Tag: Courier/Express/Parcels

TNT Express Targets Emerging Markets

TNT Express aims to grow into the market leader in emerging markets such as China, India and South America, and maintain its strong position in Europe, according to managing director Marie-Christine Lombard.

The express company will continue to invest in the integration and upgrading of recently-acquired companies in China and India, and consider acquisitions in South America to strengthen its business there, she said in a presentation at the company’s Analyst Day in London last week. In South America, Brazilian subsidiary Mercurio would be used as a launching platform for an integrated strategy, with a regional road network and strong intercontinental Europe-South America traffic flows.

TNT Express will also launch a new Liege-Singapore-Shanghai eastbound routing for its B747 China-Europe freighter service in the second quarter of next year, she disclosed. This would improve the eastbound capacity utilisation, which currently lies at just 39pct , and create new opportunities from South-East Asia and China. The westbound Shanghai-Liege route has a 92pct capacity utilisation. On the financial targets for TNT Express, Lombard said that the company is aiming for organic average annual revenue growth of 8pct -10pct and a return on sales of 12pct-13pct for its international and domestic business by 2012.

The emerging platforms (emerging markets) should generate average annual growth of 15pct – 20pct and a mid-single-digit profit margin by 2012. On the group’s European parcels strategy, TNT Post managing director Harry Koestra told analysts that a focused “country by country” approach would be required since market entry was not easy. TNT Post currently has parcels revenues of some EUR 400 million and a 9pct profit margin.

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Click to buy

AMERICA’S spendthrift consumers have long been a driver of global economic growth, merrily emptying their wallets and purses on the back of rising house prices and cheap money. So, many nervous eyes have been watching how consumers would react to falling house prices and the squeeze on credit. Happily for retailers and the wider economy, and despite lower consumer confidence, Americans are spending more than ever—online, at least. Since the beginning of November online spending is up by 18% compared with 2006, according to comScore, an internet-information provider. And on Thursday December 6th shoppers rang up USD 803m, the biggest online spending day yet, contributing to record weekly sales of USD 4.6 billion.

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Austria Post: Supervisory Board Resolves to Publicly Invite Applications to Fill a New Management Board Position with Responsibility for the Parcel & Logistics Division

Supervisory Board Resolves to Publicly Invite Applications to Fill a New Management Board Position with Responsibility for the Parcel & Logistics Division

In today’s meeting, the Supervisory Board of Austrian Post formally resolved to publicly invite applications to be submitted for a new position to be created on the Management Board, with responsibility for the Parcel & Logistics Division. The job announcement will be officially published as soon as possible, in accordance with the Public Appointments Act (Stellenbesetzungsgesetz).

In this context, Peter Michaelis, Chairman of the Supervisory Board of Austrian Post, said: “Due to the dynamic competitive environment in the European postal and parcel delivery market, as well as the increasing importance of the Parcel & Logistics Division within Austrian Post, the Supervisory Board decided to delegate responsibility for these operations to a separate member of the Management Board. The Parcel & Logistics Division plays a significant role with the Austrian Post Group, as a result of the expansion strategy being pursued and the related integration of the new subsidiaries, as well as the company’s further internationalisation efforts.”

The new position will be filled as quickly as possible following the legally stipulated period of four weeks for potential candidates to submit applications. Up until the appointment of a new Management Board member, Anton Wais will continue to manage the Parcel & Logistics Division on an interim basis.

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Austrian Post Repositions Parcel & Logistics Division in Austria

In a Supervisory Board meeting held on December 12, 2007, the Management Board and Supervisory Board of Austrian Post approved a comprehensive plan to reposition the Parcel & Logistics Division in Austria.

Essentially, the concept encompasses three core measures which will be implemented during the year 2008 to enable an improved market position of the Parcel & Logistics Division.

– Redimensioning (downsizing) of parcel logistics operations, and its partial integration in the letter mail logistics operations, in order to create an even more efficient nationwide delivery network
– New premium product: the 24 hour business parcel (B2B and B2C)
– Growth in the B2B business customer parcels segment – market share of 20pct in 2011

The restructuring measures will lead to the closing of 7 parcel delivery bases, and the transfer of the Parcel Sorting Centre Graz to the existing location in Kalsdorf. The planned reduction in the parcel logistics work force by about 360 employees resulting from lower parcel volumes will be cushioned as much as possible by shifting employees to the Mail Division or by means of a social (redundancy) plan.

“The EBIT has risen continually from EUR 4m in 2002 to a planned level of EUR 160m in 2007. The current package of measures will enable us to continue our path to success. The restructuring measures will ensure that the Group profit for the period in 2008 will only be slightly under the 2007 level, and then rise continually. We are well on track to achieve an expected mid-term EBIT margin of between 7pct and 8pct”, says Anton Wais, Chairman of the Management Board of Austrian Post.

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DHL install new automated sorting system at Chubu Gateway, Japan

DHL, today installed an automated sorting system for parcels at the Chubu Gateway at Central Japan International Airport, a dedicated facility providing DHL customers with bonded warehousing and customs clearance processing at one convenient location. This installation is part of DHL’s commitment to invest an additional 11 billion yen (USD 90 million) in Japan over the next few years, and comes on the heels of the inauguration of the expanded DHL Kansai International Airport Gateway in June this year.

The processing capacity of the new automated sorting system at the Chubu Gateway is 7,500 pieces per hour, expanding capacity to approximately three times the volume possible with standard manual sorting. The automated sorting system accommodates the growing volume of cargo handled in the Chubu area, especially for trade between Japan and China, and promotes the effective utilization of the Gateway – complementary to DHL’s other Japan Gateways at the Narita International Airport and Kansai International Airport – through the enhancement of shipment processing speed and service quality.

With the opening of the Central Japan International Airport in 2005, DHL has made substantial investments in the Chubu area. The Chubu Gateway was opened in March 2006, joining the six service centers established in the Tokai and Hokuriku regions since 2005. In October 2006, Air Hong Kong – DHL’s joint venture with Cathay Pacific – began operating a five-time-weekly dedicated service connecting the Central Japan International Airport to DHL’s Central Asia Hub in Hong Kong, expanding transport capability and fortifying next-day delivery services between the two regions. Based on this strengthening of both ground and air networks, a greater number of locations in the Tokai and Hokuriku regions now enjoy same-day pick-up and same-day delivery services, reducing transport times by as much as one day.

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