DPD Hungary is now offering its tried-and-tested COD (Cash on Delivery) service for consignments asan international service. Initially, the company promises to deliver parcels under cash-on-delivery
terms between Hungary and Germany.The move was motivated by the increase in demand for COD services due to the financialcrisis, prompting this response from one of the country’s leading parcel delivery firms, DPDannounced. The demand for secure and fast payment solutions in the parcel delivery sector isgreater too, because the financial crisis has reduced the willingness of customers in this sectorto take risks.
“Our COD service ensures fast and reliable cash flows, which we guarantee to all ourcustomers every time,” emphasised Csilla Hosszú, managing director of DPD Hungária Kft.“Cash-on-delivery consignments currently make up 40% of our total delivery volume. Thecorresponding figure last year was 32%.”
This dynamic growth stems from the unique features of the COD service. “DPD Hungária Kft.transfers the cash received for consignments delivered in Hungary within 72 hours of receipt, andwithin 1 week for international parcels,” he explained. In Hungary, the normal transfer time forconsignments delivered abroad is two weeks.
The DPD cash on delivery service offers a swift money transfer, security and transparency:every stage of the cash on delivery process can be monitored. This results in clarity, which isexactly what customers want.
Germany is the first country where DPD customers in Hungary can send international CODparcels. The reason for choosing Germany is that a substantial number of customers have closebusiness relations with Germany. “Step by step we are meeting the growing demands, and we intend toinclude new countries into the COD service going forward. Accordingly, in the second half of 2010we plan to extend the service to Austria and Italy,” revealed Csilla Hosszú.
DPD Hungária Kft. generated growth of 20% in 2009 and has similar plans in the pipeline for2010. In addition to its domestic growth, DPD Hungária Kft. can confidently rely on itsinternational network too, securing a foundation for continued expansion.
“DPD has roughly eight hundred depots across Europe and has the best European operationsnetwork,” noted Marek Rozycki, CEE director of DPD’s majority shareholder GeoPost. “This is why wecan deliver to 220 countries worldwide, and one third of DPD’s consignments are internationaldeliveries. At the same time, the rapid and reliable European road service is environmentallyfriendly too, as the harmful emissions of air deliveries are eight times as high.”