DPD will launch a UK parcel shop network with up to 2,500 locations under the PickUp brand in Juneto step up its expansion in the fast-growing B2C market.
The launch marks the next major European expansion move for the group’s growing pickup anddropoff (PUDO) network, which already includes some 7,000 outlets in France, 5,000 in Germany andnearly 2,000 in other countries. Parent group GeoPost aims to create an integrated pan-Europeanparcel points network under the Pickup brand with more than 20,000 locations as part of its B2Cgrowth strategy.
In the UK, the new DPD PickUp locations will compete in an increasingly crowded parcel shop‘marketplace’ with rival networks including 5,500 CollectPlus stores (a Yodel joint venture),Hermes’ 3,500 locations, some 2,600 UPS Access Points, the start-up Doddle network as well as11,500 post offices used by Royal Mail. InPost’s network of some 1,000 parcel lockers is another‘click and collect’ option for British online shoppers.
DPD UK said it plans to establish its own unique network of 2,500 outlets with a DPD PickUppoint within ten minutes of most people in the UK. The Numark Pharmacists chain is the first memberof the new network and further announcements are likely in the coming weeks.
Customers will benefit from DPD PickUp in three key ways, according to the company. Theoption to deliver to the nearest DPD PickUp point will be offered at the point of sale, as aconvenient alternative to a DPD home delivery. A DPD PickUp delivery will be one of the ‘in-flight’options available in DPD’s text and email notifications ahead of a scheduled home delivery. So ifcustomers aren’t going to be at home they can divert their delivery to a DPD PickUp point at anytime before the delivery is made. Finally, customers can manage any returns via their local DPDPickUp point.
DPD’s CEO Dwain McDonald commented: “This is all about giving our customers choice and aquality experience. We think our existing home delivery service is the best in the business. But wenever stand still. In future, we will be able to offer customers a choice between a one-hourtimeslot home delivery or a DPD PickUp delivery.
“Our aim is to offer a collect and return service with a difference. We’re looking to giveDPD PickUp customers an outstanding service experience – from the communication at purchase abouttheir delivery options, right through to the PickUp shop environment and the service they receivethere – which means working with high quality retail outlets who share our customer service ethos.Many online shoppers are used to Click-and-collect as an option these days, so DPD PickUp givesretailers another great option for their customers at the point of sale,” he added.
The parcel shop network plans were announced at the official opening of the new unit’s headoffice in Stoke, which has created 22 new jobs initially.
DPD UK has grown fast in the last few years by aggressively targeting B2C growth. Itsrevenues soared by 24 per cent to £492 million in 2013 while sister company Interlink Express grewby 12 per cent to £179 million, giving parent company GeoPost UK revenues of £672 million,according to UK media reports. The company is investing strongly in its network to increasecapacity with a two-year £175 million programme, including a new £100 million national parcel hubat Hinckley in central England, due to open later this year, and £75 million on 18 new or enlargeddepots.
