Hermes Germany raises prices from March 1, 2018. Furthermore, the company will add to the price of shipment an additional fee in the pre-holiday season. The decision on increases was made with a view to investing in employees.
From today, Hermes’s clients in Germany will have to pay 4.5 percent more for shipments. Prices for private customers, however, will not increase – says Thomas Horst, Sales Director at Hermes Germany. In addition, in November and December, i.e. the hottest season in the courier industry, a special allowance will be added to the parcel’s price.
The company decided to take such a step because it wants to invest in staff
The costs of courier services, especially at the last mile have been rising above average for some time,” emphasizes Horst. „Therefore, the necessary investments, especially in employees, find their real reflection in the prices of services” – he adds.
The growth of e-commerce is clearly boosted by the demand for courier services, and companies such as Hermes Germany have more and more problems with satisfying market needs due to the lack of a sufficient number of couriers. In the opinion of the sales director of Hermes, „it is necessary to increase the attractiveness of the profession by raising wages in order to avoid bottlenecks in supply. This, in turn, requires higher prices for services. The last hike is an important step in this direction.”
The company invests in logistics infrastructure and successive electrification of the vehicle fleet
In the next two years, Hermes will add 1,500 electric suppliers. Further expansion of the e-fleet is scheduled for 2025.
Increases also in the competition
Hermes Germany is not the first courier company that decided to raise prices in the face of the current market situation. In December last year, international company GO! Express & Logistics, which specializes in the transport of express consignments, also informed about the increases. The company has already raised its rates for services in February this year at an average of 4.2 percent. As the company emphasizes, the volume of parcels has been growing by at least 10% year-over-year for the last 4 years, and this requires investments in the fleet, staff and headquarters.