New research has suggested delivery companies in the UK could be handling as many personal parcels as they do business ones within the next five years, as the growing popularity of ecommerce fundamentally changes the role assigned to the carrier industry in Britain.

Global Freight Solutions (GFS) found that 37 per cent of items handled by UK couriers over Christmas 2011 were sent to consumers by internet retailers, leading to its prediction that this figure could rise to 50 per cent by 2016.

GFS argues that this would represent a major milestone for the industry, given that traditionally it has relied on business deliveries for the majority of its revenue.

Projections from the current data it has recorded suggest that consumers and businesses together will contribute 4.75 million items daily over December 2016, with the pre-Christmas period traditionally the busiest time for UK delivery services. Furthermore, GFS argued that the month after Christmas is also likely to become busier in the next few years.

Simon Veale, GFS director, explained that the ability of e-retailers to trade on Christmas Day gives them an advantage over traditional bricks-and-mortar stores, allowing them to begin their sales early and encouraging consumer spending over this previously fallow period.

"We believe that the more frequent use of smartphones and tablets to buy Christmas presents online will fuel further parcel growth and that, in turn, means home deliveries may well catch up with those destined for business customers by 2016," added Mr Veale.

He concluded that what this means for delivery companies is that they must organise their systems even more carefully than before, as an increasingly complicated distribution network is built up.

Internet Retailing recently reported that a report from SAP UK has warned internet retailers to develop techniques for coping with the "deluge" of data stemming from an increasing number of customers.
 

Author:  Gillian Walters