NZ Post banking on further growth
Letter volumes have continued to increase this year, underpinning NZ Post profits, but new chief executive John Allen accepts the tide is turning. Replacing letters as the mainstream source of revenue for the state-owned postal service will be fully owned subsidiary Kiwibank. “If you go out a decade, then I would expect the banking business to be about the same size as the traditional core businesses of NZ Post,” said Allen, a former head of the letters division. “We have seen continued growth in letter volume, but how long that will be the case is the significant question that confronts all postal businesses,” said the 42-year-old, who took over at NZ Post last month.
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