Globalisations double-edged sword
Excerpt from IFW feature on Germany: The German parcels market is showing slower growth this year due to the countrys weak economy, according to leading operators.
Read MoreTag: GLS
GLS group expands European footprint
GLS, the Royal Mail-owned international parcels group, has strengthened its European network with several financial investments and expansion moves. In the Czech Republic, it launched a start-up subsidiary on 1 April and will invest EUR 2m in the new company, including EUR 0.6m in the first year. In Poland, the group has bought 100% control of GLS Poland in which it previously held 25.1% and plans a system partnership with the previous majority shareholder, the Raben Group. In Spain, GLS is expanding through its own network and a new partnership. Barcelona-based subsidiary Extand Sistema was renamed GLS Spain in March. At the same time, the group is now co-operating with Chronoexpress, a subsidiary of the Spanish post office Correos.
Read MoreGLS to set up Hungarian PaketShop
Parcel delivery company GLS Hungary Kft is setting up a PaketShop network in Hungary, general manager Gabor Szemkeo said. The first ten shops to accept packages were opened in the biggest cities at the beginning of April. If the three-month test period ends with success the company may extend the network countrywide. GLS pays percentage to the local contractors after each parcel and picks up the packets daily. The company started operation in Hungary in 1998. Last year it delivered about 3 million packages with more than 200 vehicles. In the business year ending March 31, it reached turnover of almost Ft 3 billion, which is 50percent increase.
Read MoreAustrian “parcel shops” to replace closed post offices
The British Post Office’s international subsidiary GLS is setting up “parcel shops” throughout Austria to replace services of hundreds of closing rural post offices, said GLS spokesmen on Tuesday. Under Austrian Post Office plans, 350 mostly rural post offices were to be closed this year. GLS planned to set up 500 new “parcel shops” by the end of 2006. They would be in banks, shops, or local government offices. GLS-Austria chief Christof Bader said he was hoping for 200,000 packages and a turnover increase of one million euros. Sending the smallest package inside Austria would cost about 3.50 euros. Head of the international GLS, Rico Back, said he did not exclude that in future, the parcel shops would accept ordinary letters as well.
Read MoreGLS accuses DHL
The British post’s subsidiary GLS has accused DHL of practising price dumping in Germany. In an interview with the daily “Die Welt”, CEO Rico Back said the Deutsche Post parcel subsidiary would undercut GLS tariffs with discounts between 8 and 10% or 20 to 30 cent per parcel. DHL would guarantee customers the same price until 2007 and exclude any increase due to higher road toll or fuel costs. Mr Back called the practice “untrustworthy”.
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