Deutsche Post DHL wants to cooperate with European postal operators to create a delivery networkfor cross-border B2C parcels and benefit from the boom in e-commerce rather than setting up its own
pan-European network, according to a senior manager.“Deutsche Post DHL does not have a strategy to establish delivery networks in all countries,”Andreas Lemmer, product manager B2C Parcel Europe, told this week’s European Postal Servicesconference in Brussels. One exception is the Netherlands where it works through subsidiarySelektvracht.
“Public postal operators are the natural partners for 2C export parcels from Germany. If thequality is right, Posts will always be the first candidate,” he told an audience of European postalmanagers. Postal operators have various competitive advantages for B2C deliveries, includingextensive collection and delivery networks, retail outlets and local expertise, he pointed out.
Deutsche Post DHL generally monitors international performance quality through the EuropeanParcel Group alliance of postal operators, Lemmer said. However, the threat of switching to analternative delivery provider was also a good method to improve quality, he commented. Key requiredproduct features include reliable transit times, competitive pricing, easy shipping, good customerservice and tracking and tracing functionalities, he added.
International B2C parcels grew at double-digit rates for DHL last year thanks to the rise ofe-commerce, Lemmer stated, but he did not give any precise figures. Deutsche Post DHL expects tosee increasing competition in the B2C market, with TNT planning to target the sector, UPS “offeringmore and more B2C services” and Hermes developing a European network, he pointed out.
Cross-border B2C growth will be driven by various factors, Lemmer said, citing a recent EUstudy. In smaller countries, especially in Eastern Europe, many products are either not availableor can be obtained cheaper from abroad. In some countries, up to 20%-30% of goods cost less whenbought online from foreign suppliers, he noted.
Regarding future cross-border parcel flows, Lemmer said the company expects most B2C parcels tocontinue being shipped from larger to smaller countries. But there is also potential for specialistproducts from smaller countries to be exported to larger markets, he stressed.
