The KEP Industry Grew Strongly Again in 2019

The Federal Association of Parcel and Express Logistics (BIEK) has presented the KEP Study 2020. The shipment volume increased by 3.8% in 2019, and the total revenue rose by 4.4%. Approximately 6,000 more people were employed than in the previous year.

(Berlin) The shipment volume in the entire courier, express, and parcel market (KEP) in Germany reached a new record in 2019: it rose to 3.65 billion shipments. On delivery days, around 7 million recipients were served with more than 12 million shipments in Germany. The results are provided by the KEP Study 2020, which was presented by the Federal Association of Parcel and Express Logistics (BIEK) in Berlin. The study also makes an estimate of the potential impacts of the Corona shock – and shows that the KEP shipment volume could rise to around 4.5 billion shipments by 2024, despite the pandemic. Revenues in the KEP market climbed to 21.3 billion euros last year. In 2019, a total of 244,600 employees were employed by the companies, 6,000 more than in 2018.

Increase in B2C Deliveries

In 2019, national parcel shipments to end customers (B2C) continued to gain momentum, increasing by 8.6%. The number of national B2B parcel shipments fell by 2.8%. The reasons for the decline are the overall economic development, the declining domestic production in customer markets such as the automotive and machinery industries, as well as the increasing trade policy uncertainties associated with protectionist measures from important trading partners. However, it is expected that B2B shipments will increase again with the projected economic recovery of the markets after the Corona pandemic.

4.48 Billion Shipments Possible by 2024

As the consequences of the Corona pandemic are still not clearly foreseeable, the KEP Study shows possible medium-term developments in the KEP market in several scenarios. By 2024, growth is expected to be between 3.6% and 4.2% per year. In the best case, the shipment volume would rise to 4.48 billion, and in the worst case, to 4.35 billion shipments.
The current KEP Study shows, among other things, through an analysis of the major cities of Hamburg and Cologne, that the importance of KEP services for the commercial economy (B2B) is enormous. KEP service providers secure supply chains, provide companies with goods and products, and ensure cost savings, market expansions, and positive revenue effects. About 60% of commercial establishments in Germany use KEP services daily. B2B shipments accounted for around 44% of all KEP shipments in 2019, which corresponds to 1.6 billion transported B2B shipments.
Marten Bosselmann, Chairman of BIEK, explains: “The public discussion about sustainable urban logistics concepts can sometimes give the impression that KEP services primarily benefit private households. This overlooks the fact that they are essential for the economy in cities and metropolitan areas. KEP services reliably supply trade, industry, crafts, and service companies with urgently needed goods and products. This underscores the system relevance of the KEP industry, especially in times of crisis like the Corona pandemic.”

Corona Shows: KEP Services Are System-Relevant

The KEP market has been significantly affected by the consequences of the Corona shock, although this varies greatly by market segment. While the volume of shipments to end consumers (B2C) reached the level of the pre-Christmas period in April, a significant decline in B2B shipment volume is expected due to the shut-down economy.
Nevertheless, the study shows that the performance of KEP companies and the usual high service quality remain intact, and the protection of employees has the highest priority. “The Corona crisis shows that KEP services can be relied upon. Even more: They are essential for the secure supply in the country and thus system-relevant. This applies to hospitals and laboratories just as much as to end consumers and the economy as a whole,” says Marten Bosselmann.
The KEP Study has been published annually since 2004 and is prepared by KE-CONSULT Kurte&Esser GbR on behalf of the Federal Association of Parcel and Express Logistics. It provides a current and comprehensive picture of market development, trends, and the economic significance of the entire KEP industry in Germany.

Download the Study

Photo: © BIEK / Image caption: l. to r. Sarah Neumeyer (Press Office, Federal Association of Parcel and Express Logistics), Marten Bosselmann (Chairman, Federal Association of Parcel and Express Logistics), Dr. Klaus Esser (KE-CONSULT Kurte&Esser GbR, Author of the KEP Study 2020)
www.biek.de