Tag: UK

DHL wins 5-year logistics contract from SCA Timber Supply Limited in the UK

DHL said on Monday (29 May) that its UK unit DHL Exel Supply Chain has won a five-year transport contract from SCA Timber Supply Limited, a UK subsidiary of the Swedish forest industry group SCA. The contract covers the transportation of timber products to DIY (do-it-yourself) retailers and builders merchants from SCA Timber Supply’s national distribution centre in Stoke-on-Trent to DIY retailers and builders merchants across the United Kingdom and Ireland.

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ANALYSIS: Is Royal Mail guilty of having its cake and eating it?

News that the Government is giving Royal Mail GBP1.7bn – on top of the recent price control – to update its service and get its pension fund back on track has irked many. But the watchdogs are firmly on-side. The Government’s decision to hand out GPB1.7bn to Royal Mail has been met with fury from competing postal operators. TNT Post UK chief executive Nick Wells has branded it “murky”, adding: “The game’s not being played on a fair playing field and I’d like to know where the referee is.” Opposition parties have also hit out at the move. But what do direct marketers think? One industry source claims Royal Mail is having its cake and eating it: “Postcomm’s recent price control was very generous – we assumed it was set on the basis that there wasn’t going to be any Government aid. For Royal Mail to receive both seems very one-sided.”

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Big businesses welcome UK Royal Mail's PiP plans

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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Parcelforce gets into the black

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

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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