IPC: global cooperation is more essential than ever for posts
According to preliminary results published today by International Post Corporation (IPC), postal operators worldwide saw modest revenue growth in 2025, with average group revenue rising by 1.4% (1) , driven mainly by parcels.
Holger Winklbauer, IPC CEO, commented: “E-commerce continues to drive demand, but volume growth no longer guarantees profit, given the high competition and low margins. Posts are pursuing their transformation to increase competitiveness in delivery markets. Furthermore, global cooperation is more essential than ever for posts to respond to increasing regulatory pressure“.
Letter mail has continued to decline in all markets worldwide. Over the past three years, postal operators’ revenue growth has come almost entirely from parcels rather than mail. Profitability remained under pressure as fuel and labour costs squeezed margins, even while e-commerce and cross-border delivery lifted parcel revenue: despite higher parcel traffic, sector margins remain narrow or negative.
E-commerce remains the sector’s main growth driver, with online retail and cross-border shopping increasing parcel flows. In Asia-Pacific, parcel growth is further supported by urbanisation and a growing middle class. However, the introduction of additional regulatory and customs obligations may lead to a slow-down of cross-border e-commerce and a reduction of overall volumes. In this context, initiatives to allow for an easy implementation of the new rules are essential for posts to maintain flows and remain a key player in delivery markets.
Digitalisation continues to reduce mail demand, pushing postal operators to diversify into government, financial and logistics services to offset lost mail revenue. At the same time, labour and energy rising costs are accelerating investment in automation and network optimisation.
Regulatory changes, particularly for emissions and electric vehicles, are also requiring operators to modernise fleets and infrastructure.
Regulators are easing long-standing mail-delivery requirements and adjusting service standards to help operators sustain a profitable universal service, by reducing the number of delivery days or for instance by converting door-to-door addresses to community mailboxes.
