The second table looks simply at the domestic market share for 2002, and it can be seen that DHL does not rank very highly. This was likely due to the fact that the merger with Airborne Express was not yet completed and therefore the abilities that DHL had on the ground in the domestic market were not strong. Although no new data has yet been presented, it would be interesting to see whether DHL's ranking is higher now than it was then, now that the merger with Airborne Express has been completed.
Table 2: U.S. domestic expedited cargo market share
Third quarter 2002
U.S. Postal Service
FedEx Express/Ground
Airborne/DHL
All others
Includes domestic air and ground parcel.
Source: DHL/Airborne, 2003.
Driving Factors
One of the reasons that DHL does so well is that much of the business it gets would have otherwise been handled by the Post Office (Wessel, 1995). Because the postal service has been somewhat privatized recently, however, much of the business that would have gone to it has gone to other carriers. DHL is not the only one, but they are capable of sending packages to areas of the world that the other carriers are not involved in. They are following in the footsteps of UPS and FedEx by signing an agreement with 1200 independent parcel and mail centers (DHL, 2004).
They are fast, but this is not the main reason that they do so well. Instead, it has to do with the diversity that they have and the fight that they are willing to keep up when they feel that they are being pushed out of the marketplace by UPS and FedEx (DHL Worldwide, 2004). Not only can that send something just about anywhere in the world very quickly, but they are also there for logistical advice and helping their customers to do the best business possible. This is evidenced by the many awards that DHL has won in various Asian countries for advertising, innovation, and operations (DHL...
It is this targeted customer service and the ability to send to so many different places across the world that sets DHL apart from its competition. The battle for gaining ground against UPS and FedEx in some areas, however, is just getting started (DHL: Once, 2004).
Works Cited
DHL: Once upon a time in America. (2004). Commentwire. Retrieved 13 December 2004 at http://www.commentwire.com/commwire_story.asp?commentwire_ID=5324
DHL signs agreement with 1,200 mail centers. (2004). Florida Business Briefs. Miami Herald. Retrieved 12 December 2004 at http://www.miami.com/mld/miamiherald/business/10362391.htm?1c
DHL/Airborne deal could shake up U.S. express market: billion-dollar deal will give Deutsche Post subsidiary the No. 3 U.S. market position for overnight air shipments. (News & Analysis). (2003). Logistics Management.
DHL Scoops Awards in Operations, Employee Innovation and Brand Advertising. (2002). Retrieved 13 December 2004 at http://www.eyefortransport.com/index.asp?nli=freight&nld=&news=33991
DHL Worldwide Refutes UPS, FedEx Allegations; U.S. Government Should Preserve Competition to Benefit Consumers, DHL Says. (2004). PR Newswire. Retrieved 13 December 2004 at http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=104&STORY=/www/story/02-05-2001/0001420089&EDATE=
History. (2004). About DHL. Company Information. Retrieved 13 December 2004 at http://www.dhl-usa.com/Company/History.asp?nav=AboutDHLUSA/CompanyInfo/History
Yahoo! Finance (2004). DHL Worldwide Network S.A./N.V. Company Profile. Retrieved 12 December 2004 at http://biz.yahoo.com/ic/40/40126.html
Wessel, Robert H. (1995). Privatization in the United States. Business Economics.
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