Drone Logistics and Transportation Market Research Report - Global Forecast till 2028

Global Drone Logistics and Transportation Market Research Report: Information by Solution (Shipping, Warehousing, Infrastructure and Software), Drone (Freight Drones, Passenger Drones and Ambulance Drones), Application (Commercial and Military) and Region (North America, Europe, Asia-Pacific, Middle East & Africa and Latin America) - Forecast till 2028

ID: MRFR/A&D/7089-HCR | February 2021 | Region: Global | 168 pages

Market Scenario


Global Drone Logistics and Transportation Market is projected to reach USD 35,170 Million by 2028 at a CAGR of 21.01% from 2019 to 2028. The drone logistics and transportation market is highly fragmented with the presence of several players catering to the increasing demand. High competition among the industry players leads to innovation, which attracts more consumers. This, in turn, drives market growth. Many key players are launching delivery drones with an aim to offer delivery services to its customers and strengthen its position in the drone logistics and transportation market. For example, in September 2019, Flirtey launched a new delivery drone named Flirtey Eagle for safe and precise delivery services.


Market Synopsis


The Global Drone Logistics and Transportation Market is expected to witness significant growth during the forecast period owing to factors such as the growing demand for the speedy delivery of goods and increasing investments in the drone delivery market. However, issues related to battery life and bandwidth and the lack of trained and skilled personnel might hamper the growth of the market.


However, the growing adoption of technologies such as IoT, blockchain, AI, and wireless charging provides lucrative growth opportunities to players in the drone logistics and transportation market. The use of such technologies would enable drone logistics and transportation service providers to cater to geographically challenging areas. Additionally, the growing adoption of drones for cargo delivery by military personnel is expected to drive the growth of the market.


Market USP


The growing need to reduce shipping and operational costs is expected to increase the adoption of drone logistics and transportation services.


Market Drivers



  • Increasing investments in the drone delivery market: Large-scale investments made by logistics companies such as FedEx and United Parcel Service of America, Inc. in the drone delivery market are expected to drive the growth of the market.



  • Growing demand for the speedy delivery of goods


Market Restraints



  • Issues related to battery life and bandwidth

  • Lack of trained and skilled personnel


Segmentation


By Solution



  • Shipping: The segment dominated the market in 2018. The rising adoption of drones by e-commerce companies such as Amazon for shipping packages is expected to drive the growth of the segment.



  • Warehousing: Increasing investments by logistics companies in the market to reduce operational costs are expected to drive the growth of the segment. For example, in 2018, Amazon filed a patent for an airborne fulfillment center, a warehouse positioned at a high altitude that can maintain an inventory and deliver goods to customers via UAVs.



  • Infrastructure: The development of advanced drone charging pads and infrastructure by companies such as Skysense, Inc. is expected to drive the growth of the segment.



  • Software: The rising use of drone delivery software for various activities such as inventory management, real-time parcel tracking, and route planning is expected to drive the growth of the segment. Hence, the software segment is expected to register the highest CAGR during the forecast period.


By Drone



  • Freight Drones: The segment dominated the drone logistics and transportation market in 2018 and is expected to be the fastest-growing during the review period. The rising demand for freight drones for last-mile deliveries is expected to drive the growth of the segment.



  • Passengers Drones: Rising investments in passenger drones such as eVTOLs is expected to drive the growth of the segment.



  • Ambulance Drones: The growing adoption of drones for delivering medical supplies by companies such as Zipline is driving the growth of the segment.


By Application



  • Commercial: The segment dominated the drone logistics and transportation market in 2018 and is expected to exhibit a higher growth rate during the forecast period of 2019 to 2028. Increasing adoption of drones by e-commerce companies such as Amazon for last-mile delivery is expected to drive the growth of the segment.



  • Military: The rising use of drones by the US Army for cargo delivery is driving the growth of the segment.


By Region



  • North America: North America dominated the drone logistics and transportation market in 2018 and is projected to remain the largest regional market during the forecast period due to the presence of prominent drone transportation and logistics service providers such as FedEx and United Parcel Service of America, Inc.



  • Europe: The market in Europe is expected to grow at a steady pace during the forecast period owing to increasing collaborations between drone logistics and transportation service providers and eVTOL manufacturers.



  • Asia-Pacific: The market in this region is projected to register the highest CAGR during the review period owing to the growing adoption of drones by e-commerce giants such as Alibaba.



  • Middle East & Africa: Investments by companies such as Zipline are driving market growth in the region.



  • Latin America: The rising use of drones by e-commerce companies such as B2W to offer speedy delivery and enhance operations is driving market growth in the region.


Key Players



  • FedEx (US)

  • United Parcel Service of America, Inc. (US)

  • DHL International GmbH (Germany)

  • Amazon (US)

  • PINC Solutions (US)

  • CANA Advisors (US)

  • Drone Delivery Canada (Canada)

  • DroneScan (South Africa)

  • Hardis Group (France)

  • Skysense, Inc. (US)


Other Prominent Players



  • Zipline (US)

  • Infinium Robotics (Singapore)

  • Matternet (US)

  • Workhorse (US)

  • SKYCART INC. (US)

  • Flirtey (US)

  • Flytrex (Israel)

  • AIRMAP, INC. (US)

  • Altitude Angel (UK)

  • EHANG (China)

  • Volocopter GmbH (Germany)

  • Uber Technologies Inc. (US)

  • Alibaba (China)

  • H3 Dynamics Holdings Pte. Ltd (Singapore)

  • Edronic (Spain)

  • Skyward (US)

  • Sensefly (Switzerland)

  • Unifly NV (Belgium)

  • FlytBase, Inc. (US)

  • Airbus SAS (Netherlands)



Frequently Asked Questions (FAQ) :


Drone Delivery Canada (Canada), Amazon (U.S.), PINC Solutions (U.S.), CANA Advisors (US), DroneScan (South Africa), Infinium Robotics (Singapore), Matternet (U.S.), and Workhorse (U.S.).

A CAGR of 21.01% is likely to induce market progress in the forecast periods.

The region of North America is estimated to gain a leadership position.

A revenue level of USD 35,170 Million is estimated to be gained by 2028.

The need to offer diversity in delivery services is estimated to push the market.

Drone Logistics Transportation Market