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DHL eCommerce eyes Thailand’s fast-growing online retail sector 28 January 2016

Major strategic opportunities for eCommerce growth

DHL eCommerce has expanded its operations into Thailand and is offering end-to-end domestic delivery service for Thai eCommerce merchants. With its new service, DHL eCommerce is offering a range of unique service options that caters to Thailand’s burgeoning eCommerce market. The Thai eCommerce market is expected to more than triple in size to €3.6 billion between now and 2020.

DHL eCommerce aims to enable a better eCommerce experience for both consumers and merchants through efficient logistics and a seamless online shopping experience. Major additions will be made to DHL’s delivery infrastructure in the country, including a 3,000 m2 central distribution centre in Bangkok and a network of over 20 depots located throughout Thailand ensuring full coverage across the entire country. To meet increasing business demands, DHL plans to more than double the number of depots in Thailand by 2017 and expand its fleet primarily in two-wheel vehicles that can operate more efficiently in the traffic situations in Thailand’s major cities.

As part of its service offerings, DHL eCommerce’s fleet of two- and four-wheel vehicles will provide next-day delivery to all urban areas, and a 2-3 day delivery to all other locations. All merchants have access to Cash on Delivery (COD) with daily remittance and access to a multilingual call centre.

There are major strategic opportunities for eCommerce growth in Thailand, particularly with the Asean Economic Community which is expected to increase the movement of goods within the region. Despite eCommerce already being a billion-dollar sector with extremely rapid adoption, Thailand’s eCommerce share of the retail market is still relatively low compared to other high-growth economies. Only 1.7% of total sales in Thailand are obtained from eCommerce, compared to more than 10.0% in China.