Drone Package Delivery Market to Reach USD 31,188.7 Million by 2028 | CAGR 53.94%

Companies covered in drone package delivery market are Amazon Inc. (Seattle, Washington, U.S.), FedEx (Memphis, Tennessee, U.S.), UPS Flight Forward Inc. (Atlanta, Georgia, U.S.), Deutsche Post DHL Group (Bonn, Germany), Matternet Inc. (Mountain View, California, U.S.), Zipline Inc. (South San Francisco, California, U.S.), Flirtey Holdings Inc. (Reno, Nevada, U.S.), Drone Delivery Canada Corp. (Vaughan, Ontario, Canada), Flytrex Aviation Ltd. (Tel Aviv, Israel), Workhorse Group Inc. (Loveland, Ohio, U.S.) and other key players.

Pune, India, March 01, 2023 (GLOBE NEWSWIRE) -- The global drone package delivery market size is projected to reach USD 7,388.2 million by 2027, exhibiting a CAGR of 41.8% during the forecast period. Widespread deployment of drones to deliver medical and food supplies amid the COVID-19 pandemic is expected to aid the market make substantial gains, observes Fortune Business Insights™ in its report, titled “Drone Package Delivery Market Size, Share & Industry Analysis, By Type (Fixed Wing and Rotary Wing), By Package Size (Less Than 2 Kg, 2-5 Kg, and above 5 Kg), By End Use (Restaurant & Food Supply, E-commerce, Healthcare, Retail Logistics & Transportation and others), and Regional Forecast, 2020-2027”.

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List of Key Companies Profiled in the Drone Package Delivery Market Report:

  • DroneScan  (South Africa)
  • Cheetah Logistics Technology (US)
  • Flytrex (Israel)
  • Flirtey (US)
  • Matternet, Inc. (US)
  • Boeing (US)
  • Amazon Inc. (US)
  • Wing Aviation LLC (US)
  • Workhorse Group Inc. (US)
  • Drone Delivery Canada Corp. (Canada)
  • Zipline (US)
  • DHL International GmbH (Germany)
  • United Parcel Service of America, Inc. (US)

Report Scope & Segmentation:

Report CoverageDetails
Forecast Period2021-2028
Forecast CAGR 53.94 %
2028 Value ProjectionUSD 31,188.7 Million
Base Year2020
Drone Package Delivery Market Size in                  2021USD 1,522.4 Billion
Historical Data2017-2019
No. of Pages200
Segments CoveredBy Type Analysis, By Package Size Analysis, By End-use Analysis
Drone Package Delivery Market Growth Drivers 

High Infrastructural Cost to Restrict Adoption of Drone Package Delivery for Market Growth

Report Coverage

The development of advanced drone technologies such as beyond-visual line-of-sight operations, sense-and-avoid systems, and autonomous navigation is expected to accelerate the adoption of drone package delivery. The market is highly competitive, with many players investing in research and development to improve their drone technologies and gain a competitive advantage in the market. Additionally, the increasing emphasis on environmental sustainability is also expected to boost the adoption of drone package delivery, as it can help reduce the carbon footprint of traditional delivery methods.

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Drone package delivery is an innovative technology that has gained significant interest in recent years. This technology allows for quick, efficient, and eco-friendly delivery of packages, especially in remote or hard-to-reach areas. The benefits of using drones for package delivery include reduced transportation costs, faster delivery times, and increased efficiency. However, the use of drones for package delivery also poses some challenges, such as regulatory compliance, safety concerns, and limited payload capacity. The market for drone package delivery is expected to continue growing in the coming years, driven by the increasing demand for faster and more efficient delivery solutions, especially in e-commerce and logistics industries.
Driving Factor

Emergence of Drone Startups in Logistics to Augment Market Potential

The growing demand for enhancing the efficiency of logistics operations has triggered a sudden emergence of startups specializing in drone technologies to cater to these needs. For example, DroneScan, a South Africa-based startup, designs drones that transmits live data of scanned items in warehouses, making inventory management more efficient and upping the productivity quotient of workers. An Italy-based startup, Archon, provides autonomous robotic drone services to facilitate supervised as well as unsupervised inspection of warehousing and logistics operations. The drone startup culture is gathering momentum in developing countries as well. For example, in India, several startups have spawned in the past few years that are providing next-gen drone services. Aarav Unmanned Systems, for instance, was started in 2013 and is India’s first drone company to develop drone solutions for commercial applications in the public and private sectors. These developments are expected to power the drone package delivery market growth in the forthcoming years.


On the basis of shipyard type, the market is segregated into commercial and military.

In terms of technology platform, the market is categorized into robotic process automation, additive manufacturing, artificial intelligence and big data analytics, digital twin, blockchain, industrial Internet of Things (IIOT), and others. The robotic process automation segment is predicted to lead the market in 2020 owing to the surging demand for automation of numerous ship manufacturing methods such as welding, cutting, painting, and others.

In regards of digitalization Level, the market is classified into semi digital shipyard and fully-digital shipyard.

The global market is branched into North America, Europe, Asia Pacific, the Middle East & Africa, and South America.

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Regional Insights

North America to Top Other Regions Backed by Rising Preference for Drone Deliveries by Shoppers  

North America is set to dominate the drone package delivery market share during the forecast period owing to the increasing inclination of online shoppers towards delivery of goods through unmanned aerial vehicles (UAVs). With a market size of USD 237.7 million in 2019, the region is likely to retain its leading position, which will be supported by the strong financial support to drone startups in the US and Canada.

In Europe, the market is anticipated to be driven by the growing presence of tech companies that are expanding their operations in the region through collaborations and partnerships. Asia Pacific is expected to create exciting opportunities for market players on account of the emerging trend of online purchasing of groceries in the large cities of India, China, and Indonesia.

Competitive Landscape

Supportive Regulations to Novel Ideas to Feed Competitive Ardor of Key Players

With the scope for innovation widening, key players in the market of drone package deliveries are engaged in coming up with novel drone solutions, especially during the current coronavirus crisis. Supporting their efforts are regulatory bodies that are easing flying norms and rules to ensure the timely delivery of essential supplies to people.

Key Industry Developments:

  • August 2020: Amazon secured clearance from the Federal Aviation Administration (FAA) to deploy its Prime Air delivery drone fleet to efficiently and securely deliver packages to customers. Amazon is now the third company to receive FAA approval to operate drones on a commercial scale after UPS and the Alphabet-owned company, Wing.
  • May 2020: Wing, a subsidiary of Google’s parent company Alphabet, announced that it has made thousands of drone deliveries in Australia during the pandemic. Launched in Canberra in 2019, the demand for Wing’s services rose by 500% between February and April 2020.

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  • Introduction
    • Research Scope
    • Market Segmentation
    • Research Methodology
    • Definitions and Assumptions
  • Executive Summary
  • Market Dynamics
    • Market Drivers
    • Market Restraints
    • Market Opportunities
  • Key Insights
    • Key Industry Developments –Mergers, Acquisitions, and Partnerships
    • Latest technological Advancements
    • Porters Five Forces Analysis
    • Supply Chain Analysis
  • Quantitative Insights- Impact of COVID-19 Pandemic on Global Drone Package Delivery Market
    • Impact of COVID-19 on Global Drone Package Delivery Market
    • Steps Taken by Industry/Companies/Governments to Overcome the Impact
    • Key Developments in The Industry in Response to COVD-19 Pandemic
    • Potential Opportunities Due to COVID-19 Outbreak

TOC Continued…!

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