Saudi Arabia Last Mile Delivery Market Report and Forecast 2032

Saudi Arabia Last Mile Delivery Market Insights & Analysis (2025-2032)

The Saudi Arabia Last Mile Delivery Market reached a value of nearly USD 7.17 Billion in 2025. The market is assessed to grow at a CAGR of around 6.44%, during the forecast period of 2025-2032 to attain a value of around USD 11.1 Billion in 2032. With the swift growth of e-commerce platforms, mounting customer preference for quick deliveries, and the government's Vision 2030 initiative aiming at digital transformation, the industry is envisioned to upscale tremendously.

The Saudi Arabia Last Mile Delivery Market has seen considerable evolution with the launch of innovative delivery solutions like autonomous vehicles, drones, and AI-powered route optimization systems. Also, the pandemic augmented digital adoption among Saudi customers, permanently changing shopping behaviors toward online channels & therefore heightening demand for effective last-mile delivery services.

Saudi Arabia Last Mile Delivery Market FY32

• Study Period: 2020- 2032


• Base Year: 2024


• CAGR(2025-2032): 6.44%


• Market Value 2032: USD 11.1 Billion


• Major Players: KUEHNE+NAGEL, BAHRI, DIGGIPACKS, SMSA EXPRESS TRANSPORTATION COMPANY LTD., AYMAKAN, CAREEM, CMA CGM GROUP, ARAMEX, KINTETSU WORLD EXPRESS, INC., SAFE ARRIVAL, MASAR, SAEE, AGILITY, AJEX (AJLAN & BROS HOLDING GROUP), and Others 

Moreover, major aspects propelling the Saudi Arabia Last Mile Delivery Industry development include significant investments in logistics infrastructure, increasing smartphone penetration allowing real-time tracking capabilities, and the entry of international logistics players through strategic partnerships with local entities. Also, the incorporation of advanced technologies, including blockchain for enhanced transparency & IoT for real-time monitoring has further transformed the delivery ecosystem.

Furthermore, Saudi Arabia's young, tech-savvy populace with high disposable income continues to demand faster & more dependable delivery services, insisting market companies modernize continuously. Besides, the government's emphasis on emerging smart cities & enhancing transportation networks is creating a favorable environment for last-mile logistics operations. In addition, the rising trend of same-day & instant deliveries is reshaping customer expectations & compelling enterprises to recalibrate their logistics strategies.

Furthermore, the Saudi Arabia Last Mile Delivery Market is destined for considerable transformation with autonomous delivery solutions, micro-fulfillment centers, and sustainable delivery practices becoming mainstream. Also, the mounting focus on environmentally friendly delivery choices & the potential implementation of the hyperloop & other futuristic transportation systems would likely redefine delivery capabilities & efficacy in the kingdom by 2032, further elevating the Last Mile Delivery Market share.

Last Mile Delivery Market Recent Developments

2024:

• Kuehne+Nagel expanded its last-mile delivery network by opening three new distribution centers in Riyadh, Jeddah, and Dammam, strengthening its presence across major Saudi cities.
• Aramex launched "Aramex SMART," an AI-powered delivery prediction system that reduced delivery times by 30% through optimized routing and resource allocation.
• As part of its sustainability initiative, SMSA Express introduced electric delivery vehicles for its operations in Riyadh and plans to convert 25% of its fleet to electric by 2026.
• Naqel Express, expanded its micro-fulfillment center network to 15 locations across the Kingdom to support same-day deliveries.