DHL MD anticipates major African growth in 2015
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Sub-Saharan Africa’s (SSA) economies are projected to grow by up to 5 percent this year and DHL SSA managing Director Charles Brewer has predicted that the logistics industry will share this massive expansion.
As many African nations industrialise, consumer demand across all fronts will increase in line with growth in jobs and training opportunities which will be further enhanced as many nations roll out new technology and telecommunications projects.
Brewer identified that the company’s increased coverage of developing markets (of which Africa makes up a significant part) has enabled DHL SSA to achieve growth in both volume and revenue over the past year. Therefore as part of a global effort that will include Africa, the company will be making plans to increase connectivity to keep ahead of the game.
Brewer said, “There is a growing B2C e-commerce market in Africa due to the development and accessibility of technology on the continent, so it is no longer just the larger corporations that need to make use of logistics and delivery services, but individual consumers and small businesses too. Our goal is to develop the necessary infrastructure in Africa to make the global market more accessible. Our aggressive expansion strategy has seen us grow our retail presence from 300 outlets to over 3,800 outlets in just over 3 years.”
In recent years, Africa has undergone a tech revolution unseen anywhere in the rest of the world. In response to shortfalls in infrastructure, cash transfer apps have grown exponentially, alongside the use of smartphones as a replacement for conventional computers and laptops. Here is a continent that knows how to adapt no matter what the setbacks are.
Brewer added, “While markets within Africa offer numerous opportunities, there are also challenges. Underdeveloped infrastructure, lack of air connectivity and customs inconsistencies remain very real issues that can hamper growth on the continent. With that said, the situation is improving, and more countries are recognising that they need to find ways to make their markets accessible and easier to do business with. We will continue our aggressive investment and expansion strategy on the continent, with a number of planned upgrades scheduled for 2015, including state of the art smartphone scanners to further enhance our tracking capabilities.”
DHL SSA had the foresight to notice that the African continent is fast becoming the place to do business in and their projection for the future they will surely reap the rewards of having their finger so closely on the pulse of the world’s fastest growing continent.