Saudi Arabia Drone-Based Delivery Services Market

Saudi Arabia Drone-Based Delivery Services Market Overview:

The Saudi Arabia drone-based delivery services market size reached USD 7.3 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 80.74 Million by 2033, exhibiting a growth rate (CAGR) of 28.70% during 2025-2033. The growing implementation of government support and the progressive development of regulations, increasing evolution of drone technology and investment in infrastructure, and rising preferences for same-day delivery options in e-commerce websites are some of the factors impelling the growth of the market.

Saudi Arabia Drone-Based Delivery Services Market Trends:

Rising E-commerce and Demand for Same-Day Delivery Services

The rising reliance on e-commerce platforms and preference for same-day delivery options are positively influencing the market in Saudi Arabia. E-commerce operations in the country are expanding, spurred by the increasing internet penetration. This is driving the need for faster, more efficient delivery methods that traditional logistics networks are struggling to fulfill. Drone-based delivery services offer a compelling solution by significantly reducing delivery timeframes and operational costs. The ability of drones to bypass ground traffic congestion is becoming particularly valuable in urban areas like Riyadh and Jeddah, where road traffic can delay conventional delivery services. This shift not only caters to buyer preferences but also provides a competitive edge for businesses looking to differentiate themselves through superior logistics services. Moreover, the increasing adoption of online shopping owing to the hassle-free experience of getting goods delivered to the doorstep of buyers is supporting the market growth. As per the forecast of the IMARC Group, the Saudi Arabia e-commerce market is expected to reach US$ 623 billion by 2032.

Technological Advancements and Increased Investment in Drone Infrastructure

The rapid evolution of drone technology and increased investment in infrastructure are pivotal in propelling the growth of the market in Saudi Arabia. The nation is witnessing a rise in public-private partnerships that focus on scaling up drone capabilities, including improved payload capacities, battery life, and autonomous navigation systems. Moreover, Saudi Arabian tech firms are integrating artificial intelligence (AI)-powered route optimization tools, which are reducing operational delivery times compared to traditional delivery methods. In August 2023, Ondas Holdings Inc. and Saudi Excellence Holding announced the signing of a strategic alliance between Saudi Excellence and Ondas’ subsidiary Airobotics Ltd. Saudi Excellence and Airobotics planned to jointly establish a local office in the Kingdom of Saudi Arabia (KSA) to localize Airobotics autonomous drone systems and solutions. The companies worked together to develop and foster an ecosystem of technology and service providers across KSA.

Government Support and Regulatory Advancements

The implementation of government support and the progressive development of regulations are increasing the adoption of drone-based delivery services. Governing agencies are proactive in recognizing the potential of drone technology, including its role in diversifying the economy as part of the Saudi Vision 2030 initiative. This framework emphasizes the importance of adopting technological innovations to enhance logistics and supply chain management, reducing dependence on traditional oil revenues. In 2024, The General Authority for Survey and Geospatial Information (GEOSA) signed a memorandum of cooperation (MoU) with the Saudi Federation for Cybersecurity, Programming, and Drones to support the connection between the geospatial sector and drone system. This MoU seeks to improve coordination on the utilization of geospatial technology in drones, collaborate on creating a unified drone platform alongside Geospatial and the Federation, and undertake joint efforts to bolster the advancement of the geospatial sector and drone usage in Saudi Arabia by increasing the number of professionals and businesses active in this area. These advancements in policy are enabling companies to move beyond pilot testing to full-scale implementation.

Saudi Arabia Drone-Based Delivery Services Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2025-2033. Our report has categorized the market based on type of drone, payload capacity, and end-user.

Type of Drone Insights:

• Fixed Wing Drones
• Rotary Wing Drones
• Hybrid Drones
   

The report has provided a detailed breakup and analysis of the market based on the type of drone. This includes fixed wing drones, rotary wing drones, and hybrid drones.

Payload Capacity Insights:

• Less than 2 Kg
• 2 Kg and Above
   

A detailed breakup and analysis of the market based on the payload capacity have also been provided in the report. This includes less than 2 kg and 2 kg and above.

End-User Insights:

• Healthcare
• E-commerce and Retail
• Food Delivery
   

The report has provided a detailed breakup and analysis of the market based on the end-user. This includes healthcare, e-commerce and retail, and food delivery.

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region
   

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region, and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Drone-Based Delivery Services Market Report Coverage:

Key Questions Answered in This Report:

• How has the Saudi Arabia drone-based delivery services market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the Saudi Arabia drone-based delivery services market?
• What is the breakup of the Saudi Arabia drone-based delivery services market on the basis of type of drone?
• What is the breakup of the Saudi Arabia drone-based delivery services market on the basis of payload capacity?
• What is the breakup of the Saudi Arabia drone-based delivery services market on the basis of end-user?
• What are the various stages in the value chain of the Saudi Arabia drone-based delivery services market? 
• What are the key driving factors and challenges in the Saudi Arabia drone-based delivery services?
• What is the structure of the Saudi Arabia drone-based delivery services market and who are the key players?
• What is the degree of competition in the Saudi Arabia drone-based delivery services market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia drone-based delivery services market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia drone-based delivery services market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia drone-based delivery services industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.