In the world of e-commerce, one of the cornerstones for a store’s success is having a robust shipping and distribution system. In Germany, the largest country in the European Union, there are several logistics service providers, each catering to different needs. However, in this case, we will focus on the three most important ones for e-commerce businesses. This is ideal if your packages weigh less than 20kg and are no longer than 120cm on any side.
While there are more providers, based on our experience, the only reliable ones with fast delivery throughout the country and the best prices are DHL, DPD, and UPS. Any other carrier may have many limitations in terms of shipping times or local pickup options and should be avoided. The average delivery time in Germany is 1.22 days, one of the best in Europe. Considering the country’s size, this speaks of the excellent infrastructure in the country, making it attractive and advanced in e-commerce matters.
In summary, this table provides the key information you need to know about each company:
The delivery times for each carrier are almost the same, and the prices reflect the rating above. DPD is the most economical, while UPS is the most expensive. If your package is smaller than 35x25x5cm and weighs less than a kilo, the most cost-effective option will be DHL. DHL and Deutsche Post are practically the same company, as they merged several years ago.
To provide a bit more context, here is some additional information you may want to consider while choosing the right provider for your business:
DHL: It is the best and most economical option for small products. They have a Packstation or branch near almost every customer in Germany, and it is highly recommended for handling returns. Being a German company with the longest operational history, Germans have the most trust in DHL and usually associate it with good/acceptable service. The main disadvantage is during peak seasons, such as Christmas, when delivery times increase more than with other providers. They can be slow in paying claims, but eventually, they do so.
DPD: It is the most economical service for medium-sized packages. There are increasing numbers of associated stations or shops that accept packages from or for customers, which can be convenient in some cases. Unfortunately, they are the ones that damage, lose, or fail to deliver packages correctly the most, and they often do not pay claims. Because of this, people have less trust in DPD, and some customers might reconsider a purchase if they see you are using DPD for shipping. However, it is more convenient for B2B situations where you are sending medium to large packages weighing over 3kg since the price makes up for the errors in some deliveries.
UPS: Their prices are the highest, but deliveries are fast and reliable. Compared to DHL and DPD, there are very few locations where packages can be picked up, but UPS makes multiple delivery attempts. Their workers have more flexible time limits, making deliveries and customer interactions more pleasant. I would recommend UPS if your items have a high value, if you need additional insurance, or if you are shipping internationally and require fast delivery.
As you can see, each carrier has its advantages and disadvantages, and it is best to consider each case individually to determine which one suits your needs the most. It depends heavily on the size, weight, value, image, and relationship you want to have with your customers.
One thing is certain, the coverage, speed, and cost of these three companies are superior to other logistics companies in Europe, which is a strong point in favor of anyone looking to start selling in Germany.