Tag: DPD

DPD targets express, B2C and international growth

Hans Fluri DPD is aiming to grow faster than the overall German CEP market with new express, international and B2C services, joint CEO Hans Fluri said today. The intercontinental network will be developed in stages.

DPD wanted to expand into new parcel segments using the strengths of its German domestic parcel business but without risking this core business, he told journalists at the Transport Logistic trade fair in Munich. “We have a clear growth strategy,” he said. DPD is the domestic B2B deferred parcel market leader.

The new domestic Express service, offering next-day delivery by 08:30, 10:00, 12:00 or 18:00, had increased the German operator’s express volumes by 40% compared to last year since its launch in April, Fluri said. The company is initially actively targeting 1,000 of its 70,000 German customers for express shipments, he noted.

DPD, currently number two in the German international deferred parcel segment, wants to grow its overall international business, which increased by about 18% in 2006, by about 10% a year over the next 4-5 years, Fluri told the press briefing. The EU would be the “top priority”.

The Intercontinental service would focus on reliable deferred delivery through the growing DPD network of subsidiaries, ventures and franchisees in 38 countries and other delivery partners.

DPD also wants to target the fast-growing German B2C market by building up a network of about 2,000 Parcel Shops to be used as delivery points. But there are no short-terms plans for any final-mile delivery service or use of automated parcel collection points, he pointed out.

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Italian Express Delivery Firm Bartolini Launches Services in Bulgaria, Romania, Greece

Italian express delivery company Bartolini has launched services in EU newcomers Bulgaria and Romania, as well as Greece, the company said on Thursday.

The company will offer the services through its partner, German sector firm Deutscher Paket Dienst (DPD), Bartolini said in a statement.

Bartolini, one of the main express delivery firms in Italy, offers services to a total of 25 countries in Europe. Outside Italy, the company works with DPD and its partners from EuroExpress.

Bulgaria and Romania, which joined the European Union in January, have attracted large numbers of foreign investors in various sectors of their economies over the past few years. Service companies have followed investors in finance, real estate and tourism, telecommunications and industry, to take advantage of the business opportunities offered by the EU accession.

Some of the key express delivery companies in Bulgaria and Romania are international firms TNT, DHL and UPS. There are strong local players in Romania – Cargus, Fan Courier and Curiero.

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DPD opens largest centre in the Baltic Region

DPD has opened a new parcel sorting hub in the Latvian capital of Riga, which it claims is the largest such centre in capacity terms in the Baltic region. The 2,900 sqm new facility can handled up to 140,000 parcels per day, compared to the 10,000 daily shipments DPD Latvia has been handling to date. DPD is expanding at a pace in the Baltics and last year opened a 2,400 sqm sorting hub in the Estonian capital, Tallinn.

The Latvian sorting centre is 4km outside Riga city centre and situated on a 9,600 sqm plot of land with over 70 pick-up and distribution gates. The parcel sorting conveyor is 1 km long.

Meanwhile, DPD Lithuania announced its parcel volume had shot up over 36% in the first quarter of this year, compared to the same period last year, to 676,000 from 495,000 items. Sales grew by 40% in 2006, on top of similar growth the year before, and a further 40% growth is expected this year, the company said.

DPD Latvija is French owned company. The mother company is GeoPost which belongs to French Post Group.

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DPD plans more parcel shops in Germany

DPD plans to build up a network of parcel shops across Germany to develop its currently small B2C business and take on DHL and Hermes. The move is part of a new strategy to broaden its product portfolio both in Germany and internationally.

“We have adopted a clear growth strategy,” DPD joint CEO Hans Fluri told German newspaper Die Welt in an interview. The German B2B market leader, with annual revenues of about EUR 1 billion, increased parcel volumes about 5.5% and turnover by 7% last year, the newspaper said. In the B2C market, however, DPD with 35 million shipments lags well behind DHL and Hermes (200 million parcels).

To expand its consumer parcels business, the La Poste subsidiary aims to build up its small network of DPD Shops. “Today we have about 500 DPD Shops. By the end of 2007 we want 2,500 outlets. By 2010 we are aiming for 5,000 shops,” Fluri said.

Although Hermes, with 13,000 outlets, and GLS (4,000) are much larger, DPD sees potential for a third network, he added. “Customer behaviour in terms of parcel shops is not yet fixed and will change. We are convinced that as a well-known firm we have a good chance,” Fluri stated.

Meanwhile, DPD now offers its international parcel distribution by air express to more than 220 countries through a network of cooperation partners, Die Welt reported. Prices are about 40% lower than normal air express rates, and transit times are 1-2 days longer. DPD recently enhanced its express service within Germany with new service options.

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DPD aiming to expand in Germany

German parcel delivery specialist DPD, a subsidiary of French postal service operator La Poste, is hoping to increase its share of the German market thanks to a new strategy. The company’s core business will in future include deliveries to private addresses, express deliveries within a guaranteed time and worldwide deliveries. Until now, the company has focused on national and European parcel deliveries.

Experts estimate that the overall market grew by an average of 4.4 per cent last year, while the market for deliveries to private customers grew by over 10 per cent. This trend is expected to continue over the next few years. DPD currently delivers around 35 million parcels to private customers each year and is thus well behind DHL, the express subsidiary of German postal service operator Deutsche Post, and Hermes, a subsidiary of German mail-order group Otto. Among other measures, DPD plans to expand its network of shops; the company intends to have 2,500 shops by the end of the year and 5,000 by 2010, compared with only around 500 at present. Last year, DPD increased its turnover by 7 per cent to around 1bn euros.

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