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DHL to pilot its APAC e-commerce solutions in India; To invest €100M in next 2 years

Mail and logistics group Deutsche Post DHL (DPDHL) has chosen India to pilot its e-commerce logistics business model for Asia-Pacific. This pilot will be through its Indian subsidiary Blue Dart Express in which the company holds 75% stake. DPDHL CEO Frank Appel told DNA that they will be investing €100 million in the country over the next two years to build the infrastructure for this business. Blue Dart Express will apparently work closely with DHL's business unit DHL eCommerce to invest in infrastructure, development of fulfillment centers and developing multiple delivery & payment options including cash on delivery capabilities. The company plans to open about 15 e-fulfillment centers across major cities in the country, including Delhi NCR, Bangalore and Mumbai. It also plans to set up smaller facilities in tier-II, tier-III and tier-IV markets, including Coimbatore and Jaipur. Blue Dart Express managing director Anil Khanna told the publication that the e-fulfillment centers are expected to be launched towards the end of this year, starting with a 140,000 sq ft facility in Gurgaon, followed by a 100,000 sq ft facility in Bangalore and a third center will open in Mumbai. He also mentioned that they are also in talks with major e-commerce players in the country for setting up fulfilment centers on their behalf, and these deals are expected to be finalised before the Gurgaon facility opens. Contribution of E-commerce logistics to Blue Dart revenues Khanna mentions that e-commerce logistics accounted for 22% of Blue Dart's revenues in August, up from 13% in January this year and they hope this percentage to cross 30% by December this…

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