CASE STUDY: DHL POLAND CAINIAO LOCKERS railways and highways, the area reputedly serves as a hub for major retail brands and e-tailers, who operate their fulfillment centers and warehouses there. According to the DHL executives, this has established the region as a crucial e-commerce gateway to Europe. Ciano continues, “The new facility will not only play a pivotal role in DHL eCommerce’s cross-border network but also strengthen the network capabilities of Post & Parcel in Germany. In addition to managing international e-commerce and domestic parcel volumes, the facility will handle shipments for Post & Parcel in Germany, encompassing domestic volumes and return shipments.” Items can be scanned in 1,220 milliseconds – 15 times faster than the blink of a human eye In February 2023, DHL eCommerce Solutions and Cainiao partnered to invest €60m (US$64.5m) in the installation of parcel lockers across Poland. Initially, the partners merged their existing parcel locker networks so that consumers could get immediate and seamless access to the offerings of DHL and Cainiao. The companies say their ambition is to build ‘Poland’s leading parcel locker network, with seamless coverage of the first and last mile’. To do this, DHL eCommerce Solutions purchased part of the equity securities of Cainiao’s subsidiary in Poland. Pablo Ciano, CEO of DHL eCommerce Solutions, explains, “One notable trend in Poland is the preference for out-of-home delivery, particularly to parcel lockers. Recognizing this, we formed a joint venture with our partner, Cainiao, to develop one of the largest out-of-home networks in the country.” The two companies already operate 1,200 parcel lockers in Poland. They now plan to install modern parcel lockers with user-friendly interfaces at key locations, based on the existing DHL network of parcel shops and access points. William Xiong, chief strategy officer and general manager of Europe and Southeast Asia regions at Cainiao Network, comments, “We are glad to have found a strong and well-established partner like DHL, who shares our vision. By combining both companies’ logistics, technology and e-commerce expertise, we aspire to deliver superior service to our clients and create an unmatched online shopping experience for consumers.” E-commerce context Another key driver in the decision to work collaboratively and place this hub in Poland was the country’s e-commerce market. Over the past five years, the domestic parcel market in Poland has witnessed an increase of nearly 120%. This trend is reportedly fueled by rising interest in cross-border shopping among Polish consumers – the DHL Online Shopper Report 2023 found that 41% of Polish consumers make cross-border orders at least once a month. “Despite facing certain macroeconomic challenges recently, the e-commerce trend remains strong and ABOVE LEFT: The center uses green power to minimize environmental impact LEFT: William Xiong, chief strategy officer and GM of Europe and SEA regions, Cainiao Network, and Pablo Ciano, CEO DHL eCommerce THE NEW FACILITY WILL PLAY A PIVOTAL ROLE IN DHL ECOMMERCE’S CROSS-BORDER NETWORK [AND] STRENGTHEN THE CAPABILITIES OF POST & PARCEL” Pablo Ciano, DHL eCommerce continues to drive significant growth and volume in the parcel and logistics industry,” explains Ciano. “We are particularly witnessing a rising demand for cross-border e-commerce solutions around Poland, including the area of e-commerce return logistics. Our collaborative approach and strategic investment in the new International Logistics Center in Poznan will allow us to effectively address the increasing demand for e-commerce logistics solutions and further enhance our capabilities in this area. “Due to this rise in cross-border e-commerce, we will continue to foster cross-divisional collaboration within our group. Next to our people, our cross-border network stands as one of our most valuable assets, enabling us to deliver reliable, affordable and sustainable services to our customers,” he concludes. 20 www.ParcelandPostalTechnologyInternational.com March 2024