Delivery as a Service Market Outlook 2025–2032: Growth Drivers, Trends & Forecast

The global Delivery as a Service (DaaS) market is witnessing strong growth as businesses increasingly outsource delivery and logistics operations to third-party service providers. Delivery as a Service allows companies to offer fast, flexible, and cost-efficient delivery solutions without investing heavily in logistics infrastructure. This model is widely adopted across e-commerce, retail, food & beverage, healthcare, and manufacturing sectors.

Market Size & Forecast

The Delivery as a Service market was valued at USD 545.64 billion in 2024 and is expected to reach USD 1,172.67 billion by 2032, growing at a compound annual growth rate (CAGR) of 10.12% during the forecast period.

The rapid expansion of online shopping, increasing urbanization, and growing demand for same-day and on-demand delivery services are major contributors to market growth.

What Is Delivery as a Service?

Delivery as a Service refers to a business model where companies outsource their delivery and fulfillment operations to specialized third-party providers. These providers manage transportation, last-mile delivery, tracking systems, and logistics optimization, enabling businesses to scale operations efficiently and improve customer satisfaction.

LIST OF KEY DELIVERY AS A SERVICE COMPANIES PROFILED

Amazon.com, Inc. (U.S.)

DHL International GmbH (Germany)

United Parcel Service, Inc. (U.S.)

FedEx Corporation (U.S.)

DPDgroup (La Poste S.A.) (France)

SF Express Co., Ltd. (China)

JD Logistics, Inc. (China)

Kuehne + Nagel International AG (Switzerland)

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Key Market Drivers

Growth of E-Commerce

The global surge in e-commerce has significantly increased demand for reliable and scalable delivery solutions. Consumers now expect faster delivery timelines, real-time tracking, and flexible delivery options, driving businesses to adopt Delivery as a Service models.

Rising Demand for Last-Mile Delivery

Last-mile delivery is a critical component of the DaaS ecosystem. Outsourcing last-mile logistics helps businesses reduce operational costs, improve delivery speed, and overcome challenges related to urban congestion and labor shortages.

Market Trends

Advanced Technology Adoption

The integration of digital technologies such as artificial intelligence, real-time analytics, route optimization, and automated fleet management is transforming the delivery landscape. These technologies improve operational efficiency and reduce delivery times.

Increase in Same-Day and On-Demand Delivery

Same-day and on-demand delivery services are gaining popularity, particularly in urban areas. Retailers and food delivery platforms are investing heavily in micro-fulfillment centers and advanced logistics systems to meet rising consumer expectations.

Focus on Sustainability and Autonomous Delivery

The adoption of electric vehicles, autonomous delivery robots, and drones is increasing as companies aim to reduce carbon emissions and improve delivery efficiency. Sustainable delivery solutions are becoming a key competitive differentiator in the market.

Market Segmentation

By Delivery Model

Business-to-Consumer (B2C) dominates the market due to the growth of online retail and food delivery platforms.

Business-to-Business (B2B) is expanding as enterprises seek efficient supply chain and logistics solutions.

Consumer-to-Consumer (C2C) is also growing with the rise of peer-to-peer delivery platforms.

By End-Use Industry

E-commerce & Retail holds the largest market share due to increasing online shopping volumes and omnichannel strategies.

Food & Beverage is one of the fastest-growing segments, driven by online food ordering and rapid delivery demand.

Healthcare, manufacturing, and logistics sectors are increasingly adopting Delivery as a Service to streamline operations.

Regional Analysis

North America

North America leads the market due to advanced logistics infrastructure, high internet penetration, and strong demand for rapid delivery services.

Asia Pacific

Asia Pacific is expected to witness the fastest growth, supported by expanding e-commerce platforms, rising disposable incomes, and rapid urbanization in countries such as China and India.

Europe

Europe is experiencing steady growth driven by digital transformation, automation in logistics, and increasing adoption of sustainable delivery solutions.

Latin America and Middle East & Africa

These regions are showing moderate growth due to improving logistics infrastructure, increasing smartphone usage, and growing e-commerce penetration.

Key Market Players

Major companies operating in the Delivery as a Service market include global logistics providers, e-commerce platforms, and regional delivery service companies. These players are focusing on technology upgrades, partnerships, and sustainable delivery solutions to strengthen their market presence.

KEY INDUSTRY DEVELOPMENTS

In July 2025, E-commerce major Amazon has launched its 10-minute delivery service, Amazon Now, in parts of Delhi, weeks after its public debut in Bengaluru, marking a calculated but notable entry into India’s fiercely competitive quick commerce space.

In April 2025, Following a successful launch in Bengaluru, Flipkart announced plans to expand its "Flipkart Minutes" same-day delivery service to New Delhi and Mumbai. This initiative includes establishing around 100 dark stores (small, local warehouses) to enable rapid order fulfillment.

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Conclusion

The Delivery as a Service market is set for significant expansion over the coming years, fueled by the rapid growth of e-commerce, increasing demand for last-mile delivery, and advancements in logistics technology. As businesses prioritize speed, flexibility, and customer satisfaction, Delivery as a Service will continue to play a vital role in shaping the future of global logistics and fulfillment.