Drone Package Delivery Market

Global Drone Package Delivery Market Size (2024 to 2029)

The size of the global drone package delivery market was worth USD 2.66 billion in 2023. The global market is anticipated to grow at a CAGR of 14% from 2024 to 2029 and be worth USD 5.84 billion by 2029 from USD 3.03 billion in 2024.

The delivery drone is a type of unmanned aerial vehicle used to distribute packages in any locality. It is available in three different types: fixed-wing drones, rotor drones, and hybrid drones. The market value of Drone Package Delivery is expected to increase more during the forecast period with the increasing investments.

MARKET DRIVERS

One of the major driving factors of the global Drone Package Delivery market is the increasing demand for delivery drones in the health sector. Rising demand for delivery drones across the globe and technological advancements in delivery drone batteries are some of the major driving factors in the Drone Package Delivery market. Another prominent aspect of the drone package delivery market is the rise in demand for faster delivery and amendments in the regulatory framework to encourage drone package delivery that propels the growth of the worldwide business. Growing demand for fast delivery and reduction of carbon emissions is also a growth factor of the global Drone Package Delivery market.

MARKET RESTRAINTS

The high cost involved in the equipment is one of the major restraints affecting the growth of the drone package delivery market. Another major limitation to the development of the market of drone delivery packages is the lack of technical expertise in operating drones and the low battery life of delivery drones. Stringent regulations from the government authorities are another challenge to the expansion of drone delivery packages.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Drone Package Delivery Market – By Solution: 

• Service
• Software
• Platform
• Infrastructure

Global Drone Package Delivery Market – By Duration:

• Short Duration (< 30 Minutes)
• Long Duration (> 30 Minutes)

Global Drone Package Delivery Market – By Range:

• Short-Range (< 25 Kilometers)
• Long-Range (> 25 Kilometers)

Global Drone Package Delivery Market – By Package Size: 

• <2 Kilograms
• 2 -5 Kilograms
• 5 Kilograms

REGIONAL ANALYSIS

• North America
• Europe
• Asia Pacific
• Latin America 
• Middle East and Africa 

Asia Pacific region holds the major share of the market owing to retail and e-commerce, which are the most dominant applications for the drone package delivery market in the Asia Pacific region, followed by healthcare and pharmacy. Asia Pacific region is also predicted to continue its dominion in the market during the outlook period.

North America region holds the second-largest share of the Drone Package Delivery market owing to the rise in demand for faster delivery and amendments in the regulatory framework to encourage drone package delivery in this area.

Europe is expected to increase the market for drone package delivery owing to the increasing demand for delivery drones in the health sector and increasing investments by companies in this locale for new technological advancements.

KEY MARKET PLAYERS

Some of the key players in the global drone package delivery market are Workhorse Group Inc. (US), Wing Aviation LLC (US), Boeing (US), Zipline (US), Flirtey (US), DHL International GmbH (Germany), Amazon.com, Inc. (the US), FedEx (US), United Parcel Service of America, Inc. (US), Matternet, Inc. (US), Drone Delivery Canada Corp. (Canada), Flytrex (Israel) and Airbus S.A.S. (Netherlands).

RECENT HAPPENINGS IN THE MARKET

• In December 2018, an Indian food delivery company, Zomato acquired a drone delivery startup, TechEagle Innovations, aimed to enable a drone-based delivery ecosystem in India.  
• In May 2019, DHL express company partnered with Chinese drone manufacturer EHang to launch a last-mile drone delivery solution in urban parts of China.