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Estonians are turning away from Chinese e-commerce and looking towards Europe
The COVID-crisis has changed the direction of e-commerce. If the parcel volumes arriving to Estonia were previously dominated by Chinese e-commerce giants, then as a result of the changes in 2020, local consumers increasingly prefer local and European e-commerce platforms, said acting Omniva chairman of the management board Andre Veskimeister.
"During the first peak of the corona crisis, the volumes of several Estonian major e-merchants doubled or tripled," Andre Veskimeister said. "The parcel volumes of some Omniva clients grew tenfold in just a few weeks. Several major international e-commerce companies have said that the Baltic States is the region where e-commerce increased the most in the corona spring. We are certainly very happy about that."
The number of parcels arriving from further away in Europe has also increased, but the share of Chinese e-commerce platforms has considerably decreased at the same time. "Estonians are turning away from Chinese e-commerce and looking towards Europe instead," Veskimeister explained. "There is a clear trend that Estonian people are more demanding of both products and services."
If the Chinese parcel volume ratio last year was 80/20 compared with European parcels, then over this past year, the European volumes have increased significantly. The respective share is currently 60/40 and the trend favouring Europe is on the rise.
The 70-75 percent decrease in Chinese parcel volumes in spring compared with last year can be explained by logistics issues – delivery times extended considerably and consumers value smooth service. Over the last months, the Chinese volumes have restored and delivery problems have mostly been resolved, but the Estonian and European parcel volumes continue to hold an impressive share.
In the middle of September, the Omniva Estonia home market parcel business service volume exceeded the total volume of 2019. This means that more parcels have moved in Estonian e-commerce in the first nine months of this year than the whole of last year. But the Christmas season is only just beginning.
"I can currently say that we at Omniva are ready for the Christmas period," Veskimeister said. "Our logistics centre has launched well, we have increased the parcel machines' capacity and taken other measures to tackle the network overload. Nevertheless, we ask people to collect their parcels as soon as possible so that others are able to receive their anticipated parcels as well."
The company will grow the parcel machine network by one-tenth in the Baltics this year. In Estonia, new lockers will be added to more popular machines. The 24 most popular Omniva parcel machines will get additional lockers this year.
Omniva has more than 250 parcel machines; together with post offices, there are over 500 pick-up points in Estonia. In the Baltic States, Omniva has nearly 800 parcel machines, making it the service provider with the largest network in all three states.
News list
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02.08.2022The new development will apply to customers in all three Baltic states.
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27.07.2022Residents of Kihnu and Ruhnu will now be able to order their e-shop purchases to the island, as Omniva will start offering a virtual parcel delivery service from 1 August.
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21.07.2022The scam letters are designed to steal your identity or gain access your bank details and money.
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04.07.2022Omniva, which operates the largest parcel machine network in the Baltics, will invest over 40 million euros in building the most modern parcel sorting centre of the region in the Kaunas Free Economic Zone.
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01.07.2022Today, Omniva and other shareholders finalised the sale of Maksekeskus to Luminor Bank, a new strategic investor.
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20.06.2022Omniva has Upside-down Christmas campaign, lasting until 26 June.
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17.06.2022Omniva, the Trade Union PRO (PRO), and the Estonian Transport and Road Workers’ Trade Union (ETTA) have entered into an agreement, pursuant to which on 1 July, the wages of more than 800 primary-level workers will increase.
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17.06.2022Omniva has installed a new parcel machine in Kudjape.
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16.06.2022Omniva has announced a procurement to find a partner to renovate its post offices.
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16.05.2022
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12.05.2022Omniva will expand its vehicle fleet and introduce electric cargo bikes by Vok Bikes on a larger scale. The first five bikes have already arrived and are ready to deliver parcels.
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11.05.2022As a new opportunity, when you make a purchase from AliExpress, you have the opportunity to immediately select the nearest Omniva parcel machine to receive your goods.
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02.05.2022The Omniva Group’s turnover and profit for the first three months of this year fell short of expectations. The result was affected by the start of the war in Ukraine as well as rising energy and fuel prices.
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18.04.2022The joint undertaking Post11, which offers comprehensive international logistics solutions to e-merchants, will cease operations on 1 July 2022.
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13.04.2022
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07.04.2022Omniva is giving away gifts to its customers before the Easter holidays.
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21.03.2022In cooperation with the Ukrainian Post, Omniva now offers private persons the possibility of sending humanitarian aid to Ukraine by free parcel as a new service.
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21.03.2022In cooperation with multiple aid organisations, Omniva has already sent 23 trucks containing humanitarian aid to Ukraine. Many more trucks containing aid will be sent over the course of this week and the next.
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07.03.2022Omniva will end the delivery of periodicals from Russia in Estonia starting from today, 7 March.
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07.03.2022Due to the lack of air services, it is temporarily not possible to send shipments to Russia.
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02.03.2022As of 1 April 2022, the declaration of parcels arriving from third countries, i.e. from outside of the European Union, by using the manual process will cost 15 euros.
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28.02.2022The total revenue of Omniva for the fourth quarter of 2021 was 40.3 million, which is 10.3 million more than in the third quarter. Last year, the total operating income of the group in 2021 increased by 10 percent to 148.7 million euros compared to the previous year. Operating profit in 2021 increased by 68 percent to 16 million euros.
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20.01.2022This year, Omniva made an ambitious promise to deliver all parcels by 23 December. We managed to do it by ensuring that our delivery was faster and of higher quality than ever before.
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18.01.2022The innovation will make the lives of customers more convenient, as it will save their time
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30.11.2021At the meeting of the Supervisory Board on Monday, the new vision, strategic goals, and main paths of development of the company was approved, based on which the company intends to become the most preferred logistics partner in the Baltic states within five years, under the name of Omniva.
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24.11.2021November is the month of shopping holidays, which in recent years has been almost comparable to Christmas in parcel services. Omniva asks people to collect their parcels as soon as possible so that more customers could collect their parcels faster.
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15.11.2021In order to increase the convenience of the customer service, Omniva deployed a new solution in its entire parcel machine network in the Baltic states which enables to use one locker to store several different parcels ordered by the same individual.
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04.11.2021In Estonia, the expansion will include 11 counties and 32 new parcel machines. Across the Baltics, 141 new parcel machines will be added to the network and 86 existing popular parcel machines will be expanded.
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04.11.2021On 1 December 2021, Heiki Raadik will start working as the Chief Financial Officer and member of the Management Board of Omniva. His area of responsibility will be the management and development of the financial sector of the group in the home markets of the company across the Baltics.
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29.10.2021The operating income of the Group for the first nine months of 2021 totalled 105.8 million euros, which is over 10 million more than in the same period last year.
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14.10.2021Omniva encourages people to order their presents from abroad well in advance of Christmas, as global shopping holidays mean longer international delivery times.
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08.10.2021Previously, the parcel tracking info also included events noting the movement of parcel data; now, however, the customer will only see the physical movement of the parcel for the sake of clarity.
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10.09.2021The Latvian subsidiary of Omniva has entered into a cooperation agreement with SIA Narvesen Baltija to offer parcel pick-up services through the largest Latvian retail chain in more than 200 locations.
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27.08.2021From 1 September 2021, Omniva's business customer support units for parcel and postal services will merge to offer you more convenient customer service.
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26.08.2021The turnover of the group increased to a total of 78.5 million euros in six months, which was 23% more than a year earlier, while the operating profit for the first half of the year was 13.6 million euros. The results were mainly affected by the increase in revenue from parcel services.
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26.07.2021Omniva opened an automatic e-declaration solution where the customs data of the shipment is filled in automatically on the smart device of the customer and the shipment is declared with a few clicks.
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14.07.2021In order to simplify ordering from third countries to the European Union, from July, many shopping platforms will enable the option to pay the VAT of goods costing up to 150 euros immediately when making the purchase.
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16.06.2021From July, the shipments ordered from outside of the EU are no longer exempt from VAT and all parcels must be declared. How is the value of the parcel calculated and what does the amount of tax payable depend on?
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16.06.2021From 1 July, all commercial shipments ordered from outside of the EU are subject to tax. This means that the currently valid tax exemption for goods costing up to 22 euros will no longer be valid and all shipments arriving to Estonia from third countries must be declared.
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09.06.2021The tax amendment is also valid for goods that were purchased before 1 July but arrive after the said date.
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03.06.2021
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01.06.2021In connection with this, the standard terms and conditions of the universal postal service, EMS (Express Mail Service), and the maxi parcel service will also change from 1 July.
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20.05.2021This week, Triin Oselein, who has two decades of experience in the logistics sector, started working as a member of the board for the joint venture of Omniva and S.F. Express, the largest private capital-based courier company in China.
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19.05.2021From 1 July, new pan-European tax amendments will come into force, and it will become mandatory to declare and pay VAT on parcels from third countries (e.g. USA, China and now also the UK) that cost less than 22 euros. This means that the lower limit of tax exemption for goods outside of Europe will be abolished. For this purpose, Omniva will develop an application where the client sees the information of the goods they will receive and can declare them quickly and conveniently.
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03.05.2021The group earned a profit of 7 million euros in the first quarter, a 33-fold increase compared with the same period in 2020.
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29.04.2021Omniva has expanded eight parcel machines in recent weeks and added one parcel machine to a completely new location. New lockers and machines are added to places where the parcel traffic is exceptionally high.
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08.04.2021Mart Mägi has had a long career in management, from both private and public sector and as a management consultant.
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31.03.2021Since delivery times may stretch up to two months, you should start ordering now to avoid the additional taxes.
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30.03.2021With the Good Friday and Easter holidays approaching, we ask our clients to consider longer delivery times in Estonia, Latvia and Lithuania.
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16.03.2021Eesti Post's 15 largest post offices have QR code-based queue solutions, which received a lot of positive client feedback during Christmas. With the system, the client can simply scan the QR code with their telephone and the queue number will appear on the telephone screen. It is a contact-free solution and the client does not have to touch publicly used surfaces.
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