U.S. Pullout Will Cost DHL Some International Business

>With established competitors such as UPS and FedEx, DHL had a long way to go before they could have competed on the same level in the United States. I think it was a smart move for them to give up the territory and focus on their international business. Their international rates are far better than UPS or FedEx. Below is a map taken from DHL’s 2008 Q3 Investor’s PDF. The darkest green tells you what areas most of DHL’s international inbound arrive at:

U.S. Pullout Will Cost DHL Some International Business: ““The international footprint is very different from a domestic footprint,” he explained. “To compete domestically, you really need to go to every township, of any size, in the entire United States. But for international, the footprint is much smaller – the concentration of where those international shipments go, is much more dense. Those 15 to 20 major metro areas will cover about 80% to 90% of the volume.””