08 November 2022, Mumbai:
India’s e-logistics sector has a compound annual growth rate of 35 percent. It is one of the largest and fastest-growing logistics markets globally. The number of e-commerce logistics shipments is expected to grow by four times in the next five years.
Thanks to new-age tech-enabled players who have entered India’s logistics arena, it is now easier for small- and medium-sized businesses to transport goods, and there is a drastic increase in the speed and efficiency with which parcels are delivered.
The e-commerce logistics sphere has contributed to the overall growth of India’s logistics sector and enabled the e-retail boom in India. The proliferation of smartphones and localization of the internet in non-English languages is drawing in new consumers from non-metro locations into the internet economy and creating a new demand for online commerce, thus paving the need for disruption in logistics.
Multiple payment options such as UPI, no-cost EMI, BNPL (buy now, pay later), etc. are further driving the adoption of digital commerce by more consumers, thereby creating a need for e-commerce logistics.
Multiple segments in the Indian logistics market are addressed by full-stack-tech-enabled logistics service providers. There is headroom for growth as tech-enabled logistics players venture into adjacent segments such as hyperlocal delivery, express delivery, trucking, and more.
