DHL 2008 Annual Report Download - page 57

Deutsche Post World Net Annual Report 2008
Group Management Report
Divisions
MAIL
Business units and market positions
We deliver Germany’s mail
Every single working day, we deliver around  million letters.  is makes us
Europe’s largest postal enterprise. We o er all types of products and services to both
private and business customers, ranging from standard letters to merchandise and
including special services such as cash on delivery  and registered mail. Letters
can be franked using traditional stamps, by purchasing postage online and now even
via text message. Stamps remain popular collectors’ items and more than one million
stamp collectors have our new stamp designs delivered to them postage-paid every
month. We also sell German collectors’ coins under a contract with the German govern-
ment. Alongside our standard products, we develop tailor-made mail solutions for our
business customers. We digitalise their incoming mail, for example, and deliver it to
the internal recipients electronically.
Traditionally, our mail business has focused on Germany. Since being fully liber-
alised at the start of , however, the German letter mail market has faced heightened
competition. Moreover, the domestic market for mail communication is shrinking as
conventional mail is being replaced increasingly by electronic communication media.
In the reporting year, the market decreased by   to around  . billion (previous
year:  . billion). We succeeded in increasing our market share to .  (previous
year: . ) thanks to our high quality and  exible prices.
Advertising with Deutsche Post avoids wastage
Companies wishing to target speci c customers make use of traditional dialogue
marketing tools. We provide technical solutions that not only allow customers to plan
and create advertising mail easily but also to calculate and optimise postage. One key
factor in the success of direct advertising is the availability of address lists that have
been checked, purged and updated. We o er online tools and services that can be used
to ensure the quality of addresses. In addition, we develop solutions for multi-channel
customer dialogue. Our services range from consulting and concept development all
the way to media planning and purchasing as well as the production and dispatch of
advertising material. We thus combine dialogue marketing with conventional adver-
tising. We also conduct market research to measure the impact of such advertising.
Dialogue marketing is the part of the advertising market that is relevant to us.
 e market for advertising mailings and telephone and e-mail marketing is currently
being shaped by the trend amongst companies in Germany to limit advertising expen-
ditures. In , this market had a volume of  . billion, a decrease of .  year on
year.  e tense economic situation has put pressure on traditional mail-order compa-
nies, causing them to lower their advertising budgets. We have maintained our share
of .  in this highly fragmented market.
Business units and products
Mail Communication
• Mail products
• Special services
• Franking
• Philately
Dialogue Marketing
• Advertising mail
• Tailored end-to-end solutions
• Special services
Press Services
• Distribution of newspapers and magazines
• Special services
Parcel Germany
• Parcel products
• Special services
• Packstations
Global Mail
• Import and export of mail
• Cross-border mail
• Domestic mail services in other countries
• Special services
Retail Outlets
• Deutsche Post retail outlets
• Partner outlets
• Postservice outlets
Pension Service
• Data administration
• Payments
Market share in mail communications
in Germany, 2008
Market volume: 9.3 billion items
87.7 % Deutsche Post Competition 12.3 %
Source: company estimates.
Market share in dialogue marketing,
2008
Market volume: € 20.4 billion
13.4 % Deutsche Post Competition 86.6 %
Source: company estimates.
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