Logistics company, DHL Express says its retail footprint in sub-Saharan Africa has grown by 1,000 percent in less than three years.
According to the company, its service points increased from 300 to over 3,300 through partnership with local business owners who act as DHL resellers and benefit from commission on all DHL sales.
“It’s really a win-win approach. We having given these small shop owners a unique business opportunity to grow their revenues and gain credibility by aligning themselves with an international brand. If they do well, we do well,” said Sumesh Rahavendra, head of marketing for DHL Express Sub Saharan Africa.
The company expressed willingness to partner with entrepreneurial businesses that sees value in becoming a DHL reseller.
The resellers will be trained to ensure compliance with DHL’s requirements and procedures, and also given a complete branding kit. The company has forged similar partnerships with larger companies such as mobile network operators, retail business centres, supermarkets and fuel retailers.
Rahavendra stressed the importance of retail customers to DHL’s growth in Africa, saying: “In a continent like Africa where the informal economy rules, a company’s retail strategy cannot revolve around high-end shopping malls.”
“You have to operate on a level where customers can understand, feel and relate to your product (and) ensure that your brand connects to the average person on the street,” he added.