1. CROSSING BORDERS __________________________________
What can we do in a changing world ?
(Cooperation with non postal players and steps to develop platforms )
Levente Laszlo, Magyar Posta
Brussels, 18-19 Oct. 2011
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2. Briefly about Magyar Posta and International
Business Unit
Briefly about the changing habits of our
customers
What we have learned – case study
On the road to be better …. ?
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3. Magyar Posta – Factsheet, 2010
International
services
Letter mail CEP items Financial – Financial Periodical Retail good
items cash bank / items sales
payments insurance
Turnover 2010
(million HUF)
85, 311 7, 608 45, 989 8 ,995 12, 058 5 ,489 6, 459
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4. International Business Unit - Factsheet 2010
Kimenı komplex és alap súly (kg) 2008 - 2010 Outbound letter items, 2010
800 000,00 718 096,15
700 000,00
585 321,99
Orig HU = 9,9 million pc.
600 000,00 567 727,84
500 000,00 633 680,64 Complex = 16,5 million pc.
400 000,00
300 000,00
200 000,00 331 690,70
100 000,00 241 570,47
0,00
2 008 2 009 2 010
Kimenı csomag és EMS küldemény (db) 2005-2010
Remailing Alap 200 000
180 000
160 000
Outbound CEP items, 2010 140 000
120 000
parcels = 58 528 pc 100 000
80 000
EMS = 22 768 pc 60 000
40 000
20 000
Complex = 103 516 pc (only 0
2 005 2 006 2 007 2 008 2 009 2 010
into Romania)
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5. Budapest HUB – the regional access point
The regional HUB offers:
„point of entry” for all the
customers outside of EU and
from oversea (CN, US, etc.)
Regional distribution service
Customs clearance
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6. Strategic location of Hungary on the EU Corridor-Net
Corridor 4 Corridor 5
To Germany: To Ukraine
• Dresden • Lviv
• Nuremberg • Kiev
To Northern Sea ports Towards Russia and Asia
Corridor 7
River Danube:
Corridor 7
From Southern
Germany...
... to the Black Sea
Corridor 5
To Adrian ports
• Koper Corridor 4
• Rijeka
• Ploce To Black Sea ports
• Istanbul
• Constanta
Corridor 10
To Aegean Sea Ports
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7. Hungary and CEE market size
COUNTRY POPULATION
An average of 60-75% of the
population is living in urban Bulgaria 7’700’000
areas. Czech Republic 10’200’000
Hungary 10’000’000
Poland 38’200’000
Romania 23’700’000
Slovakia 5’400’000
Slovenia 1’990’000
TOTAL 95’190’000
source: Study from PriceWaterHouseCooper, 2008
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8. Changing world = Changing habits
DO YOU KNOW
YOUR CUSTOMERS
HABITS?
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9. Internet – Factsheet, 2010
1.966.514.816 internet connections
14% increase 2010 vs. 2009
255 million homepages
21,4 million new homepages in
2010
2,9 billion email addresses
107 trillion sent email
294 billion email / day
600 million Facebook-members
250 million new members in 2010
30 billion Facebook datafiles
175 miliion Twitter-members
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10. Internet users, 2010 (million pers.)
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11. CEE - Internet penetration increase 2010 vs. 2009 (%)
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12. CEE - Internet users increase 2009 – 2010 (%)
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13. It seems that we have a problem …
our competitors + electronic media =
are knocking on our door !
Traditional letter mail is no
longer sexy for the young
generation
Traditional parcel service is no
longer sexy for our customers
How to remain attractive ?
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14. Business Model - Multilevel cooperation
Activities Relationship
VALUE
PARTNERS PROPOSITION CUSTOMER
Resources Sales Channel
cost income
Margin
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15. Magyar Posta „all inclusive e-commerce” business model
Distribution of unaddressed
1 items
4 COD
2 Distribution of addressed items
Reverse Logistics
5 Management
3 Distribution of parcel items
6 Reports
.
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16. Business model - Case Study
VALUE
INFRASTRUCTURE TARGET GROUP
PROPOSAL
- Leaflet distrib.
SERVICE RELATIONSHIP
Posta Romana - DM distrib. KAM
- Parcel distrib.
DPD Romania
- COD collection
PARTNER
Post Master CUSTOMER
BONPRIX
- reports
RESOURCES SALES CHANNEL
International
FINANCIALS
Income linked to
Cost of the
the offered
COST-STRUCTURE
subcontractors INCOME-FLOW
services
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17. Reverse Logistics Solution - Romania
Posta Romana >
7,000 outlets
Pick up and
delivery to Magyar
Posta HUB in Cluj
Collection and
transport to
Budapest HUB
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18. The operational process (parcels)
Parcels are delivered from Poland for distribution (last mile) into
Romania. All items are with COD and tracked E2E.
Distance Magyar Posta Delivering End
Seller operator Customer
xml file
Payment
Report
Comment:
->24-48 h preadvice / database-xml file
->Magyar Posta processing the xml-file
->Magyar Posta sends the output-file to
the subcontractor with 24 h before
shipment
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19. Before (relabeling at MP’s Intl’ Office of Exchange)
Customer
Magyar Subcontractor
Relabeling
Posta FTP
Shipment to the
subcontractor
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20. After (labeling at customer’s warehouse)
New (outsourced) Next step – building
Customer
solution for offering platform using the
direct labelling + existing digital
shipment, but keeping technology
the full control
Receiver
Subcontractor
Magyar
Posta FTP
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21. Hungary – expectation for 2012 on-line spend
On-line spend has reached by the end of 2010, EUR 450 million
Aprox.1,5 million transactions in 2010
Forecast is 160-
165 mrdHUF for
2011
Increase of
25% dispate
the downturn
Source: GKIeNET
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22. Romania – expectation for 2012
6% from the Romanian
population is expected to buy
online in 2012
1,2 million transactions
1,2 million parcels (incl.
International as well)
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23. Focus on platforms
new markets + new
customers
clear strategy
Value for money
(profitability)
quality +
pricing
new business
models
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24. Thank you for your attention !
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