Orlen Paczka opens its network to new player UPS
Translated from Polish and summarized by DistantNews. Read the original for the full story.
At a glance
- Orlen Paczka will share most of its parcel lockers with UPS starting in July, expanding its network sharing model.
- The integration aims to prepare for the busy autumn and holiday delivery season.
- This move reflects a growing trend of infrastructure sharing in the European parcel delivery market, driven by rising costs and competition.
Orlen Paczka is set to significantly expand its reach by sharing the majority of its automated parcel lockers with UPS, beginning in July. This strategic move, which will continue through August, aims to ensure full operational readiness for the peak autumn and holiday delivery periods. The agreement, finalized on May 25, follows Orlen Paczka's earlier collaboration with GLS, marking its second major network-sharing deal.
Infrastructure sharing makes sense. Open networks are simply more efficient, provided they encompass not only the machine itself but also how it is operated. They can limit duplication of investment, reduce pressure on urban space, and allow for better utilization of existing automated machines.
Marek Rรณลผycki, president of Last Mile Experts, highlighted the efficiency of shared networks, stating, "Infrastructure sharing makes sense. Open networks are simply more efficient, provided they encompass not only the machine itself but also how it is operated. They can limit duplication of investment, reduce pressure on urban space, and allow for better utilization of existing automated machines." However, he also noted the challenge of balancing the interests of network owners, users, and those responsible for physical parcel handling as parcel volumes increase.
The problem is that as parcel volumes grow, it becomes increasingly difficult to balance the interests of the network owner, the operators who want to use it, and the entities responsible for the physical handling of shipments.
With over 7,500 parcel lockers and more than 15,000 drop-off points, Orlen Paczka's network is attractive to operators lacking their own out-of-home infrastructure in Poland. This sharing model contrasts with the dominant closed-network approach pioneered by InPost in Poland, where networks like DHL, DPD, and Poczta Polska have largely followed suit. In contrast, shared locker systems are more common in Western Europe, often operated by companies focused on infrastructure and IT solutions rather than being carriers themselves.
In Poland, the undisputed courier leader is InPost, which has set the standard for the development of parcel locker networks in a closed-network model for a single operator.
Mirek Gral, vice-president of Last Mile Experts, pointed to companies like Austria's Myflexbox, which provides an agnostic network for multiple carriers, as an example. He anticipates a rise in shared networks across Europe due to increasing operational costs for courier and postal companies and difficulties in securing prime locations for new automated machines. Gral also suggested that if FedEx's potential acquisition of a Polish logistics company proceeds, increased access to shared networks, possibly including InPost's infrastructure, could become a strategic consideration for FedEx to enhance its market presence.
Sharing is much more common in other European countries, especially in the west. There, many companies share their automated machines with multiple carriers, but the business model is slightly different. These are companies that are not carriers but providers of infrastructural and IT solutions.
Originally published by Rzeczpospolita in Polish. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.