Press reviews 2009
„Post intends acquisitions abroad“
Handelsblatt (Axel Granzow), 7.9.2009
On 7th September, Handelsblatt reported on plans of Deutsche Post to expand its international business.
This is pressing and necessary, says Hamburg based consultant Horst Manner-Romberg, as DHL Global Mail increasingly loses its business. In the first half of 2009 turnover decreased by 16 percent to 840 m euro. In the last year turnover had already decreased by 5 percent to 1.9 bn euro. Global Mail gave no details about performance of profit. It should leave a lot to be desired, reckons Manner-Romberg.
„The secret of the Post“
Der Tagesspiegel (Corinna Visser), 23.8.2009
Daily “Der Tagesspiegel” reported on 23rd August 2009, that Deutsche Post has hardly any new products to oppose E-Substitution.
What the post intends to oppose digitalisation does not convince market expert Horst Manner-Romberg. “The post should long have known that letter volume would drop.” And he sees another threat: more and more companies will start to send their invoices in digital form. “That is a huge problem.” In some countries, e. g. Denmark and Finland, postal operators have developed conclusive solutions how they can benefit from the accelerating digitalisation. As example the expert names e-boks, an internet portal where electricity, telecommunication and insurance companies can upload their invoices. Customers can then pay the invoices via mouse click. “This portal has around 2 million Danish users”, says Manner-Romberg. “Among a population of around 5.5 million people, this is really impressive.”
"The letter bomb of Mr. Appel"
The Financial Times (Leo Klimm) reported on 07.05.2009 about the saving measures by Deutsche Post boss Frank Appel:
"The "radical measures", as Gerdes states, are to increase profit of the mail sector about 300 million Euro alone in 2009. The other side of the coin: If sorting systems will be closed temporarily and letters will not be taken by plane anymore, complexity will increase, says industry specialist Manner-Romberg. And this on the other hand can lead easily to the fact that the quality of delivery suffers- that is: letters are more than one day in transit."
"CEP market keeps on growing and growing"
In edition 1/2009, the economic magazine "Online-Handel" reports about a study concerning the development on the CEP-market:
"The courier, express and parcel sector (CEP) keeps being prosperous. The Hamburg consultancy for logistics, MRU GmbH, consulted on behalf of the national regulatory authority (Bundesnetzagentur) the twenty largest companies by turnover of the sector from October 2008 to January 2009. As a result, it turned out that the market increased of 3,6% in 2008. By now, the volume of the business represents 17,4 billion Euro. You can find an abstract of the study on
http://www.bundesnetzagentur.de/
"Partial pull-out from Austria"
OneToOne: 27.04.2009: "Hermes logistic group cooperates with public post"
"According to consultant Horst Manner-Romberg, however, this business has been dearly bought by Hermes. He speaks with reference to "market observers" about a deficit since the beginning to the amount of up to 30 million Euro."
"Positive market sentiment"
Transport, 24.04.2009
"After a break of almost eight years, the national regulatory authority (Bundesnetzagentur) put out a study on the courier, express and parcel market again. The experts of Hamburg MRU GmbH analysed the market in the period of October 2008 to January 2009 in a comprehensive study. It embodies that the courier, express and parcel market also advances during the crisis."
"Deutsche Post buys itself into competitor Red Parcel Post"
Welt.Online, 23.04.2009
On 23rd April, 2009, Welt online reports on DHL joining parcel service Red Parcel Post:
"As the industry analyst "KEP-Meldungen" reports, the subsidiary of Deutsche Post DHL will test Red Parcel Post's system in a large pilot test still in May."
"DHL joins parcel service Red Parcel Post"
Posttip, 23.04.2009
On 23rd April, 2009, posttip.de reported on DHL joining the parcel service “Red Parcel Post”
"The Deutsche Post bought itself into the parcel service Red Parcel Post. That was reported by Welt Online under reference to the industry analyst KEP-Meldungen."
“Parcel services are pushing the growth of the CEP market”
DVZ, 16.04.2009: "Even during the crisis times the positive mood is prevailing in the branch” (Erwin Maruhn)
The DVZ reported about the study by order of the Federal Network Agency.
“With the survey the regulatory authority presented for the first time since eight years an analysis of the courier, express and parcel market (CEP). The study was compiled by the Hamburg-based market research company MRU."
Financial Times Germany, 15.04.2009
The Financial Times reported on the 15th of April 2009 about the Hermes pull-out from Austria:
“According to the information of the branch expert Horst Manner-Romberg, the company lost up to 30m euros because of the aggressive strategy. The losses must be evidently stopped now.”
„Hermes: partial pull-out from Austria"
ONEtoONE, 14.04.2009 Channel: Zustellung
„Hermes: partial pull-out from Austria - the Hermes Logistics Group (HLG) is reducing its business in Austria. According to the market observer Horst Manner-Romberg the reason for this step is the deficit of up to 30m euros.”
On the 14th of April, 2009, the online magazine "One to One" reported about the Otto Group subsidiary Hermes, which is now using the parcel services of the Österreichische Post again.
“The HLG has obtained in Austria a market share of 38 per cent within the short period of time, partly through the offensive sales campaign. According to Horst Manner-Romberg this business turned out to be very expensive for Hermes. He is also mentioning with a reference to “market observers” the deficit of up to 30m euros since the beginning. A spokesperson of Hermes, Mr Frommhold didn’t want to confirm this amount, although conceded high costs during the establishment of the parcel network. Mr Manner-Romberg stated that Hermes in Austria achieved a 50m euros turnover and handled around 17 million parcels during the financial year 2008/2009 (ended in February). Österreichische Post suffered on the contrary a profit slump of over 25% for the segment (12.8m euros).”
“The discussion about the minimum wage and the exemption from VAT impedes the competition in German mail business (by Casper Dohmen)”
Süddeutsche Zeitung, 14.4.2009 - Economy Sphere
The Süddeutsche Zeitung reported:
“More than a year after the complete opening of the German letter market, there is no strong competition in sight. “It looks gloomy”, said the branch expert Horst Manner-Romberg to SZ.
“The post achieved its aim, that the letter business does not break up suddenly but is slowly eroding” said Manner-Romberg."
"Parcel services count also 2009 on the growth"
Welt Online, 13.04.2009
The online magazine "Welt Online" (Birger Nikolai) reported on April 13, 2009 about the market survey of the Federal Network Agency.
"The fundamental study of the Hamburg-based market research company MRU is about the dynamics of the courier, express and parcel services in the past years. This development is very impressive: Since 1999 the turnover of the so-called CEP-market grew annually an an average at 6.8 per cent."
Online Magazine ONEtoONE.de, April 8,2009, about the study to the German CEP market for the Federal Network Agency, conducted by Hamburg-based MRU.
"The Hamburg based consulting company MRU by Horst Manner-Romberg has figured out for the Federal Network Agency that the market apparently works also during the crisis very well."
„Liberalisation of postal markets in Europe - a paradise for ex-monopolists”
VÖZ, 6th April 2009
The Association of Austrian Newspapers reports on the meeting of the presidential boards of German-speaking publisher associations from Germany, Switzerland, Luxemburg and Austria concerning liberalisation of postal markets.
It is a delusion to think that after full market opening competition will develop by itself. “If one takes competition seriously, you have to dissolve the de facto monopoly and must not wait what happens next. When I want to create competition, I have to actively work on it”, stressed market expert Horst Manner-Romberg from Hamburg based consultancy MRU concerning liberalisation of postal markets in Europe at the meeting of the presidential boards of German-speaking publisher associations from Germany, Switzerland, Luxemburg and Austria at the beginning of April in Linz. As this issue is not engaged either politically or judicial, liberalisation is not getting off the ground. “The liberalisation of postal markets so far”, says Manner-Romberg “has neither been carried out in lockstep nor is it identical in its specification. All markets are characterized by significantly different competition intensity. Plus, the national postal operators are still the largest and dominating provider.” Europe seems to be a paradise for ex-monopolists.
"Parcel service GLS allows every tenth truck to stand"
Die Welt, 03.04.2009
The daily newspaper "Die Welt" reported on April 3, 2009, that customers send 40% parcels less than earlier and the branch suffers much from the economic crisis.
"If now also the trade feels the crisis, the parcel service will suffer much more." - said a Hamburg post expert Horst Manner-Romberg."
"Cool calculator, hotly canvassed"
Handelsblatt, 11.03.2009
Handelsblatt No. 13, from 11.03.2009, reported on the new CFO of Deutsche Post Lawrence Rosen.
"I did not really expect a pharmaceutical and health manager to become a CFO of one of the biggest logistics companies in the world." - said a Hamburg consultant Horst Manner-Romberg."
„Everything is new at the post - even the name“
Handelsblatt, 11.03.2009
Online magazine Handelsblatt, from 11.03.2009, reported about the new strategy of the Deutsche Post.
“A change of culture is urgently required indeed.” - said a Hamburg consultant Horst Manner-Romberg. - “But the measures let suggest that the concern is still tampering with the old problems.”
Handelsblatt, 26.2.2009 by Axel Ganzow and Markus Hennes
On February 2, 2008, Handelsblatt reported about the publication pf the 2008's results and with it on consolidated loss of nearly two billion € (incl. Postbank).
" "It does not sound encouraging what Deutsche Post - CEO Frank Appel has said" stated Horst Manner-Romberg, logistic expert from consultancy MRU. He criticised that "concrete steps for the advancement of the business" were not visible."
Transports Actualités: "DPD and Hermes want to unite their powers in Germany"
In the edition of 9 January 2009, french magazine Transports Actualités reports about the cooperation of German operators Hermes and DPD:
Original quote:
"A terme, les anciens rivaux entendent développer une „offre de services conjointe“ qui s’appuierait sur les atouts respectifs de chacune des parties. „Les deux operateurs se connaissent bien et sont complémentaires.“ remarque Horst Manner-Romberg, spécialiste du secteur et consultant chez MRU. „En travaillant ensemble, ils espérent donner un coup de fouet à leur croissance.“ Outre-Rhin, DPD est ainsi le numéro deux du transport rapide de colis B to B., derrière la Deutsche Post."
"Open to everything? -The European postal market on the move
prima, the primeMail- magazine, issue 1/2009
"Nobody was expecting that. At the end of November this year, the Dutch government postponed – against all expectations – the opening of the postal market, which originally has been planned for January 1, 2009.
Thus, TNT Post will keep ist monopoly on letters up to 50 grams. Even the afore negotiated framework agreement between the trade unions and the private competitors SelektMail and Sandd could not change anything.
At first glance that might surprise, as the Netherlands have been top of the list in terms of liberalization for a long period of time. The former monopolist is privatized, and competitors have, after all, a market share of 14 percent and operate a nationwide delivery network. But a closer look reveals the crucial point: The Netherlands are – alike other countries – at odds with the fact of the coming domestic postal market and the interest of protecting the national incumbent from competition. Dutch politicians deserve some consideration by saying that e.g. the German minimum wage restricts the access to the market and hence a fair competition (“level playing field”) can not be assured. The proper market will not be opened until a fair competition is established in other countries. However, if you take a look on the whole picture in the EU, there arise significant differences between the liberalization paces of the member states.
According to an EU Directive, the deregulation of reserved areas is prescribed for January 1, 2011. But for eleven out of 27 member states – these are amongst others middle - and easteuropean countries – there is an exception applied. They are allowed to postpone the market liberalization up to 2013. On the contrary, the postal market in Sweden had already been opened 15 years ago. The questions of a turnover tax exemption and the configuration of the Universal Service obligation will be handled similarly different. In some member states there are no exemptions anymore, other countries excluded specific services or even all services from turnover tax. A “level playing field” looks differently. And thus it is no surprise that there are scores of other differences in national postal markets in Europe, be it e.g. in terms of the legal form of a postal company or the number of the required post offices. Thereby, up to now a workable competition is not developed in most countries. National Universal Service Providers still dominate the market.
But in almost the same manner, indications for the high potencial of private competitors are in evidence, be it in the standard business or in highly attractive market niches. E.g. in Sweden, CityMail reached to relieve the domestic postal service of market shares of more than 40 percent in congested urban areas. In Great Britain, competitors have gained a market share up to 20 percent due the possibility of feeding in consignments for dispatch to Royal Mail. And the document exchange service DX conducts about two percent of British mail volume. In addition to that, in many countries Joint-Ventures are being established, in which the respective partners combine their forces in order to secure a competitive advantage. In this respect it is confirmed: The structure of the European postal market will be on the move for a long time and provide numerous chances to all involved persons – providers and clients.
The logistics expert Horst Manner-Romberg is a founder and managing director of MRU. The consulting company, founded in 1992, specializes exclusively on the courier, express, parcel and postal services and is therewith unique on the European market. Mr. Manner-Romberg shares his know-how with you in "prima" and writes about the development of the European postal market liberalisation."