The Western Union Company (NYSE:WU), a leader in global payment services, and DHL Express, the world's leading international express services company, today announced their intention to expand their cooperation to introduce international business payment services to DHL customers throughout Europe.
The cooperation would bring mutual benefit to both Western Union and DHL, allowing Western Union to attract a new customer segment and enabling DHL Express to offer additional value-added services to its customers.
According to the memorandum of understanding (MOU), the two companies plan to extend their successful alliance, which currently covers offering the Western Union Money Transfer® service in Latin America and the Caribbean, to DHL's 5,000 locations in Europe. These locations include DHL's own locations and those owned by franchisees.
The two companies are in discussions to expand this collaboration by introducing business services to DHL customers. This is the first such MOU of its kind for Western Union.
Custom House, a Western Union company, is a global leader in foreign exchange and provides small and medium-sized businesses with simple and reliable cross-border payment solutions. The B2B market is one with great potential; according to research firm IDC, worldwide B2B e-commerce is expected to grow 55 percent this year to $3.4 trillion.
"Globalization is changing the way businesses operate," said Hikmet Ersek, Western Union Chief Executive Officer. "More and more businesses are making payments across borders, and this phenomenon is only expected to grow. DHL has an established base of business customers who have a need for these types of services. By working together, we can introduce a convenient tool to support these businesses as they grow."
"This MOU with Western Union strengthens our partnership, which started in Latin America over 18 years ago. I am sure that our 5,000 retail or retail partner outlets in prime locations in Europe will offer Western Union cash transaction customers an excellent network throughout Europe," said Ken Allen, Chief Executive Officer, DHL Express. "At the same time, our own customers will enjoy additional financial services in our locations. I am confident that the synergies between DHL and Western Union will continue to introduce new benefits for our customers in the long run."