Arvato Provides 100 Million Cell Phones to China

Arvato has strengthened its foothold in the Chinese telecom industry by distributing its 100 millionth cell phone in August through a widespread network of distribution and logistics processes. Every Chinese province is covered with the company’s 55 locations nationwide. Arvato’s lists of customers are comprised of retail chains, mobile network operators and distributors.

The internationally networked outsourcing provider entered the Chinese telecom industry in 2008 through partnerships with two of China’s national mobile operators, SMT Group and Telling Group. The partnership has appreciated overwhelming success over the last few years, which can be directly attributed to the business strategy put in place.

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The provider stands out from the competition because of two factors, one of which is the company’s powerful IT system, which integrates all business processes in an effective manner. The other factor is the company’s local teams, all of which perform efficiently in the field.

Statistically, there are over five million cell phones and smartphones delivered to China monthly. This number represents a whopping 30,000 different products. These units are then distributed to no less than 40,000 retailers by the company’s team of 900 employees in the central, regional and local distribution points. Delivery to individual outlets is performed with Arvato using external carriers alongside its own flotilla of an estimated number of 150 delivery vehicles.

"By coordinating inventory across all distribution centers, we're able to guarantee reliability of supply," said Kütemeier. He also stated that the reliability of the company’s supply and delivery process is essential to the Chinese market. Chinese consumers expect high quality service from providers, most of them expecting the products they bought to be delivered within the same day of purchase.

The Chinese mobile telecoms market is considered the largest in the world and experts anticipated that the market will continue to increase by impressive numbers in the coming years. Arvato services are well-armed and capable of meeting customer demand, having enjoyed high profits in the last few years. To date, Arvato offers fulfillment services and logistic process services to companies in the automobile, high-tech and IT industries.