DHL has become the first private-sector parcel business to make its mark on the UK High Street with the announcement of a partnership with retailer WHSmith. The deal will see DHL service points appearing in 400 of WHSmith's stores and will more than double the total number of DHL service points in the UK, taking the total to over 750.
Although the company denies it is going head-to-head with the Royal Mail, it admits it is targeting small- and medium-sized businesses and "occasional users" and stresses the convenience of its offering for consumers, with 75% of WHSmith stores providing the DHL service seven days per week. Ken McCall, CEO DHL Express UK and Ireland, adds: "I don't want to liken it to a Post Office - the [service points] are more flexible in their opening hours.
"This will differentiate us from others in the market - it is simple, easy to use, accessible and available. "We see it as an opportunity to get the DHL brand into the occasional user market." McCall says the move will allow it to cope better with the current economic climate, which he forecasts will continue for another 12 to 18 months.
Although DHL has become the first company in the UK to take a position on the High Street, its two big competitors, UPS and FedEx, have a similar business model in the US and will be watching DHL's move with interest.