After 30 years of development of private express delivery, what kind of "Chinese sample" does the "world's largest express delivery country" provide for the world?

Recently, the Shanghai Academy of Social Sciences released the "Summary of the 30-year Development and Future Trend Outlook of China's Private Express". The report systematically reviews the 30-year development process of private express delivery since the establishment of China's first private express Shentong Express in 1993, summarizes the outstanding contributions made by private express delivery to China's economic and social development, predicts the future development direction of the express delivery industry, and makes an in-depth interpretation of how private express delivery provides a unique "Chinese sample" for the world's express delivery industry.

As of the end of 2022, the market share of private express delivery in mainland China has exceeded 90%, and the average daily processing of the express delivery industry in mainland China has exceeded 700 million pieces, and it has become the largest country in the world in terms of express delivery volume for ten consecutive years. According to the report, China's private express delivery provides basic security logistics services for the new e-commerce format with inclusive prices and cost-effective timeliness, and bridges the development gap of China's regional economy through the national network based on the franchise system, and has unique advantages in the comparison with international express delivery companies in terms of business strength and social value. At present, China's private express delivery companies are also actively going overseas, benefiting more merchants and consumers in the international market with the "China model", so that the world can witness the high-quality development achievements of China's express delivery industry in recent years.

It has confirmed the great charm of the socialist market economy with Chinese characteristics

The report pointed out that the 30 years of development of private express delivery has confirmed the great charm of the socialist market economy with Chinese characteristics. In 1992, the mainland set the goal of economic system reform to establish a socialist market economic system, and private express delivery enterprises were able to develop rapidly with the momentum of sparks, and gradually grew into big trees in the cracks of EMS almost monopoly. Through 30 years of hard work, the standard of the express delivery industry has grown from scratch, and the rules have changed from zero to one, deducing a drama of continuous reform of the industry management system and mechanism forced by the development of the private economy, and a history of market behavior giving birth to industry management regulations.

Pratt & Whitney is the main feature that distinguishes China's private express delivery from overseas express delivery companies. The report points out that the inclusive price of private express delivery has effectively promoted China's regional economic development and narrowed the gap. It is precisely because of the inclusiveness of private express delivery services that the economically backward areas in the central and western regions can still enjoy the same efficient express delivery services as the economically developed eastern regions. High-quality agricultural products and industrial products from the central and western regions can be efficiently and conveniently transported to consumers in the east, and at the same time, consumers in the central and western regions can also enjoy the goods produced in the eastern industrial belt at extremely low logistics costs. With the blessing of the "express delivery into villages" project, the mainland will basically form a rural mail and logistics system that is open to the people, intensive sharing, safe and efficient, and two-way unimpeded, so that townships and townships have outlets, villages and villages have services, agricultural products can be transported, and consumer goods can be entered. At the same time, the supply capacity and service quality of rural mail and logistics will be significantly improved, and the delivery services for the convenience of the people will be basically covered.

Infrastructure for new forms of e-commerce

The report points out that China's private express delivery is the infrastructure of the new e-commerce format. Without private express delivery, there will be no various "online shopping festivals". Since 2006, major private express companies have begun to cooperate with e-commerce platforms in depth, and e-commerce has gradually become the main business body of private express companies, and private express delivery has also boosted e-commerce shopping to become a way of life in modern Chinese society. E-commerce and private express delivery "dance together", symbiosis and common prosperity.

The franchise network is one of the mainstream models of China's private express delivery. Compared with the direct network, the franchise company can jointly invest with the headquarters to accelerate the investment efficiency and network extension speed, so that the private express can quickly have the ability to serve the whole country. On the other hand, because the terminal network is organized in a franchise mode, it is more flexible and efficient, and the elasticity coefficient can be several times higher in a short period of time, which strongly supports the pulse outbreak of a single volume, and is more suitable for the sales rhythm of China's 6.18, Double 11 and other e-commerce promotions.

From the perspective of the price stratification composition of e-commerce express business volume in 2022, more than 85% of e-commerce orders originate from customer orders below 100 yuan. On the one hand, the structure of the e-commerce platform itself accelerates the decline of the overall customer unit price of the e-commerce industry, thereby promoting the growth of the number of e-commerce orders, and on the other hand, it causes consumers to form "one order and multiple pieces" after payment, and the high order opening rate promotes the increase in the express delivery rate of e-commerce orders, and the express delivery industry undertakes the basic guarantee of the most cumbersome and lowest profit margins. It is precisely because the express delivery industry has undertaken the most cumbersome part that China's Internet can do e-commerce when there is traffic, social platforms such as Xiaohongshu and Mushroom Street, and short video platforms such as Douyin and Kuaishou have emerged new models such as content e-commerce and live broadcast e-commerce.

Representatives of "China Speed".

The express delivery industry is a representative of China's efficient speed, among which the private express delivery that undertakes most of the parcel transportation has played an important role. The report pointed out that in the third quarter of 2022, the full time limit of express delivery services was 56.74 hours, a year-on-year decrease of 1.47 hours, and the 72-hour punctuality rate was 80.39%, an increase of 2.1% year-on-year. High-quality, fast-timed express delivery services have become the primary dimension for large platforms, large e-commerce, and high-customer unit price B-end to select express service partners, and it is also the normalized expectation of C-end consumers for express delivery demand and service evaluation.

Behind the efficient delivery of private express delivery is the technological dividend brought by the digital and intelligent transformation of enterprises. The leading private express delivery companies have all set up automatic sorting systems to achieve 24-hour undifferentiated automatic sorting, and have established a computer database to decompose and plan the transaction process, so that information can be obtained quickly and effectively regardless of which aspect of application. The leading express delivery companies support the group's business internally, and serve market partners externally through solutions such as smart logistics and smart supply chain, realizing industrial co-construction and upgrading from life service industry to production service industry.

Four major increments in the future

The report predicts the four major development directions of the express delivery industry in the future: first, the new format of e-commerce brings new incremental opportunities, second, the express "into the village" + "into the factory" brings huge potential demand, third, the opening up to promote the development of the international express industry, fourth, the exhibition and other special logistics markets to enhance the level of the express industry.

The report pointed out that in the long run, China's express delivery industry will show a diversified development trend, emerging markets and sinking markets still have room for expansion, new e-commerce, express delivery into the village, express delivery to the sea and high-end market segments still bring incremental growth to the express delivery industry. With the continuous development of new e-commerce retail methods such as live streaming and community group buying, the per capita online shopping frequency in the sinking market will achieve rapid growth, and the rise of these new e-commerce forms will continue to promote the growth of express delivery business. At the same time, the high-quality development of the exhibition industry in the mainland will put forward higher requirements for refined exhibition logistics, and the advanced logistics management experience and technology of private express delivery enterprises in the mainland, as well as the advantages of outlets covering the whole country and major developed economies in the world, can just meet the high requirements of the high-quality development of the exhibition industry for refined exhibition logistics, and have the necessity and feasibility of entering the exhibition logistics market.