Domestic freight market flash the shadow of two big logistics giants

Long-term local private logistics companies dominate the domestic freight market, recently began to frequent flash TNT and FedEx two major international logistics giants big shadow.

March 8, 2010, TNT Asia managing director Michederick to Guangzhou, after examining the achievements of the wholly-owned acquisition of the world of Huayu over the past three years, pleased to announce that its first national highway in China Express delivery network has been completed. The network has been successfully expanded to 26 major cities in China, through 246 "on the" line, so that services cover 800 operating outlets.

At the same time, FedEx quietly joined Taobao "recommended logistics business" ranks. Reporter survey found that in some online shopping platform, FedEx even was listed as "exclusive logistics provider."

Under the threat of local private logistics enterprises where to go, is in the "silent outbreak" or in the "Silence perish"?

Occupy the high-end market of net purchase

At the beginning of 2010, the Black Horse of China Logistics industry Shenzhen Host logistics Company (DDS) because of the broken capital chain collapsed. China's private logistics has long been hidden under the iceberg of the "time bomb" began to detonate.

Last year, the price of fuel, labor and other goods has been rising continuously because of high prices, which greatly increased the operating cost of express service. November 2009 mid-June, the north several days of heavy snow obstruct traffic, resulting in a large number of express cargo backlog, is called "three-way" of the four private courier companies took the lead in raising prices, in order to tide over the difficulties. But then, in order to maintain market share, we finally did not dare to price.

and courier prices have been low to freezing point. such as "online shopping express service prices in Jiangsu, Zhejiang and Shanghai region of the first heavy quotation for 5 yuan/kg, but the courier companies to Taobao sellers Price only 3-3.5 Yuan. "A courier company in charge of the reporter disclosed.

and FedEx charges Although the price is still slightly more expensive than the local express price, but in the punctual, security and other aspects have strict requirements, and thus won a lot of operating precious commodities, fragile commodity online business support, such as the medical profession, theft of high hair electronics, home appliances industry, they are more willing to use the "Time Tatsu." According to 90% online sales of underwear brand Dream Basha, the director revealed that the brand daily shipments of more than 5000 single, in addition to remote areas with the EM s, the rest of the goods all go FedEx.

The strategy of international logistics giants in China's domestic market is becoming clearer. Since the global recession, Chinese companies have shifted their development focus from overseas markets to domestic markets, and the growth of Chinese consumers has also contributed to the prosperity of domestic trade. Mobile phones, clothing, pharmaceuticals, cosmetics and other commodities in China's online shopping business is very hot. Multinational logistics Giants are also beginning to change in accordance with China's national conditions, to seize market segments.

780,000 companies Melee

According to Xu, at the end of this year, Tian Yu's operating network will increase to 1500, its size will be discharged into the top ten Chinese highway transport. For this reason, TN t will be adding capital expenditure in China this year, and will continue to buy 549 new cars in the first half of this year.

In the business. Before the end of last year, the world Huayu had bought 4,000 new cars.

The entry of international logistics giants will have a great impact on Chinese traditional business. According to the public data, China now has 780,000 road transport companies, but the top 20 share less than 2% of the market. Tri Zhongfu, vice President and Secretary General of China Federation of Logistics and Purchasing, said that China's road transport industry scattered, small, poor, extensive management, small organizational level, the current technical equipment are very weak.

People familiar with the situation said that because everyone into the mire of low-cost competition, the current domestic retail enterprises most of the transport vehicles are outside the call of the car, the enterprise has no actual control.

In addition, because the bridge tolls expensive, more than 95% of the country's lorries are overloaded in excess of survival. As a result of the lack of a stable business model, as well as lower remuneration, the road transport industry, the proportion of personnel wastage as high as 75%. And the high profit model of foreign companies are very few people lost.

Logistics Pattern Change

In the current logistics industry, express business profits, especially the international and Hong Kong and Macao Express business, although accounted for only 10%, but the profit of more than 1/3. But this part of the business is mainly in the hands of Foreign Express and China Post, of which the four major multinational logistics enterprises accounted for as much as 80%. And the City Express because the price war is fierce, at present mainly by small express, black courier intervention, they rely on cheap labor and bicycles, subways and other forms of transport. In addition, China Post and most of the private courier enterprises mainly concentrated in the business volume of nearly 60%, but the revenue accounted for less than 50% of domestic remote business in this low-end market.

Now even in this area, foreign companies are starting to dabble. "The biggest headache for foreign companies in China is the lack of internet resources," he said. An analyst said, now through mergers and acquisitions, foreign logistics companies began to open up domestic business network resources.

With the development of the market, the demand of consumers will have a greater market differentiation, the logistics market pattern will be further changed. and has been gathered in the low price, the problem frequently issued in the low-end market of private logistics enterprises, if not early change, will face the existential pressure.