DHL Avoids Domestic Fray by Cornering Market on Shipping to Overseas Consumers
*By Carlo Versano*
As e-commerce continues to rise globally, DHL has found a niche in shipping American products to online buyers overseas ー while staying above the fray of the domestic shipping competition.
Greg Hewitt, CEO of DHL Express in the U.S., told Cheddar that Cyber Monday ー his company's biggest shipping day of the year in terms of "outbound" packages ー saw a 40 percent lift in packages moved year-over-year, as more overseas consumers took advantage of deals on major U.S.-based websites like Amazon ($AMZN). "We're the leader in moving those American goods to people around the world," Hewitt said.
DHL Express, which is a division of the German logistics giant Deutsche Post, has invested significant capital in its American operations, and the fruit of that investment is coming to bear, according to Hewitt. The massive, recently expanded DHL hub at the Cincinnati airport allows for synergies with Amazon and other merchants that promote cheap, fast shipping. The Cincinnati hub allows many of those packages headed for the East Coast to get to their destinations overnight, Hewitt said.
DHL prides itself on moving packages almost anywhere on the planet within two to three days, but Hewitt said it's also focused on using technology to give consumers more information about their shipments. DHL is using route-optimization software, not unlike the algorithms that get your Uber to your door, to create efficiency. It also has auto-sort robotics in place at its facilities, and is using software to increase transparency over duties and taxes for international shipments.
Asked whether DHL worries that Amazon ー now one of its biggest customers ー may create its own delivery operation to handle its millions of packages as has been [reported](https://www.bloomberg.com/news/videos/2018-07-11/dhl-express-isn-t-concerned-about-amazon-delivery-ceo-says-video), Hewitt brushed off the concern. Because of DHL's global reach, it has the benefit of being a partner to American companies like Amazon, without having to also worry about being a competitor. At least for now.
Starbucks’ decision to restrict its restrooms to paying customers has flushed out a wider problem: a patchwork of restroom use policies that varies by state and city. Starbucks announced last week a new code of conduct that says people need to make a purchase if they want to hang out or use the restroom. The coffee chain's policy change for bathroom privileges has left Americans confused and divided over who gets to go and when. The American Restroom Association, a public toilet advocacy group, was among the critics. Rules about restroom access in restaurants vary by state, city and county. The National Retail Federation says private businesses have a right to limit restroom use.
President Donald Trump is talking up a joint venture investing up to $500 billion for infrastructure tied to artificial intelligence by a new partnership formed by OpenAI, Oracle and SoftBank. The new entity, Stargate, will start building out data centers and the electricity generation needed for the further development of the fast-evolving AI in Texas, according to the White House. The initial investment is expected to be $100 billion and could reach five times that sum. While Trump has seized on similar announcements to show that his presidency is boosting the economy, there were already expectations of a massive buildout of data centers and electricity plants needed for the development of AI.
Chris Ruder, Spikeball Founder and CEO, explains how he and his friends put roundnet on the global map, plus, how Spikeball helps people "find their circle."
J.W. Roth, CEO of Venu Holding Corporation, discusses the company's IPO and plans to redefine live music entertainment with their fan founded, fan-owned model.
Variety's Clayton Davis discusses why more than just the 1% are struggling after the LA fires. Plus, how awards shows will pivot to help victims. Watch!
Emily Hosie, CEO of Rebelstork, explains the concept of Returns Recommerce, plus how her company raised $18M to address the industry-wide issue of returns.