DPDgroup

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DPDgroup
Limited company (Société anonyme)
IndustryCourier
Founded1999; 20 years ago (1999)[1]
Headquarters,
France
Areas served
Worldwide
Key people
Paul-Marie Chavanne (CEO)
ServicesParcel delivery, EMS, freight forwarding, third-party logistics
RevenueIncrease 7.3 billion (2018)[2]
OwnerGeoPost
Number of employees
41,000 (2018)
SubsidiariesDPD, Chronopost, Seur and BRT
Websitewww.dpd.com

DPDgroup is an international parcel delivery service for parcels weighing under 30 kg that delivers 5.2 million parcels worldwide every day. Its brands are DPD, Chronopost, Seur and BRT. The company is based in France and operates mainly in the express road-based market.

DPDgroup services are available in Europe, Brazil and several other countries in the world, either directly or through partnerships.

DPDgroup is owned by La Poste,[3] the international delivery network operated by the French state-owned postal service.

In 2018, DPDgroup achieved revenues of €7.3 billion.[4]

History[edit]

Before DPDgroup: the creation of an express transport network within Le Groupe La Poste[edit]

DPD delivery van in Germany

In the 1980s, Le Groupe La Poste originated its express transport activities with the creation of Chronopost in 1985.

In 1999, Le Groupe La Poste created GeoPost to consolidate its express transport and parcel delivery businesses. In the 2000s, GeoPost carried out a series of acquisitions concerning transport operators in various European markets.

Geopost bought the UK-based Parceline and Ireland's Interlink parcel service in November 2000, for around $277 million.[5] In 2008 it was rebranded as Dynamic Parcel Distribution.

In 2001, GeoPost became the main shareholder of DPD, a company created in 1977 in Aschaffenburg, West Germany (Deutscher Paketdienst until January 2008, then Dynamic Parcel Distribution).[6] In the same year, GeoPost acquired the British company Parceline which was rebranded DPD in March 2008.

GeoPost then made successive acquisitions:

  • In 2004, 40% of Seur Internacional, the number 1 private operator in Spain.
  • In 2006, Exapaq (now DPD France).
  • In 2009, Pickup Services, a company specialised in managing pick-up and drop-off points.
  • In 2011, 75% of DPD Laser in South Africa and 35% of Lenton in Hong Kong.
  • In 2013, 40% of DTDC, the second largest parcel delivery network in India.
  • In 2014, Siódemka, the leading operator in the Polish market.

2015: creation of DPDgroup[edit]

In 2015, GeoPost combined its DPD, Chronopost and Seur brands under one umbrella: DPDgroup.[7]

On this occasion, Exapaq became DPD France and the logo of Chronopost was modified to show it was part of DPDgroup.

In 2016, DPDgroup increased its equity investments within the DPD network - including taking 100% control of DPD in Germany - and acquired a 60% stake in JadLog (a Brazilian company).

In 2017, DPDgroup increased its stake in the Seur network to 87%, completed the acquisition of Stuart (a French company)[8] and took a 37.5% stake in BRT (an Italian company).

In 2018, the stake in the SEUR network was increased to 94% and DPDgroup acquired a minority stake in Ninja Van, a specialist in the last mile in South-East Asia.[9]

Activities[edit]

Renault Magnum delivery lorry in Poland in 2014, with the previous logo

Types of services[edit]

DPDgroup operates in the light-weight parcel delivery market (less than 31.5 kg), which is typically referred to as the “CEP” market (courier, express and parcel).

The CEP market differs from courier services (that do not require a sorting centre) and from freight (that requires several people or equipment to handle the parcels).

DPDgroup operates in the different sub-segments of the CEP market, which are defined according to the following criteria:

  • delivery time: DPDgroup operates in the standard or deferred parcel segment (without guaranteed delivery times, which ranges from 24 to 72 hours depending on the destination) and in the express parcel segment (guaranteed next-day delivery in the domestic market, and next-day to two-day delivery for international)
  • geographic coverage: DPDgroup is specialised in domestic deliveries in the markets in which it is present (nationwide delivery), and in intra-European deliveries. It is also expanding in the intercontinental market.
  • nature of the sender and recipient: DPDgroup covers parcel flows between businesses (BtoB), between consumers (CtoC), from business to consumer (BtoC) and from consumer to business (CtoB)

International presence[edit]

DPDgroup mainly operates in Europe, with a direct presence in 23 countries:

The company also operates through stakes in companies (especially in Bulgaria) or commercial partnerships in other European countries.

Outside of Europe, DPDgroup operates:

Lastly, regarding international import and export flows, DPDgroup is positioning itself in the freight forwarding market through its Tigers subsidiary (72% owned), an international freight forwarder that operates in Asia (China), in Australia, in the United States and in Europe.

Organization[edit]

Management[edit]

In September 2001, the company became chaired by Paul-Marie Chavanne (CEO), also Executive Vice-President of Le Groupe La Poste.

Metrics[edit]

Financial data[edit]

  • Revenues: €7.3 billion (2018, +8% compared to 2017)[10]
  • Operating profit: €346 million (2018)

Operational data[edit]

  • International: 78% of revenues from outside France (2018)
  • BtoC: 40% of revenues and 43% of the volume (2018)
  • BtoB: 60% of revenues and 57% of the volume (2018)
  • Number of parcels delivered worldwide: 1.3 billion (2018)
  • 9 million parcels delivered on peak day (26 November 2018)

Human resources data[edit]

  • Staff: 41,000 employees (in full-time equivalent), including 35,000 out of France (in 2018).

Strategy[edit]

DPDgroup's strategy is to develop its business in several lines:

  • international market, through external growth operations, stakes in companies or commercial partnerships[11]
  • BtoC market, support e-commerce and develop innovative last-mile solutions:[12] Chronopost delivery on Sunday, delivery by appointment, concierge services, and drone.[13] DPDgroup set up a hub in Birmingham, the largest sorting centre in Europe, which opened in 2015.[14]
  • new market segments such as e-commerce food delivery (e.g. Chronopost's Chronofresh service or “Seur Frio” in Spain) or same-day delivery (Spain, Portugal, France, United Kingdom, Hungary, Poland, Estonia, Lithuania, Latvia) or even delivery within two hours (Germany, Spain). In 2017, DPDgroup entered the urgent urban courier delivery market with the 100% acquisition of Stuart, a French company that enables shops and companies to have parcels delivered to a specific place. Finally, DPDgroup has started to position itself in the healthcare market (controlled temperature transport of sensitive products in the healthcare, pharmaceutical and environmental sectors). The company acquired stakes in Biocair in 2012 and BioLogistic (specialised in express delivery for laboratories) in 2016.

Corporate social responsibility[edit]

In 2012, DPDgroup committed itself to carbon-neutral deliveries. CO2 emissions are gradually being reduced and offset, through support for renewable energy projects in multiple countries. In 2017, DPDgroup reduced its CO2 emissions generated by road transport by 10% per parcel compared to 2013.

Offset of the remaining transport emissions is made by purchasing carbon credits. DPDgroup appears in top position in ranking of companies in the CEP (Courier, Express, Parcel) sector in terms of voluntary offsetting.[15] DPDgroup's investment accounts for almost 5% of the European voluntary carbon offset market.

For inner-city deliveries, DPDgroup is testing new solutions via a partnership with Altemobil (electric mobility) in Toulouse in 2016; electric vehicles and bicycles in Barcelona; an urban hub in Madrid;[16] and 500 alternative-energy-powered vehicles (electricity or gas) in Bordeaux.

In February 2018, DPD faced widespread criticism in the UK due to the treatment of Don Lane, one of its couriers. Lane had previously been fined £150 by DPD UK for attending a medical appointment to treat his diabetes and ultimately collapsed and died of the condition. According to Lane's widow, he had missed appointments with specialists because he felt under pressure to cover his route. Frank Field MP, Chairman of the House of Commons' Work and Pensions Select Committee, said "DPD have been told time and again that their punitive regime is totally unjust, particularly as their workers are labelled ‘self-employed’. Such mistreatment of workers smacks of sweated labour from the Victorian era." In March 2018, DPD UK announced that they would be offering all of their UK workers the opportunity to be classed as employees, and that they would abolish the fines for missing work. Plans were announced in March 2018 to create a DPD Driver Code later in the year, and to introduce a "self-employed worker" contract, which will offer drivers an alternative to working as a direct employee of DPD UK or working with the company on a self-employed basis.[17]

In autumn 2018, DPD UK's first urban depot opened in London to carry out the last mile with 14 electric vehicles.[18]

References[edit]

  1. ^ "About us". DPDgroup. Retrieved 30 September 2018.
  2. ^ "The 2nd largest player in Europe continues to grow thanks to an 8% increase in revenue". DPDgroup. 21 February 2019. Retrieved 1 March 2019.
  3. ^ Pooler, Michael (7 September 2016). "Parcel services plan to deliver any time, any place". Financial Times. London. Retrieved 5 February 2018.
  4. ^ "The 2nd largest player in Europe continues to grow thanks to an 8% increase in revenue". DPDgroup. 21 February 2019. Retrieved 1 March 2019.
  5. ^ "Europe company: La Poste buys two British parcel delivery firms". The Economist. 3 November 2000. Retrieved 25 April 2013.
  6. ^ "Post Office wraps up a £48m deal in Germany". The Birmingham Post. 4 August 2000. p. 20.
  7. ^ ""DPD Group", nouvelle marque internationale de GeoPost". actu-transport-logistique.fr/. 19 March 2015. Retrieved 5 February 2018.
  8. ^ "GEOPOST NOW OWNS 100% OF STUART". Post and parcel. 7 March 2017. Retrieved 23 February 2018.
  9. ^ "GEOPOST/DPDGROUP TAKES MINORITY STAKE IN NINJA VAN". Post and Parcel. 23 January 2018. Retrieved 18 March 2019.
  10. ^ "DPDgroup announces its 2017 results". www.DPD.com. 22 February 2018. Retrieved 22 February 2018.
  11. ^ "La Poste compense la baisse du courrier grâce aux colis". Les Echos. 24 February 2017. Retrieved 23 February 2018.
  12. ^ "La Poste au cœur de la bataille du "dernier kilomètre"". Le Monde. 1 July 2016. Retrieved 23 February 2018.
  13. ^ "La Poste a livré son premier colis par drone". Le Figaro. 15 December 2016. Retrieved 23 February 2018.
  14. ^ "BREXIT : GEOPOST S'INQUIÈTE POUR SA FILIALE DPD UK". Transport Info. 4 July 2016. Retrieved 23 February 2018.
  15. ^ Source : EcoAct 2017, based on State of voluntary market 2016 and CDP reports 2016
  16. ^ "A Madrid, La Poste teste les hubs urbains pour livrer ses paquets". Les Echos. 19 November 2017. Retrieved 23 February 2018.
  17. ^ Logistics Manager, DPD to offer self-employed drivers new ‘worker' status, 27 March 2018
  18. ^ Logistics Manager, DPD opens first electric parcel depot in London, 18 October 2018

External links[edit]