DHL 1998 Annual Report Download - page 58

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54
Consulting services generate revenue
Consulting services fuel sales. Besides generating revenue, such services
are really what modern service centers are all about. In keeping with the
demands of this concept, we will be developing a nationwide network of
innovative, trend-setting Center branches which – as part of our new retail
branch and sales strategy – will serve as expanded regional service centers.
Our first 60 Center branches opened their doors to the public last year.
The increased revenue generated by these branches is proof positive that
this concept works. Our Center branches gear their opening hours to those
kept by retail trade and offer the entire range of postal service plus all
Postbank and stenrot-Bausparen savings and loan financial services.
Life and accident insurance will be added to this lineup in spring 1999.
Besides their modern, open-service counters where customers can buy
Deutsche Posts traditional services, what also sets our Center branches
apart is the fact that they operate separate areas for postal and financial
consultancy services.
Alternative marketing methods gaining ground
Customers have responded very positively to the new direction we have
taken with our retail branch network.Apart from the longer opening hours,
they like having the opportunity for one-stop shopping at convenient retail
locations. This added value has generated cost-cutting potential and
synergies in our collaboration with these sales partners. The positive
response to these combination branches has induced our Deutsche Post
Service- und Vertriebsgesellschaft to steadily increase the number of its
PostPlus branches to a total of 118.
Following1997’s very successful pilot project to set up Shop-in-Shop bran-
ches together with the McPaper stationery chain, Deutsche Post acquired
McPaper & Co. Aktiengesellschaft from Herlitz AG on 1 January 1998.
A total of 40 Shop-in-Shop branches began operation by the end of 1998.
We plan to open some 550 of these branches across the nation in the next
few years. In light of the high level of customer and partner satisfaction,
our positive experience with branches operated by partners, and the cost
advantages these branches offer,Deutsche Post decided to push ahead with
Rising revenue at our 60 Center branches
confirms that our new outlet and sales
strategy works
divisionRETAIL BRANCH