generated USD 5.9 billion in revenue. Shein.com and zalando.it, with USD 1 billion and USD 801 million, respectively, are the second and third-largest retailers behind amazon.it. The top three stores collectively generate 15% of Italy's online sales. This decline in annual growth reflects a modestly crowded market compared to the 29% Y-o-Y increase between 2020 and 2021. However, the 52% online penetration in Italy—i.e., the proportion of people who will have made at least one online purchase in 2021—is a sign of prospective growth.
Due to its rapid digitalization and the enthusiasm of its younger consumers to test new online shops, Italy is regarded as the best market for cross-border e-commerce in Europe. Due to this, Italy is a very alluring market for businesses trying to expand. Italians are eager to spend, whether you want to open a business there or sell internationally from your base. A key factor driving the growth of the market studied has been the growth of internet retail. This has acted both as a driver of volumes and also of innovations, such as defined time slots, the ability to make changes to deliveries, a broader range of communication methods, and the establishment of parcel shops and parcel lockers as pick-up/drop-off locations
Developing same-day delivery in Italy driving the marketSame-day shipping has the power to alter how customers purchase completely. It combines the ease of online shopping with the promptness of physical stores. In recent years, a growing number of businesses, including established logistics service providers like DHL, DPD, FedEx, and UPS, have begun testing and running innovative same-day delivery models. Due to the consumers' attractive value proposition of same-day delivery, demand is anticipated to rise dramatically.
Customers favour same-day delivery. In a recent poll done by several industry organizations in Germany, France, Sweden, and the United Kingdom, 50% of participants said they would be ready to pay EUR 6–7 (USD 6.39-7.45) for same-day delivery on a EUR 59 (USD 62.80) purchase. Brick-and-mortar stores also have a unique potential to offer same-day delivery on a large scale by fusing their local infrastructure with an e-commerce channel. They might be able to regain customers whose attention is shifting more and more toward online purchasing by using a multichannel strategy.
Amazon has done well to secure this relationship, as although there is sophisticated last-mile competition in major metro markets, Poste Italiane is the only operator with national coverage. Currently, it is up to Poste Italiane to raise its game and prove that it can be a player in the last mile and not just a bank that delivers some mail on the side. Although there is sophisticated last-mile competition in large metro markets, Poste Italiane is the sole operator with nationwide service, so Amazon did well to acquire this agreement. The possibilities are enormous. Logistics providers must prepare for the impending transition by modifying their current networks
Competitive LandscapeThe Italy Courier, Express, and Parcel (CEP) Market is fairly fragmented with the presence of a large number of global and regional companies. BRT, DHL, Post Italiane, FedEx, UPS, and GLS are the key players in the Italian CEP market. Post Italiane is the most used by Italians for parcel deliveries. The company has been developed recently. It is partnering with tech companies and implementing them to improve the supply chain. The new trends, like same-day delivery, made companies across Italy apply new strategies and update their supply chains. The growth of the e-commerce market made companies like Amazon extend their warehouse spaces in Italy, along with the technology.
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