HDN (Home Delivery Network) has announced that it’s to acquire DHL’s UK business to business and business to consumer parcel business. This will give a combined business of over £600 million delivering more than 180 million parcels per year.
DHL, part of Deutsche Post DHL, will keep their international parcel business. HDN say that adding DHL’s domestic business will better position them to compete with intensifying competition from other couriers as well as the ability to challenge Royal Mail more effectively.
For existing customers of both delivery services it should be pretty much business as usual. The newly acquired business will continue to trade under the DHL Domestic name until the two businesses are fully integrated.
What’s less clear is the effect it might have on the many 3rd party companies who resell DHL services to eBay sellers and the knock on effect across the industry. It will be interesting to see if they can keep their pricing competitive or if the two businesses merging affects costs from courier resellers.
