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Parcel and Postal Technology International
Delivery

US parcel volume growth outpaces revenue, Pitney Bowes reveals

Hazel KingBy Hazel KingJuly 1, 20252 Mins Read
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A warehouse of brown cardboard boxes waiting to be sorted and delivered.

Pitney Bowes’ 10th annual Parcel Shipping Index has revealed that parcel volumes in the USA rose 3.4% to 22.4 billion shipments last year compared to 2023, outpacing revenue growth which rose 2.7% year-on-year.

The report also reveals that pricing pressure is continuing to cause disruption among carriers, meaning they are offering increasingly competitive pricing to gain market share, leading to lower revenue per parcel and better pricing for shippers.

According to the report, smaller carriers are experiencing double-digit volume growth while parcel market heavyweights FedEx, UPS and USPS lag.

Amazon Logistics handled 6.3 billion parcels in 2024, claiming the number two spot for market share by volume, just behind USPS’s 6.9 billion parcels. Amazon is projected to overtake USPS by 2028. The ‘others’ (carriers excluding FedEx, UPS and USPS) also experienced significant year-over-year growth of 23%, going from 0.6 billion in 2023 to 0.8 billion shipments in 2024.

Pitney Bowes reports that tariffs could cause further disruption, producing new opportunities for smaller carriers. The newly imposed tariffs are expected to affect carriers’ cross-border shipping costs and disrupt supply chains with longer delivery times for international shipments. New, final-mile and regionally specialized carriers could capitalize on the growing demand for localized, cost-effective shipping solutions in markets where the larger international carriers may struggle to offer affordable services.

Shemin Nurmohamed, EVP and president of sending technology solutions at Pitney Bowes, commented, “Since Pitney Bowes began tracking shipments a decade ago, the parcel market has been dominated by FedEx, UPS and USPS. We are witnessing a turning of the tide, evidenced by the nearly 40% volume growth in the five-year CAGR of ‘Other’ carriers. This disruption presents a unique opportunity for businesses to take advantage of competitive pricing.

“With carriers facing increased competition, evolving service offerings and potential tariff impacts, it’s essential for businesses to have flexibility in shipping providers. Leveraging shipping technology that grants access to multiple carriers – and comes with pre-negotiated discounted rates – provides the flexibility to adapt to shifting dynamics in the market.”

The Pitney Bowes Parcel Shipping Index measures parcel volume and spend for business-to-business, business-to-consumer, consumer-to-business and consumer consigned shipments with weight up to 31.5kg (70lb) across the USA.

Read the report in full here

In related news, Scott Ashbaugh has been announced as the new CEO of DHL eCommerce Americas, taking over from Lee Spratt who will retire at the end of this year

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Previous ArticleDHL eCommerce appoints new CEO for the Americas

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