Tag: Europe

Big businesses welcome UK Royal Mail's PiP plans

Posted by | May 26, 2006 | |

Most of the UK’s top 1000 firms believe Pricing in Proportion (PiP) will have a beneficial effect on direct mail by encouraging better targeting and lower volumes, new research shows. While the changes have met with criticism from some in the industry who believe they will stifle creativity, Royal Mail’s expectation is that two-thirds of business mail will be unaffected. Research from mail communications firm Corporate Mailing Matters (CMM) supports this, revealing that two-thirds of the UK’s top 1000 firms believe PiP will result in better targeting of direct mail. CMM said the move to lower volumes has already begun, with marketers increasingly focusing on aligning customer value and the uplift in response that better targeted and more creative mailings can bring.

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DHL to cut German package prices by up to 40 pct, 'or more'

Posted by | May 26, 2006 | |

Deutsche Post World Net AG said its express unit DHL will lower its package prices in Germany by up to 40 pct ‘or more’ in its ‘biggest customer offensive in the market for years’. In addition, the number of weight classes will be reduced from three to two: 10 kg packages and 20 kg packages, priced at 6.90 eur and 9.90 eur, from July 1. Previous prices for the two weight classes were 10.50 eur and 14 eur, respectively.

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KfW's 41.6 pct stake in Deutsche Post attracts investor interest

Posted by | May 26, 2006 | |

German state-owned development bank Kreditanstalt fuer Wiederaufbau (KfW)’s 41.6 pct stake in Deutsche Post World Net AG has attracted the interest of private equity and hedge funds, the Frankfurter Allgemeine Zeitung reported, citing financial sources. UK-based CVC is said to be among the interested parties. It already holds minority stakes in Danish and Belgian postal services, it said. CVC’s head of Germany, Steven Koltes would not comment other than to say that ‘we are very interested in European post companies’. Other companies named ‘in the market’ as interested in the Post-stake, are KKR, Blackstone and Permira, according to the FAZ. However, there are no concrete talks ongoing with KfW.

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Parcelforce gets into the black

Posted by | May 25, 2006 | |

Parcelforce Worldwide has made its first operating profit in its 15 year history. It made an annual profit of (pounds sterling)5m on a turnover of (pounds sterling) 314m giving a return on sale of 1.6%. Last year Parcelforce lost (pounds sterling) 6m, according to the accounts released last week. The company says that it has seen growth particularly in the business to consumer market. Operating costs are 1.7% higher but this includes absorbing a 7% increase in volume. “The second half of the year saw an acceleration of unit cost improvements… strong improvements in vehicle and logistics costs have in part been offset by higher fuel costs and international conveyance costs as international volumes have risen,” the report says.

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Neopost works with FrankPay

Posted by | May 25, 2006 | |

Neopost, the pan-European mailroom equipment maker, has made its franking kit compatible with Parcelforce’s new service, FrankPay. FrankPay gives any franking machine user access to all domestic and international Parcelforce services via the web and lets them pay via their franking equipment. ‘This offers customers complete control of all their mail and express parcel costs from their franking machine,’ said a Neopost spokesman. The service also offers users a pounds 1 discount per parcel on normal Parcelforce tariffs.

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