DHL, the world’s leading express delivery and logistics company, has signed a new three-year agreement with Wal-Mart Stores, the world’s largest retail chain.

DHL will provide Wal-Mart with air express and ground shipping throughout the US, supporting the retail giant’s 4,000 stores nationwide. The new contract nearly doubles the volume and revenue generated through the previously existing relationship.

Through the new agreement, DHL will continue its exclusive specialty product repair and return delivery service for Wal-Mart, and has also been awarded responsibility for all specialty product transportation for Wal-Mart stores and Sam’s Clubs nationwide.

In addition, Wal-Mart has added DHL as one of its primary carriers for its state transportation programme for all outbound shipments from assigned states, including transportation between and among Wal-Mart retail stores, distribution centres and suppliers.

DHL also continues its exclusive management of several customised services for Wal-Mart, including its optical product logistics programme; fulfilling major online holiday floral distributions such as Valentine’s and Mother’s Day; and handling all express transportation from Wal-Mart mailroom distribution centres.

“For the past seven years, DHL has successfully managed several transportation and logistics programmes for Wal-Mart, demonstrating an ability to provide customised solutions and time and cost efficiencies that directly benefit our retail stores and customers,” said Ken Braunbach, director of carrier relations for Wal-Mart.

DHL’s logistics capabilities will be further leveraged through DHL Solutions at DHL Optical Village. Located near Columbus, Ohio, DHL Optical Village covers 3.5 million sq ft and provides facilities designed to meet the unique manufacturing, packaging, storage and distribution needs of lens and eye-wear companies. All orders for eye glasses from Wal-Mart’s four US optical labs are transported to DHL’s Optical Village, where they are sorted and packaged for each of its retail stores and then shipped for next- day delivery. Close proximity of DHL Optical Village to the DHL air and ground hub in Wilmington, Ohio, enables overnight and same-day delivery every day of the year.

Through the new agreement, Wal-Mart will also utilise the DHL optical program to consolidate specialty item shipments for deliveries to its stores and clubs.

“Our expanded relationship with DHL will help us generate efficiencies, lower costs and even support Wal-Mart’s environmental initiatives by reducing truck loads on the road,” Braunbach added.

“As the world’s largest retailer, Wal-Mart has some of the most complex and varied distribution needs in their industry,” said Charles Brewer, executive vice-president of sales, for DHL. “By the expansion of the DHL relationship, we believe Wal-Mart will be in an even better position to maintain its competitive edge for merchandise selection, price leadership, and customer satisfaction.”