Collect+ operations become a wholly-owned subsidiary of Yodel
Collect+ have renegotiated their Joint Venture to the secure future growth of their store network. The restructuring also sees Drop & Collect Limited, the operational arm of Collect Plus, become a wholly-owned subsidiary of Yodel freeing PayPoint to open their network to competition and avoid further losses on logistics costs.
A new agreement with PayPoint commits to growing the Collect+ network with an aspiration to grow to 12,000 locations within 5 years, in line with the current Post Office estate.
CollectPlus was a joint venture between PayPoint and Yodel. PayPoint and Yodel will retain 50:50 ownership of the brand through their new joint venture company Collect+ Brand Limited, which has licensed the use of the Collect+ brand to both Yodel and PayPoint and will receive royalties from PayPoint and Yodel for each parcel they introduce.
Yodel will take responsibility for the operations and contracts and as a consequence, PayPoint will no longer bear the impact of logistics cost increases.
PayPoint will also be free for the first time to utilise its convenience retail network to sign agreements with other parcel carriers and to open Collect+ access to other carriers, under license
Neil Ashworth, Collect+ CEO said in a letter to customers “We recognise the opportunity in the market for us to further improve our Click and Collect and Returns solutions”, explaining that the closer ties with Yodel will help improve products and services. He also hinted at “exciting new developments” coming to the Collect+ portfolio of services.