TUC Media: The Heavyweight Player has Come – BEST Express Publishes its Strategic Planning and Product Layout of 2015
The BEST Transportation aims to build a nationwide network coverage and product coverage with zero market burden. How will it achieve this?
BEST Logistics with technical genes plans to achieve its plan with a nationwide service network with the pattern of network + product + technology.
"Dormant" three years, BEST Transportation sets sail again.
On March 11th in at the national network conference of BEST Transportation of 2015, BEST Transportation officially launched its new brand. Our CEO Johnny Zhou handed the "“BEST Transportation"” flag to Zhou Jun, the Vice President of BEST Logistics and General Manager of BEST Transportation. BEST Transportation is a positioning that symbolizes the new journey of "“outstanding LTL logistics service provider"”.
From technology to LTL, from express to LTL
Is a path we found out.
"“In 2012 when we newly established BEST Transportation we were quite passive. We felt it was a chance for us."” Zhou Jun said. In January 2012, BEST Logistics founded BEST Transportation Division and invited Zhou Jun to be the head of this division.
In traditional LTL freight market, the enterprises are in small scale with low network coverage rate and poor service management awareness, leading to low timeliness of transportation, higher cost to pick up and deliver cargoes, serious damage and loss of cargoes. The bad service is a denounce defect of the industry. Meanwhile, the cargoes reduce in previous years with obviously excessive transport capacity. Therefore, the enterprises compete for price rather than service.
Occasionally Zhou Jun visited DHL Shanghai Sorting Center, where standardized, mechanized and smart operation site was sharply different from traditional domestic LTL freight market. Zhou Jun was shocked because he saw the gap and chance. He said, on one hand there were a few companies could made good LTL service, on the other hand, it was a challenge for the LTL industry to extend the service value chain of LTL logistics.
Challenge also brings opportunity. BEST Transportation has been thinking about how to provide good transportation service and build standard system from 2012 to 2014.
They advancedtentatively moved forward with trial. By the end of 2014, BEST Transportation has 65 sorting centers (25 centers newly built in 2014), extends 110% regional lines and 300% cross-regional lines with 367 lines and 877 outlets in total.
A nationwide service network
It is an architecture of network, product, service and technology.
The BEST Transportation National Network Conference 2015 is not only a news release of new brand, but also a disclosure of its future planning and strategic product layout. "“By the end of 2014, we have a clear picture and goal to modify the overall network. In 2015, our major task is to execute our ideas."” Said Zhou Jun.
— Network construction. In 2015, BEST Logistics will invest billions RMB to build transportation network from venues, platform, equipment, vehicles, and business. From March to April 2015, BEST Transportation will set up business in Sichuan Province, Chongqing, ShaanxiShanxi Province, Hunan Province, Guangxi Province, Shanxi Province, Jiangxi Province and Liaoning Province, etc.
— Product line. BEST Transportation has divided 1 trillion LTL logistics market into 4 categories like , namely S3 e-commerce bulk (30-100kg), S10 current major business (150-300kg), T3 tray transport (500-800kg) and T10 vehicle delivery (1-2T).
— Service. The year 2015 will be a "“service year"” of BEST Logistics. Johnny Zhou proposed that BEST Transportation would establish user-centered service philosophy in 2015, since 1% improvement in service quality will lead to N5% improvement in business.
— Technology. Relying on the technical gene of BEST Logistics, BEST Transportation has developed and updated Taishan Management System and Wanma Network Management System to pave a smooth road for network standardization.
"“There are some problems in LTL industry, which bring us the chance to make reform. We have to do things practically if we want to make a difference, which is the working style of BEST Logistics."” Commented Said Zhou Jun.