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ParcelXchange gets £3m boost

18 January 2007

Business Direct is planning to expand its drop box system and target the B2C market. Business Direct chief executive Paul Carvell says the company's three-year plan will expand its ParcelXchange drop box distribution network to 10,000. The logistics solutions firm has raised £3m through approaching investors in order to push ParcelXchange in the B2C market. Trials are underway, with hopes for "something operating for a number of players pre-Christmas," Carvell tells Motor Transport. Business Direct  aims to target "retailers and those who specialise in B2C wholesaling - and ebay-type operators," he adds.

The drop box system currently operates for field service engineers in engineering, electronics and computer businesses. It has 4,000 units in 300 locations including supermarkets and petrol stations. Carvell says Business Direct aims to increase the number of locations to 600 by 2010. Business Direct trunks deliveries through the night to deliver goods to ParcelXchange units, notifying the customer by text message of the package's arrival. "It's like a virtual depot. Environmentally it is good news as the overnight trunking will mean less congestion during the day," Carvell says.

Express parcels businesses will always be needed for bulk volume delivery but ParcelXchange works "in terms of convenience and time, for those who really do need [goods] urgently," he tells MT. On the recent consolidation developments in the parcels industry, he says: "It's long overdue."


Sarah Dennis
Email at news@roadtransport.com
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