DHL Avoids Domestic Fray by Cornering Market on Shipping to Overseas Consumers
*By Carlo Versano*
As e-commerce continues to rise globally, DHL has found a niche in shipping American products to online buyers overseas ー while staying above the fray of the domestic shipping competition.
Greg Hewitt, CEO of DHL Express in the U.S., told Cheddar that Cyber Monday ー his company's biggest shipping day of the year in terms of "outbound" packages ー saw a 40 percent lift in packages moved year-over-year, as more overseas consumers took advantage of deals on major U.S.-based websites like Amazon ($AMZN). "We're the leader in moving those American goods to people around the world," Hewitt said.
DHL Express, which is a division of the German logistics giant Deutsche Post, has invested significant capital in its American operations, and the fruit of that investment is coming to bear, according to Hewitt. The massive, recently expanded DHL hub at the Cincinnati airport allows for synergies with Amazon and other merchants that promote cheap, fast shipping. The Cincinnati hub allows many of those packages headed for the East Coast to get to their destinations overnight, Hewitt said.
DHL prides itself on moving packages almost anywhere on the planet within two to three days, but Hewitt said it's also focused on using technology to give consumers more information about their shipments. DHL is using route-optimization software, not unlike the algorithms that get your Uber to your door, to create efficiency. It also has auto-sort robotics in place at its facilities, and is using software to increase transparency over duties and taxes for international shipments.
Asked whether DHL worries that Amazon ー now one of its biggest customers ー may create its own delivery operation to handle its millions of packages as has been [reported](https://www.bloomberg.com/news/videos/2018-07-11/dhl-express-isn-t-concerned-about-amazon-delivery-ceo-says-video), Hewitt brushed off the concern. Because of DHL's global reach, it has the benefit of being a partner to American companies like Amazon, without having to also worry about being a competitor. At least for now.
The Rev. Al Sharpton is set to lead a protest march on Wall Street to urge corporate America to resist the Trump administration’s campaign to roll back diversity, equity and inclusion initiatives. The New York civil rights leader will join clergy, labor and community leaders Thursday in a demonstration through Manhattan’s Financial District that’s timed with the anniversary of the Civil Rights-era March on Washington in 1963. Sharpton called DEI the “civil rights fight of our generation." He and other Black leaders have called for boycotting American retailers that scaled backed policies and programs aimed at bolstering diversity and reducing discrimination in their ranks.
President Donald Trump's administration last month awarded a $1.2 billion contract to build and operate what's expected to become the nation’s largest immigration detention complex to a tiny Virginia firm with no experience running correction facilities.
Chipmaker Nvidia is poised to release a quarterly report that could provide a better sense of whether the stock market has been riding an overhyped artificial intelligence bubble or is being propelled by a technological boom that’s still gathering momentum.
Cracker Barrel said late Tuesday it’s returning to its old logo after critics — including President Donald Trump — protested the company’s plan to modernize.
Low-value imports are losing their duty-free status in the U.S. this week as part of President Donald Trump's agenda for making the nation less dependent on foreign goods. A widely used customs exemption for international shipments worth $800 or less is set to end starting on Friday. Trump already ended the “de minimis” rule for inexpensive items sent from China and Hong Kong, but having to pay import taxes on small parcels from everywhere else likely will be a big change for some small businesses and online shoppers. Purchases that previously entered the U.S. without needing to clear customs will be subject to the origin country’s tariff rate, which can range from 10% to 50%.
Southwest Airlines will soon require plus-size travelers to pay for an extra seat in advance if they can't fit within the armrests of one seat. This change is part of several updates the airline is making. The new rule starts on Jan. 27, the same day Southwest begins assigning seats. Currently, plus-size passengers can pay for an extra seat in advance and later get a refund, or request a free extra seat at the airport. Under the new policy, refunds are still possible but not guaranteed. Southwest said in a statement it is updating policies to prepare for assigned seating next year.
Cracker Barrel is sticking with its new logo. For now. But the chain is also apologizing to fans who were angered when the change was announced last week.
Elon Musk on Monday targeted Apple and OpenAI in an antitrust lawsuit alleging that the iPhone maker and the ChatGPT maker are teaming up to thwart competition in artificial intelligence.