ZTO Express (Cayman) Inc. is an express delivery company in China. The Company provides express delivery service through its nationwide network, as well as other value-added logistics services. The Company provides its services for a range of online merchants and consumers transacting on the Chinese e-commerce platforms, such as Alibaba and JD.com. The Company leverages its network partners to provide pickup and last-mile delivery services, while it controls the line-haul transportation and sorting network within the express delivery service value chain. The Company has developed network partner model to reach and serve the Chinese e-commerce industry's fragmented and geographically dispersed merchant and consumer base and seasonal demand. The Company offers fee sharing mechanism, in which the pickup and delivery outlets share the delivery service fees of each delivery order. As of October 26, 2016, the Company had centralized control and management of 74 sorting hubs and a fleet of over 3,300 trucks. It also offers route planning and optimization, as well as waybill tracking system and transportation management system.
Well, they took a few punches over market share and revenue/profit per parcel, but I liked the CEO addressing this again at the end.
