DPD will maintain its European and intercontinental growth through a strategy of franchises andpartnerships, a senior manager said. The GeoPost-owned parcels operator saw strong growth potential
for guaranteed parcel services both in Europe and for intercontinental destinations, ArnoldSchroven, currently supervisory board chairman and future managing director of DPD Germany, toldthis week’s BVL German logistics conference in Berlin.“Our strategy is for comprehensive coverage of Europe and the same quality levels,” Schrovensaid. There was clear room in the 45 billion euro European parcels and express market forguaranteed parcel services at value for money prices, below the premium next-day products of theexpress operators, Schroven said. Standard parcel services were still not established, for example,in some southern European markets such as Italy, he pointed out.
While GeoPost wanted full or part ownership of DPD franchisees in Europe, this was not the casefor overseas markets, Schroven noted. “I do not believe we need a 100 per cent subsidiary in everycountry,” he commented. Surveying potential overseas markets, Schroven described Japan with itslarge parcel volumes as one market which it might make sense to enter through a partnership on thebasis of existing customer volumes. In the Americas, a partnership deal had just been agreed inMexico but the USA and Canada had high market entry barriers, he said.
