Tag: Europe

Swiss Post acquired Highnes Holding AG

Swiss Post has bought a night express delivery company to strengthen its position in the fast-growing night logistics market segment.

The Swiss postal group acquired Highnes Holding AG, parent of night express firm NES and Tesmo Immobilien SA e EDS SA, with effect from July 1, 2007. NES, based near Berne, is specialized in same-day and in-night express deliveries as well as repair logistics within Switzerland. NES will be integrated into PostLogistics, the logistics division of Swiss Post, which already provides night logistics services.

PostLogistics, with 5,100 staff, aims to offer a broad range of parcel and express delivery services, freight forwarding and warehouse logistics. It made an operating profit of CHF 87 million (GBP 35.24 million) on revenues of CHF 1.4 billion (GBP 0.56 billion) in 2006.

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European Bank for Reconstruction supports modernisation of Romanian postal service

The EBRD is providing Posta Romana with a 50 million euro loan to finance the construction in Bucharest of the country’s first fully automated sorting centre and the modernisation of an existing sorting centre in the north-western city of Cluj. Up to 20 million euro of the loan will be syndicated to commercial banks. Posta Romana will also contribute to this project with 10 million euro of its own cash flow.

The construction of an automated sorting centre is a key element in the modernisation of Posta Romana, which is facing increasing competition following the liberalisation of the market in line with EU regulations.

The state-owned company was established, in its current form, in 1991, when post and telecoms activities were separated in Romania. Today, Posta Romana handles 2.2 million letters and over 50,000 parcels daily through its 7,100 offices and outlets.

Up until the end of 2008, the company has exclusive rights to handle items up to a maximum weight of 50g. In return, it is obliged to serve all destinations in the country at the same price and quality. In other areas, such as express mail services, Posta Romana is already facing private competition.

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Bulgarian Postal Services Firm T-Post Targets 87% Coverage by 2012

Bulgaria’s first privately held postal services company T-Post plans to provide its services to nearly 90% of the country’s population by 2012, it said on Wednesday.

T-Post, owned by domestic postal operator Tip Top Courier, launched its services on Wednesday. The company was licensed for offering postal services in November last year.

“We plan to invest in network development in the next five years and cover 87% of the population,” T-Post director Venceslav Krastev told SeeNews. T-Post plans to expand its network to over 1,000 offices throughout Bulgaria by 2012.

Tip Top Courier said earlier this year it plans to invest some seven million levs ($4.9 mln/3.6 mln euro) in building T-Post’s network by 2009. Bulgaria’s postal services market should be fully liberalised by the end of 2009, in line with the requirements of the European Union. The Black Sea country joined the EU in January.

(1 euro = 1.95583 Bulgarian levs)

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Royal Mail criticized over pricing

The Royal Mail has faced criticism from the British Chamber of Commerce (BCC) after their Pricing in Proportion initiative is shown to raise costs for small businesses.

60 pct of businesses participating in a survey conducted by the BCC stated that their postage costs had risen because of the change in pricing. Only 16 pct felt that Pricing in Proportion (PiP) had simplified the system, and fewer than 1 pct believe that it is an improvement on the previous pricing scheme.

The PiP system was designed to be a revenue neutral exercise for the Royal Mail, basing costs on the size of mail as opposed to weight, reflecting the expense of handling larger pieces of mail. The survey indicates that PiP has failed to simplify the system for customers, and has even raised postage costs for some.

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DHL poised to review GBP 25 m pan-European ad account

DHL is understood to be reviewing its pan-European advertising account. It is understood that the pitch, which is being run out of Germany, is still in early stages.

Ogilvy Stockholm is the lead agency on the account although Ogilvy Primary Contact, Ogilvy’s business-to-business division in the UK, handles some work. It is thought that the review is being handled by AAR Gmbh in Germany.

Lisa Morgan, director for marketing communications at DHL Express Europe, denies there is any review. She adds: “I do work with Ogilvy Sweden for pan-European campaigns and am not reviewing our account. Our corporate branding and advertising department is based in Bonn. They are responsible for all global brand communications for DHL and are in touch with many agencies/companies in this respect.”

An Ogilvy spokesman says the agency is unaware of any account review.

Last year, DHL appointed Harrison Troughton Wunderman (HTW) to handle direct marketing in the UK without a pitch, while Vizeum handles media. It is not thought that they will be affected by the review.

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