India Is Crucial Market For DHL Worldwide
News Clip : The Financial Express
Tuesday, 17th September 2002
DHL Worldwide Express, the world's air express courier company with operations in more than 220 countries, has identified India among its three key strategic markets in Asia, the other two being China and Japan
"You would see substantial investment in future-not only brick-and-mortar but also in people. We have never realised the full potential of the Indian market so far," DHL's Asia Pacific area director Bryan Jamison told FE. Mr Jamison said of the 16 countries in Southeast Asia, India was the largest market for DHL in terms of revenues. The company is the market leader in the international air express market in the country, with a market share of more than 60 per cent.
DHL's growth strategy revolves around investing in infrastructure, service offerings and people, he added.
It has a 38 per cent share of the global air express services market and last week announced a sales alliance with India's largest express courier company, Blue Dart (which incidentally also has a 38 per cent share in the domestic market), for latter's outbound requirements. So, does a tie-up with Blue Dart open up the possibility of an equity alliance or a joint venture between the two companies? Mr Jamison was non-committal.
"At the moment there have been no discussion on equity. The alliance opens up opportunities for the future," was all Mr Jamison would say. On the benefits of the alliance for DHL in view of its own presence in India, Mr Jamison said it would help DHL to increase its penetration in the Indian market due to Blue Dart's extensive distribution network in those places where DHL does not have a presence.
DHL has been in the Indian market, which recorded a double digit growth after the slowdown triggered by the terrorist attacks in the US on September 11 last year. Founded in 1969 in the US, DHL operates in more than 220 countries and territories. Mr Jamison said DHL has over the years evolved from a 'courier' to a `carrier' company and now as a `solutions provider'.