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New Zealand Post launches another card first

From Thursday 6 March 2008 New Zealand Post and Visa International will be launching “Loaded”, the country’s first general-purpose reloadable prepaid Visa card.

The card offers a new payment option to consumers looking for the functionality and acceptance of a credit card along with the sensible spending habits offered by prepaid. It works in the same way as a prepaid mobile phone – you load funds on the card before you spend.

Loaded is easy to get. It isn’t attached to a bank account and anyone over the age of 13 is able to apply for a card.

Terese Tunnicliffe, New Zealand Post’s Payment Services General Manager says “we believe Loaded will appeal to a broad range of people because of the freedom and control it offers over other card types”.

“Loaded is the ideal card for people who are either too young or don’t qualify for a credit card or those people who want added control over their spending. It not only makes online shopping more accessible for New Zealanders but will appeal to those who want to shop online securely and within their means”.

“Knowing the card will have a widespread appeal, we’ve made Loaded as flexible and user-friendly as possible, but at the same time we have also taken a responsible approach and included several safeguards” says Ms Tunnicliffe.

One such safeguard is based on age. When a customer applies for a card, their age will determine whether they receive an over 18 account or an under 18 account. The under 18 card can not be used at bottle shops, bars or to purchase adult orientated services. A customer who is 18 or over can also elect to have an under 18 account if they want the restrictions built into the under 18 card account to apply to their card (e.g. if they want a second card for a teenage relative to use).

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UPS Chief urges US transport investment

The US must reinvest in its ageing, overused transportation networks or risk losing ground to the world’s other leading economies, United Parcel Service’s Chief Executive said.

Scott Davis told the Financial Times that the nation’s private sector should seek out opportunities to partner with transportation authorities to help modernise the infrastructure that underpins the US economy.

“We’ve got to work very closely with the government to look ahead and take a candid look at where we are,” said Mr Davis, who took over as Chief Executive of UPS in January. “It’s so critical to the future competitiveness of the US that we build the transportation infrastructure that we need.”

The US may need to spend USD 1,600bn in the next five years to restore its infrastructure to good condition, according to the American Society of Civil Engineers.

While some state and local governments have sought investors to help fund infrastructure improvements, the programmes often meet resistance from politicians and consumer advocates concerned that the arrangements cede control of a steady source of revenue to private entities.

Repairing and upgrading ageing roads and bridges, antiquated air-traffic control systems and overcrowded ports and railways would help ensure the US remains a viable trading partner, Mr Davis said. Total cross-border transactions may swell to more than USD 70bn by 2025, compared with USD 10bn last year.

“If we sit still, we may get left out of global trade,” Mr Davis said. “That’s the danger for the US. Just think of the problems we’re going to have with the ports and the highways and the airports and the rails.”

In spite of its global reach, the US remains the Atlanta-based company’s biggest and most important market.

UPS underscored its continued dependence on the US this month, warning that a drop in demand for domestic package deliveries, which had set in by February, may leave the company short of its quarterly profit forecast in spite of growth from its international and supply-chain management businesses. FedEx, UPS’s arch-rival, cited the same concerns for the US economy last week.

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TNT introduces new packaging line

TNT’s Express division is introducing a new packaging line designed to better protect shipments from damage, promote the TNT brand across the globe and support the company’s environmental effort. TNT, which produces 50 million packaging items per year, is first deploying its new parcels and satchels in Europe and the Middle East. The new envelopes are available worldwide. Sales staff has received special training to give customers packaging advice. TNT also provides a DVD to help customers choose the right packing.

The new packaging line offers customers more choice, ease-of-use and protection against damage. There is a proper parcel, envelope, tube or satchel for any shipment ranging from confidential documents to temperature controlled medical samples. For example, the new BubblePak (410×330 mm) has an inner bubble lining, making it quicker to send breakable goods. TubePak is designed for posters and MedPaks for medical samples. Choice does not rule out simplicity: each type of packaging is identified by a simple name and visual. All new parcels feature simple pictorial instructions, describing the best way to pack, seal and send items. Redesigned envelopes and satchels have perforated openings for easy opening. To reduce the chance of damage, envelopes and boxes are made of strengthened sturdy cardboard.

The highly recognizable packaging better promotes the TNT brand. The new packs boast TNT’s energetic color orange as well as bright, attractive close shots of sunflowers, oranges, goldfishes, sea stars, flower petals or butterflies. TNT also offers a new line of packaging stickers to better reflect its new services portfolio and help the packaging stand out.

The new packaging is part of TNT’s comprehensive environmental push. All cardboard envelopes and boxes are made of recycled materials and are recyclable. The new plastic satchels are biodegradable after two years. Each one of them bears an expiry date.

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Express operators step up Latin America investment

Leading international and domestic express companies in Latin America have announced investment plans in recent weeks to build up their networks and add new services. Mexico and Brazil are the focus of investment.

DHL Express will invest about USD 112 million (EUR 72 million) in Mexico over the next five years (2008-2012) in new hubs, gateways, the domestic air network, the ground fleet, IT systems and other measures, DHL Mexico director general Luis Eraña told local newspapers.

Estafeta, one of the leading private operators in Mexico, will invest about USD 30 million (EUR 19.2 million) this year to expand its network, director general José Antonio Armendáriz told local media. The bulk will go on a runway extension at its hub at San Luis Potosí in central Mexico that will enable international flight operations. The operator also plans to add three small cargo planes to supplement its existing five B737Fs, and build new centres in Toluca, Morelia, Leon and Guadalajara.

In Brazil, private express company Rapidao Cometa announced earlier this month it will invest RUSD 32 million (EUR 11.8 million) in a 65,000 sqm new logistics centre in São Paulo to triple handling capacity there. The centre, due to open in the second half of the year, will act as a base for the company, whose businesses is mostly generated in northern Brazil, to expand in the south and south-east of the country. “In terms of business distribution by region, the company’s activities are disproportioned,” commented commercial director Américo Pereira Filho.

Brazilian express operator Mercúrio, owned by TNT Express, already announced at the start of the year that it will buy 100 trucks this year to expand its fleet, and will open new hubs at Rio de Janeiro, Fortaleza and Recife this year.

Meanwhile, Brazil Post has played down recent reports it might buy Variglog, the troubled Brazilian cargo airline, in order to build up a domestic air cargo operation instead of relying on commercial capacity. Describing Variglog as an “option”, its president Carlos Henrique Custódio told the newspaper Gazeta Mercantil that Brazil Post is also talking with four smaller airlines about “a new formation” to help its business.

Elsewhere in Latin America, TNT Express has started offering a new air service between Buenos Aires and Montevideo, connecting the two capitals each working day of the week. In Peru, Grupo Scharff, the local FedEx partner company, aims to broaden its portfolio by offering more FedEx products in the second half of this year. The company increased revenues 20% to USD 13 million last year from its FedEx-branded services, according to the El Comercio newspaper.

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Aramex opens new logistics centre in Cairo

Middle East-based express and freight group Aramex has announced the opening of a new state-of-the-art logistics centre in Egypt to expand its supply-chain solutions network in the country.

The new 6,500 sqm logistics centre in Cairo will bolster its already strong presence in Egypt and enhance an existing 5,000 sqm facility, the company said.

“Aramex is committed to providing our customers in Egypt with efficient transport networks and a world-class logistics infrastructure that meets the demands of the country’s rapid economic growth,” said Samer Gharaibeh, Aramex Chief Executive Officer, Africa.

Located in the Abou Rawash area with easy access to the ring road, the new Cairo facility forms a vital part of Aramex’s supply chain solutions infrastructure in the country and links through to Aramex’s other key logistics centers across the MENA region.

The advanced facility implements global standards in security and the latest technologies, including a comprehensive system for processing and managing online orders.

“The new facility, coupled with our country-wide express distribution capability and real time shipment tracking services, is an ideal solution for IT and telecommunication companies that operate in a fiercely competitive market,” added Gharaibeh.

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Bahwan Cybertek and DHL to deliver world-leading solutions in Oman

In a move signalling the company’s commitment to the Omani market, and to bringing enhanced logistics capability to the Sultanate, DHL Exel Supply Chain has strengthened its ties with Bahwan Cybertek, under a new corporate brand, Bahwan DHL Exel Supply Chain.

The newly named company is committed to providing complete supply chain and logistics solutions using the latest technologies and best industry practices to support Oman’s booming economic growth, especially in the oil and gas sector.

Outsourcing supply chain operations helps companies focus on their core competencies and customer service, while Bahwan DHL Exel Supply Chain effectively manages their inventories and deliveries. The company will also add further value to customers by offering the global capabilities of DHL Global Forwarding and DHL Express.

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Russian Post represented mid-term development program

Russian Post represented the enterprise mid-term development program at the Session of the Collegium of the Ministry of Communications and Information Technologies of the RF headed by L.D. Reiman, Minister for Communications and Information Technologies of the RF held on March, 25, 2008.

As the Minister noted, present postal structure, development and quality of services don’t meet requirements of modern economy and society, it should be considerably modernized. Post should immediately find solutions to such problem as renovation, unified process, postal employees social status.

A.I. Kazmin, Russian Post Director General represented complex of anti-crisis measures and medium-term enterprise modernization program for the period till 2011. The program already implemented in Russian Post aims at providing break even of the enterprise profits, establishing and supporting main production processes. Expenses optimization and efficient management system are among the prior measures taken by new heads of the enterprise. Post is to improve information system security, continuation of business-processes, reduce operation, technology and reputation risks. Quality improvement of services, delivery speed and security of mails is one of the key Russian Post’s goals.

Postal infrastructure modernization program will be held till 2011. It stipulates for capitalization of the enterprise at the expense of state investment support. It helps to reconstruct and provide technique equip for post offices, renovate transport and improve logistics, develop banking services infrastructure and other.

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New managers for UPS freight forwarding

UPS has chosen new management to lead its global freight forwarding team.

UPS, which spends more than USD 1 billion a year on technology, wants to use its electronic records platform in the freight forwarding line of business, so that large manufacturers can follow their shipments around the globe, just like customers can track their packages.

Freight forwarding — moving large shipments via third-party air, ocean and train shipping lines — is a highly-competitive industry.

The new President of Freight Forwarding is Eric W. Kirchner, who is replacing Dan Brutto, now President of UPS International.

Everette C. Riley has been promoted to President of Freight Forwarding for North America, and Terry Gavin Sambrook to Vice President of Global Brokerage.

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