Do milk this opportunity

The Postal Services Commission’s decision to grant Express Dairies an interim licence to deliver business mail to UK households could transform milkmen into postmen and offer a new route to market for the direct marketing industry. But have DM bosses got the bottle to turn this opportunity into a cash cow? And will it be worthwhile for dairies and consumers?> The licence has been granted as part of the process of opening Consignia’s mail monopoly to the competitive market. Express Dairies claims there has been “good demand” in the first few weeks.> Recent decades have seen the retreat of friendly faces from the doorstep. Apart from the postman and the declining number of homeowners receiving milk, many households are suspicious of all doorstep callers. Some have installed intercoms to deter unwelcome visitors. The increasing clutter of unwanted door drops adds to the unappealing nature of “doorstep marketing”.> PostComm’s decision may give Express Dairies the chance to “reclaim the doorstep”, and for DM experts to jump on that bandwagon. The upside for the dairies is obvious – the opportunity to rekindle a relationship with households that choose to buy milk elsewhere. It needn’t stop with milk. Milkmen already carry everyday commodities – other dairy products, juices, bread – and the service is free. Dairies could recapture from multiple grocers some of their lost share of these comestibles.> If the DM industry watches the situation carefully, it could capitalise on any success the dairies have and harness them as another delivery route.> The challenge for the dairies is that, while local depots still exist and function effectively, they have lost their presence and customer base in many streets. There may be some initial mistrust from consumers that they can provide a satisfactory service.> But if this works, consumers will reap the benefits of a friendly face appearing on the doorstep every day, usually at a time that suits the household rather than the delivery company. Over time, this may rekindle people’s sense that they are part of a community, possibly even giving a fillip to other local traders. Consumers may then find door drops more acceptable, too.> If delivery solutions are about rebuilding local communities, it may make more sense for Express Dairies to work with Royal Mail. Both have “doorstep credibility”: they’re familiar, ubiquitous and friendly. Combining their strengths could form a reliable, direct route to market, and a service that consumers may even be willing to pay for.> John.Wigram@arcmarketing.com> John Wigram is planning director of ARC Marketing and a former Unigate milkman>