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The 2nd largest player in Europe continues to grow thanks to an 8% increase in revenue

21 February 2019 - DPDgroup recorded revenue of €7.3 billion in 2018

  • €7.3 billion revenue
  • +8% growth in revenue vs. 2017
  • 1.3 billion parcels delivered worldwide in 2018
  • All-time record of 9 million parcels delivered on Cyber Monday (26 November 2018)
  • Cross-border flows growth in Europe: +13.6% in revenue
  • Growth in BtoC in Europe: +16% in volume
  • Discover DPDgroup 2018 results in the infographic below

 

Second largest player in Europe[1]

DPDgroup has continued its growth in 2018 with a revenue of €7.3 billion, accounting for 30% of Groupe La Poste's revenue, which rose to €24.7 billion. In 2018, DPDgroup recorded an 8% increase in sales (+8.6% at constant scope and exchange rates) compared to 2017.

This performance was driven by an increase in volumes (+7%) compared to 2017, bringing the total number of parcels delivered worldwide to 1.3 billion, including an all-time record of 9 million parcels delivered on Cyber Monday.

The European market is still growing, driven largely by the BtoC segment over the past few years. DPDgroup relies on a hybrid BtoB-BtoC network. In 2018, its BtoB segment still accounted for 59% of DPDgroup business volumes, while DPDgroup’s BtoC volumes segment in Europe showed a 16% increase. 

In a few years, DPDgroup has established a key positioning in the European CEP market[1], becoming the second largest parcel delivery network in Europe by gaining a strong foothold in a majority of countries.

First cross-border road network in Europe with its own operations in 23 countries, DPDgroup reported particularly strong sales growth in Belgium (+23%), Poland (+20%), Ireland (+17%), the Netherlands (+16%), France and the UK (+9%). 

 

Developing in a challenging environment

DPDgroup growth has been sustained by an ongoing acquisition strategy, with the following achievements in 2018:

  • Acquisition of Groupe ALP Delifresh, Freshlog and 360° Services, by Chronopost France to accelerate the company’s growth in the fresh food and health markets
  • Minority stake in Ninja Van, a rapidly growing parcel delivery service provider in South-East Asia
  • Two new franchisees in Spain, strengthening SEUR’s positioning in its historical market, bringing DPDgroup’s stake in SEUR to 94%. 

DPDgroup’s growth has been achieved in a highly challenging environment: increasing restrictions on delivery in city centres, global shortage of drivers, and related costs increase, especially in Germany. Of course, these challenges affect all players of the CEP market in almost every European country.

Lastly, DPDgroup is ready for a no deal Brexit scenario, ensuring that service level continues to be as hassle-free and smooth as possible. The group has developed procedures and operational processes to be implemented as of 29 March: customs clearance and linehauls organisation with specific gateways. An information package is available for customers at: https://www.dpd.com/home/insights/getting_ready_for_brexit 

 

Focusing on quality of service and service innovation

DPDgroup continues to offer more premium services and greater choice and convenience, meeting its customers’ expectations by:

  • Developing stand-out services, such as:   
     
     
    • “Predict”: letting end-consignees know the exact timeslot in which their parcel will arrive will arrive
    • Delivery within a prearranged time slot with "DPD Precise" in the United Kingdom and Chronopost France's "Chrono Precise"
    • A network of more than 42,000 Pickup points across Europe.
  • Targeting specific markets:
     
     
    • Same-day delivery: “SEUR Now” in Spain
    • Food delivery: “SEUR Frio” in Spain, “Chronofresh” in France and “DPD Food” in both the United Kingdom and Germany
    • Express urban delivery with Stuart, a delivery platform and on-demand logistics solution. Stuart currently operates in 58 European cities (28 in France, 28 in the UK, Madrid & Barcelona in Spain) and through partnerships with major retail outlets such as Carrefour in France.
  • Offering smart urban delivery solutions to improve everyday urban life, by giving customers greater delivery choices, while reducing our impact on the environment. DPDgroup has now 43 micro-depots in 12 countries, including for example:  
     
     
    • In Madrid, SEUR has implemented 5 urban micro-hubs, enabling delivery by foot courier, bicycle or ecological vehicle
    • In Warsaw, DPD Poland is currently deploying a network of urban micro-depots with on-site dressing rooms, allowing instant returns of clothing that doesn’t fit
    • In central London, DPD opened the UK's first all-electric parcel depot in October 2018, with 14 electrical vehicles providing last-mile delivery.
  • Designing use cases for delivery by Renault EZ-Pro autonomous concept car, to lay the groundwork for the future of last-mile delivery through a partnership with Groupe Renault in 2018.

 

Cross-border e-commerce is still a growth driver

DPDgroup cross-border volumes continue to grow, confirming the group’s leadership position in the segment. DPDgroup export flows showed an increase of 14% in 2018.

In this context, a major contributor to cross-border growth is the one of e-commerce, as evidenced by DPDgroup e-shopper barometer 2018[2]: in 2018, 58% of European e-shoppers said they have bought from a foreign website. Around 65% of them have made an intra-European cross-border purchase, 47% have purchased from a Chinese website and 31% from a website based in the US.

Over the past few years, DPDgroup has pursued a strategy of providing the same offering for both cross-border and domestic flows, allowing DPDgroup to offer the Predict service (which lets end-consignees know the exact timeslot for arrival of their parcel) and a network of 42,000 Pickup points to every customer in Europe.

 

About DPDgroup

DPDgroup is Europe’s second largest parcel delivery network.

DPDgroup combines innovative technology and local knowledge to provide a flexible and user-friendly service for both shippers and shoppers. With its industry-leading Predict service, DPDgroup is setting a new standard for convenience by keeping customers closely in touch with their delivery.

With more than 75,000 delivery experts and a network of more than 42,000 Pickup points, DPDgroup delivers 5.2 million parcels each day through the brands DPD, Chronopost, SEUR and BRT.

DPDgroup is the parcel delivery network of GeoPost, which posted sales of €7.3 billion in 2018. GeoPost is a holding company owned by Le Groupe La Poste.

For more information

DPDgroup press contact: press@dpdgroup.com

To stay up-to-date with DPDgroup’s latest news, follow DPDgroup on www.dpdgroup.com

[1] In the Courier Express Parcel (CEP) market

[2] The 2018 DPDgroup e-shopper barometer report is based on a studyconducted by Kantar TNS from 30 May to 12 July 2018 with 24,328participants across 21 European countries (Austria, Belgium, Croatia,the Czech Republic, Estonia, France, Germany, Hungary, Ireland,Latvia, Italy, Lithuania, the Netherlands, Poland, Portugal, Romania,Slovakia, Slovenia, Spain, Switzerland, the UK) and Russia.

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