DPDgroup announces record growth and five-year strategy

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DPDgroup has revealed it saw revenue increase by 42% to €11bn (US$13bn) in 2020 compared with 2019 and delivered 1.9 billion parcels last year, an increase of half a billion parcels on 2019. The company saw a record peak of 13.9 million parcels handled worldwide on November 30, 2020, and doubled its profits from 2019 to €800m (US$963m).

The company has also announced its strategy for the next five years, with an aim to expand core activities, accelerate initiatives and conquer new horizons by 2025 through its ‘Together & beyond’ plan.

Boris Winkelmann, CEO and Chairman of DPDgroup, stated, “At DPDgroup, we have demonstrated the resilience, flexibility and agility expected of an organization our size. These qualities helped us keep the world in motion during the pandemic, quickly creating and adopting new practices and coping with increased volumes efficiently. These strengths will be key in seizing the new opportunities that lie ahead.”

As part of the Together & beyond strategy, DPDgroup plans to double its 2020 revenue to €21bn (US$25bn) by 2025 and will expand its core activities to manage migration from B2B to B2C by becoming a European ‘one-stop shop’ for B2B and B2C customers, especially in the small-medium-size-enterprise segment.

The company’s intra-EU cross-border strategy will further enhance its service proposition and door-to-door operational excellence and strengthen cross-border capacity management, and the company says it will continue to build on its current position to become the most innovative premium X2C player in Europe with a 15% annual growth rate until 2025.

DPDgroup will also develop a smart, selective mass market approach tailored to each country and push out-of-home (OOH) initiatives by densifying its parcel shop and locker network (Pickup network) and growing its presence in the burgeoning C2C segment. To support the ambition, DPDgroup plans to double its network to reach 90% European coverage, thereby offering 100,000 Pickup points, including 70,000 parcel shops and 30,000 lockers.

The company will also look to expand its intercontinental presence in Southeast Asia, the Middle East, Africa and South America and intends to increase the share of intercontinental business up to 20% of its total revenue by 2025.

According to DPDgroup, each of these objectives will be pursued in conjunction with ambitious green innovation and environmental commitments, such as to reduce by 30% its CO2 emissions per parcel by 2025 (vs. 2013).

Winkelmann said, “2020 had a profound and lasting impact on the e-commerce and logistics industry. I am proud of my team’s resiliency and success and believe we are better positioned than ever to become the international reference in sustainable delivery and a leading enabler of e-commerce. There are numerous opportunities to be seized, we can rely on our operational excellence and innovation spirit, so there is no limit to what we can achieve in 2025 together and beyond.”

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Lawrence has been covering engineering subjects – with a focus on motorsport technology – since 2007 and has edited and contributed to a variety of international titles. Currently, he is responsible for content across UKI Media & Events' portfolio of websites while also writing for the company's print titles.

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