- 25 January 2016
- Transport / Logistics Services
With a deal to deliver parcels with Chinese company SF Express, Estonian state owned postal company Omniva has seen parcel volumes rocket.
Speaking to The Baltic Course, a spokesman for Omniva said, “As a result of cooperation between Omniva and the Chinese logistics company SF Express and the launch of Post 11, the volumes of international maxi letters grew by almost 1,500% in 2015. In contrast, in 2014 the corresponding number grew by 113%”
Overseas websites have been a very strong area for the delivery company, which also includes AS Eesti Post, the national postal delivery company. A statement from the company said, “In the last weeks of the previous year , the number of parcels delivered by Omniva multiplied in comparison with the ordinary numbers; almost half of the volume was made up by deliveries from foreign online stores.”
Head of Parcels Department for Omniva, Sten Argos said, “More than half of the maxi letters come from abroad, indicating that people like ordering goods from other countries. In turn, almost half of the foreign deliveries come from China.”
The deal with SF Express goes back to 2011 where the two companies agreed to cooperate. This has resulted in parcel volumes rocketing, and suggests that other delivery companies should watch this closely. The Omniva statement from 20 January added: “Compared to the usual numbers, the parcel volume [for Christmas 2015] had doubled or even tripled, and compared to the Christmas of 2014, the number of parcel deliveries had increased by approximately 10%.”
As delivery companies operate in maturing markets, it makes sense to look where there is room for growth. The export / import market is frequently the direction to look and this has proven very fruitful for the Estonian company. More European delivery businesses are looking to China as an untapped market and with Onmiva’s record, this is a very good move indeed.