Rising e-commerce sales are driving up demand for parcel deliveries. Good times for logistics carriers, you might think. However, the parcel delivery sector has been under pressure for some time now: PostNL saw its operating results drop in the third quarter. In Germany, DHL made a significant (downwards) revision to its profit forecast for 2018. Where have things gone wrong, and is there a way up?
Currently, most parcel carriers are facing major operational challenges. For example, delivery personnel (mostly freelancers and subcontractors) regularly complain about high working pressure and underpayment. Yearly events such as Black Friday and Singles Day cause enormous spikes in delivery volume, which are in turn difficult to process on time. In Chinese postal depots, we saw parcels literally flying around. The danger of strikes always lurks. Recently, in the Netherlands, there were threats of strike action by delivery personnel around the time of the Dutch Sinterklaas festivities. Read More