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Tag: shipping

  • DHL collaborates with Electrolux on LCL ocean freight shipments

    DHL collaborates with Electrolux on LCL ocean freight shipments

    Electrolux and DHL collaborates. As of now, DHL Global Forwarding, the air and ocean freight specialist of Deutsche Post DHL Group, is responsible for the majority of Electrolux’ global ocean freight Less-Than-Container-Load (LCL) shipments.

    The appointment by the Swedish home appliance manufacturer comprises an annual estimated cargo volume of more than 20,000 cubic meters, approximately 70 percent of their global volume, and includes shipments from all regions including Asia, Oceania, North America, Europe and Latin America.

    “LCL shipments are important to Electrolux, particularly for project shipments, small urgent consignments and spare parts distribution, and are an integral part of our global supply chain. We have chosen DHL Global Forwarding for this task due to the unparalleled global network coverage and the high reliability which DHL Ocean Connect LCL has been providing for many years now,” said Bjorn Vang Jensen, Vice President, Global Logistics at Electrolux.

    DHL’s ocean freight network for LCL shipments includes more than 45,000 Container Freight Station point pairs which connect the globe. The company’s “Shipped as Booked” policy guarantees that goods are scheduled for a specific vessel and will ship on that vessel whether the container is full or not.

    This has been a major criterion for Electrolux in the selection process, since special project or spare part shipments need to be shipped in various, fluctuating quantities and for which demand is unpredictable.

    Moreover, these volumes are not necessarily sufficient for a full container box all the time.

    “We are extremely delighted to continue our long-lasting relationship with Electrolux. This new nomination is a fantastic acknowledgement of our DHL Ocean Connect LCL offering and the services provided in other areas in recent years,” says Michael Young, Executive Vice President, Global Head Marketing & Sales, DHL Global Forwarding.

    Electrolux has been a DHL customer for more than 10 years. The other services that DHL provides for the company are global airfreight, international supply chain services, customs brokerage and multimodal solutions including rail and trucking.

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  • FedEx sees record holiday shipments on rising retail

    FedEx sees record holiday shipments on rising retail

    Package delivery company FedEx Corp said on Monday that it expects to see a record number of shipments during this year’s busy holiday season, driven by rising retail sales and a jump in ecommerce.

    The Memphis-based company said it expects to handle 317 million shipments between Black Friday, traditionally the busiest U.S. shopping day of the year, and Christmas Eve, an increase of 12.4 percent over the previous year.

    “Each year we face a challenge that’s greater and that’s driven by ecommerce,” Patrick Fitzgerald, FedEx senior vice president for integrated marketing and communications told Reuters. “We’ve learned that planning and preparation is key.”

    The National Retail Federation has predicted retail sales in November and December – excluding automobiles, fuel and restaurant sales – will increase 3.7 percent to US$630.5 billion after a 4.1 percent increase last year. The NRF said online retail sales could increase up to 8 percent, to as much as US$105 billion.

    FedEx said that it expects to see three spikes in package volumes during peak season, on Cyber Monday and the first two Mondays in December. The company said its holiday projections are included in its full-year fiscal 2016 earnings guidance of between US$10.40 and US$10.90 per share.

    The rapid rise of ecommerce poses challenges for retailers and package delivery companies alike. In 2013 bad weather and a late surge in online retail packages caught FedEx and main rival United Parcel Service Inc off guard, leaving an estimated 2 million packages undelivered on Christmas Eve, the majority in UPS’ network.

    Last year both companies touted investments in their networks and close collaboration with major retailers to manage package flows during the holidays. UPS ended up over-spending to prepare for package volume spikes that did not materialize, hurting its fourth-quarter earnings. FedEx did not report any problems.

    This year FedEx has invested US$1.6 billion in capacity and automation projects at FedEx Ground to help with peak season.

    FedEx’s Fitzgerald said that if retailers come in way above forecast with a sudden surge in packages, the company may “need to cap volumes” in order to protect its network.