DHL expands delivery contract with BMW UK

DHL has signed a three-year contract with BMW UK to implement Dealer Metro Distribution Centres (DMDC) in Scotland and Northern England. The company will provide warehouse services at its shared-user Bellshill location in Scotland, including receipt, put-away, picking and dispatching of automotive components and fast moving spare parts for the Scottish aftermarket.

Forming part of BMW’s “continuous focus to enhance customer service satisfaction”, these DMDCs enable dealerships to order and receive multiple deliveries in urban locations with parts shipped within two to three hours of ordering.

Previously dealerships only received once-nightly deliveries, and as a consequence the customer would need to revisit the dealership if the parts were not available. The new concept reduces dealership inventory levels and increases the number of BMWs that can be repaired with just a single visit.

As a result of the deal, 18 BMW dealerships in Scotland and Northern England will receive regular deliveries up to three times a day, in addition to their through-the-night service.

DHL is also assisting BMW in managing the DMDC concept in other territories, including Belgium, Germany, Switzerland, Spain, Portugal, and the USA.

BMW confirmed that DHL’s “thorough business development process and intelligence leveraged from working on this strategy in Europe” ultimately led to the car manufacturer’s decision to choose this distribution solution. The DHL team also demonstrated its track record for reliability within the UK and abroad.

Paul Dyer, managing director for DHL Supply Chain Automotive said: “DHL’s proven strengths in the automotive sector and ability to implement flexible, efficient solutions continue to be attributes, which our customers value us for. We’re delighted to have been chosen as a partner to BMW and we look forward to helping enhance its customer service strategy.”