The e-commerce industry is significantly growing, and this trend is expected to continue. Technology is driving an evolutionary shift that optimizes supply chains and redefines today’s delivery solutions by utilizing cutting-edge methods.
If you want to know more about the shipping and packaging services provided by different carriers, along with a discussion on their continuous growth and latest innovations, then read the full article for a better understanding.
Continuous exponential growth
People are becoming more comfortable, preferring to make purchases while seated at home, thanks to the growth of internet shopping and e-commerce platforms. It is for this reason that the packaging industry is also booming.
According to stats, there are a total of 21.7 billion individual parcels shipped to customers’ doorstep in 2021, which decreases in 2022 to 21.2 billion. Despite the dip by 2023, it is expected to expand beyond the 2021 states, but you can just see how extensive and promising this industry is now. Surprisingly, you will be shocked after reading that this number of individual deliveries will touch 28 billion in 2028.
A comparison of Top Carrier’s 2021 and 2022 statistics
According to carrier data, here are some of their 2021 and 2022 shipment details.
- The United States Postal Service (USPS) shipped 7 billion packages in 2021, but only 6.7 billion in 2022.
- UPS claims that its business shipped 5.2 billion boxes in 2022, down from 5.3 billion the year before.
- A total of 4.8 billion parcels were delivered by Amazon Logistics in 2021.
- FedEx reported a decrease of 4.1 billion packages from 4.3 billion.
Interestingly, compared to the top four carriers, smaller carriers grew their parcel volume by 25%.
Challenges and future of packaging and shipment
The pandemic and the rise of online shopping have both increased the pressure on merchants. However, because more individuals are making online purchases, delivery services are particularly prone to this. They need to modify their delivery procedure in order to meet the delivery requirements.
Here are a few recent innovations in packaging and logistics developments given below.
- In the near future, self-driving cars and delivery vans will revolutionize logistics. Due to their 24/7 operation, these vehicles can ensure timely delivery while reducing human error.
- Amazon has also launched its drone delivery service. Although it is in the development process, it will lead to timely delivery with accuracy.
- Customers can pick up their items at smart lockers and pickup points, providing them with convenience and flexibility. These automated lockers will be placed at crowded locations from where people can collect their parcels on the go.
- Supply chain transparency and traceability are enhanced by blockchain technology. Every stage of the delivery process is thus wholly and securely documented. As a result, stakeholders will increase trust and lessen the chance of fraud.
New players in packaging delivery
When it comes to imagining the future of packaging, there is much to be enthusiastic about. The statistics show that each day, UPS delivers close to 24.3 million shipments, FedEx delivers 15 million boxes, and USPS sends close to 23.8 million items.
Through these stats, you can imagine how much revenue these firms are earning. Surprisingly, small businesses have even more growth rates of up to 25%. In the future packaging and shipping have a lot of potential. The growth rate of this industry should be taken into account by entrepreneurs looking to start their own businesses.
Conclusion
The growth of packaging businesses has been phenomenal over the recent years. The amount of packages shipped annually is a good indicator of how dynamic and evolving the American economy is. Despite fluctuations in exact figures, this upward trend appears to be lasting. Logistics and transportation networks play a vital role in facilitating these surges in package shipments. Additionally, this trend paves the way for the development of new innovations and eco-friendliness, including the usage of sustainable packaging material, drones for last-mile delivery, smart lockers, pickup points, etc. Furthermore, as a result of its continuous growth, it is also an excellent investment for people who want to start their own businesses.
