How Parcel Delivery in Australia Drives the Country’s Economy?

Parcel delivery has become popular now more than ever. But what do you this is the reason behind this? Read through this blog to know more about Parcel Delivery in Australia and how it affects the country’s economy.

Parcel Delivery in Australia in Figures

Even though the trends in online shopping are already high, parcel delivery in Australia is expected to reach more than one billion parcels per year by 2021.

Based on the latest report by Statista about the revenue of parcel shipments in Australia, 10.4 billion Australian dollars was the increase in revenue for parcel delivery as of 2019. In the same year, the average number of parcels shipped per person was 37.

Meanwhile, in 2016 and 2017, the parcel shipment revenues were 8.6 and 9.2 billion Australian dollars, respectively.

While eCommerce and parcel delivery are two inseparable things, both grow in proportion with each other. It means while eCommerce experiences an increase in purchases, the parcel market also thrives.

How Has eCommerce Emerged in the Australian Market?

Although the internet can be polarising, using it as an advantage is either a professional or a personal choice. You choose. Talking about advantages, those who leverage the web found their way to a greater venture. And that is emerging into the eCommerce market.

The eCommerce industry, which has taken over a big part of the Australian market, experienced exponential growth over the past years. The growing online marketplaces are the major contributors to this growth.

This growth even skyrocketed during the Covid-19 pandemic when cross-border trade in parcels helped connect businesses and consumers. Most businesses strived to satisfy consumer’s demands by delivering products and services at their doorsteps.

Consequently, the internet became handy for entrepreneurs. Because of that, various sectors like retail, healthcare, and hospitality, among others, have integrated logistics and parcel delivery in their operations.

What Are the Impacts of Parcel Delivery on Australia’s Economy?

As a whole, the global eCommerce revolution has contributed to the development of parcel delivery in Australia. But what most people see is only the tip of an iceberg. The smaller key players in this complex process are unnoticed. Yes, Australia’s parcel market has more than transporting packages from Point A to Point B.

If you have come this far, continue reading the list below. We enumerated the impacts of parcel delivery on Australia’s economy. Also, it will take you on a journey across courier, express, and parcel (CEP) markets. What are you waiting for? Let us continue.

1. The Size and Reach of the Parcel Delivery

What parcel delivery does is provide guaranteed reliable and on-demand services that ship packages to various destinations worldwide. One of the key features of this service is that you can track and control what you ship.

Because consumers have different needs and demands when it comes to shipping parcels across Australia, courier companies improvised different types of delivery services such as—standard delivery, same-day delivery, overnight shipping, push and on-demand delivery, and luggage delivery—you name it.

That is why when you book a delivery service, ask yourself, “Is the parcel a priority or not?” If no, then the standard delivery could be your best choice. Also, take note of your parcel’s destination. Same-day delivery might not apply to long-distance places. These are just a few of the things you have to consider when it comes to shipping parcels. You will know what you need when it is critical.

Courier companies had their services lined up to give you the best experience. What is left for you to do is to identify what service suits your demands the most.

2. Facilitating Trade and Competitiveness

Parcel delivery substantially contributes to the potential of Australia’s economy’s long-term growth. How is this possible?

You might not know it, but parcel delivery services are essential to the competitiveness of companies and their ability to win markets, support jobs, and investments. This is not just in Australia but also throughout the world.

Delivery services are beneficial in improving the competitiveness of a company’s almost all aspects like operations, sales, logistics, storage, production, and customer support functions.

And as the economy becomes more integrated, parcel delivery services are likely to become more imperative. In addition, because companies are demanding rapid and guaranteed delivery, they tap courier services to transport a large chunk of world trade.

The more Australian companies combine parcel delivery services in their systems, the more they allow their organisation to land bigger opportunities in the market.

3. Facilitating Productivity and Investment

Aside from using parcel delivery services to ship products to customers, companies also rely on these services to efficiently organise production operations. With this, they can prevent the occurrence of production shutdowns. This allows them to minimise inventory costs.

On the other hand, parcel delivery in Australia enables small businesses that have not combined high-quality and on-time shipping services in their systems to participate in the export market.

Since access to markets is an influential factor in deciding international locations, many companies would be forced to relocate their operations if next-day parcel delivery services do not exist. Most likely, these companies would build a station in countries accessible to quick delivery services.

The Bottomline

The parcel market, in general, makes a significant contribution to Australia’s economy and to the global marketplace. Without parcel delivery, there is no rise in trade, growth in investment, and increase in productivity.

So, if you are looking for a courier company the offers parcel delivery across Australia, turn to us at Couriers by Demand Express. We know the ins and outs of the CEP markets. We know how to help with your deliveries and shipments! Get in touch with us today.

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