In 2018 the express parcel delivery company Venipak recorded two-digit growth on a group-wide basis. The number of parcels increased by 21 percent compared to 2017. In 2018 the turnover of the whole company was 28,5 million euros and it increased by 31 percent compared to 2017.
The head of the company Justas Šablinskas says that the company has introduced many innovations related to quality improvement and process optimisation.
“Last year was very successful for our company, and not only because we delivered much more parcels than in 2017. It would be difficult to expect growth without additional investment. We invested in tools and training for couriers and all employees. We successfully continue the renewing of our auto park and the opening of new terminals. All this means that we can make the service more qualitative. At the same time we are very happy that our clients trust us more and more” – says J. Šablinskas.
J. Šablinskas claims that in 2019 the company turnover will reach almost 40 million euros: “New projects and development in other countries will also mean that company revenue should continue to grow”.
In 2018 the amount of parcels delivered in Lithuania, compared it to 2017, increased by 15 percent, in Latvia – by 32 percent, and in Estonia – by 62 percent.
According to Venipak’s sales director Tomas Raišelis, financial data suggests that in 2018 local delivery services in Lithuania totalled 21 percent of market share, in Latvia – 19 percent. In the Estonian market Venipak still has a weak market share but in last few years the Estonian unit recorded a growth of 60-80 percent. It pursues a goal of reaching 15 percent.
The number of senders is increasing
J. Šablinskas states that during last year not only the number of parcels but also the number of senders and receivers increased. The head of Venipak says, that one of the main reasons for this is the continued growth of e-commerce.
“The scale of online trading remains impressive. In the European Union there is a yearly recorded growth of 10-12 percent and the Baltic states are no exception. Every year we experience growing customer needs so some of our processes have been adjusted to the needs of e-commerce customers in order for buyers to get their products faster and more reliably” – says J. Šablinskas.
The number of pick-up points and investment in innovation have both increased
The head of Venipak states that the number of pick-up points is constantly increasing to meet the growth of e-commerce and the needs of its consumers. At present in the Baltic states the company has 282 pick-up points. In Lithuania – 157, in Latvia – 80, in Estonia – 45.
“We have to meet the needs of our consumers. We see that the pick-up points are being used a lot, so this year we will be expanding the network, especially in Latvia and Estonia” – says J. Šablinskas.
The head of the company states that Venipak achieved a major breakthrough by investing in process optimisation and IT solutions.
“It is not the first year when Venipak invested a lot in IT solutions. We think that process optimisation- parcel handling and sorting, and help to couriers- really pays off. Thanks to our IT solutions we can offer higher quality services to our customers. The quality and speed of delivery have significantly improved. Our clients’ feedback on our services has greatly improved” – says J. Šablinskas.
He says that companies around the world are competing with innovative solutions.
“In 2018 we were able to see how strongly technological innovations are changing this sector. In Europe and in America the innovative technologies are being used more and more. There are more experiments with flying drones and parcel delivery through autonomic means. Venipak Drive is one of the latest innovative products that we presented to the Lithuanian market. We successfully started using it in 2016. Venipak Drive is a project based on the crowdsourcing principle, which means the delivering of parcels to a specific recipient by ordinary people, not by courier staff. We continue to successfully develop this project in Lithuania and we plan to use it for the increasingly popular “same day delivery” service. Next year we are planning to implement it in Latvia, Estonia and other countries where we will be developing our business. So there will be a lot of interesting innovations next year” – says J. Šablinskas.
Venipak is one of the biggest fast delivery companies in the Baltic states, operating in Lithuania, Latvia, and Estonia. Venipak also has offices in Poland and will soon start operating in Germany.