Author: Archive

DHL departure will leave NWA high and dry

Northwest Airlines’ cargo future is hanging in the balance, as the carrier prepares for the loss of its largest customer, DHL Express, next year.

Chief financial officer Dave Davis, said that Northwest will quit flying for DHL late next year. The carrier may be forced to consolidate its airfreight business, or to consider a merger, but it claims selling it is not an option.

Davis said Northwest is “actively looking” for the right partner for a possible merger.

Northwest’s fleet of 747 freighters makes it the only US carrier with dedicated cargo aircraft.

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DHL supports international NGO Plan Japan

DHL has supported a gift campaign that ran from October 15 to November 5 in Japan. The¡¡campaign was organized by Plan Japan, an international NGO with its Japan headquarters located in Tokyo. DHL supported this campaign by transporting more than 15,000 gifts to children in 40 developing countries free-of-charge. DHL proactively supports the healthy nurturing of children as part of its Corporate Sustainability Program, and this is the fifth time that DHL has cooperated with Plan Japan on a similar project, since the first in 2003.

Headquartered in the UK, Plan supports community development with children in 49 developing countries in Asia, Africa and Latin America benefiting from its programs. In this development project, people who provide sustained support are referred to as a sponsor, and they can interact with the children they support through the exchange of letters and gifts.

This year, DHL Express Japan transported 130 Jumbo Boxes, a service which delivers parcels up to 25kg – containing over 15,000 gifts to children from their sponsors. Plan Japan usually sets a weight limit of 50 grams per person on packages sent to children by the sponsors, but this was raised to 150 grams per person during the campaign period. As a result, there was participation by approximately 14,000 sponsors nationwide who sent heartwarming gifts such as stationery, toys and other gifts – items that the normal weight limit would have prevented them from sending.

In addition, DHL did not limit its support to just delivering the packages. Thirteen volunteers from DHL Express Japan helped to sort the presents by destinations before packaging them, as well as performed other volunteer work such as re-wrapping the presents.

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TNT not afraid of financial repercussions if it freezes operations in Germany

Mail distribution company TNT NV said it is ‘not afraid’ of facing financial repercussions if it decides to freeze or perhaps even abandon current cooperation agreements with local mail distributors in Germany.

‘At the moment we have no calculation of any expected costs, but we’re not afraid of financial repercussions,’ a TNT spokesman told Thomson Financial News.

TNT said it may freeze or perhaps even abandon all current cooperation agreements it has signed with regional German mail distributors in light of proposed German legislation which would see a minimum wage imposed for postal workers.

TNT is ‘very much opposed’ to that government proposal as it would ‘destroy whatever level playing field is left for us in Germany — if at all,’ the TNT spokesman said.

‘It is very difficult for any company, such as ours, to pursue normal business in an area where there’s outright market protection going on,’ he added, referring to the German postal market.

Aside from the minimum wage for postal workers, which would also hit TNT’s competitors in the German market, TNT also wants the VAT exemption for Deutsche Post — its biggest rival — rescinded by the German government.

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DHL Express to give more support to SMEs

DHL Express (M) Sdn Bhd aims to provide more support to local small and medium enterprises (SMEs), according to country manager Sam Leong.

Speaking at a press conference, Leong said SMEs, like large corporations, could leverage on DHL’s sound supply chain and multiple distribution centres in the country.

“The same solutions (available for bigger corporations) can be downsized for SMEs to secure new markets,” he said, adding that it was a common misconception that DHL’s services were only for large organisations.

DHL was the leading courier service provider in the country, with a market share exceeding 40 pct.

To date DHL hads invested over RM 21mil (USD 6.28 mill) in its service facility at Glenmarie and multiple retail points in Kuala Lumpur, Penang and Sarawak.

He said one of its retail points, based at the Central Market, had proven to be very successful.

“Most tourists visit the place (Central Market) and for most of them Malaysia was usually an intermediate stop.”

He added that most of the tourists utilised DHL’s service to courier their souvenirs home rather than carry them around on their holiday.

Going forward, Leong said DHL would leverage on its firm foundation.

“DHL already has a solid infrastructure in Malaysia. We want to enhance what we already have.”

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Postwatch: Inquiry into post office closures

The House of Commons Business & Enterprise Select Committee has just announced a new inquiry into early experiences of the Post Office’s ‘Network Change Programme’ for restructuring the sub-post office network. It will also look at the implications of the changes to the Crown post office network and the transfer of many such offices to retail outlets, such as branches of WH Smith.

The Trade & Industry Committee (which this Committee recently replaced) examined the Government’s proposed framework for a new round of post office closures in two reports earlier this year. These reports persuaded the Government to refine the access criteria and their application. The Committee will now look at how the process is being carried out in practice.

The Committee intends to focus on:

– experience of the local consultation process so far;
– the extent to which final decisions have taken local views into account;
– the nature of the proposed 500 ‘Outreach’ services and service quality;
– the role of Postwatch in the current Programme and in the future;
– how changes to the Crown post office network interact with sub-post office closures;
– the future of both Crown and sub-post office networks.

Postwatch will submit evidence to this inquiry and appear before the Committee.

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Business Christmas cards prompt consumer purchases of up to GBP 100

company as a direct result, new research revealed today.

The survey, conducted on behalf of Royal Mail by YouGov, shows that 69 per cent of consumers make a purchase of up to GBP 100 after receiving a card from a company such as a high street store. More than a quarter (27 per cent) of all consumers who made a purchase spent over GBP 100, and 12 per cent spent over GBP 500.

The study is unveiled as Royal Mail reminds businesses of the last posting dates to ensure that they send their Christmas greetings on time and do not leave customers and suppliers feeling neglected. Companies with a global customer base should plan ahead with their Christmas card mailings – the recommended last posting date for festive greetings to destinations such as Australia and South Africa is 7 December.

The research also revealed:

– 84 per cent of consumers prefer to receive company Christmas cards through the mail, compared with only 3 per cent who prefer email greetings
– This figure jumps to 91 per cent for the over 55 demographic

Thierry Saada, Director of Sector Marketing at Royal Mail, said: “A Christmas card sends an important message that you value your customers and our research shows that consumers respond well to this personal touch.”

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Kan approves Israel Post, Mizrah Insurance venture

Antitrust Authority director general Ronit Kan has allowed Israel Post Company Ltd. and Mizrah Insurance Services Ltd. to collaborate on non-life insurance for a limited period and subject to restrictions. The two companies can set up a joint venture that will sell insurance policies at post offices.

Insurance agents opposed the proposed joint venture, but Kan decided that it would improve competition in the market. The Antitrust Authority imposed restrictions on the joint venture due to concerns that Israel Post might discriminate against customers who come to the post office to change vehicle ownership but who refuse to buy insurance. The Postal Bank has the exclusive authority to handle the transfer of vehicle ownership. Israel Post may not condition handling the transfer of vehicle ownership on the purchase of insurance or obtaining insurance services.

In addition, Kan limited the joint venture to three years, after which the Antitrust Authority will review it.

Under the agreement between Israel Post and Mizrah Insurance, some post offices will have an automated station or a station manned by an insurance agent who will offer consumers vehicle insurance policies from various insurance companies. The insurance companies will quote prices directly, without the intervention of the agent, enabling consumers to compare prices themselves. In this way, Israel Post will become a new and important distribution channel for non-life insurance.

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300 new offices of Azerbaijan State Post Company to open in 2008

The Ministry of Communications & Information Technologies of Azerbaijan continues realizing the three-year programme of post services development.

Deputy communication minister Iltimas Mammadov said that for the last three years they are going to restructure around 3,000 post offices of Azerpoct (Azerbaijan State Post Company) on the principle of “universal postal services”.

“In this connection we opened around 110 new post offices in remote populated points last year and 85 ones this year. In 2008 we expect to open 300 ones more to be designed to render universal services,” Mammadov said.

At the same time country’s postal service market is fully liberal.

“Azerbaijan has issued around 20 licenses for communications services,” he said.

Azerpoct is numbering about 1,600 post offices and agencies around the country.

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