Domestic express market to open up the pace again, Foreign express still cautious

Domestic express market to open up the pace again. January this year, 3 foreign-funded express was approved to operate domestic parcel express business. At this point, in China can operate domestic parcel express business of foreign-funded enterprises to increase to 6. Not only that, in the middle of January this year, the national Postal Service also said that 2015 to fully open the domestic parcel express market. With the policy level of loosening, the market on the large foreign express to China's voice also seems to be getting higher. But according to a reporter survey found that the pace of foreign express delivery is not so brisk.

Situation

Three foreign-funded Express start orders

From the beginning of the National Post Office approved Jamado, Kaneohe, Kerry Chase Three International express Company to obtain domestic Express business license has been passed one months. Yesterday, the three foreign express to reporters confirmed that has officially begun to receive orders. From the application of the licence, three families have their own sphere of influence. Among them, Kerry Chase can be in 13 provinces such as Beijing and Shanghai, 18 cities between the delivery of Kaneohe Courier, the business scope of the division is concentrated in Shanghai and other 9 provinces, 20 cities, Tiamat more than the 3 provinces of Jiangsu and Zhejiang Province 6 cities domestic express business license.

Before the three foreign express companies are international express and domestic freight for its development focus, the domestic Express business license, in Kerry EAS Logistics managing Director Chen Shubin View, is completed the logistics of the "last kilometer." Chen Shubin said, Kerry Chase is to provide customer demand-oriented customized non-standard services, authorized to operate the Domestic Express business license, the real realization of the door to the end of the complete supply chain, to the original integrated logistics business at the end of the supplement.

It is noteworthy that, although three foreign express companies have been licensed at the beginning of the year, but in the domestic business is relatively low-key, up to now the most concerned about the price system has not officially announced. If the user sends the Express mail, needs to call the Customer Service hotline to confirm the amount.

Foreign Express Favor International Express

Although DHL (Sinotrans), UPS (excellent speed), FedEx (FedEx) and other international giants have already got the domestic express license, but the domestic express has not become its main market. Even in the domestic market in the fierce kill DHL, and finally in 2011 will operate the domestic express business of the whole, Sinotrans courier, Golden Fruit three companies for sale. At that time, DHL Greater China President Huckwey Frankly, Foreign Express limited to all aspects of the cost, in the price is relatively disadvantage. At that time, the data showed that as of March 2011, all the first, Sinotrans Courier, Golden fruit three companies total liabilities amounted to 347 million yuan.

According to Deloitte issued the "China Express Industry Development Report 2014", 2013 Foreign Express enterprise business volume of only 110 million, its business volume market share accounted for only 1.2%. Among them, the proportion of international components as high as 84.9%. However, from the perspective of business income, Foreign Express Enterprises 2013 annual business income of 17.64 billion yuan, business income market share accounted for 12.3%. This also shows that the business of foreign express companies can contribute more revenue. It is reported that in the higher profit margin of international express business, the four major international express delivery Giants (DHL, UPS, FedEx, TNT) currently occupies the China International express market share of 75%, TNT (World Express) in China only to do international express.

With the 2015 foreign Express in China ushered in a big market liberalization, the market is also beginning to expect the international express giant to better exert the domestic market. But in fact, the International express giant is only "cautious" to express the enthusiasm of the domestic express market. DHL said that the future DHL business strategic focus will still be placed in the International express market (including from China and shipped to China's express business), but at the same time, in the future market and users more mature, DHL will consider in China to carry out domestic express business possibilities.

Probe

Foreign Express development is subject to policy

The development path of Foreign Express in China has been the focus of attention in the industry. 2005, with the Chinese government to fulfill its commitments in the WTO, to open up foreign investment in China to operate the international express delivery policy, the first to enter the International express giant DHL began to integrate Sinotrans Courier and a full courier, stormed the domestic market, the market once thought that the integration of domestic courier industry coming; 2012, FedEx and UPS two major international express delivery companies to obtain domestic express business license, once again let the industry exclaimed "Wolf". But in fact, the development of foreign Express in China is not as smooth as expected. The new postal code, formally implemented in 2009, stipulates that foreign investors shall not invest in the domestic express business of the letter, and at the same time require the Postal Administration department to review the Express Business license application, should take into account the national security factors, and to solicit the views of the relevant departments, which also to a certain extent, the progress of foreign express in China to slow down.

According to the reporter inquires, to get the Domestic Express business license plate of Japan's transport giant Jamado, as an example, since 2010 has entered the mainland market. Unlike UPS and other businesses are business-related business-to-business Express mode, Jamado for the ordinary people's services, that is, such as Consumer-to-consumer or market segments. But until this year, its first time to get domestic express business license.

Express expert Min told reporters that in the past a long time, although the express business to open the basic foreign capital, but in fact has been the implementation of the "Spring Door" policy, foreign express not only in the specific services are limited, in the same business approval, the entry requirements for foreign investment higher. This also caused in the dot expansion, foreign express than China's domestic private courier slow Pace.

Domestic Express market is still playing a price war

Domestic Express market low price competition is also considered to affect foreign investment into the domestic express market another major reason, in China Express Consulting network chief consultant Xu, the current domestic express market is not mature, is still in the price war stage, there are express vehicles and other bottlenecks, foreign express will not be within a short period of time to force domestic express business.

It is understood that with the increase in operating costs and disorderly competition intensified, express industry profits have fallen again. Yuantong Express Chairman Yuweijiao said, "2014 per single profit in a dollar below, this year may be less than 0.5 yuan, or even lose money." ”

As a result of domestic courier did not form a difference, which also caused a lot of express do not dare to change the tariff. In February this year, Shun Fung started the new service prices, a rise and fall, the overall average increase of 2%. To this, the Tong, Yun Tatsu and other private Courier express not follow up, there is no recent price adjustment plan. But the international express giant, DHL this year's routine price adjustment for the rise of 4.9%. and known as "logistics industry shun Fung," said Pettibone also recently adjusted its price system, the overall rise and fall, the price system more flexibility.

Trend

High-end competition

Even so, private courier can not relax vigilance. DHL said in an interview with reporters that China is the world's major markets and production base, DHL is the world's largest market. As Chinese industry moves from coastal areas to the interior, DHL will also focus on emerging markets in the southwestern and central regions of China.

FedEx also said that China is the fastest growing and most promising region for its international business. FedEx focuses on the development of the electrical business logistics market, for health care, life sciences and other sophisticated industries, as well as the art and luxury industries, FedEx will provide a comprehensive, rapid transportation solutions.

Even the Kaneohe, who has just won a domestic licence, is beginning to try to power the market. Kaneohe said, in order to further occupy the market share of China Express, Kaneohe Love division is and some Chinese electric business to discuss cooperation, hoping to provide customers with some of the domestic electrical business value-added services and additional international electrical business logistics services.

In Min view, the strength of foreign Express, information level, automation level and operational management level, the level of human resources far beyond the domestic. In the brand, service, capital chain has a clear advantage. In contrast, although the operating network to a certain extent than private express enterprises, but foreign-funded enterprises can be "wayward" through mergers and acquisitions, integration of domestic express enterprises to enter the domestic high-end market, high-end domestic express enterprises will face greater pressure. According to the introduction, the future of foreign express routes in China will also be differentiated, for the equipment manufacturing industry, international electrical business logistics and other customers to provide supply chain solutions, the force of cold chain transport will become different foreign express in China's development center of gravity.

Express industry is speeding up the shuffle

In the great impact of the Express, the domestic express enterprise crisis awareness will further promote the development of domestic express industry. Large-scale courier companies such as Shun Fung, Yuantong, Shentong and so on to accelerate the layout of international business in 2015, the rapid development of new business Cross-border logistics. Last year, Shun Fung, Shentong have opened the sea Amoy transshipment business, to enter the sea Amoy market. And late January this year, Yuantong Group also announced its electricity business platform one city officially launched Overseas direct purchase business.

Shun Fung in charge of the official in an interview, said, Shun Fung early in a few years ago began to transform exploration, in addition to express business, but also the introduction of a one-stop "door to door" of the land logistics products, and into the convenience store, aviation, electricity and other fields, last year also exerting a cold chain, the channel to sink three-tier cities as a strategic transformation of an important step, Shun Fung is from a courier company transformed into a comprehensive service operator.

In China Express Consulting Network chief Advisor Xu, professional Express companies have entered the supply chain stage, but most of the Chinese express delivery enterprises are still doing low-end logistics, "the current market competition in the main trend of diversification, foreign capital, private, state-owned, electricity and other industrial enterprises into the market, is a sign of maturity, the future express market will be further subdivided. ”

Min also said that the face-to-face competition with the International Express giants will enable domestic enterprises to accumulate more experience, is conducive to domestic express enterprises to the international market.