Development of

Courier Industry in India

Suresh Bansal
DIRECTOR
Head of International Business and Marketing

15th December 2006

 INDIA - A Mega Market

 India achieved 7.6% GDP growth (around US$691

billion) in 2005 and expected to cross 8% in 2006.

 4th largest Economy in terms of purchasing power

parity

 10th most Industrialized economy

 255 Fortune 500 companies getting services

 Political stability and broad consensus on reforms
 INDIA - A Mega Market

 Massive consumer base with

nearly 1.1 billion population

 3.29 million sq. km. geographically

 Coastline of about 7000 km.
 Abundant, high-quality, cost-effective manpower
estimated at 416 million
 INDIA - A Mega Market

Roadways : 65,569 kms. of

Highways

Railways : 63,940 kms.

Airways : 30 major
Airports

Waterways : 12 major ports

& other minor
intermediate
ports
 India – Key Economy Drivers

 Services – More than 50%

 Strong Agriculture and Industry sectors
 Booming Retail Sectors
 IT, BPO (30 bn $ - IT+ITES), Biotech,
KPO, R&D, Education – Sunrise
Industries
 Birth, Growth & Development of
Courier Service in India
 Concept of courier services had existed in
India for centuries in the form of messenger
services, which were carried by:
• Pigeons
• Runners
• Horse Riders
 Birth, Growth & Development of
Courier Service in India

 The Indian Postal System came into existence in 1774

 First Indian Post office Act introduced in 1837
 Then came “Angadias” who carried documents and
precious gems and jewels
 Birth, Growth & Development of
Courier Service in India

The most unique Express Service prevalent in India

is the “Dabbawalas”
 Birth, Growth & Development
of Courier Service in India

 The organized Courier Industry came into

existence in 1977

 The Courier Industry started gaining

momentum in 1980’s
 Domestic Players – Market Share
(Organised sector)

5%
6%
24%
Blue Dart
7%
DTDC
First Flight
8%
Professional
Prakash
Blaze Flash
14% 18%
Overnite
Others
18%
 International Players – Market Share
(Organised sector)

3% 2%
5%
DHL
8%
FedEx
37% TNT
8% UPS
Blue Dart
Aramex
11% Others
DTDC
First Flight
12% 14%
Technology In Courier Industry

 Web Based Tracking & Tracing of

shipments

 Mobile / SMS Tracking facility

 Physical automations like

 Conveyor belts in hubs,

 Smart labels
 Overhead cameras on specially
designed docks & hub floors
 Hand held wireless devices
 Future Of Courier & Cargo Industry

 Very few players in the organized sector

 Courier & Cargo business has become a mega

market

 Industry steadily growing at the estimated rate of

25% each year
 Future Of Courier & Cargo Industry

 Estimated growth in revenue of INR 4,000 Crores

(USD 889 Million) and expected to double in next 5
years

 Domestic airfreight market likely to grow

exponentially by 2010

 Attracting MNCs
 DTDC OVERVIEW
• India’s largest delivery network
• Handles 10 million parcels a month
• 13,000 people in operations
• 3,700 locations
• Serves 10,000 Pin codes
• 10 Regional offices and gateways
• 240 International destinations
• Special services to SAARC
• ISO9000 Certified
• Reliance (ADAG) large shareholder
 Franchises

• Pioneer in Franchise Business

• 3700 in India
• 25 in US and UK
• 500 finished 10 years
• 1000 finished over 5 years
• Win-Win partnership
• Long term commitments
• Sales support
• IT link up - intranet
• Special schemes
 TECHNOLOGY

• Web based tracking

• Electronic POD
• Over 100 people team
• 10 Years of investment
• IBM partnership
• Solid intranet
• Linked with partners
• Bar coding of AWB
• 100% scanning
Thank You
suresh@dtdc.com
www.dtdc.com