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Australia’s parcels volume jumps 13%

Monday, 20 November 2017
By Print 21 Online Article

The Pitney Bowes OneSort workstation.

Pitney Bowes Inc., a global technology company that provides innovative products and solutions to power commerce, released its second annual Parcel Shipping Index, which measures both volume and spend for business-to-business, business-to-consumer, consumer-to-business and consumer consigned shipments with weight up to 31.5 kg (70 lbs.). Thirteen major markets are included: Australia, Brazil, Canada, China, France, Germany, India, Italy, Japan, Norway, Sweden, United Kingdom and United States.

This year’s Index projects that the Australian parcel market will grow 9 to 12 per cent from 2017 to 2021 (CAGR). The Index projects there will be more than a billion parcels a year in Australia, by 2021. It also shows that Australia experienced double digit growth in parcel volume from 2015-2016 YOY, increasing by 13 per cent to 794 million.

The Index shows parcel spend in Australia grew by 4 per cent to reach AU$9 billion in 2016. But while parcel volume and spend is rising, start-ups are disrupting the parcel market, increasing competition and driving down revenue per parcel. This year’s Index shows yield per parcel dropped 8 per cent YOY as more non-traditional carriers entered the market.

“The Australian parcel landscape is in the midst of great growth and disruption,” said Stephen Darracott, country manager and director, Pitney Bowes ANZ. “We anticipate even more parcel volume growth with the ecommerce revolution taking hold in Australia. Individuals will have more choice about delivery times and service options over the next year. Meanwhile, businesses should be undergoing a digital transformation of their mailing and shipping workflow to focus on more efficiency and inbound and outbound tracking capabilities.”

Other Asia Pacific countries are also seeing parcel volume growth. China, a new addition to this year’s Index and by far the largest market examined, grew parcel volume by 52 percent in one year, increasing from 21 billion parcels in 2015 to 31 billion in 2016. But, even when excluding China’s prolific volumes, the Index forecasts a strong and accelerating pace of growth in parcels throughout the world. On average, the other 12 major markets studied have grown 4.3% annually since 2012 and are projected to grow 4.5% – 5.4% annually through 2021. Among countries included in the Index, China represents the largest market in volume terms. It is followed by the United States (at 13 billion) and Japan (at 9 billion) which experienced 3 per cent growth in parcel volume and 2 per cent growth in parcel spend, from 2015 to 2016.

“The continued rise of ecommerce globally is keeping the parcel shipping market strong through 2021 as consumers are increasingly looking to online shopping for convenience, price and availability of products from around the world,” said Lila Snyder, executive vice president and president, Global Ecommerce, Pitney Bowes.  “As consumer expectations continue to rise, shipping technology and service providers will need to help retailers and marketplaces meet those demands.”


Globally, the Parcel Shipping Index points to rapid growth and last mile delivery challenges – when a parcel is transported from a hub to the end-user – as driving innovation across markets. Trends indicate a rise in parcel lockers and new delivery models like crowd-shipping, on-demand delivery services, evening and weekend delivery and drones. These initiatives are impacting the customer shipping experience by shortening delivery times, lowering delivery costs and adding flexibility.

ACROSS ASIA PACIFIC (Australia, China, India, Japan)

  • In Australia, the parcel market experienced double digit growth in parcel volume, increasing in 2016 by 13 per cent to 794 million, and parcel spend grew by 4 per cent to reach AU$9 billion in 2016.
  • From 2015 to 2016, the parcel shipping market in China grew by 52 per cent in volume to reach 31 billion parcels shipped, and 45 per cent in spend to reach ¥400.5 billion.
  • Parcel volume in India grew by 22 per cent to 412 million in 2016, and spend increased in 2016 by 5 per cent to reach ₹115 billion.
  • Japan showed a 3 per cent growth in parcel volume and 2 per cent growth in parcel spend from 2015 to 2016, reaching 9.4 billion and ¥2,401 billion respectively.

About Pitney Bowes

Pitney Bowes is a global technology company powering billions of transactions – physical and digital – in the connected and borderless world of commerce. Clients around the world, including 90 per cent of the Fortune 500, rely on products, solutions, services and data from Pitney Bowes in the areas of customer information management, location intelligence, customer engagement, shipping, mailing, and global ecommerce. 


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