Packaged delivery service began in the late 20th century with the rise of departmental stores and multiple retail outlets. Earlier people would send packed items to their loved ones by post. But the service was ineffective and often resulted in delays. It was difficult to transport delicate items due to their fragile nature. But the worst part of the experience was the loss of packages which happened frequently. Ever since the growth of London courier companies, the delivery of couriers has been smooth and effective. The industry has seen phenomenal growth in recent years with the implementation of technology and the adoption of global best practices. Let us understand how the courier market has progressed in recent times and what lies in the future for the industry.

Market Trends

According to a report by Mordor Intelligence, the CEP industry is estimated to grow at a CAGR of 3.5% between the 2019-28 period. In 2020, 14 million packages were generated each day, and 160 each second. The year-end count stood at 5 billion, marking a significant growth from 3.8 billion in 2019. Thanks to widespread digital access among its population, the United Kingdom has seen maximum growth in this market in Europe, with demand for same-day delivery growing higher with every passing day. This has forced CEP stakeholders to continuously reinvent themselves to keep up with demands and stay ahead of the competition. Lightning-fast and reliable delivery of packages has taken the driver’s seat as every courier company in London is trying to streamline the delivery management process.

International trade has grown exponentially in the 21st century. With an annual turnover of $105 billion, the United Kingdom is currently the third largest player in the e-commerce market, surpassed only by Japan and the USA.

Market Segmentation

The CEP market is divided into the following segments:

  • B2B (Business to Business)
  • B2C (Business to Customer)
  • Destination
  • End-user services (Banking, Financial Services, and Insurance)
  • Wholesale and Retail Trade
  • Manufacturing
  • Construction and Utilities
  • Primary Industries (Agriculture and other Natural Resources)

As per the report, B2B activity has a lion's share of the CEP market with 40% of UK companies generating their revenues from this source. B2B activity is only expected to rise in the coming years. Even B2C share is constantly rising as more and more customers are spending online on courier services with an estimate of $US 2730 per year.

How Are London Courier Companies Trying To Adapt To The Changing Trends

With a high penetration of about 85%, the UK has one of the largest digital presence in the world. This has influenced their spending activities in every sphere, and courier services are no exception. A courier company in London sees a lot of traffic on its website every second. Here are the ways such a company is establishing itself in the market.

  1. Streamlined process: A courier delivery service has to be a well-oiled machine. Everything starting from the click of an order to the delivery of the package has to be done in a streamlined manner. Companies are thus establishing the right protocols to ensure every activity is completed in the shortest time possible. This includes standard inventory management practices and end-to-end delivery management. The return policy guidelines are laid out clearly so that customers get their parcels back on time in case of any discrepancy.

  2. Large fleet of vehicles: Courier companies are investing in a large fleet of vehicles to cater to a large customer base. This is done to ensure no delivery is ever missed. The delivery agents are tasked with the timely pick-up and drop-off of the cargo. The packages are GPS tracked to geo-locate each shipment. This is part of the data-driven management adopted by the companies.

  3. Improved customer experience: Customer satisfaction is the basis on which courier companies stay afloat. It is crucial to offer the best quality service to the customers. The back-end software is built to manage orders, and warehouse activities, take vendor status updates, and execute other services seamlessly.


Packaged delivery services have grown by leaps and bounds, especially in the last 3 decades. Increasing internet penetration all around the world has only fuelled the CEP market. The term CEP stands for Courier, Express, and Parcel services. This segment has seen tremendous growth recently with the shift of business activities online. London courier companies are therefore doing their best to take advantage of this growing business. They are focusing on streamlining their inventory and warehouse management process to make sure they can deliver couriers and parcels with lightning-fast efficiency. The same day delivery service is going to become the norm in the future and these companies are preparing themselves for it.