Important economic, demographic and technological trends are driving rapid change in market dynamics across the globe. As posts continue to transform mail, grow parcels and pursue opportunities outside the core, the postal industry remains on track for future growth.
Now in its eighth edition, this annual publication covers 45 postal operators from Europe, North America, Asia Pacific and BRICS countries, representing around 90% of total postal revenue worldwide.
Following consultation with market intelligence experts from our membership, we have adapted this year’s report to meet their requirements. The report is split into two sections: Part One looks at the main trends within the industry, while Part Two provides an in-depth analysis of the corporate and business unit performance across posts. The In Focus and Spotlight On sections provide further insight into emerging industry trends like delivery drones, grocery delivery, Amazon’s investments in logistics and China’s fast-growing express delivery market.
Important megatrends are driving change across the industry. E-substitution continues to impact global mail volume as consumers, businesses and governments switch to digital alternatives. E-commerce remains the most important growth driver for the industry, as online shopping boosts demand for parcel delivery services worldwide. And as customers demand faster, cheaper and more convenient delivery, companies as diverse as UPS, Amazon and Uber are looking to grow market share.
Despite the industry’s challenges, revenue and profitability remain strong as postal operators continue to focus on growth and efficiency programmes. Average annual revenue growth was steady at 2.8% in 2015, as industry revenue reached €424.4bn. The average EBIT margin remained solid but dipped to 4.4% as efficiency initiatives were offset in part by stronger competition and cost pressures.
A weak global economy, increasing digitisation and strong growth in e-commerce will continue to present both opportunities and challenges for the postal industry. As posts focus on their strategies to transform mail, grow parcels and diversify revenues, year-to-date results suggest the industry is on track for further growth in 2016.