DTDC set to expand franchisee network

DTDC Courier & Cargo Ltd (DTDC), the Bangalore-based Rs 141 crore air express and cargo company, is expanding its delivery network in the country.

The company, which works through a network of 4,000 franchisees in the country, is adding another 1,000 franchisees this year.

Currently, DTDC serves around 10,000 pin code areas and delivers 3.20 lakh consignments every day.

"We are in the process of introducing a host of value-added services. The network expansion will help us roll out these services to increase its business in the domestic market," Gautam Basu, executive vice-president, DTDC, said.

After launching V Express, its new product which promises the delivery of documents the next business day, DTDC is now planning to launch a host of specialised services like cash management, handling of credit cards, address verification for BPO firms, collection of tax forms, delivery of pharmaceutical samples and bulk mails.

"We are currently in talks with a few banks and telecom service providers to collect and deliver cheques and bulk mailers in various cities. In this business, there will be no time pressure and we will leverage our franchisee network to deliver the goods," Basu told Business Standard.

DTDC has already tied up with Reliance Money to distribute the latter's financial products and services across the country.

The company, in which the Reliance Anil Dhirubhai Ambani Group picked up 40 per cent of the shares recently, is also making a capital expenditure of Rs 5 crore to set up a web-based tracking system and upgradation of its software this year.

To cash in on the mango season, DTDC is also launching a new service to deliver mango to customers across the world. It will use its association with global express cargo companies like TNT and DHL to deliver fresh mangoes anywhere in the world. The service will branded as 'Mango'.

"On behalf of the customers, we will buy good quality Alphonso mango and deliver it to their destinations. We have tied up with an expert in mango sales in Mumbai, who will purchase mangoes for our customers. Customers can also buy mangoes on their own and we will deliver them if they want. Our main idea is to get more visibility for our brand through the offer," Basu added.

DTDC, which reported a Rs 9.1 crore profit on a turnover of Rs 141 crore in 2005-06, is likely to grow its turnover by 13 per cent in 2006-07.

For the fiscal 2007-08, it is targetting 40 per cent growth in its turnover.