Ceva Logistics puts Paack in charge of last-mile parcel delivery

Industry giant Ceva Logistics on Friday announced that it has merged France-focused last-mile delivery subsidiary Colis Privé into newly acquired Paack, which operates a dense delivery network in Spain and Portugal, presenting a single brand identity to the market.

Ceva Logistics, a top-five global logistics company by gross revenue and part of Marseilles, France-based CMA CGM Group, acquired Paack in early August to expand its last-mile delivery business in Europe. It acquired Colis Privé, which also operates in Belgium and Luxembourg, in 2022.

The unified Paack brand will be rolled out progressively to customers and partners beginning in January, Ceva said in a news release. When the tentative deal was first announced last summer, the expectation was that Colis Privé would absorb Paack.

The combined business delivers 150 million parcels annually through a network of 17,000 out-of-home delivery points — 8,000 each in France and Spain, and 1,500 in Belgium. Paack has about 490 employees. It also operates six urban delivery stations in France. The couriers also deliver to individual residences. 

Uniting the Colis Privé and PAACK networks will simplify delivery management for e-commerce retailers operating across multiple European markets and provide a more consistent delivery experience for local and international packages, Ceva said. 

One of Paack’s strong points is its sophisticated technology suite. Ceva previously said 

Paack’s technology will immediately enhance Colis Privé’s capabilities in end-to-end parcel planning, real-time tracking, precise time-slot management, advanced reporting, integrated returns management and route optimization that minimizes delays.  

Why It Matters: The e-commerce logistics sector in Europe is in a period of consolidation as companies look to expand delivery footprints and quickly access new markets to support the fast-growing online shopping market. Research firm ECDB estimates the e-commerce revenue in Europe will grow 36% in the second half of the decade, surpassing $1 trillion in 2029. Online retail sales are projected to grow 8.6% this year, on par with global growth. Portugal is the seventh fastest growing market at 9.1%. 

Europe’s e-commerce market is enabled by a strong and expanding digital infrastructure, high internet penetration and a steadily growing base of online shoppers, ECDB said in a white paper this year. The online share of total retail sales in Europe is 18.2%, which is below the global average of 25%, and will increase to 18.7% by 2027.

The Paack-Colvis Privé combination fits with CMA CGM’s strategy of becoming an integrated, end-to-end logistics service provider , relying on a mix of its own air, ocean, truck, and parcel delivery assets, as well as third-party transportation providers. Having its own e-commerce logistics network allows Ceva Logistics to better control the delivery experience for B2C retailers from origin to customer.

Click here for more FreightWaves/American Shipper stories by Eric Kulisch.

Write to Eric Kulisch at ekulisch@freightwaves.com .

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