Express delivery firms invest in more technology

Nov 12th at 10:48
12-11-2014 10:48:45+07:00

Express delivery firms invest in more technology

Domestic express delivery companies have invested in technology to meet increasing demand in the delivery of goods through domestic e-commerce.

 

According to the Viet Nam E-commercial Association, the rapid development of online trading activities has opened great opportunities and challenges for express delivery companies in the domestic market.

Meanwhile, the Ministry of Information and Communication has reported that the domestic e-commerce market has often achieved two-digit revenues each year in previous years.

To take advantage of opportunities, express delivery companies should improve the speed of and fees for delivery to increase competitiveness in the market, said the association.

The Thoi bao Kinh doanh newspaper quotes Nguyen Quoc Vinh, deputy general director of Viet Nam Postal Corporation (VNPost), as saying that VNPost plans to invest in the development of services for e-commerce customers as a key business strategy for the future.

VNPost holds the largest share at 37 per cent of the domestic express delivery market and has seen potential market opportunities.

It aims to take full advantage of its postal delivery system nationwide by investing in workforce development for e-commerce activities as well as service products and equipment development to better manage orders and deliveries for e-commerce.

DHL-VNPT, which holds the second largest domestic market share at 15.28 per cent, has invested US$10 million to further expand its market, including the purchase of modern equipment and the opening of more delivery centres in large cities.

Viettel Post, which holds the third largest domestic market share at 10.08 per cent, has built a system for delivering goods and postal products to 95 per cent of districts and communes in 63 provinces and cities nationwide.

Hoang Quoc Anh, Viettel Post general director, said each year, the company invested three to 5 per cent of its revenue in technology to reduce delivery time and fees for the express delivery of goods.

The company planned to modernise equipment to control the quality of delivery and save on petrol costs.

Anh revealed that revenue from delivery orders of e-commerce customers had grown by 35 to 40 per cent.

Online trading activities are expected to increase in the future, along with express delivery requests, thereby creating more business opportunities for express delivery companies, according to Anh.

Vinh agreed with Anh, saying customers would be expecting more in the future regarding the quality of goods sent using express delivery services.

The ministry says Viet Nam has 220 companies with express delivery services, including 91 enterprises that have been granted trading postal service licences.

bizhub



NEWS SAME CATEGORY

Trade deficit with China poised to hit record high

Viet Nam's trade deficit with China could hit a new record high of US$27 billion in 2014, a 14-per cent year-on-year increase, experts warned.

Returning trade deficit raises concerns

After eight months of a trade surplus, Vietnam saw an excess of imports over exports again in September and October, due to a high volume of luxury imports.

Honda Vietnam inaugurates 3rd motorbike plant at cost of $120mn

The number of Honda motorcycle production plants in Vietnam has risen to three with the latest facility officially opening in a northern province on Monday.

Intel to install second production line at Vietnam factory: CEO

U.S. chipmaker Intel will install a second production line to manufacture computer CPUs at its Ho Chi Minh City factory, the chief executive of the company’s...

Public angry about Formosa’s requests for special treatment

Formosa, the steel investor from Taiwan, has made many requests in the last two years of the government, questions about the real motive for the investor’s steel...

Samsung invests $3 billion more in Vietnam

With a new $3 billion project, Samsung’s total investment capital in Vietnam has reached US$11.2 billion, becoming the largest foreign investor in the country.

PM considers support for Lao Bao economic zone

Prime Minister Nguyen Tan Dung and authorities from the central province of Quang Tri considered extending their support to the Lao Bao special economic-trade zone...

Port set for 2017 launch

The developers of billion-dollar Lach Huyen international gateway port in the northern port city of Haiphong believe the port will begin commercial operations in...

Hi-tech transfers by foreign firms remain a pipe dream

Sixty six per cent of the technology transferred to domestic firms came from other domestic firms using low and medium-grade technology, according to the results of...

Reducing cost of healthcare through innovative technologies and solutions

With non-communicable diseases on the rise in Vietnam, GE Healthcare’s innovative medical technologies are helping to reduce the financial burdens on Vietnamese...


MOST READ


Back To Top