The delivery drones market facilitates the delivery of packages using aerial vehicles or drones. Delivery drones help deliver parcels and goods to consumers in a quicker and more efficient way compared to traditional delivery methods. Drones used for deliveries can carry parcels weighing up to 5 kgs and have a range of over 20 kms on a single charge. With technological advancements, delivery drones are becoming more autonomous and capable of performing deliveries without human intervention. This has spurred their adoption among e-commerce companies for last-mile deliveries.
The global delivery drones market is estimated to be valued at US$ 497.5 Mn in 2024 and is expected to exhibit a CAGR of 41% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Some of the major trends driving the delivery drones market include increasing focus on reducing last-mile delivery times and costs. With the steady growth of the e-commerce industry worldwide, there is immense pressure on companies to provide quicker deliveries to customers. Delivery drones help bridge this gap and reduce delivery times from hours to just minutes. For instance, online retailing giants like Amazon are extensively testing drone deliveries to cut delivery time for customers. Another major trend is the development of autonomous drones that require minimal to no human supervision. This is expected to increase operational efficiencies and speed of deliveries. Ongoing technological innovations are also helping improve payload capacities, flight ranges, and battery lives of delivery drones. This is expanding their viable commercial applications beyond just food and retail deliveries.
Threat of new entrants: Delivery drones market has moderate threat of new entrants due to the requirement of advanced technology, aircraft manufacturing facilities and certifications.
Bargaining power of buyers: Buyers have moderate bargaining power in the delivery drones market as there are several players offering delivery drone services.
Bargaining power of suppliers: Suppliers have low to moderate bargaining power due to the availability of alternative component suppliers in the market.
Threat of new substitutes: Threat of substitution is low as delivery drones offer faster delivery over traditional delivery methods.
Competitive rivalry: The competitive rivalry in the market is high due to the presence of established global players.
The global delivery drones market is expected to witness high growth. The global delivery drones market is estimated to be valued at US$ 497.5 Mn in 2024 and is expected to exhibit a CAGR of 41% over the forecast period 2023 to 2030.
North America is currently dominating the market due to increasing adoption while Asia Pacific is expected to witness fastest growth over the forecast period due to developing economies. The growth in the region is driven by the increasing adoption of drone technology for commercial applications such as food delivery. Moreover, the favorable regulations related to drone operations across countries such as the US and Canada are supporting the growth of delivery drones market.
Key players operating in the delivery drones market are Airbus SE, Deutsche Post DHL Group, Drones America, EHang, JD.com, Matternet Inc., SKYCART INC., SZ DJI Technology Co. Ltd., The Boeing Company, and Wing Aviation LLC. Key players are focusing on developing advanced delivery drones with greater payloads and longer flight ranges to expand their customer base. Players are also collaborating with logistics companies and retailers to pilot commercial delivery drone routes.
- Source: Coherent Market Insights, Public sources, Desk research
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