Jules Takagishi

Archive for the ‘DHL’ Category

High-Tech Direct Door-To-Door Services Going Increasingly Global

In DHL on June 15, 2012 at 1:05 pm

DHL launches door-to-door Asia to Europe delivery service | Post & Parcel.

According to the above article in Post & Parcel, posted on 15 June 2012, “The service is currently offered out of Hong Kong, Shanghai and Singapore to more than 50 countries across Europe, the Middle East and North Africa, with new gateways to be added soon.”

I guess this implies that Intra-Asia door-to-door shipments are already in place?

At first glance, I fail to see the significance of this service and why it is news-worthy.

The article says, “The service includes customs clearance, a single billing facility and end-to-end online track and trace capabilities.

Diallo, the CEO of DHL Freight, explained: “A web-based application enables easy booking and shipment preparation and provides end-to-end shipment preparation and provides end-to-end shipment transparency down to piece level.”

Is it newsworthy because the FREIGHT division is offering this??? Does this mean cannibalization of traffic by DHL Freight of DHL Express?

The features explained here are standard Express features… right?

Years ago I visited a UPS managed 3PL facility in Singapore for a high-tech firm whose global shipments were done out of that facility. The shipment profile was B2B due to the nature of the goods – computer parts.

But ever since Dell paved the way for direct to user shipments, more and more consumers are purchasing directly from the manufacturers.

When I migrated from an iPhone 3 to 4S several months ago, the mobile phone service provider was really pushing me to get an iPad as well at no cost for three months, and then have the price of the hardware included in my monthly subscription to the 3G + WiFi service for a minimum contract period of 2 years. (Great attempt to lock my business in for two years.)

The sales assistant went to great lengths to explain to me the benefits of buying from the mobile phone company vs. the electronics store a few hundred meters down the road. But when I asked about if they had any advantages over the Apple online store, she squirmed.

Even with the iPhone, if it is not a network problem, the mobile phone company promptly tells customers to go to an Apple Service Centre, which has much fewer locations and longer queues.

When I had a problem with my pocket Wi-Fi device, they sent me a replacement device on loan via Yamato. The delivery guy waited at my front door while I examined the contents of the shipment and then handed over the unit in need of repair. He packed it in the same padded envelope the replacement unit came in, and stuck a pre-printed label on it and took it away.

Theoretically, if I purchase something directly from a manufacturer and need repairs or an exchange (when I was working for a camera company, we exchanged the first 10,000 units that were brought back with mechanical problems immediately; no questions asked), I would expect this kind of service be it cross-border or within Japan.

The article does not explain if such services would be a part of DHL’s Door-to-More initiative, but I wouldn’t be surprised if the shipper and consumers both request it.

Of course such returns and exchanges management is a whole different can of worms when it comes to 3PL or 4PL, but definitely a requirement and less of an option for serious players in the direct from manufacturer to consumer business.

Let’s see if the next announcement is a bit more exciting.