Our business model

Our business model is developed to maximise the value we create for customers through three essential logistic activities: collect, sort and deliver. Over time, we have built dense networks and state-of-the-art processes throughout the Benelux and beyond, while divesting non-core activities. As we operate in a dynamic market we are continuously enhancing our business model to adapt to market developments, and collaborate with customers on implementing new, increasingly digital, solutions. We have successfully transformed from a business dominated by mail, to a full-service e-commerce logistics and postal provider. The acceleration of digitalisation helps us transform the way we do business and enhance our business model to improve our competitive position.

We are focused on offering consumers and customers the best delivery options within the e-commerce market, while managing our networks to adapt to changing volume demands. In 2022 we had to continuously align our network capacity with volumes, as well as optimising routes, staffing and our fleet within the constraints of a tight labour market. This included maintaining a staffing overcapacity to create a buffer, enabling us to maintain the necessary levels of flexibility to deal with peak seasons, thereby safeguarding customer and consumer service levels. Our committed people play a crucial role in fulfilling, and where possible exceeding, the promises we make to customers.

Parcels

Our Parcels solutions range from delivering standard parcels to more tailored solutions, such as health logistics, and from time-critical delivery to installation services. E-commerce is shaping the future of retail, and we help drive this vital sector through IT, network and infrastructure investments, such as processing small parcels. At the same time, our digital platforms enable us to offer e-tailers and consumers greater control over sending and delivery. Together, these factors enable us to focus on optimising our revenues while creating greater customer value through better insights. Within logistics, we have chosen to develop a strong position in the health sector while broadening and strengthening the e-commerce logistics chain. For example, we help e-tailers grow online by supplying fulfilment solutions and we offer customers time-critical services. We provide customers with international delivery solutions through Spring, a provider of global e-commerce solutions. Spring is also providing customers with more options in logistics solutions.

Mail in the Netherlands

Physical mail remains an important form of communication. People connect with friends and loved ones through mail, and many value that it can be physically held and stored. This was apparent throughout the Covid-19 pandemic, as people connected by sending cards and letters. As the designated provider of the universal service obligation (USO) in the Netherlands, our duty is to maintain country-wide mail coverage. We achieve this by providing accessible, reliable and affordable postal services, with specific delivery quality targets, while also providing employment for many thousands across the country.

The very tight labour market is making it particularly challenging to fill mail deliverer vacancies in some parts of the country, which has a knock-on effect on the quality of our mail service. We also maintain a successful collaboration with social enterprises, offering work to people with a distance to the labour market.

We are innovating for our mail customers by investing in the digitalisation of both our network processes and customer journeys. We continue to improve our business model while realising necessary cost savings, which helps us to offer affordable and reliable postal services in the Netherlands while mail volumes continue to decline.