About China Parcels Market: Market Insight Report 2018
Background to the report
China’s economy continues to perform strongly as the country has urbanised and the new middle classes have embraced consumption.
In this context, online retail has grown rapidly, having quadrupled since 2012 to the point where China now accounts for over half of the global total.
China’s parcels market has expanded rapidly to deliver this enormous retail volume as well as growth in demand from the B2B segment.
– China accounted for almost half of the total global growth in the parcels market in 2017. The chart shows how it has grown much faster than other leading markets.
In meeting the delivery needs of the online retail segment, parcels carriers have not only added large increments of capacity, they have also innovated, deploying new technology and designing new processes which, in many cases, are far more advanced than those seen in the west
What does it contain?
The report includes:
– Description of the market and the key trends which are shaping it
– Historical and forecast market size and growth covering the period from 2012-2022
– Analysis of drivers of market growth
– Competitive landscape comparing the performance of the main carriers present in the market and profiling them and other leading market participants such as marketplaces and parcel locker networks.
What are the sources and methodology?
This report is based on:
– Extensive desk research on the parcels market and its operators covering company accounts, websites, official statistics and a wide range of other sources
– Published information on key market drivers such as economic data and estimates of online retail spending
– Interviews with senior-level contacts in the market
Information from these sources has been synthesised and presented clearly and concisely with extensive use of charts and tables to illuminate points and support conclusions
Who Is it intended for?
Owners and operators of parcel networks both in China and in other territories
Customers of those networks, in particular, retailers who sell via the internet
Investors in these businesses
Market regulators and policymakers
Banks, analysts, consultants and other parties with interests in the sector
Which companies are covered in the report?
The China parcels market report includes profiles of the following companies:
Marketplaces
– Alibaba (TMall, Taobao, Cainiao)
– JD.com
Carriers – Integrators
– UPS
– FedEx
– DHL
Carriers – National / regional
– China Post
– SF Express
– ZTO Express
– YTO Express
– STO Express
– Yunda Express
– Best Inc (Best Express)
– GTO Express
– TTK Express
– Quanfeng Express
– ZJS Express
– UC Express
– Sure Express
Local open delivery platforms
– New Dada
– Eleme
– Meituan-Dianping
– Linqu
– Shanshong
– SHBJcom
– Dianwoda
Parcel shops and lockers
– Hive Box
– Sposter
– CIMC
– JD.com
About this report 2
Summary 3
About Apex Insight 5
About the Market 13
- Market Characteristics 13
- Scale of the market – now the largest in the world by volume 13
- High population density in the urban areas of eastern China with fast growth in tier 3 / 4 cities 13
- Importance and rapid growth of online retail 13
- Importance of marketplaces such as Taobao, Tmall and JD.com 14
- Sophisticated mobile payment infrastructure 14
Market Size, Segmentation and Growth 16
- Value 16
- Growth rate comparison: China vs. other markets 16
- Volume 17
- Revenue per parcel 18
Market segmentation 19
- B2B / C2X and online retail delivery (B2C / C2C) 19
- Local or intra-city vs. national vs. international 20
- Market by region 22
- Market by province 24
Market Drivers 29
- Population growth 29
- Economic growth 30
- Online retail 31
-- Size and growth 31
-- Emergence of new categories of items sold online 32
-- Seasonal and promotional trends 32
Key Market Trends 33
- Increasing labour costs 33
- Investment in network operations 33
-- New hubs 33
-- Vehicle optimisation: use of bigger trucks and smart routing software 34
-- Robots 34
-- Drones and driverless vehicles 35
- Regulation 36
- Storage and e-fulfilment services 37
- Growth of parcel shop and locker networks 38
- Carrier consolidation 38
Competitive Landscape 39
- Overview 39
- Marketplaces 39
- Open local delivery platforms 40
- Parcel shop and locker networks 40
- Carriers 40
-- Share by category 40
-- Competitive advantages 41
-- Competitive analysis – Chinese carriers 42
-- Size 42
-- Growth 45
-- Margins 46
-- Stock market listings 46
-- Competitive analysis – Integrators 47
-- Competitive analysis – Parcel shops and locker networks 47
Profiles of key market participants 48
- Marketplaces 48
-- Alibaba 48
-- Cainiao 48
-- JD.com 49
-- Carriers - Integrators 50
-- UPS 50
-- FedEx 51
-- DHL 51
- Carriers - National 51
-- China Postal Express & Logistics Company Limited (EMS) 51
-- SF Express 52
-- ZTO Express 54
-- YTO Express 55
-- STO Express 57
-- Yunda Express 58
-- Best Inc (Best Express) 59
-- GTO Express 61
-- TTK Express 61
-- Quanfeng Express 61
-- ZJS Express 61
-- UC Express 62
-- Sure Express 62
- Carriers - Regional 62
- Local open delivery platforms 63
-- New Dada 63
-- Ele.me 63
-- Meituan-Dianping 64
-- Linqu 64
-- Shanshong 64
-- SHBJ.com 64
-- Dianwoda 65
- Parcel shops and lockers 65
-- Hive Box 65
-- Sposter 67
-- CIMC 67
-- JD.com 68
-- Parcel shop networks 68
Forecasts 69
- Population 69
- Economic growth 69
- Online retail 70
- Parcels market forecasts 71
List of charts and tables
China Parcels Market Size, 2007-2017 (RMB bn) 16
China Parcels Market Size, 2007-2017 (RMB bn) 16
China Parcels Market Size, 2007-2017 (US$ bn) 16
China parcels market value growth vs. other major economies, CAGR 2012-2016 17
China Parcels Market Volume: 2007-2017 (m) 17
China Parcels Market Volume and Growth: 2007-2017 (m) 18
Revenue per parcel: 2007-2017 / RMB 18
China parcels market growth by segment: 2011-2016 / RMB bn 19
China parcels market volume by destination, 2007-2017, (chart) 20
China parcels market volume by destination, 2007-2017 20
China parcels market value by destination, 2010-2017, RMBm (chart) 21
China parcels market value by destination, 2010-2017, RMBm 21
Average revenue per parcel: Local vs national vs international: 2012 and 2017 / RMB / parcel 21
China parcels market volume by region, 2010-2017 (chart) 22
China parcels market volume by region, 2010-2017 22
China parcels market value by region, 2010-2017 22
Average revenue per parcel: Western vs. Central vs. Eastern: 2012 and 2017 / RMB / parcel 23
China parcels market by region, value and volume, 2016 23
China parcels market by province, 2016 26
China population, 1960-2016 29
China GDP and growth, 2012-2017 30
China GDP per capita, 1960-2016 (current US$) 30
China total and online retail market value, 2012-2016 / US$bn 31
Total and online retail market value, 2012-2016 31
STO Express hub robots 34
JD.com robot courier 35
JD.com delivery drone 35
SF Express delivery tricycle 37
China parcels market volume by type of company, (private, state-owned, foreign), 2011-2016 (chart) 41
China parcels market volume by type of company, (private, state-owned, foreign), 2011-2016 41
China parcels market value by type of company, (private, state-owned, foreign), 2011-2016 41
Carriers by parcel revenue, 2016 (RMBm) 42
Carriers by parcel revenue, 2016 (US$m) 43
Carriers by parcel volume, 2016 (m) 43
Revenue per parcel of leading carriers, 2016 (RMB) 44
Carrier parcel volume growth, 2014-16 (chart) 45
Carrier parcel volume growth, 2014-16 (table) 45
Carrier parcel revenue growth, 2015-16 45
Margins of leading carriers, 2015-16 46
Recent public listings of major express parcels companies in China 46
SF Holding financial performance, 2015-2016 52
SF Holding financial performance, 2015-2016 52
SF Express parcel volume, 2014-2016 53
SF Express average revenue per parcel 53
SF Express revenue by major business segment, 2015-2016 53
SF Express revenue by sub-segment, 2015-2016 53
SF Express revenue by region, 2015-2016 53
ZTO Express management 55
ZTO Express financial performance, 2014-2016 55
ZTO Express parcel volumes, 2014-2016 55
YTO Express financial performance, 2014-2016 (RMB M) 56
YTO Express financial performance, 2014-2016 (US$m) 56
YTO Express parcel volume / revenue per parcel, 2015-2016 56
YTO Express revenue by segment, 2015-2016 56
YTO Express revenue by sub-segment, 2016 56
YTO Express revenue by region, 2016 56
STO Express financial performance, 2014-2016 (RMBm) 57
STO Express financial performance, 2014-2016 (US$m) 57
STO Express parcel volume, 2014-2016 58
Yunda Express financial performance, 2014-2016 (RMB m) 58
Yunda Express financial performance, 2014-2016 (US$m) 58
Yunda Express parcel volume and growth, 2014-2016 58
Yunda Express revenue by major business segment, 2015-2016 58
Yunda Express sub-segment revenue, 2015-2016 59
Yunda Express revenue by region, 2015-2016 59
Best Inc. revenue by business segment, 2014-2016 (RMB m) 60
Best Inc. revenue by business segment, 2014-2016 (US$m) 60
Best Express financials, 2014-2016 60
Best Express parcel volume and growth, 2012-2016 60
Best Express revenue per parcel, 2014-2016 61
HiveBox locker in China 66
Sposter locker bank in China 67
China population forecast, 2000-2022 69
China GDP forecast and growth, 2012-2022 69
GDP per capita, 2010-2022 (US$) 70
China total and online retail market value, 2012-2021 (chart) 70
China total and online retail market value, 2012-2021 71
China parcels market value forecast, RMB bn, 2012-2022 (chart) 71
China parcels market forecast, value and volume, 2012-2022 72
