Malaysia Courier, Express, And Parcel (CEP) Market Size

Courier Service in Malaysia Market Analysis

The Malaysian Courier, Express, and Parcel (CEP) Market size is expected to grow from USD 1.32 billion in 2023 to USD 2.55 billion by 2028, at a CAGR of 14.03% during the forecast period (2023-2028).

• During the COVID-19 pandemic, delivery operations were not severely affected compared to other countries. Despite the global pandemic and an unexpected administration transition in 2020, the commercial environment for the CEP market remains promising, with e-commerce and pharmaceutical sales increasing significantly compared to pre-covid trends. Fast, efficient, and reliable order fulfillment is critical for sustaining customer satisfaction in express delivery, but it is also one of the company's most difficult tasks.
• With revenue of over USD 6.3 billion in 2021, Malaysia ranked 35th among all e-commerce markets, ahead of Israel and behind Denmark. The Malaysian e-commerce market grew by 30% in 2021, contributing to a 15% global growth rate. Global e-commerce sales are anticipated to rise over the coming years, much like Malaysia's. Over the coming years, the global expansion will continue as new markets develop. East and Southeast Asia, with their expanding middle class and lagging offline infrastructure, will be the driving force behind this progress. Malaysia is even anticipated to beat the global average of 6% with an annual growth rate of 15% between 2021 and 2025.
• In Malaysia, the courier, express, and parcel (CEP) market is expanding quickly with the nation's e-commerce sector, bringing in considerable profits for the sector. Online retailers and logistics operators face opportunities and challenges due to the exponential growth of the country's e-commerce sector. The CEP business is primarily driven by the expansion of e-commerce, but in the future, the need for perishables and the expansion of the nation's life sciences industry may also assist the expansion of express delivery.
• To keep up with the five e-commerce trends in 2023, which include third-party logistics (3PL) services, direct-to-consumer (D2C) fulfilment, optimizing last-mile logistics, sustainability, and technology, the Malaysian logistics industry will need to look at developing its infrastructure and changing operating models.
• A good picture for the business is also being created by technology improvements, such as the use of digital technologies with crowdsourcing delivery models. These technologies help service companies increase their overall operational effectiveness and successfully meet consumer needs. The market is expected to be further fueled by additional factors such as quick urbanization, increased consumer spending power, and considerable expansion in the manufacturing industry.