Canada’s courier and local messengers industry

Friday, May 5th, 2006 - 11:46 am

Statistics Canada has published its preliminary, 2004 snapshot of the country’s small package carriers, broken down according to the North American Industry Classification System (NAICS) of two industry segments: courier companies, which provide national and international delivery services, and local messenger businesses, which provide delivery services within a smaller region, such as a city or a metropolitan area.

Overall, the number of establishments increased 1% from 2003, operating revenue increased 7%, operating expense rose 6% and the industry operating margin increased by 27%. The sector’s 2004 operating margin was $463 million, or just under 7%.


Canadian Couriers and Messengers - 2004
Courier Local Messenger Total
Table - Max Burley
Number of Establishments 2,887 17,736 20,623
Percent of Establishments 14% 86% 100%
Percent of Operating Revenue 79% 21% 100%
Operating Revenue $4.9 billion $1.3 billion $6.2 billion
Average Operating Revenue per Establishment $130,000 $5,000 n/a

Other numbers:

  • 23,600 - the number of vehicles and pieces of equipment used by Canadian couriers and local messengers in 2004
  • 47% - share of total delivery revenue generated in Ontario
  • 77% - share of total delivery revenue generated by Canadian destinations
  • 19% - share of total delivery revenue generated by USA destinations
  • $8.79 - average revenue per delivery item
  • 707 million - total items delivered in 2004
  • 525 million - items delivered by large- and medium-sized couriers and messengers (i.e. firms with annual revenue greater than $1 million), or 74% of the total deliveries
  • 88% - courier share of items delivered by large- and medium-sized firms (462 million deliveries)
  • 12% - local messenger share of items delivered by large- and medium-sized firms (63 million deliveries)

Latest Price Trends

  • The Couriers and Messengers Services Price Index (CMSPI) increased 0.8% to 118.1 in February (2003=100), due to higher fuel prices. The courier portion rose by 0.9% while the local messengers component was unchanged.
  • The index rose 0.2% in to 118.3 in March, with the courier portion increasing by 0.3% and the local messengers component remaining unchanged.

The CMSPI is a monthly price index measuring the change over time in prices for courier and messenger services provided by long and short distance delivery companies to Canadian-based business clients. (Source: Statistics Canada)


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