Increasing demand for faster delivery across the globe is driving market growth for package delivery by drone.
Research news source reportlinker indicates that the drone package delivery market is projected to grow from US$2.1 billion in 2023 to US$27.4 billion by 2030, at a compound average growth rate of 44.7 per cent to 2023.
The market study referenced covers the drone package delivery market across segments.
It aims at estimating the size and growth potential of this market across different segments, such as solution, duration, range, package size, and region.
The research source said an increase in demand for faster delivery, amendments in the regulatory framework to encourage drone package delivery, and increased use of low-cost and light payload drones for product delivery by start-ups are some of the major factors driving the market for drone package delivery.
However, it is noted, the lack of required infrastructure to support drone delivery operations in emerging economies is limiting the overall growth of the market.
Long range delivery drones are projected to grow at a faster rate, Reportlinker says.
Short-range delivery drones are generally employed by many firms and have proven to be an effective form of delivery.
Many of these types of drones are capable of traveling up to a distance of 25 kilometres in a single charging, enabling instantaneous delivery of products after their online purchase. There is a rising demand for instant delivery of products and packages, such as medicines and food.
Asia Pacific is estimated to lead the drone package delivery market in 2023. China and Japan are the major countries in the Asia Pacific drone package delivery market and are leaders in the manufacturing of advanced delivery drones for commercial usage.
Australia is among the most lucrative markets in the Asia Pacific Region, the researchers note. Alphabet’s Wing started the delivery of packages using drones in Australian suburbs in April 2019. Amazon Prime is also conducting trials in the country for the delivery of parcels through drones.
Meanwhile, it is noted that key players in the drone package delivery market include Amazon.com, Inc. (US), FedEx (US), United Parcel Service of America, Inc. (US), Boeing (US), DHL International GmbH (Germany), Matternet, Inc. (US), Zipline (US), Flirtey (US), Drone Delivery Canada Corp. (Canada), Flytrex (Israel), Workhorse Group Inc. (US), Cheetah Logistics Technology (US), Wing Aviation LLC (US), Airbus S.A.S. (Netherlands), Skycart Inc. (US), DroneScan (South Africa), Edronic (Spain), Altitude Angel (UK), Fli Drone (Caribbean), and BIZZBY (UK).