Research firm Facts and Factors have published a new research report the forecasts the drone delivery market to expand at a 53% CAGR from2020 – 2026.
“According to the research report, the global Drone Package Delivery Market was estimated at USD 528 Million in 2020 and is expected to reach USD 6,773 Million by 2026. The global Drone Package Delivery Market is expected to grow at a compound annual growth rate (CAGR) of 53% from 2021 to 2026”.
It’s no suprise that the drone delivery market is growing fast. Medical drone delivery is expanding rapidly around the world, with COVID lending the market a profile boost as drones prove their value in distributing vaccine and testing materials to remote areas. As the U.S. and global aviation authorities move towards regularizing flight beyond visual line of sight (BVLOS) on-demand cargo drone delivery becomes a viable option for industry.
While retail delivery has been one of the most recent developments, and has been mostly limited to trials in specific communities, this report says that the retail sector is rising fast – because more than 50% of online shoppers favor same-day or quick delivery. “Retailers are attempting to reduce delivery lead times and increase delivery flexibility and speed by using drones to assist in the maintenance of stock-keeping units (SKUs). In densely populated megacities, aerial delivery drones are supposed to speed up product delivery,” says the report summary.
That’s encouraging, for a business that continues to battle negative public perception in areas that have not experienced drone delivery. (Virginia Tech and MAAP have recently published research indicating that most people who have access to drone delivery think of it positively.)
North America Leading in Revenue
So far, the report shows that North America is leading in drone delivery revenue. That may be because companies like UPS, Wing, and a partnership between Flytrex and Causey Aviation have been licensed for commercial drone delivery as “Aircraft Carriers.”
The report outlines drone delivery in the following segments:
- Food Delivery
- Retail Goods Delivery
- Postal Delivery
- Medical Aids Delivery
- Precision Agriculture Delivery
- Industrial Delivery
- Weapons & Ammunitions Delivery