Tag: Aramex

B2C deliveries will be the major growth market for the European express and parcels industry in the next few years along with international deferred shipments as customers downtrade from premium express to slower but cheaper products, the Courier and Parcel Logistics conference in London was told.

Home deliveries will grow strongly as consumers increasingly shop on the internet instead of in the high street, but issues surrounding “final mile“ deliveries will continue to pose operational challenges, senior industry managers said on the event’s opening day.

Speakers agreed that the B2C market would move towards segmentation between premium deliveries of higher-value goods and standard delivery of lower-value items. However, there was little customer take-up of parcel collection and drop-off points so far, they commented.

Addressing market trends, speakers said that the world economic slowdown and recent financial markets turbulence would impact on business. The express industry would see fewer shipments and more bundling of volumes from financial customers, while customer relationships were being shaken up by the rapid changes in the financial sector. More generally, operators needed to right-size their networks, remove excess capacity but not endanger their customer service levels.