Postcode system ‘would double junk mail volumes’ in Ireland

THE introduction of postcodes in Ireland is likely to mean a huge increase in the amount of junk mail put through the republic’s letter boxes.
Experts say the lack of a postcode system is the only thing that has been holding direct marketers back. They say the experience of other countries suggests the amount of such mail received by households could double.

As a result, any decision to introduce postcodes would almost certainly face spirited opposition. The Green party says that while postcodes do have certain benefits, it would oppose anything that treated citizens as consumers.

“We would not be in favour of any change that is market-led and encourages more junk mail,” said a spokesman. “We get enough of that as it is.”

Comreg, the communications industry regulator, is recommending that postcodes be introduced in Ireland, the only country in the European Union not to have them. An Post says it will not pay for the system, but one model favoured by the private post companies is based on lines of longitude and latitude and would not require fresh mapping of the country.

In a report last week Comreg pointed out that the postal sector has never developed to the same extent as in other countries. Mail volumes per household are about half the EU average. In 2002, 196 items of mail were posted per head of population in Ireland, compared with 354 in Britain and 372 in Finland.

The shortfall comes from the business sector. A Comreg study found that while the amount of mail sent by individuals was the same for Ireland and Holland, Dutch businesses posted four times more mail.

Direct marketing associations say a better postcode system could help build mail volumes. This has been backed up by a study by Wik Consult for the European commission.

“One explanation for the relatively slow rate of mail growth in Ireland may be that it is the only member state without a postal code system,” the consultants said. “A postcode facilitates development of high-level direct mail services.”

Comreg argued that more junk mail was not the inevitable consequence of new postcodes. “At the moment, companies are doing a lot of hand-delivered, unaddressed mail,” the organisation said. “Postcodes could lessen that, and allow fine-tuning. Companies would only send out the mail they need to, instead of overshooting to cover everyone.”

Alex Pigot, the chairman of the Irish Direct Marketing Association (IDMA), said the industry was being held back by the lack of postcodes. “They are an essential tool and we would welcome them as quickly as possible,” he said. “Currently companies are putting stuff into letter boxes using a blunderbuss approach.”

The industry argues that a more scientific database would make it easier for people to opt out of receiving mail shots, and point out that households have a statutory right to have their names removed from databases of direct marketers. However, only about 2,000 people have done so on IDMA’s website.

An Post is not in favour of introducing postcodes, however, arguing that it doesn’t need them to deliver mail.

“There is a huge cost involved, because you will have to name every lane and byway that has houses,” said An Post. “Then you have to market it to make sure everyone understands it.”

Noel Dempsey, the communications minister, has established a working group to study the issue. The group, which has already met, includes Comreg, the private postal service, An Post, and officials. It is due to report in about three months.

Utilities such as Eircom and the ESB, banks, government organisations and the emergency services are among those in favour of a change. Townlands are the only address available in many rural areas, but this leads to widespread confusion. In the townland of Killasser in Co Mayo, for example, Comreg found eight out of 100 households shared the same surname.

In addition, houses in many rural towns do not have individual numbers. More than half of buildings in the state do not have a unique address.

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