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Thailand: E-commerce to fuel rise of express deliveries

According to ShipHub, a unified logistics platform service, Thailand's express parcel delivery market continues to experience steady growth, fuelled by the rapid expansion of e-commerce, which has become a cornerstone of the digital economy.

Thailand's express parcel delivery market is expected to maintain steady growth, fuelled by the e-commerce market. (Photo: Bangkok Post)
Thailand's express parcel delivery market is expected to maintain steady growth, fuelled by the e-commerce market. (Photo: Bangkok Post)

Bangkok (VNA) - Thailand's express parcel delivery market is expected to maintain steady growth, fuelled by the e-commerce market, while some operators are planning to capitalise on advanced technology such as artificial intelligence (AI) to bolster their competitive edge.

According to ShipHub, a unified logistics platform service, Thailand's express parcel delivery market continues to experience steady growth, fuelled by the rapid expansion of e-commerce, which has become a cornerstone of the digital economy.

In 2024, the market value was expected to rise 17-18%, with an average daily parcel volume of 7-8 million items. The total market valuation could have climbed to 115 billion THB (3.4 billion USD) last year, ShipHub noted.

Thailand Post remains the dominant market leader, followed by Flash Express, J&T Express, and Kerry Express (KEX), according to ShipHub.

Competition is particularly intense in pricing, with current service rates starting at 25-30 THB per item.

The rise of shopping platforms like TikTok and the Shoppertainment model has significantly boosted demand for parcel delivery services.

Flash Express, in particular, has benefited greatly from the influx of new customers stemming from these trends, said ShipHub.

Another research firm, Mordor Intelligence, said the Thai courier, express and parcel market size is estimated to be worth 2.86 billion USD in 2025, and is expected to reach 4.04 billion USD by 2030, growing at a compound annual growth rate of 7.16% during the forecast period (2025 to 2030).

The growth is being driven by technological advancements integrated into logistics processes, including real-time performance tracking and smart systems for parcel storage, sorting and distribution.

Another strategy is operators' formation of partnerships with organisations that offer complementary strengths to broaden consumer reach and reinforce their business networks./.

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