LOGISTICS
LOGISTICS
China ’ s e-commerce market continues to push last-mile delivery : report
China ’ s e-commerce market will be larger than the combined existing e-commerce market in the US , Britain , Japan , Germany and France by 2020 .
THE last-mile delivery market for e-commerce sector in China will grow at a Compund Annual Growths Rate ( CAGR ) of almost 18 % from 2018-2022 , according to Technavio ’ s latest market research report Last Mile Delivery Market for 2018-2022 , and the rapid growth of China ’ s e-commerce market is a major factor driving the market ’ s growth .
The global technology research and advisory company noted that China has been the world ’ s largest e-commerce market since 2013 and online retail sales demonstrated a rapid increase in China during 2010 , projecting huge growth in a short period . Thus , the volume of delivery of e-commerce packages in China is growing steadily as there are nearly 17 billion parcels for delivery in China , with each parcel taking an average of three days to be delivered .
It is anticipated that China ’ s e-commerce market will be larger than the combined existing e-commerce market in the US , Britain , Japan , Germany and France by 2020 .
Emerging e-locker delivery system The study said many e-commerce companies are setting up lockers at certain locations , where shoppers can choose to deliver their packages to if they are unable to receive them personally . The same locker can be used to return the packages and these lockers are expected to reduce many unsuccessful deliveries to the homes of the consumers . The increase in unsuccessful delivery rates can increase the last-mile delivery cost and this problem can be solved using e-lockers , according to Technavio . Thus , many e-commerce players have started implementing more e-lockers across China to increase the firsttime delivery rate and reduce labour cost .
“ Some of the last-mile delivery e-commerce companies in China are investing to make their own e-locker services , whereas the other players are sharing platforms with digital logistics service providers to reduce their set-up cost for e-lockers ,” said a senior analyst at Technavio for research on logistics .
Detailed segmentation The report segments the last-mile delivery market for e-commerce sector in China into the following applications : Houseware , Apparel and Others .
The houseware segment held the largest market share last year , accounting for more than 36 % of the market . The report predicted this application segment is expected to witness steady growth during the forecast period . The apparel segmented accounted for the second largest share in the market but the market share of this segment will likely decrease to some extent during the forecast period . The Last Mile Delivery Market for
E-commerce Sector in China 2018-
2022 report also provides an analysis of the various companies in the market including Express Mail Service , SF Express , STO Express , YTO Express and ZTO Express . ra
SF Express launches service stations in East M ’ sia
CHINA-based express delivery firm SF Express recently announced its physical presence in the two main cities in East Malaysia : Kota Kinabalu , Sabah and Kuching , Sarawak .
“ We have been looking at opportunities in East Malaysia and have been working towards entering the market and providing more logistics options to local residents for quite some time ,” said Jason Lee , general manager of SF Express Malaysia . According to him , SF Express plans to continue to expand its coverage of more cities throughout East Malaysia .
During the opening ceremony in Kota Kinabalu . Pang Yuk Ming , Assistant Minister of Tourism , Culture and Environment , Sabah , said this is a good time for SF Express to enter East Malaysia . “ E-commerce is trending nowadays and logistics plays a crucial role for e-commerce companies . Additionally , the number of tourists has been increasing exponentially over the years and a significant portion of these tourists are from China ,” he said . Established in 1993 . SF Express provides professional logistics solutions and as the branch of the delivery services company in Malaysia , SF Global Express ( M ) has been established since 2011 . Headquarted in Selangor , the company provides customers with domestic and international express services from all area of Malaysia , to more than 50 international destinations , such as China , Hong Kong , Macau , Singapore , and Brunei . ra
20 Retail Asia May 2018