With constantly developing industries, technology businesses and e-commerce platforms, the scope of courier industries in the United Arab Emirates (UAE) is witnessing perpetual growth. You are perhaps speculating how development in all these sectors affects the courier industry. Let me make it easy for you. UAE is a land recognised for its exceptional lavishness, tourism, excellent infrastructure, economic hub and oil industries, making it a hotspot for huge dynamic sectors working together. With growing industries and e-commerce platforms, parties need their orders and raw materials to get to the right place and with constantly growing industries, the growth in courier industries is obvious.
As the UAE works to evolve as a global logistics for enterprisesand consumers, the demand for reliable courier services has boomed, catering to the needs of businesses, e-commerce and consumers. Some tech developments like the rise in E-commerce, AI and tracking have led to the growth in courier services in Sharjah and other Emirates. But this is not the only reason that helped delivery services growth. Let’s have a look at some of the other factors that hyped the courier industry.
What’s Driving the Hype in the UAE’s Courier Industry?
The reason behind the courier industry’s flourishing is not just businesses but also technology and government support for trade and transport, which has led to renowned growth in logistics. 80% of people prefer online shopping, which means there is a big need for companies that can deliver services and technology that makes it easier to deliver couriers fast.
- Last-mile Delivery
Before knowing how this factor has contributed to the growth of the courier industry, let’s know what last-mile delivery is. Last-mile delivery refers to the last stage of the delivery, where the material is transported from distribution centres to the customer’s doorstep. With rising demand for online shopping, last-mile delivery has become an essential factor that contributes to the growth of the courier industry resulting in customer satisfaction.
- E-commerce
With the increasing demand for online shopping, there has been a massive increase in demand for courier services as well. E-commerce platforms like Amazon, Namshi, Noon and various other platforms have led to significant contributions in the courier industry. As more consumers use online services it has created an urge for delivery services in handling last-mile delivery.
- Advanced Technology
GPS tracking, real-time updates, digital payments, automated sorting, mobile apps, e-commerce and AI are some of the major reasons behind the growth of logistics. Technology has made it easy for speedy deliveries, instant payments and AI for forecasting demands.
- Economic Expansion
The UAE’s efforts to make themselves dynamic in every field beyond oil. Increased business activities like retail, manufacturing and trading have resulted in businesses needing effective logistics. An increase in e-commerce platforms and an evolution in infrastructure have contributed to the growth.
- Increase in Small Businesses and (SMEs)
Small businesses in the UAE are also backed by people as they provide products at lower rates than renowned e-commerce platforms. The increasing number of small and medium enterprises in the UAE has contributed to the demand for courier services, as these businesses rely on efficient delivery services to reach their customers, and their reputation builds on them.
- Government Backing
The UAE government has been assertive in providing the best exposure for logistics and in developing infrastructure to support trade and transportation. The government has tried to foster growth through strategic planning and introducing policies that could benefit delivery services, including initiatives like the UAE Vision in 2021, subsidies and reducing taxes.
Conclusion
Today, the United Arab Emirates is one of the leading countries in transport, import, export, trading, manufacturing, tourism, business, finance, fashion, jewellery, and whatnot! The list is never-ending.
Courier services play a crucial role in facilitating effortless national and international trade in country’s logistic sector. If you are struggling to find a courier service provider, here is your delivery partner. Porter UAE. At your service.
