Who Owns Whom

courier-express-parcel-services-other-than-national-postal-services-south-africa

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2023

Michael Felton | South Africa | 30 March 2023

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2019

Liz Kneale | South Africa | 31 October 2019

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2017

Liz Kneale | South Africa | 29 May 2017

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2015

Liz Kneale | South Africa | 31 August 2015

Enquire about this report

Report Coverage

This report covers courier, express and parcel services offered by registered unreserved postal operators in terms of the Postal Services Act, excluding reserved national postal activities carried out by the Post Office. It includes information on the state of the sector, parcel freight and transport income, the growth in ecommerce, major players, corporate actions, developments. And influencing factors. There are profiles of 24 companies including PostNet, RAM, Takealot, Value Logistics, DHL, DSV, Aramex and Courier Guy.

The Courier, Express and Parcel Services Industry

The courier, express and parcel services industry faces weak economic conditions and low business and consumer confidence, affecting the volume of goods requiring express delivery. It is benefitting from the development of the on-demand economy and ecommerce sales, increasing demand for just-in-time deliveries and from the poor service provided by the South African Post Office. Increasing customer demand for speedy and flexible deliveries and the growth of disruptive startups and innovative delivery options are forcing traditional operators to review their distribution strategies and, in some cases, partner with or invest in new companies to provide innovative and alternative delivery options.

Key Trends

Ecommerce revenue growth is set to accelerate, including consumer-to-consumer transactions online. Companies are developing value-added services such as setting up and installing equipment being delivered and increasing delivery options. CEP companies are offering shared warehousing, technology and services to smaller ecommerce entities, opening up more opportunities and enhancing job creation and skills development.

Crime

Road transportation is the main modality for moving goods in South Africa and to other countries in the region. The rate of violent crime against road freight trucks is high and industry participants have raised concern over the rise in thefts targeting scooters and courier vehicles. There have been reports of an upsurge in robberies and violent crimes against ecommerce delivery staff. Theft of delivery vehicles raises insurance costs and endangers the safety of delivery personnel, resulting in higher shipping costs.

Read More..
The Courier, Express and Parcel Services Other than Postal Services in South Africa 2023

Full Report

R 20 000.00(ZAR) estimated $1072.96 (USD)*

Industry Overview

R 14 000.00(ZAR) estimated $ 751.07 (USD)*

Historical Reports

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2019-10-31

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2017-05-29

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2015-08-31

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 4
2.2. Geographic Position 6
2.3. Size of the Industry 7
3. LOCAL 10
3.1. State of the Industry 10
3.2. Key Trends 11
3.3. Key Issues 13
3.4. Notable Players 13
3.5. Corporate Actions 16
3.6. Regulations 17
3.7. Enterprise Development and Social Development 25
4. AFRICA 27
5. INTERNATIONAL 30
6. INFLUENCING FACTORS 36
6.1. Unforeseen Events 36
6.2. Economic Environment 37
6.3. Labour 38
6.4. Safety and Security 40
6.5. Environmental Issues 41
6.6. Road conditions and infrastructure 43
6.7. Technology, R&D, Innovation 43
6.8. Alternative delivery methods 44
6.9. Digital Communications and ecommerce 45
6.10. Government Support 46
6.11. Rising Input Costs 47
6.12. Cyclicality 48
7. COMPETITIVE ENVIRONMENT 49
7.1. Competition 49
7.2. Ownership Structure of the Industry 50
7.3. Barriers to Entry 50
8. SWOT ANALYSIS 51
9. OUTLOOK 53
10. INDUSTRY ASSOCIATIONS 53
11. REFERENCES 54
11.1. Publications 54
11.2. Websites 56
APPENDIX 1 58
Summary of Notable Players 58
COMPANY PROFILES 61
Aramex South Africa (Pty) Ltd 61
Business Express of South Africa (Pty) Ltd 64
Courier Guy (Pty) Ltd (The) 67
DHL International (Pty) Ltd 70
DPD Laser Express Logistics (Pty) Ltd 73
DSV South Africa (Pty) Ltd 76
FedEx Express South Africa (Pty) Ltd 80
Freight Innovations (Pty) Ltd 82
Groupair (S A) (Pty) Ltd 84
Internet Express (Pty) Ltd 86
Isicabucabu Franchising (Pty) Ltd 88
Laser Group (Pty) Ltd (The) 90
Pargopoints (Pty) Ltd 92
Postnet Southern Africa (Pty) Ltd 94
Ram Transport (South Africa) (Pty) Ltd 97
RTT Group (Pty) Ltd 100
Skynet South Africa (Pty) Ltd 104
Southgate Courier Service CC 106
Suid-Afrikaanse Poskantoor SOC Ltd 108
Super Group Trading (Pty) Ltd 111
Takealot Online (RF) (Pty) Ltd 115
TNT Express Worldwide (S A) (Pty) Ltd 120
UPS SCS South Africa (Pty) Ltd 122
Value Logistics (Pty) Ltd 125

Report Coverage

This report covers courier, express and parcel activities other than national postal activities. It includes the delivery of letters, postcards, printed matter, small parcel and other postal articles. This report describes the size and state of the industry and the factors that influence it. It examines the effects of disruption, regulation, ecommerce, road infrastructure, new delivery model sand environmental issues on the industry. There are comprehensive profiles of 27 companies. These include courier companies such as Courier Guy, FedEx Express and DHL, as well as ecommerce companies such as Takealot and companies such as Super Group, which bought 80% of specialist overnight cargo business Cargo Works.

Courier, Express and Parcel Services

Although the courier, express and parcel services sector faces weak economic conditions, it is benefitting from the growth in e-commerce sales, increasing demand for just-in-time deliveries and from the poor service provided by the post office. Increasing customer demand for speedy and flexible deliveries and the growth of disruptive startups and innovative delivery options are forcing traditional operators to review their distribution strategies and in some cases partner with or invest in new disruptive on-demand delivery companies to provide innovative and alternative delivery options.

New Developments

While the poor economy and low business and consumer confidence are affecting the volume of goods requiring express delivery, development of the on-demand economy is providing growth drivers for the industry. These include the need for speedy deliveries created by the rise in online shopping, inefficient service delivery levels from the post office, the need for just-in-time delivery of parts and components to minimise stock levels and save costs and delivery demands for medical products. The continuous development of drones, robots and autonomous vehicles are driving ongoing change in the industry.

Read More..
The Courier, Express and Parcel Services Other than Postal Services in South Africa 2019

Full Report

R 1 900.00(ZAR) estimated $101.93 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 71.35 (USD)*

Historical Reports

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2023-03-30

R 20 000.00(ZAR) estimated $1072.96 (USD)*

View Report Add to Cart

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2017-05-29

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2015-08-31

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 3
2.2. Geographic Position 4
3. SIZE OF THE INDUSTRY 5
4. STATE OF THE INDUSTRY 6
4.1. Local 6
4.1.1. Corporate Actions 9
4.1.2. Regulations 10
4.1.3. Enterprise Development and Social Economic Development 18
4.2. Continental 19
4.3. International 22
5. INFLUENCING FACTORS 29
5.1. Economic Environment 29
5.2. Rising Operating Costs 31
5.3. Road Conditions and Infrastructure 32
5.4. Digital Communications and e-Commerce 33
5.5. Alternative Delivery Models 33
5.6. Technology, Research and Development (R&D) and Innovation 35
5.7. Labour 41
5.8. Environmental Issues 44
5.9. Crime and Security 46
5.10. Cyclicality 48
5.11. Electricity Supply Constraints 48
6. COMPETITION 49
6.1. Barriers to Entry 50
7. SWOT ANALYSIS 50
8. OUTLOOK 51
9. INDUSTRY ASSOCIATIONS 52
10. REFERENCES 53
10.1. Publications 53
10.2. Websites 54
APPENDIX 1 56
Summary of Notable players 56
COMPANY PROFILES 59
ARAMEX SOUTH AFRICA (PTY) LTD 59
AVL HEALTHCARE (PTY) LTD 61
BIDAIR SERVICES (PTY) LTD 63
BUSINESS EXPRESS OF SOUTH AFRICA (PTY) LTD 66
COURIER GUY (PTY) LTD (THE) 68
COURIER-IT S A (PTY) LTD 71
DHL INTERNATIONAL (PTY) LTD 74
DPD LASER EXPRESS LOGISTICS (PTY) LTD 77
DSV SOUTH AFRICA (PTY) LTD 80
FEDEX EXPRESS SOUTH AFRICA (PTY) LTD 84
FREIGHT INNOVATIONS (PTY) LTD 86
GLOBEFLIGHT WORLDWIDE EXPRESS (SA) (PTY) LTD 88
GROUPAIR (S A) (PTY) LTD 91
INTERNET EXPRESS (PTY) LTD 93
ISICABUCABU FRANCHISING (PTY) LTD 95
LASER GROUP (PTY) LTD (THE) 97
PARGOPOINTS (PTY) LTD 99
RAM TRANSPORT (SOUTH AFRICA) (PTY) LTD 101
RTT GROUP (PTY) LTD 105
SKYNET SOUTH AFRICA (PTY) LTD 108
SOUTHGATE COURIER SERVICE CC 110
SUID-AFRIKAANSE POSKANTOOR (SOC) LTD 112
SUPER GROUP TRADING (PTY) LTD 115
TAKEALOT ONLINE (RF) (PTY) LTD 119
TNT EXPRESS WORLDWIDE (S A) (PTY) LTD 122
UPS SCS SOUTH AFRICA (PTY) LTD 124
VALUE LOGISTICS LTD 127

Report Coverage

The Courier Activities report focuses on current conditions, merger and acquisition activity as well as factors influencing the success of the sector. Most of the major courier companies in South Africa are subsidiaries of international companies and include Aramex (Aramex South Africa, PostNet), DHL (DHL Express), FedEx (FedEx Express South Africa), DSV Group (DSV South Africa) and UPS (UPS South Africa). Profiles for these five players are available in this detailed report. Also included are profiles for 18 other companies including Isicabucabu Franchising (Pty) Ltd, which trades as Fastway Couriers South Africa and Takealot.com, which employs approximately 1,500 people in its Takealot and Mr Delivery divisions.

Courier Activities

The tough macro-economic environment has affected the growth of the courier, express and parcel (CEP) sector over the past few years. Estimated to be worth R20bn per annum, this industry delivers items from all sectors of the South African economy. Industry players range from multinational companies offering global services to single individuals with a bakkie or scooter. In this sector 74 companies are registered as unreserved postal services (UPS) operators.

A Changing Environment

The major changes driving the CEP industry include the shift from a Business-to-Business (B2B) market to a Business-to-Customer (B2C) market where customers are exercising more control over how, when and where their parcels are delivered. This is due to the growth in e-commerce, customer-centric disruptive start-ups and the introduction of automation and alternative high-tech delivery models. In order to be competitive, courier services need to be supported by a nationwide, if not a global network. Mergers and acquisitions are increasing as companies seek to attract volumes and extend networks. Smaller players are being taken over by the larger role players as they do not have the network to provide a cost-effective service to both high-volume metropolitan centres and low-volume rural areas.

Read More..
The Courier, Express and Parcel Services Other than Postal Services in South Africa 2017

Full Report

R 1 900.00(ZAR) estimated $101.93 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 71.35 (USD)*

Historical Reports

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2023-03-30

R 20 000.00(ZAR) estimated $1072.96 (USD)*

View Report Add to Cart

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2019-10-31

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2015-08-31

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 3
2.2. Geographic Position 5
3. SIZE OF THE INDUSTRY 5
4. STATE OF THE INDUSTRY 9
4.1. Local 9
4.1.1. Corporate Actions 12
4.1.2. Regulations 14
4.1.3. Enterprise Development and Social Economic Development 18
4.2. Continental 19
4.3. International 22
5. INFLUENCING FACTORS 26
5.1. Economic Environment 26
5.2. Rising Operating Costs 27
5.3. Electronic Communications and e-Commerce 28
5.4. Disruptive Start-ups 29
5.5. Technology, Research and Development (R&D) and Innovation 30
5.6. Labour 33
5.7. Cyclicality 37
5.8. Environmental Concerns 37
5.9. Crime and Security 38
6. COMPETITION 39
6.1. Barriers to Entry 40
7. SWOT ANALYSIS 41
8. OUTLOOK 42
9. INDUSTRY ASSOCIATIONS 42
10. REFERENCES 43
10.1. Publications 43
10.2. Websites 44
COMPANY PROFILES 46
ARAMEX SOUTH AFRICA (PTY) LTD 46
BIDAIR SERVICES (PTY) LTD 49
COURIER AND FREIGHT GROUP (PTY) LTD (THE) 52
COURIER GUY (PTY) LTD (THE) 56
COURIER-IT S A (PTY) LTD 59
CROSSROADS DISTRIBUTION (PTY) LTD 62
DHL INTERNATIONAL (PTY) LTD 66
DPD LASER EXPRESS LOGISTICS (PTY) LTD 69
DSV SOUTH AFRICA (PTY) LTD 72
FEDEX EXPRESS SOUTH AFRICA (PTY) LTD 75
FREIGHT INNOVATIONS (PTY) LTD 77
GLOBEFLIGHT WORLDWIDE EXPRESS (SA) (PTY) LTD 79
INTERNET EXPRESS (PTY) LTD 83
ISICABUCABU FRANCHISING (PTY) LTD 85
LASER GROUP (PTY) LTD (THE) 87
RAM TRANSPORT (SOUTH AFRICA) (PTY) LTD 89
RTT GROUP (PTY) LTD 92
SKYNET SOUTH AFRICA (PTY) LTD 94
TAKEALOT ONLINE (RF) (PTY) LTD 96
TNT EXPRESS WORLDWIDE (SA) (PTY) LTD 99
UPS SCS SOUTH AFRICA (PTY) LTD 101
VALUE LOGISTICS LTD 104
VIRTUAL LOGISTICS (PTY) LTD 109

Report Coverage

The report on the South African Courier Services sector focuses on the current state of the sector, developments within the sector and factors influencing the success of the industry. The report profiles 22 companies including Courier-IT SA (Pty) Ltd which has a fleet of 150 vehicles to service clients such as SABS, Celldirect, Milu Trading and Woolworths, and TNT Express Worldwide (SA) (Pty) Ltd, part of a global network operating in approximately 200 countries.

Courier Services Sector

This report focuses on South Africa’s courier and express parcel (CEP) service industry which employs 20,000 people and is worth an estimated R8bn per annum. Companies within the sector range from multinational companies offering global services to single individuals with a light delivery vehicle. They deliver items from all sectors of the South African economy in millions of Business-to-Business (B2B), Business-to-Customer (B2C) and Customer-to-Customer (C2C) transactions.

Opportunities and Challenges

The CEP sector is a competitive industry with high overheads and input costs, and with labour costs outstripping inflation, service providers are feeling the pressure on profit margins. The series of strikes in the South African Post Office since 2011 has presented courier service providers with growth opportunities as companies have been forced to find alternative reliable distribution or delivery options. The 35% growth of online retail (e-tail) in South Africa in 2014 with sales worth R6bn, or 0.8% of total retail, has also benefitted courier companies. However, although the increase in e-commerce is providing growth opportunities for the courier sector, the emergence of Uber-like on-demand courier services and alternative delivery options, such as conveniently-located pick-up points, is having a disruptive impact on the traditional CEP industry.

Read More..
The Courier, Express and Parcel Services Other than Postal Services in South Africa 2015

Full Report

R 1 900.00(ZAR) estimated $101.93 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 71.35 (USD)*

Historical Reports

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2023-03-30

R 20 000.00(ZAR) estimated $1072.96 (USD)*

View Report Add to Cart

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2019-10-31

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

The Courier, Express and Parcel Services Other than Postal Services in South Africa 2017-05-29

R 1 900.00(ZAR) estimated $101.93 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 3
2.2. Geographic Position 5
3. SIZE OF THE INDUSTRY 5
4. STATE OF THE INDUSTRY 12
4.1. Local 12
4.1.1. Corporate Actions 15
4.1.2. Regulations 16
4.1.3. Enterprise Development and Social Economic Development 20
4.2. Continental 22
4.3. International 24
5. INFLUENCING FACTORS 28
5.1. Economic Environment 28
5.2. Rising Operating Costs 29
5.3. Labour 30
5.4. e-Commerce 31
5.5. Information Technology 33
5.6. Cyclicality 34
5.7. Environmental Concerns 35
5.8. Transport Infrastructure 36
5.9. Crime and Security 36
5.10. Electricity Supply Constraints 37
6. COMPETITION 38
6.1. Barriers to Entry 38
6.2. Research and Development (R&D) and Innovation 39
7. SWOT ANALYSIS 40
8. OUTLOOK 41
9. INDUSTRY ASSOCIATIONS 42
10. REFERENCES 42
10.1. Publications 42
10.2. Websites 43
COMPANY PROFILES 45
ARAMEX SOUTH AFRICA (PTY) LTD 45
COURIER AND FREIGHT GROUP (PTY) LTD (THE) 48
COURIER GUY (PTY) LTD (THE) 51
COURIER-IT SA (PTY) LTD 53
CROSSROADS DISTRIBUTION (PTY) LTD 55
DHL INTERNATIONAL (PTY) LTD 58
EWC EXPRESS SA (PTY) LTD 61
EXPRESS AIR SERVICES (PTY) LTD 64
FEDEX EXPRESS SOUTH AFRICA (PTY) LTD 66
FREIGHT INNOVATIONS (PTY) LTD 68
GLOBEFLIGHT WORLDWIDE EXPRESS (SA) (PTY) LTD 70
INTERNET EXPRESS (PTY) LTD 73
ISICABUCABU FRANCHISING (PTY) LTD 74
LASER GROUP (PTY) LTD (THE) 75
ONELOGIX GROUP LTD 77
RAM TRANSPORT (SOUTH AFRICA) (PTY) LTD 80
RTT GROUP (PTY) LTD 83
SKYNET SOUTH AFRICA (PTY) LTD 85
TNT EXPRESS WORLDWIDE (SA) (PTY) LTD 87
UPS SCS SOUTH AFRICA (PTY) LTD 89
UTI SOUTH AFRICA (PTY) LTD 92