6 August 2019 | Press release

Positive start to 2019: DPD Germany records significantly higher average revenues and announces further price increases

  • Average revenues at DPD Germany rise by more than 7 % in the first half of the year

  • Focus on high-margin segments: DPD Germany's turnover increases by 5.9 % with reduced parcel volumes

  • In the first six months of the year the international DPDgroup records revenue growth of 7.2 % to 3.73 billion euros

 Aschaffenburg/Paris, 06 August 2019 – International parcel and express service provider DPD made a strong start to 2019 both in Germany and Europe as a whole. In the first half of 2019 DPD Germany's turnover grew by 5.9 percent. This was based on significant price increases and a consistent focus on high-margin segments such as international shipping as well as premium and express services. As a result, average revenues rose by more than 7 per cent. In order to increase profitability, DPD Germany deliberately curbed its growth and in some cases even terminated contracts with low-margin customers.

 "After a challenging 2018 we can look back on a pleasing development in the first half of 2019," explains Boris Winkelmann, CEO of DPD Germany. "We are confident that this positive trend will also be confirmed by the end of the year. At the same time, however, cost pressures and the market environment have by no means become any easier. Significant price increases will continue to be unavoidable for a healthy market development".

"In view of rising prices and the intensified debate on protecting the environment, we see strengthened demand for low-cost and environmentally friendly deliveries directly to a parcel shop."

Boris Winkelmann, CEO of DPD Germany

In addition, DPD expects alternatives to home deliveries to increase considerably in importance: "In view of rising prices and the intensified debate on protecting the environment, we see strengthened demand for low-cost and environmentally friendly deliveries directly to a parcel shop."

 Substantial increases in wage costs and the industry-wide shortage of qualified labour are contributing to higher costs, as are new regulations such as increased toll costs and a higher minimum wage. In addition, DPD is investing in sustainable delivery operations - for example by using electric vehicles - and in the expansion and modernisation of its locations throughout Germany. In the first half of the year DPD opened one of the most efficient depots in northern Germany in Melsdorf near Kiel, and the largest DPD parcel distribution centre in Germany so far will follow in Hamm in Westphalia at the beginning of September. A state-of-the-art new facility is also under construction in Augsburg and will begin operations next year. DPD is investing around 130 million euros in these three locations alone.

DPDgroup boosts revenues and volumes

In the first half of the year the turnover of the international DPDgroup rose by 7.2 % to EUR 3.73 billion. Here, too, growth was driven by higher prices and surcharges, while parcel volumes grew only moderately by 2.3 % to 638 million. The proportion of deliveries to non-business consignees (B2C) rose to 44 percent. The largest markets, Germany, France and Great Britain, recorded solid growth in the single-digit percentage range, while DPD achieved the strongest growth of well over 10 percent in Poland and the Benelux countries.