Year: 2005

DHL continues UK Superbrand supremacy

Posted by | Jul 22, 2005 | |

DHL has retained its status as one of the UK’s leading brands by being named a Business Superbrand for 2005. The Business Superbands programme is run by Superbrands Ltd, the independent arbiter on branding. Thousands of business brands were judged by a panel of 13 independent business leaders who selected a final list of 83 winners. “This award is testament to the successful integration of DHL, Securicor Distribution and Danzas under the DHL brand,” said Suzy Elliott, Marketing Director at DHL. “Our customers have responded well to this and we continue to focus on delivering a seamless service in order to retain the finest reputation in our field.” This is the second year in a row that DHL has won superbrand status.

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China volumes aid UPS results

Posted by | Jul 22, 2005 | |

A doubling in shipments out of China helped UPS increase earnings by a better than expected 22 per cent in the second quarter. Rapid international expansion, especially in Asia, has helped the package delivery and logistics group offset slower growth in the US over recent months. But there were signs in the second quarter that the domestic business was recovering strength, following management restructuring and an increased focus on medium-sized business customers. International export volume rose 18 per cent, helped by “steady” growth in the world economy. Asian exports were up nearly 40 per cent. This month the group announced plans to launch a domestic express delivery service in China and build a new hub for Asian operations in Shangahi.

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Reform on China postal system to start in H2 2005

Posted by | Jul 22, 2005 | |

A reform on the Chinese postal system, worked out by the State Development and Reform Commission, the Ministry of Finance, the Ministry of Information Industry, and the State Postal Bureau, is set to start in the second half of 2005 after being prepared for seven years. The reform will focus on separating the administrative functions from enterprise, strengthening governmental supervision, guaranteeing general services and special services and ensuring postal security. To the end China will establish the State Post Administration as the supervision organ and the China Postal Group Corp. to run all kinds of postal services including some core businesses such as mails, EMS, and logistics. A postal depository bank will be set up to regulate financial services in the postal area. China Postal Group Corp. will set up a series of subsidiaries in logistics, saving deposit, EMS, stamps collection, aviation and other industries. The reform plan has been filed to the State Council, the country’s cabinet for an approval.

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UK Royal Mail staff share transfer still on the cards

Posted by | Jul 22, 2005 | |

Ministers have signalled they could allow Royal Mail to transfer shares to its employees, following a government review into the future of the state-owned postal services operator announced yesterday. The government has decided against setting up the widely expected independent review of Royal Mail’s future once the postal services market is opened up to full competition on January 1. Alan Johnson, the trade and industry secretary, told MPs yesterday he had decided instead to appoint Sir George Bain, the former head of the London Business School, to work with him in examining these issues. This internal review could give the green light to Royal Mail’s proposal to transfer a significant ownership stake to its staff, Mr Johnson suggested. He told MPs he was “not ruling out” an employee share trust.

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DMA (UK) slams Postcomm’s PIP ‘contradiction’

Posted by | Jul 22, 2005 | |

The DMA (UK) has attacked Postcomm’s handling of the pricing in proportion (PIP) issue, branding the decision that it is minded to accept the scheme a “contradiction in terms” which “smacks of legal nicety rather than correct consultation”. In its response to Postcomm’s consultation, released this week, the trade body expressed concern that the proposals will lead to direct mail budgets being slashed and moved to other channels. A DMA membership survey has exposed the fact that 78 per cent of members believe the industry should insist on 12 months to implement the scheme, while only 55 per cent have seen Royal Mail’s revised PIP proposals. Some 55 per say their businesses will be affected by the scheme.

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ASA dismisses TNT Express gripe

Posted by | Jul 22, 2005 | |

The Advertising Standards Authority (ASA) has thrown out a complaint lodged by TNT Express (UK) against Royal Mail’s Special Delivery service following a spat over whose premium service is the best. TNT Express complained to the advertising watchdog about a direct marketing campaign in which Royal Mail claimed its service was cheaper and better than its competitors. TNT Express complained that both mailings were misleading, because the methodology of the surveys was not made clear.

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UK price curbs ‘will stamp out 40,000 postal jobs’

Posted by | Jul 21, 2005 | |

Royal Mail today warned it will have to axe 40,000 jobs if the postal regulator goes ahead with its plan to impose price controls on stamps. In a report, chairman Allan Leighton told Trade and Industry Secretary Alan Johnson the proposed prices would result in “unrealistic” cost cutting and could only be achieved by massive job losses. Royal Mail bosses believe it is unfair for the regulator to bring its productivity rate in line with rivals Deutsche Post or TPG, as those postal companies have received more investment and are more mechanised than the British system. The job losses – representing nearly a quarter of Royal Mail’s workforce – would be more than the cuts of 34,000 made by Mr Leighton three years ago in order to return the group to productivity. Mr Leighton’s appeal to the Government comes at a time when ministers are planning a review of Royal Mail and as the organisation tries to raise more cash.

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