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Philippines Logistics Market Outlook to 2019 - Growth Driven by Express Delivery, 3PL and E-commerce Logistics Services

Region:Asia

Product Code:KR333

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Published On

August 2015

Total pages

169

About the Report

Click On the Latest Report of Philippines Logistics Market Outlook to 2020

The report titled 'Philippines Logistics Market Outlook to 2019 – Growth Driven by Express Delivery, 3PL and E-commerce Logistics Services' provides a comprehensive analysis on the various aspects of the market such as the market size of logistics, express delivery, freight forwarding, third-party logistics, e-commerce logistics, Balikbayan boxes, third-party logistics, warehousing, and value-added services. The report also covers the major express logistics players in both international and domestic markets along with their share in the revenue.
The Philippines has been one of the fastest-growing economies in the ASEAN regions during the past five years. With an improvement in the economy which has been facilitated by an increase in trade, the country plans to achieve more than 6% GDP growth rate in the coming years. Variables such as the service industry, manufacturing sector, exports, and imports along with foreign direct investments and personal disposable income have impacted the logistics market in the Philippines. The growth of gross domestic product from PHP 8,206.1 billion in 2009 to PHP 12,642.7 billion has acted as a strong indication of the growth of Filipino economy. Logistics has formed a crucial part of the Filipino economy with a contribution of around 10% to the GDP in the year 2014. In order to support the rapidly growing logistics sector, the infrastructural expansion in the country has showcased steady progress during the review period of 2009 to 2014.
The domestic express delivery market has been the upcoming segment in the Philippines logistics market. Express delivery which comprises of services for documents, mails, parcels and couriers at a premium price for faster delivery times has gained significant popularity amongst the Filipino population. Companies such as LBC Express, PHL Post, 2GO, and Air 21 have been few of the prominent names in the domestic express delivery market. The domestic express market has witnessed a number of collaborations of domestic companies with international entities. The competition amongst the players has been majorly limited due to the presence of a major player who has dominated the industry due to the development of high brand value and a sense of security amongst the Filipinos.
The Philippines has acted as a major gateway for the shipment of goods from western countries to the Asian continent due to its strategic geographic location. As a result of that, the country has become a renowned hub for logistics and freight forwarding activities. This has attracted a large number of international logistics companies to the Philippines. In the year 2014, the revenue generated from the international express delivery market of the Philippines was recorded at USD ~ million. DHL was observed as the major player with a market share of ~% in terms of revenues and was followed by FedEx at ~%. A larger volume of trade has been observed to take place with the availability of international express delivery services.
The Balikbayan box market has been observed to increase from USD ~ million in 2009 to USD ~ million in 2014. Despite of a large number of Filipinos working in foreign nations, this market has grown at a CAGR of ~% in the last 5 years. The competition in the Balikbayan box market has been intensified due to the presence of a large number of players. Growth of online business and e-commerce has impacted the shipments of balikbayan boxes.
The total logistics market recorded transaction volume worth USD ~ million in 2014 which grew from USD ~ million in 2009. The third party logistics market in the Philippines has observed an increase in revenues from USD ~ million in 2009 to USD ~ million in the year 2014 at a compounded annual growth rate of 11.8% during the time period 2009-2014.
The revenue generated in the ecommerce logistics segment of the Philippines logistics industry witnessed an increase from USD ~ million in 2009 to USD ~ million in 2014. Additionally, due to the influx of funds from venture capitalists and heightened competition in the market, companies have shifted to provide cutting edge logistics services to acquire a larger share of the market. It has been expected that the e-commerce logistics will witness a CAGR of ~% during the years 2015-2019.
Road transport has played a key role in handling freight movement in the country. The national road network in 2014 was 31,242.4 km which comprised of ~% of arterial roads and ~% of secondary roads. The overall size of the freight forwarding market in the Philippines was registered at USD ~ million in the year 2014 with a compounded annual growth rate of ~% during 2009-2014. The steady increase in trade volumes in the past five years has supported the elevation of freight forwarding sector. Despite of the enormous potential and growth in the past five years the domestic freight forwarding business in the Philippines has been plagued by poor infrastructural growth and development.
The logistics market of the Philippines is expected to grow at a brisk rate of ~% from the year 2015 to 2019. Technological advancements as well as competitive pricing pressures have significantly changed the market. The revenues generated in the logistics market are estimated to reach USD ~ million by the year 2019.
Key Topics Covered in the Report:
  • The market size of the Philippines logistics, domestic express delivery, international express delivery, freight forwarding, warehousing and value added services, third party logistics, e-commerce logistics and cargo handling market.
  • The market size of the Balikbayan box market.
  • Market segmentation of the logistics market on the basis of domestic and international market and B2B and B2C customers.
  • Market segmentation of the express delivery market on the basis of road and air express, international and domestic express.
  • Market segmentation of the freight forwarding market on the basis of road, sea and air freight.
  • Trends and Development in the Philippines express delivery and logistics market.
  • Competitive landscape, service offerings, pricing analysis and market share of major players in the Philippines express delivery market.
  • Gateway analysis, quality analysis and IT systems in the Philippines express delivery market.
  • Government regulations and entry barriers in the Philippines logistics market.
  • Future outlook and projections of the Philippines logistics industry – express delivery, freight forwarding, warehousing and value added services, Balikbayan box market

Scope of the Report

Products

Logistics, Road and Air Express, International and Domestic Express, Express Delivery, 3PL, Warehousing, Freight Forwarding, Balikbayan Boxes, E-comme

Companies

DHL, FedEx, TNT Express, Kintetsu World Express, Nippon Express, LBC Express, PHL Post, Airfreight 2100, 2GO Express, JRS Express

Table of Contents

1. Executive Summary
Macroeconomic Variables Affecting the Philippines Logistics Market
Infrastructural Analysis of Philippines
Domestic Express Market
International Express Market
Balikbayan Box Market
Logistics Sector
Freight Forwarding Market
2. Introduction
2.1. Project Brief and Detailed Scope
2.2. Market Size Modeling
Approach – Market Sizing
Variables (Dependent and Independent)
Multi Factor Based Sensitivity Model
Final Conclusion
3. Economic Analysis
3.1. The Economy
3.2. Components of GDP
3.2.1. GDP Growth
Components of GDP
3.3. Output Sectors
3.3.1. Services
Composition of Services Sector
3.3.2. Manufacturing
Composition of Manufacturing Sector by Different Industries
3.4. External Trade
3.4.1. Exports
3.4.2. Imports
3.5. Foreign Direct Investment
3.6. Demographics and Income Distribution
3.6.1. Income
3.7. Migrants
3.7.1. Distribution Growth of Migrants
3.7.2. Overseas Foreign Workers
3.8. Remittances
3.9. Emerging Markets Index
4. Infrastructure
4.1. Road Network
4.2. Airports
4.3. Ports
4.4. Commercial Vehicles in Philippines
5. The Express Sector
5.1. Definitions
5.1.1. Express Market
5.1.2. Balikbayan Box Market
5.2. Introduction
5.2.1. Value Chain
5.3. Express Delivery Market Size
5.4. Express Sector Future Growth
5.4.1. Express Sector Segmentation
By Road and Air Express, 2014
By International and Domestic Express, 2014
5.4.2. Philippine Drivers and Trends
Focused Investments in Infrastructure
Amplified Demand from Middle Class
Rise in Trade Volumes
Expansion of Ecommerce Industry
5.4.3. Global Drivers & Trends
Cyclical Functionality
Mergers and Acquisitions
Shift towards Emerging Markets
5.4.4. Barriers to Entry
5.4.5. IT Systems
System Architecture
Process
5.5. Domestic Express Market
5.5.1. Competitive Landscape
5.5.2. Services Offerings
5.5.2.1. LBC Express
Overview
Services
Branches
Strategy
Key Performance Indicators
5.5.2.2. Philippines Postal Corporation
Overview
Services
Branches
Strategy
Key Performance Indicators
5.5.2.3. JRS Express
Overview
Services
Branches
Strategy
5.5.2.4. Airfreight 2100 Inc.
Overview
Services
Strategy
5.5.2.5. 2 GO Express
Overview
Services
Branches
Strategy
5.5.3. Pricing Analysis
5.5.4. Strengths/ Weaknesses of Local Players
Strengths
Weaknesses
Opportunities
Threats
Strengths and Weaknesses of Local Players in the Philippines Express Delivery Market
5.5.5. Domestic Market Size/ Share
5.6. International Express Market
5.6.1. Competitive Landscape
5.6.2. Service Offerings
5.6.3. Pricing Analysis
5.6.4. Gateway Analysis
5.6.5. Local Delivery Partnerships
5.6.6. Quality Analysis
5.6.7. Total International Express Market Size/ Share
5.7. Balikbayan Market
5.7.1. Competitive Environment
5.7.2. Market Size
5.7.3. Market Segmentation by Seasonal Demand
5.7.4. Market Growth
6. Logistics and Forwarding Markets
6.1. Definitions
6.1.1. Logistics Definition
6.1.2. Freight Forwarding Definition
6.2. Filipino Logistics Market
6.2.1. Introduction
6.2.2. Historical Market Size
6.2.3. Logistics Future Market Growth
Cause and Effect Relationship between Industry Factors and Philippines Express Delivery and Logistics Market
6.2.4. Government Regulations
Medium Term Development Plan, 2011-2016
Government Policy Initiatives
6.2.5. Value Chain
6.3. Market Segmentation
6.3.1.1. By Type of Service
6.3.1.2. By B2B and B2C Clients
6.4. Warehousing and Value Added Services Market
6.4.1. Introduction
6.4.2. Market Size by Revenues, 2009-2014
6.4.2.1. Warehousing Market Introduction and Size by Revenues, 2009-2014
6.4.2.2. Value Added Services Market Introduction and Size by Revenues, 2009-2014
6.4.3. Future Outlook and Projections, 2015-2019
6.5. Philippines Cargo Handling Market Introduction and Size, 2009-2014
6.6. Philippines E-commerce Logistics Market
6.6.1. Introduction
6.6.2. Market Size by Revenues, 2009-2014
6.7. Third Party Logistics Market
6.7.1. Introduction
Challenges Faced by Third Party Logistics Providers
6.7.2. Market Size
6.7.3. Market Share of International Players in Philippines Third Party Logistics Market, 2014
6.7.4. Future Market Growth
6.8. Entry Barriers
General Entry Barriers for Foreign Players:
Inter Island and Shipping Industry Constraints
Key Gaps and Challenges faced by Foreign Players in the Logistics Industry of Philippines
6.9. Trends in Philippines
Emergence of Online Retailing
Strong Presence of Maritime Industry in the Philippines
Increase in the TEU Capacity of Ports
Increase in the Number of Vehicles Carried by RO-RO Vessels
Technological Advancements
Higher Use of Robotics
Increasing Presence of Retail Service Outlets in Organized Formats
6.10. Filipino Freight Forwarding Market
6.10.1. Introduction
6.10.2. Freight Forwarding Market Size
6.10.3. Freight Forwarding Market Growth
6.10.4. The Forwarding Sector
6.10.4.1. Road Freight Forwarding Market Introduction and Size, 2009-2014
6.10.4.2. Sea Freight Forwarding Market Introduction and Size, 2009-2014
6.10.4.3. Air Freight Forwarding Market Introduction and Size, 2009-2014
6.10.4.4. Market Share
Market Share of Major Players in Domestic Air Freight Forwarding Market, 2009-2013
Market Share of Major Players in International Air Freight Forwarding Market, 2009-2012
Market Share of Major Players in Sea Freight Forwarding Market, 2014
7. LBC Express – Opportunities
Domestic Market
International Market
8. Appendix
8.1. Market Definitions
8.2. Abbreviations
8.3. Disclaimer

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