Revenues and volumes rocket at EMS Russian Post in 2010

EMS Russian Post, the express subsidiary of Russian Post, grew strongly last year with a revenue rise of 44% and increased shipment volumes by 43% compared to the previous year with a boom in inbound parcels. In 2010, the operator’s revenues showed strong growth to RUB 2.6 billion (€64.85 million) compared to RUB 1.8 billion (€44.9 million) in 2009. EMS shipment volumes increased considerably to 4.8 million pieces last year, 81% of which were Russian outbound shipments. Domestic volumes grew by 40%.

Inbound international mail volumes increased by as much as by 52%. This was due to a rising number of individual customers and greater shipping volumes from existing customers. The company intensified its cooperation with online shops in 2010 with e-commerce quintupling its turnover in Russia. Corporate customers still account for the bulk share in the sales structure of EMS Russian Post with more than 60%, however. The changes in Russian customs legislation in 2009 have significantly contributed to increased growth of incoming international EMS shipments ordered by Russian citizens from abroad. Inbound international shipments thus accounted for 19% of EMS Russian Post volumes in 2010. EMS Russian Post completed the construction of its first specialised office of international postal exchange at Sheremetyevo Airport in Moscow last year that started operating in January this year. The company also started constructing its own hub with a production capacity of 10,000-15,000 shipments per hour. This terminal will become a major Russian loading and sorting postal hub for express shipments significantly reducing delivery times of EMS shipments. This year, EMS Russian Post has implemented a new mail identification system using RFID technology and plans to apply RFID to all express shipments in order to track them at all processing stages. For further development, the company intends to implement a set of measures to improve service quality including a new cash-on-delivery service “Super Express” and SMS notification of shipment status. This year, the company plans to open structural units in Kazan, Belgorod, Tula, Tver and others. Moreover, new land routes are planned. Other measures include the increase of handling capacity of international postal exchanges in St. Petersburg and Moscow and opening new international exchange points.

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