3 years ago, Bubble Post was a bicycle taxi service in the city of Ghent for tourists. Now they are one of the leading package delivery providers in Europe. To understand more about their marriage of sustainable mobility and logistics, and how they are continuing to develop their service and share it with other cities, Nicolas Urien visited Bubble Post for the day.

Introducing Sustainable mobility into supply chains

BubblePost is a flourishing company. Entering the Cyclelogistics world in 2013, they began delivering packages in Ghent, and now deliver in many several European cities. They saw the growth of urban living and expanding supply chains, coupled with growth in popularity of cargo bikes, as the perfect opportunity to introduce sustainable mobility into the logistics sector.

50% of all motorized trips related to goods transports in EU cities can be made by bikes, and the success of Bubble Post is testament to the viability of the Cycle logistics model. Bubble Post “fills the last-mile logistics issue” explains Hadiel Holail Mohamed, Business Developer, an area in which traditional logistics companies are weak-typically being the most expensive leg of the entire delivery journey- and to do so they utilize a sustainable method, successfully delivering 4.000 packages a day.

Image credit: Bubble Post

Growing faster and creating more jobs

In practice, the packages are sent to the Bubble Post warehouse on the outskirts of the city, where they are sorted and dispatched for delivery. Utilising smart technology, their in-house algorithm calculates the most efficient method of delivery, taking into account the different transport options available.

From only operating 3 bikes in 2013, they now have over 90 different vehicles for delivery, transporting a range of goods for clients in different sectors including e-commerce, pharmaceuticals, retail and cold chain for food service. Bubble Post has generated 120 jobs and the majority of their employees are under 30, having begun with only 3 in 2013.

In 2016, Bubble Post plans to get even bigger, and faster: the goal for the year is to reach 200 employees. Some companies this size would get bogged down employment hierarchies and organization charts, but not Bubble Post: it is a highly collaborative organization, which is structured horizontally, so that everyone is involved has an equally share and the responsibility for success is shared. According to Hadiel Holail Mohamed, all “Bubble Heroes” - as they are called - work together to identify the immediate constraints and future challenges that are upcoming.

Sustainable, best and cost efficient delivery system

The success of Bubble Post is not a surprise as it is built upon their strong performance in key areas.

They are an extremely efficient company, as bicycles are far better are in navigating busy urban areas than large delivery vehicles, so it is no surprise that they make a better delivery option. This is reflected in the savings the Bubble Post clients make: on average, the last-mile delivery is costing them 25% less after they switch to Bubble Post.

Bubble Post focuses on “first attempt optimization”, with SMS and email used to arrange the most convenient time of delivery. This allows the company to achieve a first time delivery rate of 94%, meaning that their failed first time deliveries are half that of traditional national post services, according to Bubble Post. Therefore, Bubble Post remains highly competitive in a market with very strong players.

In addition, Nespresso have reported 62% of their customers like think that the cooperation with the fact that they use Bubble Post has a positive impact on the Nespresso image, suggesting that using sustainable methods leads to a more positive image for companies as well. Aiding their success, the Bubble Post business model and infrastructure is easy to replicate and implement, allowing for rapid growth and the ability to take advantage of opportunities that are presented by the rising green wave.

Spreading their business across Europe

Bubble Post has ridden this wave well: originally operating only in Ghent, the team now delivers in many cities and has lofty goals: they want to provide a delivery service in every major city in Europe.

To do this, the company is creating partnerships with locals in many EU counties (e.g. Spain, Switzerland) to share its business model that includes an operational and recognized knowhow, access to its properly developed e-trikes vehicle suppliers, its IT system, as well as a tailor-made organizational roadmap to help its partners flourish in their own cities, and spread the excellent service. And investors believe in Bubble Post: its expansion in Wallonia (Belgium) and The Netherlands has been recently financed by a capital injection of €2.35 million.

With such strong success behind them, and the Cycle Logistics industry becoming ever more prominent, it is likely Bubble Post will soon be delivering to a letterbox near you!

The Cycling Industry Club (CIC) and CONEBI have recently launched the Cycling for Growth Initiative to extend the influence of the cycling industry as a recognized voice at the EU level. New Project Director Nicolas Urien has been appointed to lead the project on behalf of both organizations. The main objective of the Cycling for Growth Initiative is to show how the cycling industry will deliver growth within the European Union and create the conditions to unlock funding in European public expenditure on cycling and e-cycling.