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Press Release: UK Express Delivery Market Development Report

Released: February 2009

After researching the UK express delivery market development and taking into account various other factors the following conclusions can be drawn from MBD's report:

Market Review 2004-2008:

The value of the UK express delivery market increased by an estimated 3% to £5150 million in 2008, continuing the growth trend evident in recent years but at a lower rate due to the economic downturn emerging in the second half of the year. Over the five year review period, demand for express delivery services is believed to have increased by a cumulative 25%. In volume terms, demand for express delivery services has also been increased throughout the review period. In 2008, the number of packages is estimated to have reached 1348.6 million, representing an increase of 4% in the year and of 24% compared with the beginning of the review period. The current economic downturn had a negative impact of the sector in the second half of 2008 which helps explain the lower growth rates.

Market Forecast 2009-2013:

The value of the express delivery market is projected to increase during each year of the forecast period, with annual levels of growth oscillating between 1% and 4%. In 2009 and 2010, more moderate growth of 1% and 2% is anticipated, reflecting the current economic slowdown. In 2013, demand for express delivery services is expected to reach £5940 million (at 2008 prices), representing 15% real term growth compared 2008. Key drivers of the express delivery market are expected to include the continued development of the e-commerce market and the trend towards short-term, guaranteed deliveries stimulated by the economic recover towards the end of the forecast period.

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