The drone package delivery market is projected to grow from USD 2.1 billion in 2023 to USD 27.4 billion by 2030, at a CAGR of 44.7% during the forecast period.
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).
Increasing demand for faster delivery across the globe is driving the market growth
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, the lack of required infrastructure to support drone delivery operations in emerging economies is limiting the overall growth of the market.
Based on duration, the market has been segmented into short duration (<_0 minutes_="minutes_" and="and" long="long" duration="duration">30 minutes). The short duration segment is estimated to account for a larger share of the overall market in 2023. However, the long duration segment is projected to grow at a higher rate during the forecast period owing to the demand for instant package delivery at a lower cost.
Short range (<_5 kilometers_="kilometers_" segment="segment" is="is" estimated="estimated" to="to" account="account" for="for" a="a" market="market" larger="larger" share="share" in="in" />
Based on range, the market has been segmented into short range (<_5 kilometers_="kilometers_" and="and" long="long" range="range">25 kilometers). Short-range delivery drones are generally used for a short-range local delivery of packages. These drones, capable of traveling up to a distance of 25 kilometers in a single charging, enable 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. Alphabet's Wing has 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.
Key Topics Covered
2 Research Methodology
3 Executive Summary
4 Premium Insights 4.1 Attractive Opportunities in Drone Package Delivery Market 4.2 Drone Package Delivery Market, By Duration 4.3 Drone Package Delivery Market, By Range 4.4 Drone Package Delivery Market, By Region
5 Market Overview 5.1 Introduction 5.2 Market Dynamics 5.2.1 Drivers 188.8.131.52 Increasing Demand for Faster Delivery 184.108.40.206 Amendments in Regulatory Frameworks to Encourage Drone Package Delivery 220.127.116.11 Increased Use of Low-Cost and Light Payload Drones for Product Delivery By Start-UPS 18.104.22.168 Incorporation of Advanced Sense and Avoid Systems in Aerial Delivery Drones 22.214.171.124 Increasing Demand for Lowering Carbon Emissions 5.2.2 Restraints 126.96.36.199 Lack of Required Infrastructure to Support Drone Delivery Operations in Emerging Economies 188.8.131.52 Limited Bandwidth and Battery Life of Aerial Delivery Drones 5.2.3 Opportunities 184.108.40.206 Development of Aerial Delivery Drones That Function Smoothly in Geographically Challenging Areas 220.127.116.11 Growth Opportunities for Vendors at Different Levels of the Value Chain of Drone Deliveries 18.104.22.168 Incorporation of Internet of Things (IoT) in the Ecosystem of Delivery Drones 5.2.4 Challenges 22.214.171.124 Safety and Security Issues Related to the Use of Delivery Drones 126.96.36.199 Issues Related to Traffic Management of Delivery Drones 188.8.131.52 Lack of Risk Management Framework and Insurance Cover for Aerial Delivery Drones 184.108.40.206 Health Issues Due to Ceaseless Noise From Delivery Drones
6 Industry Trends 6.1 Introduction 6.2 Evolution 6.2.1 Drone Package Delivery 6.3 Technology Trends 6.3.1 Fog Computing 6.3.2 Wireless Charging 6.3.3 Automated Ground Control Stations 6.3.4 Computer Vision 6.3.5 Multi-Sensor Data Fusion for Effective Navigation 6.3.6 Advanced Algorithms and Analytics for Drone Delivery 6.3.7 Machine Learning Powered Analytics 6.3.8 5G Technology 6.3.9 Manufacturing Through 3D Printing 6.3.10 Blockchain 6.3.11 Advanced Battery Technologies 6.3.12 Supply Chain 4.0 6.4 Investment Analysis 6.5 Value Chain Analysis 6.6 Use Cases: Drone Package Delivery 6.6.1 DHL Launches Drone Package Delivery in China 6.6.2 UPS Makes Prescription Deliveries By Drones for Cvs Health Corp. 6.6.3 Fedex Unites With Google Wing for Drone Delivery Testing 6.6.4 Zomato Tested the First Food Delivery By Drone in India 6.6.5 Use of Project Wing of Alphabet to Deliver Food and Medicines in Australia 6.6.6 Regulators Approve Trial Flights of Urban Flight Delivery Systems of Drone Delivery Canada 6.6.7 Ele.Me Starts Food Delivery Using Drones in Shanghai 6.6.8 SF Express Received License to Start Aerial Drone-Based Network for Deliveries Within Pilot Zones of China 6.6.9 Emqopter Delivers Food Parcels in Germany Using Aerial Delivery Drones 6.6.10 Skyways Uav of Airbus Helicopters Conducts Its First Parcel Delivery in Singapore 6.6.11 Zipline Plans to Deliver Medicines in African Region Using Aerial Delivery Drones 6.6.12 Drone Deliveries to King's Walk Golf Course in Grand Forks, North Dakota 6.6.13 Amazon Plans to Transform Parcel Delivery Using Prime Air Delivery Drone 6.6.14 DHL Successfully Completed Trails of Bvlos Medicine Delivery Flights Across Lake Victoria, Tanzania 6.7 Connected Use Cases 6.7.1 Nuro Autonomous Delivery Robots Providing Cost-Effective Grocery Delivery Services for Kroger 6.7.2 Kiwibots Deployed to Carry Out Low-Cost Food Delivery Services in University Campuses in California 6.7.3 Pepsico Delivers Snacks to College Students Using A Fleet of Ground Robots 6.7.4 Fedex Delivers Parcels Using Sameday Delivery Bot 6.7.5 Domino's Using Ground Delivery Robots to Deliver Pizza in New Zealand 6.7.6 Starship Technology Offering Food Deliveries at George Mason University'sFairfax Campus 6.7.7 Jd.Com Started Deliveries Using AI Equipped Ground Robots 6.7.8 Amazon's Scout Ground Robot Delivering Parcels in Washington 6.8 Patent Analysis
7 Drone Package Delivery Market, By Solution 7.1 Introduction 7.2 Drone Package Delivery Platform, By Type 7.2.1 Fixed Wing 220.127.116.11 Zipline Uses Fixed-Wing Drones for Delivering Medical Packages in Rural Areas of Ghana and Rwanda 7.2.2 Multirotor 18.104.22.168 Demand for Easy to Control and Economical Delivery Drones Will Drive the Growth of Multirotor Drones for Package Delivery 7.2.3 Hybrid 22.214.171.124 Amazon.Com, Inc. Launched Its Hybrid Prime Air Delivery Drone Capable of Delivering Packages Weighing Up to 3 Kilograms Within 30 Minutes 7.3 Drone Package Delivery Software, By Application 7.3.1 Route Planning and Optimizing 126.96.36.199 Route Planning and Optimizing Accounts for Maximum Share in Drone Package Delivery Software Market in 2019 7.3.2 Inventory Management 188.8.131.52 Need for Efficiency in Offering Drone Package Delivery Services is Anticipated to Fuel the Market for Inventory Management Software During the Forecast Period 7.3.3 Live Tracking 184.108.40.206 Live Tracking Will Be Used to Locate Drones in Real-Time for Enabling Smooth Drone Package Delivery Services 7.3.4 Fleet Management 220.127.116.11 Successful Drone Delivery of Packages Will Require Sophisticated Fleet Management Solutions 7.3.5 Computer Vision 18.104.22.168 Computer Vision is an AI and Deep Learning-Based Software That Analyzes Drone Operations to Enhance Safety During Package Delivery 7.4 Drone Package Delivery Infrastructure, By Component 7.4.1 Ground Control Stations 22.214.171.124 Ground Control Stations Will Be Used for Applications Such as Remote Monitoring and Route Planning 7.4.2 Charging Stations 126.96.36.199 Charging Pads Or Charging Stations are Used to Charge Delivery Drones to Increase Their Range and Efficiency 7.4.3 Landing Pads 188.8.131.52 Landing Pads to Be Used for Docking Drones 7.4.4 Micro-Fulfillment Centers 184.108.40.206 Amazon has Filed Patents to Develop Mobile Micro-Fulfillment Centers for Package Delivery 7.5 Drone Package Delivery Service, By End Use 7.5.1 Food Delivery 220.127.116.11 Players Such as Domino's and Zomato are Testing Drones for Food Package Delivery 7.5.2 Retail Goods Delivery 18.104.22.168 Increasing Demand for Retail Goods Delivered Directly to Customer's Door has Contributed to Drone Package Delivery Market Growth 7.5.3 Postal Delivery 22.214.171.124 Australia, Germany, Switzerland, and Singapore are Undertaking Drone Trials to Test the Feasibility and Profitability of Using Them for Postal Delivery 7.5.4 Medical Aids Delivery 126.96.36.199 Demand for Ease in the Access of Medical Supplies and Other Related Products is Driving the Market for Drone Package Delivery in the Medical Aids Delivery Segment 7.5.5 Others
8 Drone Package Delivery Market, By Duration 8.1 Introduction 8.2 Short Duration (<_0 />8.2.1 Government of Maharashtra (India) Partnered With Zipline (US) to Implement Just-In-Time Delivery of Critical and Life-Saving Medicines in Less Than 30 Minutes 8.3 Long Duration (>30 Minutes) 8.3.1 Wingcopter Partnered With Giz and DHL International GmbH to Deliver Medical Packages Via Drone to Ukerewe Island in Lake Victoria
9 Drone Package Delivery Market, By Range 9.1 Introduction 9.2 Short Range (<_5 />9.2.1 Rise in Demand for On-Demand Food Delivery is Expected to Grow the Market for Short Range Delivery Drones 9.3 Long Range (>25 Kilometers) 9.3.1 Wingcopter Launched A Delivery Drone Capable of Operating Up to 100 Kilometers
10 Drone Package Delivery Market, By Package Size 10.1 Introduction 10.2 10.2.1 Rise in Demand for Instant Delivery of Medical Packages is Anticipated to Fuel the Demand for Delivery Drones That Can Deliver Packages Weighing 10.3 2-5 Kilograms 10.3.1 Rise in E-Commerce Orders is Anticipated to Boost Demand for Delivery Drones Carrying Packages Weighing Between 2 & 5 Kilograms During the Forecast Period 10.4 >5 Kilograms 10.4.1 Rising Focus of Delivery Drone OEMs on Developing Drones That Can Carry More Weight is Expected to Fuel the Growth of the >5 Kilograms Segment
11 Drone Package Delivery Market, By Region 11.1 Introduction 11.2 North America 11.2.1 US 188.8.131.52 Presence of Major Delivery Drone Manufacturers is Increasing the Adoption of Drone Package Delivery Services in the US 11.2.2 Canada 184.108.40.206 Major Players in Drone Package Delivery, Such as Drone Delivery Canada, are Present in the Country 11.3 Europe 11.3.1 UK 220.127.116.11 Amazon.Com, Inc. Tested Drone Package Delivery in the UK 11.3.2 Germany 18.104.22.168 Germany is Exploring the Use of Drones for Package Delivery 11.3.3 Austria 22.214.171.124 Availability of Drone Landing Sites to Ease the Process of Drone Package Delivery Services in the Country 11.3.4 France 126.96.36.199 France has Long-Term Plans for Sustainable Integration of Drones for Package Delivery 11.3.5 Denmark 188.8.131.52 Rise in the Testing of Package Delivery Through Drones Will Grow the Drone Package Delivery Market in Denmark 11.3.6 Switzerland 184.108.40.206 Mercedes Benz Partnered With Matternet, Inc. to Execute Drone Package Delivery in Zurich 11.4 Asia Pacific 11.4.1 China 220.127.116.11 Major Players Such as Jd.Com and Alibaba are Investing Heavily in Drone Package Delivery 11.4.2 Japan 18.104.22.168 Rautken Started Package Delivery Through Drones in Rural Parts of Japan 11.4.3 India 22.214.171.124 Zomato, Swiggy, and Dunzo to Test Drone Package Delivery in India 11.4.4 South Korea 11.4.5 Australia 126.96.36.199 Alphabet's Wing Started Package Deliveries Using Drones in Australian Suburbs in April 2019 11.4.6 New Zealand 188.8.131.52 Flirtey Launched A New Pizza Delivery Drone in Collaboration With Domino's in the Country 11.4.7 Singapore 184.108.40.206 Airbus's Skyways Successfully Delivered A Parcel By Drone at the National University of Singapore 11.5 Middle East 11.5.1 UAE 220.127.116.11 Skycart Collaborated With Eniverse Technologies (UAE) to Bring Drone Delivery Services to Dubai 11.5.2 Israel 18.104.22.168 Amazon.Com, Inc. Announced Its Intention to Offer Drone Package Delivery Through Amazon Prime Air in Israel By 2020 11.6 Rest of the World 11.6.1 Latin America 22.214.171.124 Ifood Conducted the Testing of Drone Delivery of Food Packages in Brazil 11.6.2 Africa 126.96.36.199 Zipline Started A Medical Program in Ghana for the Delivery of Healthcare Supplies By Drones
13 Company Profiles 13.1 Amazon.Com, Inc. 13.2 Fedex 13.3 United Parcel Service of America, Inc. 13.4 Boeing 13.5 DHL International GmbH 13.6 Matternet, Inc. 13.7 Zipline 13.8 Flirtey 13.9 Drone Delivery Canada Corp. 13.10 Flytrex 13.11 Workhorse Group Inc. 13.12 Cheetah Logistics Technology 13.13 Wing Aviation LLC 13.14 Airbus S.A.S. 13.15 Skycart Inc. 13.16 Dronescan 13.17 Edronic 13.18 Altitude Angel 13.19 FLI Drone 13.20 Bizzby