TNT Express and the French publishing company Spir Communication have signed a memorandum ofunderstanding for a partnership in B2C standard parcel deliveries.
With this agreement, the two parties aim to strengthen their position in the fast-growingdomestic French market in the field of e-commerce and B2C deliveries.
As part of the deal, TNT Express will take a 50% stake in Adrexo Colis, the B2C standard parcelssubsidiary of Spir Communication, pending approval by relevant authorities.
Once finalised, the partnership will allow TNT Express France and Adrexo Colis to furtherimprove standard home parcel delivery services with a 48/72 hour guarantee. The service will beprimarily aimed at merchant websites. It will combine the expertise of Adrexo Colis in guaranteed,domestic parcel deliveries to residential addresses (or service points) with full track and traceoptions and the TNT Express sales force of 450 people in France marketing the new offer across thecountry. This offering will complement TNT’s existing B2C express delivery services within 24 hoursin France.
TNT has a dense network in France with 120 hubs, depots and sorting centres, 620 scheduled roadconnections and 14 daily air connections expected to strengthen the quality and coverage of AdrexoColis’ service.
TNT said Adrexo will only make use of TNT’s network in few places where its own network is notdeveloped. In 2009, Adrexo Colis delivered 22 million parcels and had revenues of €52.8 million. Itemploys 300 permanent staff and relies on a subcontracted network of 1,700 deliverers.
The French e-commerce market for products and services reached €25 billion in 2009, up 26%compared with 2008. During the same year, the number of online stores rose 35% to 64,100. TNT addedthat one out of three French citizens shops online.
Spir Communication provides advertising press for free as well as specialised press includingreal estate, automobile industry, internet, parcel distribution and daily information press.
However, the French group’s attempt to compete with La Poste in the mail market failed. AdrexoMail closed down its operations in 2008 due to a combination of losses, a difficult operatingenvironment and the delay in postal liberalisation from 2009 until 2011.
