Le choix de marketing stratégies du groupe DHL (document en anglais)

Executive summary

The aim of this report is to provide an analysis on the marketing strategic choices and the place of DHL air-freight service (a division of Deutsche Post DHL providing aerial deliveries) in the cargo market.

In order to evaluate the place of DHL in the market, a study of its business environment is needed. The PEST model is perfect as it will give us an accurate overview of the DHL political, economic, social and technological environment. The SWOT and VRIN model will also be used to estimate the resources of DHL. These two models will allow us to bring out the multiples strengths and the possible opportunities of DHL but also to show the weaknesses and threats of the company.

The analysis showed us that DHL environment is propitious for the air-freight. For example good infrastructures are provided by the governments and agreements are made by European countries. DHL possesses more strengths than weaknesses and the market offer many opportunities such as e-commerce or expansions possibilities for a potential future development. However, the market is also full of threats. Taxes, volatile fuel prices and competitors are a handicap for DHL as they influence negatively their benefits.

DHL is a leading company in the air-freight market and they will have to fight to keep this status because of the hard competition. The better choice for DHL will be to enlarge their market share by using their strengths and exploiting the opportunities while reducing their weaknesses and avoiding threats. A good way to gain market share will be to invest in the emerging markets especially in Asia as the air-freight is becoming more important for them or to develop a new e-commerce strategy.

Contents

Introduction 3

I- Analysis of DHL business environment 3

I.1- Pest Analysis 3

I.1.1- Political analysis of DHL environment 4

I.1.2- Economic analysis of DHL environment 4

I.1.3- Social analysis of DHL environment 5

I.2.4- Technological analysis of DHL environment 5

II- Analysis of DHL resources 6

II.1- SWOT analysis 6

II.1.1- Strengths of DHL services 6

II.1.2- Weaknesses of DHL services 7

II.1.3- Opportunities of DHL services 7

II.1.4- Threats of DHL services 8

III- Analysis of the Segmentation 8

III.1- Segmentation within the sector 8

III.2- Segment chosen by DHL 9

IV- Business performance discussion 9

Conclusion 10

Introduction

The air-freight represent 47% of the total international trade value and 35% of world trade value (IATA, 2013). In volume, this proportion is only 3%. The job prospect is important as the air-freight market offer 32 million jobs around the world (Association of European Airlines, 2012). It is a thriving market with a great future ahead as the growth domestic product which is linked to the economic growth is forecast to grow around 3% every year.

DHL is one of the leading company in the air-freight market carrying 12% of the total world market, and managing its operations in more than 150 countries (DHL, 2013).

In this report, DHL external environment, internal resources and segment targeted will be studied carefully. The aim of this report is to study the DHL business performance using a PEST and SWOT model while analysing the segments targeted by the company.

I- Analysis of DHL business environment

I.1- Pest Analysis

Influences of the environment can have an impact on the strategic choices of the organisation. This analyse contains four interrelated elements (political, economic, socio-cultural and technological) known as PEST.

I.1.1- Political analysis of DHL environment

The European region is considered as being stable as there is not any forms of conflict or political crisis. No major changes are expected for the near future. It is therefore a suitable area for trade. It is also beneficial for DHL as they will be able to make long terms decisions and investments.

With 28 countries, 7.3% of the world population, a unique currency and agreements allowing the disappearance of borders, the European Union (EU) is a major advantage for DHL and others air-freight companies (European Union, 2013). The EU also concluded free trade agreements with neighbours (Albania, Ukraine, Egypt, etc.) and others countries. These agreements allow the creation of an area of free trade without customs duties or quantitative restrictions on imports.

Since the liberalization of the courier, express, and parcel (CEP) market, monopolies by national postal operators (NPO) do not longer exist. This liberalization enabled NPO and well-established private postal companies to enlarge their business through acquisition of smaller national companies (Ukessays, 2008).

I.1.2- Economic analysis of DHL environment

The global economic crisis of 2008 affected the entire CEP market. Recession slowed the market and the volume of shipments decreased. Crisis affected negatively profits.

The air-freight market is directly linked to the gross domestic product (GDP) which is used to evaluate the world economy activity. After a deceleration from 2011 to 2013, experts forecast the GDP to growth an average of 3.2% per year until 2031 (Boeing, 2012).

The rising price of fuel has a major impact on air-freight companies. Their profit margin become more restricted.

I.1.3- Social analysis of DHL environment

There is a significant amount of qualified people waiting to be offered a job. The air-freight companies like DHL need these people for a quality service. It is therefore beneficial for both DHL and the society.

Customers tastes always changes and DHL needs to be aware of these changes in order to keep satisfaction and brand image at the

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