Yamato Transport to double parcel collection points to counter Japan Post

Yamato Transport Co plans to double the number of its parcel collection points to 5,000 in five years in an effort to better compete with Japan Post, which operates about 24,700 post offices nationwide, the Nihon Keizai Shimbun reported, citing company sources.

Yamato hopes to set up more collection points in shops and other convenient locations and establish new offices dedicated to its direct mail service.

At present, each of Yamato 2,600 collection points is within about 300 meters from another point in central Tokyo. The company aims to shorten the distance to 100 meters within five years. Such a distance in suburban areas is projected to reach about 1 km.

However, the company will not significantly increase the number of employees, and each collection point is to be staffed by five to six drivers. At present, the company employs about 96,000 staff around Japan.

A total of 470 new direct mail service offices will be set up at collection points nationwide, with the number later projected to reach 1,600. As the mail service will be expanded, its operations will be run independently from the parcel delivery service, the report said.

The measure is projected to boost revenues from the mail service to 100 bln yen in fiscal 2005, up 50 pct from fiscal 2002.