Strategy
TNT’s strategy is to provide excellent delivery services by expertly managing our networks. We call this strategy Focus on Networks. We started implementing this in December 2005, by transforming our business foundations – in other words, by exiting our logistics and freight management businesses, and concentrating instead solely on our Mail and Express networks.
The second phase of Focus on Networks, which began in December 2007, has been about ‘growing and building value’. We are doing this in two main ways:
- by strengthening further the core of our portfolio (Mail Netherlands and Express Europe), and
- growing our emerging networks such as European Mail Networks, parcels and our Express businesses in new countries, such as India, China and South-east Asia.
More about Focus on Networks
TNT manages a broad portfolio of networks with different speed characteristics, ranging from same-day to some day, and different weight characteristics, from letters to heavy parcels and pallets.Our Express business focuses on transferring packages that require time or day certain delivery, while our Mail business transfers documents with day uncertain delivery (but, in practice, in the Netherlands almost 100% of deliveries are next day anyway).
The opportunities for growth
Our networks are in different development phases and offer a wide range of growth opportunities:- Our most mature business is our Mail network in the Netherlands, where we are actively seeking to maintain our market leadership in a declining market with increasing competition.
- Our Express networks in Asia, in particular in India, China and South-east Asia, and in some other emerging markets, such as Brazil, are at the other end of the spectrum, and are among the least mature networks in our portfolio. In these countries, we can shape the market, strongly grow our networks and attain market leadership.
- In Europe, we continue to grow our Express and Mail networks by building on our current strong position. We aim to accelerate growth in our networks organically, as well as through selected acquisitions.