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    Preparations For The "Double 11" Private Courier Season High Prices Difficult

    2014/11/6 14:34:00 26

    Double 11Private ExpressPrice Rise

    Although the companies have not made a positive statement about the price increase, the price raising schemes of their branches and grass-roots outlets have been planned, hoping to get rid of the dilemma of "increments without income" in the previous peak season. However, it is not easy to raise prices for private couriers, which are kidnapped by upstream customers and their own business models.

       increment No increase in income

    A few days ago, Shen Tong posted on the official website of the notice on phased active regulation of the express price in the peak season, which clearly stated: "calling on all branches and outlets to actively use price leverage to regulate the volume of express business", "each branch and the grassroots network during the peak season, according to their own operational capabilities, in the case of reasonable and able to withstand the increase in volume, to study the specific price adjustment program".

    Compared with Zhong Tong, Yuantong, rhyme, Shentong is the only express company announcing the intention of raising prices. "We have not received any notification from the company so far. If we do, we will publish information in time." Rhyme Express Express responsible person responded.

    However, in the private courier industry, which is mainly based on the franchise mode, the decision power of price fluctuation has been placed in the branches and branches of every company. The reporter called the private courier stores in many parts of the country, and its staff admitted that the cost of the express service would be slightly improved during the "double 11" period. For example, the staff of the Zhejiang branch of Yuantong Express said that since November 1st, the collection fee charged by the network to customers has been adjusted to 0.5 yuan / single on the original price basis.

    According to the State Post Office, the express business volume will exceed 500 million during the "double 11" period in 2014, an increase of nearly 50% over the same period in 2013. The maximum daily processing capacity will reach 90 million, an increase of 38.5% over 2013. At the same time, the peak season of 2014 was longer than in previous years, from "double 11" to the eve of the Spring Festival, a total of 104 days.

    "The situation is particularly grim." Shen Tong explained the reasons for the rise in prices. It is predicted that in 2014, "double 11" business volume will exceed 20 million votes. According to the data of the "double 11" period in the past three years, due to the fact that there has been no difference between the peak season and the peak season, the express company has invested heavily on the one hand. On the other hand, it has generally fallen into the situation of "increments without increasing revenue", and the phenomenon of no profit or loss is more serious.

    A private courier company, who does not want to be named, said that most companies need to "add people, add cars and add venues" in order to prepare for the "double 11". Almost all the courier companies have to pay extra cost to deal with the backlog as soon as possible. Over the past 3 years, these costs have been borne by express companies, resulting in "double 11" getting worse and worse.

    Pattern dilemma

    Compared with the attitude of the courier company, the owner of Taobao has a much clearer attitude. Mr. Ho, who sells children's clothing in Hangzhou, said that his frequent courier company did not mention the price increase to Hangzhou.

    "If it really goes up, I'll switch to another one. The choice of the express company is quite a lot." He said, if the "double 11" period of 20 thousand single spanaction calculations, if a single express fee rose 0.5 yuan, it will spend 10 thousand yuan, which will also be a great expense.

    "Such a model must be unhealthy." Xu Yong, the chief consultant of China express logistics consulting network, said that the price reduction in the off-season and the increase in the peak season are common practice in most industries. But in the express industry, the price increase is a very sensitive topic.

    In Xu Yong's view, the dilemma of "difficulty in raising prices" in private express industry is that, on the one hand, it is abducted by upstream online shoppers and shopkeepers, and rising prices often mean losing customers. On the other hand, most of the domestic express delivery companies have a single mode of operation, and the phenomenon of product homogenization is serious, resulting in vicious competition in the industry.

    This is also the result of the brutal growth of the domestic express industry. Xu Yong said that in the past, private couriers were trying to expand the volume of business while constantly lowering prices. Now companies find that the increase in express volume exceeds their own service capabilities, which will lead to a loss, that is, the larger the volume of business, the greater the loss.

       express The difficulty of rising service costs is that the front-line staff of every courier company are exhausted before parcel delivery. The timeliness and service quality of express delivery are difficult to guarantee, and various incidents that hurt consumers' rights and interests continue to happen. "The final form is the situation that the express industry and the consumers lose both." Shen Tong said.

    "As far as I know, several private courier companies have tried to raise prices this year, but they quickly or secretly restored the price." The express company executives said.

    According to its analysis, a large-scale private express company like "three links and one Da" is the main force of e-commerce logistics. It is also the sandwich layer of the entire express industry. It has a high-end courier company like Shun Feng, and there are many small regional companies with low price. "Raising prices or lowering prices is a painful decision for the company."

    For the "double 11" before the express industry to raise the price measures, the State Post Bureau Director of market supervision Wang Feng responded that express is a competitive industry, the price of express is a market pricing, rather than the government pricing, as the postal administration, its supervision is the quality of service and level, the price should be adjusted by the invisible hand of the market.

       Raise price Is it a trend?

    Although the policy does not interfere with the formation of market prices, the prices that have plagued the industry for a long time in the coming years, or will be gradually straightened out under the stimulus of policy, will also determine the survival and death of domestic express companies.

    At the end of September 2014, the Executive Council of the State Council decided to fully open the domestic parcel express market, and issued the business license to foreign express enterprises that meet the licensing requirements according to approved business scope and business area. At the same time, it will further simplify operation permit procedures and promote linkage development between express delivery, e-commerce and manufacturing.

    Subsequently, the State Council issued the "medium and long term plan for the development of logistics industry (2014~2020)", explicitly proposed to speed up the formation of a number of internationally competitive large express enterprises, and build express logistics service system covering urban and rural areas.

    Industry experts say that the intensive publication of relevant policies on the logistics industry reflects, on the one hand, a high degree of attention paid by the government to the logistics industry. On the other hand, it also reflects the dissatisfaction of the government's decision makers on the current situation of the domestic express delivery. Allowing foreign express companies to participate fully in competition is to promote the upgrading of domestic enterprises through the capital, talents and experience of foreign express industry.

    "The government has seen that the expansion mode that focuses on price war and not paying attention to services will continue to be very harmful to the healthy development of China's express delivery industry." Xu Yong said that under the guidance of policies, funds and talents will pour into the express industry. More background enterprises will exert their strength in this industry, and the competition will be even more brutal.

    The former express company executives also said that the future industry competition, on the one hand, will be the competition of the hardware input of the express company in information technology, spanportation and warehousing. On the other hand, it will be a competition in the business mode, and the price will no longer be the same weapon as it is now. For private courier companies, while improving service, it is also crucial to optimize the profitability of enterprises. In the face of the high cost, enterprises that blindly survive in price will be eliminated. The overall price increase of the express delivery industry will become a trend in the future.


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