The global last mile delivery market size is projected to grow from USD 176.99 billion in 2025 to USD 373.92 billion by 2033, exhibiting a CAGR of 9.8%.
Report Scope:

Report Metric	Details
Market Size in 2024	USD 161.20 Billion
Market Size in 2025	USD 176.99 Billion
Market Size in 2033	USD 373.92 Billion
CAGR	9.8% (2025-2033)
Base Year for Estimation	2024
Historical Data	2021-2023
Forecast Period	2025-2033
Report Coverage	Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
Segments Covered	By Service Type,By Technology,By Application,By Delivery Time,By Region.
Geographies Covered	North America, Europe, APAC, Middle East and Africa, LATAM,
Countries Covered	U.S., Canada, U.K., Germany, France, Spain, Italy, Russia, Nordic, Benelux, China, Korea, Japan, India, Australia, Taiwan, South East Asia, UAE, Turkey, Saudi Arabia, South Africa, Egypt, Nigeria, Brazil, Mexico, Argentina, Chile, Colombia,

Western Europe last mile delivery software market is anticipated to grow at a CAGR of 10.3% over the forecast period, i.e., 2025 to 2035 and further was valued at USD 1,767.3Million in 2025 and is estimated to reach USD 3,274.3 Million by 2035.

Metric	Value
Market Size in 2025	USD 1,767.3 Million
Projected Market Size in 2035	USD 3,274.3 Million
CAGR (2025 to 2035)	10.3%

Country-Wise Outlook

Country	CAGR (2025 to 2035)
Spain	10.3%

Country	CAGR (2025 to 2035)
Italy	10.3%

Country	CAGR (2025 to 2035)
BENELUX	10.3%

Country	CAGR (2025 to 2035)
Nordic Countries	10.3%

Country	CAGR (2025 to 2035)
Switzerland	10.3%

Country	CAGR (2025 to 2035)
Austria	10.3%

Segmentation Outlook - Last-mile Delivery Software Market (Western Europe)

Solution Type	Market Share (2025)
Cloud-based	66.9%

End Use	Market Share (2025)
E-commerce	62.3%

Competitive Outlook

Company Name	Estimated Market Share (%)
Descartes Systems Group	14-17%
Bringg	11-14%
FarEye	9-12%
LogiNext	7-10%
Onfleet Inc.	6-9%
Other Providers	38-45%

Industry revenue is forecast to climb at a compound annual rate of 1.7% over the five years through 2025 to €220 billion. The postal and courier industry in Europe is undergoing a significant transformation. While traditional mail volumes are declining, e-commerce parcel delivery has surged, exacerbated by the COVID-19 outbreak, supporting revenue growth. Many postal and courier companies adapted swiftly, expanding their last-mile delivery capabilities to meet the increased demand. Despite this, the industry faced operational challenges like labour shortages, fluctuating fuel prices and an emphasis on cost-effective and environmentally sustainable solutions. Digital transformation has become essential, with online tracking, real-time delivery updates and contactless delivery options becoming the norm. Postal services have diversified into financial, retail and e-commerce support services to remain competitive. Competition from new entrants and the demand for faster, more reliable deliveries have reshaped industry dynamics. Recent investments in digital and automated technologies have become crucial for the industry as it grapples with high operating costs. These advancements streamline processes and enhance efficiency, which in turn support profitability. Additionally, by reducing energy inefficiency, these technologies allow companies to invest in sustainability efforts, like expanding electric vehicle fleets and installing energy-efficient systems in buildings. These initiatives improve their environmental credentials, attracting eco-conscious consumers. In 2025, revenue is forecast to increase by 0.5%. Industry revenue is forecast to grow at a compound annual rate of 4.4% over the five years through 2030to €273.5 billion. The industry is poised for continued growth, driven by the ongoing e-commerce growth and evolving customer expectations, including next-day and even same-day delivery. Digital innovation, automation and green delivery solutions will be vital for maintaining competitiveness and meeting environmental goals. Companies that can adapt to shifting market dynamics, streamline operations and provide sustainable, efficient services will thrive in the future postal and courier landscape.