1 Billion TRY investment from Aras Kargo
1 Billion TRY investment from Aras Kargo
Turkey's leading and most innovative shipping company Aras Kargo opens the door to a new era in the industry. Georg Pölzl, Chairman and CEO of Austrian Post, which increased its share in Aras Kargo to 80 percent, gave the good news that 1 billion TRY will be invested in Aras Kargo distribution infrastructure.
Aras Kargo Vice Chairman, Baran Aras stated that Turkey gained growth momentum in the Kargo sector and said “The investments that we have made on the transfer centers are the indication of our belief in the growth potential of the sector”.
Aras Kargo General Manager Utku Ayyarkın noted that the transaction volume grew by 65 percent in the first 9 months, and that their revenues would be over 2 billion TRY as of the end of the year.
The cargo sector, which is one of the sectors where the development momentum has increased rapidly all over the world in recent years and directly affects the development of trade, continues to grow with new investments and partnerships specific to Turkey as well. Aras Kargo, one of Turkey's established brands, continues to invest there after the share sale agreement with the Austrian Post. After the share transfer agreement, Austrian Post Chairman and CEO Georg Pölzl and Aras Kargo Vice-Chairman Baran Aras and Aras Kargo General Manager Utku Ayyarkın met at a press conference held in Istanbul. Important information about investments that will contribute to the development of the sector and the economy of Turkey in the new era, was shared at the meeting.
Pölzl: "We believe in Turkey's growth potential"
Austrian Post Chairman and CEO Georg Pölzl made a presentation included with the Austrian Post's operational, financial and technological growth, investment, and targets for 2019 and 2020. Pölzl stated that in the new period, they aim to invest a total of 1 billion TRY in the distribution infrastructure, which includes all operations of Aras Kargo such as transfer center and branch.
Expressing that they expect the Austrian Post's capital investments to exceed 170 million EUR in 2020, Pölzl said that they aim to exceed 200 million EUR in 2021.
Noting that they attach importance to sustainability and environmental issues, Pölzl stated that they achieved a significant decrease in carbon dioxide emission, especially with the use of electricity and heat, and that they aim to establish a fleet of 1,005 electric vehicles in Austria by 2030. Pölzl said "The Austrian Post is now involved in 75 international and 72 national climate protection projects. As you know, Aras Kargo shipping company also founded the first and largest electric vehicle fleet sector in Turkey. We will continue our efforts with the aim of integrating environmental activities into its main field of activity and continuing environmentally friendly investments".
Baran Aras said "We have increased our turnover by approximately 50 percent in the last three years"
Emphasizing that their agreements with Austrian Post are an important step for Aras Kargo and the industry Baran Aras, Vice Chairman of Aras Kargo, said “We have always carried Aras Kargo forward with all our employees, which was built on solid and precious foundations by my late father Celal Aras, founder of our company. By maintaining our steady growth every year, we have increased our turnover by 50 percent in the last three years. In this sense, I believe that the new formation in our share structure will continue to contribute to the Turkish economy and I wish it to be beneficial”.
Aras stated that they will continue their investments without slowing down as the leading player of the sector in this new period when they set out with the message 'Hand in hand to carry the world' and stated that they will continue to produce fast and special solutions for the needs of their customers and business partners.
Year-end turnover is over 2 billion TRY
Aras Kargo General Manager Utku Ayyarkın emphasized that they attach greater importance than ever to making technological investments, strengthening infrastructure, and making business processes more efficient in accordance with the increasing e-commerce volume and changing demands in the cargo sector, which has a very dynamic structure. Stating that they implemented digital transformation and transfer center investments in order to manage time and capacity well, Ayyarkın gave the following information;
“During the pandemic period, the transaction volume increased 2 times compared to the previous year and the number of addresses visited increased by 90% in parallel with the increase in e-commerce users. In this process, as the momentum turned from B2B to B2C, the need to keep up with this change arose in our industry. In this context, we have rapidly accelerated our work, which we started long ago. The digital transformation movement that we have started in 2016 has made us very advantageous in this sense. Within the scope of digital transformation, we have invested nearly 300 million TRY for projects such as uninterrupted data security, central data system, courier route optimization, and sorter system to our branches and transfer centers. We continue to create employment and provide added value to our country with our investments and stable growth trend. Thanks to all these investments, we achieved a growth figure of almost 65 percent in the first 9 months of 2020. With the momentum we have achieved in the growth trend, we will achieve a turnover of over 2 billion TRY at the end of the year."
"We have the highest capacity in hourly processing"
Stating that they have become the company with the highest hourly processing capacity in the sector with their investments to transfer centers, Ayyarkın said, “We are the best in the industry with a 3-fold increase in hourly processing capacity. First, we renewed our İkitelli Transfer Center technologically and increased the capacity of the center from 5,500 shipments per hour to 27,600. Last year, we renewed our Transfer Center in Istanbul Orhanlı and Izmir technologically. We completed Ankara a very short time ago. Again, last year, in order to better manage the increasing volume of e-commerce shipments, we commissioned a small package of sorter machine investment on both sides of Istanbul. This year, we carried this investment into 4 more big cities. It will be completed by mid-November. In this way, we increase our capacity and efficiency further ”.
Referring to other investments within the scope of transformation, Utku Ayyarkın stated that the cargo delivery methods in the sector also keep pace with technology, “We make contactless deliveries with ID card reading and SMS code. We invest in courier handheld terminals to instantly access data and increase our efficiency even more. We started the Courier Route Optimization project to manage the increasing address and data operations. We developed our map infrastructure by developing the best robotic address detection software in the industry. By processing more than 100 addresses per second, we reduced the risk of wrong addresses by 60%. We are leading our SMEs to take a step into the digital world with the self-service applications we have developed. In addition, we developed our Call Management processes from top to bottom to ensure that our customers can reach us whenever they want and we increased the capacity of our call center by 2.5 times. By increasing the effectiveness of our self-service channel, we increased the rate of our customers benefiting from this channel by 3 times. We will continue our digital transformation projects without slowing down. With all these developments, we will continue to be important for our customers ”.