Before Double Eleven, express delivery prices may lay the foundation for the industry's reshuffle

　　Every year, it is different this year. As the " Double Eleven " is approaching, major express delivery companies have won the lead and strived to be the protagonists before major e-commerce companies. In the past two days, they have made a move - price increase!

　　Following the announcement of ZTO Express and Yunda Express to adjust the express price, a screenshot of the "Notice on the Market Price Raising in the Peak Season of YTO Online" was circulated on the Internet yesterday, but the official website of YTO has not yet posted the official news of the price adjustment. The YTO Public Relations Department responded that "it is not rising in principle at present" and did not comment on the screenshots of the price adjustment rumored online. SF Express said it did not intend to follow up for the time being, while STO Express said: "The possibility of price increases are not ruled out."

　　In fact, there seems to be a sign that express delivery has announced a price increase . As early as May this year, six franchise express delivery companies including Yuantong, Shentong, Zhongtong, Yunda, Best Huitong, and Tiantian Express jointly issued the "Notice on Adjustment of Distribution Fees for the Whole Network", requiring all delivery outlets to increase the delivery fee by 0.15 yuan/ticket on the original basis, and the implementation time is June 1. However, this price adjustment mainly involves the salary income of express delivery employees, and has no impact on the express delivery fees that consumers need to pay.

　　Regarding the reasons for the price increase, the two express companies that announced the price increase mentioned that due to various factors such as increased transportation costs, increased labor costs, and increased raw material prices. In this regard, Xu Yong, chief consultant of Express Logistics Consulting Network, said that labor costs are the most rising among many costs, especially in the upcoming "Double Eleven", which requires employees to work overtime and hire temporary workers. This may also be the reason why many companies choose to raise prices before " Double Eleven ".

　　However, SF Express and YTO Express said they will not participate in this price increase for the time being. In response, Mr. Wu, an insider in the express delivery industry, analyzed that SF Express mainly takes the high-end route, with higher pricing than ordinary express delivery, while most other express delivery companies take the route of seizing market share at low prices. Under the wave of great development of the express delivery industry, more and more express delivery companies are investing a lot of money to purchase transportation equipment to improve transportation efficiency, and are taking the heavy asset route, which makes some express delivery companies need to increase product prices and face cost increases and financial pressure.

　　Regarding the price increase in the express delivery industry, Ms. Chen, who is engaged in purchasing agents in Shenzhen, was not surprised by the price increase of express delivery. "The cost of cartons is very high now, and labor costs are also rising. I think price increases are the future trend. If the service and speed are greatly improved after the price increase, this is a good thing. But if you cannot keep up, it will cause public disgust and accelerate the elimination of brands."

　　"The industry prices themselves are not high. They have been suppressed for a long time and have always wanted to raise prices." Mr. Deng, an industry insider, said that two years ago, the express delivery industry also set off a round of price increases, but the market rebounded significantly, and the test was finally terminated. However, as the market stabilized, several leading express delivery companies went public one after another, and the industry concentration further enhanced, and bargaining power increased. "2018 may be the year of reshuffle for the industry. Price adjustment can create a good quality foundation and market environment for the industry."

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