German logistics firm DPD launches same-day delivery

Reuters

* Same-day delivery offers retailers a chance to compete

* eBay, Google, Wal-Mart racing to catch Amazon

* German e-commerce seen growing 12 pct in 2013

BERLIN, Nov 7 (Reuters) - Logistics firm DPD is launching asame-day delivery service in 19 German cities in cooperationwith courier service Tiramizoo, a move it says could helptraditional retailers compete with dedicated online dealers likeAmazon.

"This service will help traditional retailers which aregoing into e-commerce to differentiate themselves from pureonline players," Boris Winkelmann, chief operating officer ofDPD Geo Post in Germany, told Reuters.

"This service allows them to generate an advantage fromtheir store network," he added, noting a courier could deliveran order from a local store to a customer much quicker than fromthe kind of out-of-town warehouse used by pure online players.

Same-day delivery is one of the hottest trends in e-commercewith eBay Inc last month buying Shutl, a same-daydelivery start-up from Britain.

The U.S. Postal Service and FedEx Corp have eachstarted same-day delivery in select U.S. areas, while Wal-MartInc and Google Inc have also been chasingAmazon in this field.

DPD, owned by France's state postal service La Poste, is the third-biggest parcel delivery firm in Germanyafter former state monopoly Deutsche Post and HermesLogistik.

DPD took a 20 percent stake in Tiramizoo in August.Tiramizoo already delivers goods for German online retailerConrad Electronics and is being tested by Metro's Media Markt electronics chain.

Winkelmann said he expected the service to be used most formore expensive goods like electronics and high-end fashion,adding the service cost from 8.50 euros ($11.50)upwardsdepending on the distance and weight of the delivery.

"It might seem expensive at first sight, but we are spoiltin Germany because we are used to free delivery. But it is notfree, it is just that the service providers carry the costs," hesaid.

Online sales of books, electronics and clothes are boomingin Europe's biggest economy, with the HDE retail associationpredicting e-commerce will grow 12 percent this year to 33.1billion euros or 7.6 percent of total retail sales.

View Comments (0)