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Comreg says 85% of Ireland’s domestic post is business mail

The Commission for Communications Regulation (ComReg) today published the findings of its 2006 postal business and residential surveys. An Post, the Universal Service Provider, delivers over 750 million items each year. Approximately 85% of Ireland’s domestic post is business mail.

The key findings from the Business Survey, based on telephone interviews conducted with a sample of 600 businesses, show:

An increase to 20% in the number of companies who are opting to use other providers in addition to An Post.

An increase in the volume of post sent by businesses surveyed

An average spend on postal services with An Post of EUR8,019.

Nearly half expressed satisfaction with the postal service in Ireland. Among the lowest satisfaction scores were the length of time An Post takes to deliver letters and the clarity of information available on postal services provided by all providers.

The key findings from the Residential Survey, based on structured questionnaire to a nationally representative sample of more than one thousand adults aged 15-74, show:

A reduction in the average amount of mail sent from 4.69 per week in 2005 to 3.06 items in 2006 and a reduction in mail items delivered to each home address from 9.36 in 2005 to 8.11 in 2006.

A good increase in the level of awareness of other postal operators from 30% in 2005 to 47% in 2006.

he frequency of mail delivery is well known with over a quarter claiming receipt of mail every day, and less than a quarter in receipt of mail 2-3 times a week.

Over two thirds of those surveyed expressed satisfaction with collection times and their mail delivery.

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Royal Mail Letters MD resigns over plan

Ian Griffiths, managing director of Royal Mail Letters, has resigned after the board rejected his business plan.

Mr Griffiths, who had been with Royal Mail only a year, is thought to have been resisting deep cost-cutting being demanded by the Government in return for about GBP 3.9bn in state support.

Regarded as number three in the Mail hierarchy, Mr Griffiths joined from GKN Automotive on a salary close to GBP 500,000 after his predecessor resigned just 18 months into the job.

A spokesman for Royal Mail said yesterday that Adam Crozier, the group’s chief executive, would run the letters operation until a replacement was found. “We will begin looking for a new person for the role going forward,” he added.

The departure creates yet more uncertainty at the Royal Mail, which is in the process of restructuring and in pay negotiations with unions.

The search is on for a new deputy chairman, who would probably then succeed Allan Leighton when his contract expires next March.

In February, Royal Mail announced that profits collapsed 86pc in the six months to the end of September from GBP 159m to GBP 22m. The company loses GBP 4m a week on its creaking network of post offices. For every stamped letter, sent mainly by individuals, it loses about 6p.

Royal Mail has argued that the opening up of the UK’s mail market last January has caused competition to flood in more quickly than anticipated, worsening its financial position.

Analysts say the root cause of the Royal Mail’s problems are its inability to control costs and its need to finance its growing pension fund deficit.
Royal Mail has seen several recent departures, including David Flowers, head of property, who left in January.

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DHL expands Time Definite Delivery service to US

DHL announced today the expansion of its Time Definite Delivery (TDD) service to the United States.

A suite of time-definite delivery products, DHL’s TDD portfolio comprises StartDay Express for guaranteed delivery by 9 a.m., and MidDay Express for delivery by noon. With this latest service enhancement, DHL will begin offering MidDay Express for United States-bound documents. This new service allows customers in Japan to send documents to the major business area in San Francisco, Los Angels and New York by noon of the next business day for an additional 1,500 yen on top of normal shipment charges. DHL will be providing this service for United States-bound documents for only an additional 500 yen in a promotional campaign until the end of April.

Furthermore, in addition to the current handling of India-bound documents, DHL also began offering MidDay Express for parcels on April 5, 2007, with guaranteed delivery of parcels to India by noon of the second business day for an additional 3,000 yen on top of standard charges.

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Postbag full of Easter promise as Royal Mail predicts record card sending

Royal Mail predicts it will deliver over 14 million cards for Easter this year, the biggest postbag ever for the religious celebration and second only to Christmas in the volume of cards being sent!

Easter is now the second most popular calendar date for sending cards through the post after Christmas, surpassing its closest rival Valentine’s Day by nearly two million cards. Valentine’s Day is in third position (with over 12 million cards sent through the post) with Mother’s Day (12 million cards) and Father’s Day (with seven million cards) fourth and fifth respectively.

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New standards for periodicals mailing services available at usps.com

The U.S. Postal Service has proposed revisions to the Periodicals (magazine and newspaper) portion of its mailing standards that will accompany the new Periodicals pricing that will go into effect on July 15, 2007. Periodical mailers will have new incentives to use efficient containers and bundles, and copalletization (publishers/printers merging bundles from separate publications or titles on the same pallet) becomes a permanent offering to encourage more publishers to combine mailings. The Postal Service also is adding new prices for the editorial portion of a mailing to give mailers of high-editorial-content publications access to lower-destination-entry rates.

The proposed revised standards are published at www.usps.com/ratecase. This site also contains rate charts and other helpful information for mailers, including frequently asked questions and articles related to the pricing change.

While most Postal Service price changes and new mailing standards will go into effect on May 14, 2007 (including the 41-cent price for First-Class Mail stamps), the Postal Service Board of Governors delayed the implementation of new Periodical prices and mailing standards until July 15, 2007. The delay will give mailers and the Postal Service more time to prepare for the new pricing structure recommended by the Postal Regulatory Commission.

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BBC Industrial Relations Head joins Royal Mail

Gillian Alford, the BBC’s head of employee relations and policy for the past nine years, has joined Royal Mail as head of industrial relations for the letters business.

Kevin Green, Director of People and Organisational Development for Royal Mail Letters, said: “I am delighted to welcome an industrial relations specialist of Gillian’s calibre and experience.

“She brings with her a strong track record in successfully helping to manage a large workforce and tackling tough challenges in a rapidly changing environment.

“Royal Mail is facing the key challenge of competing effectively in a market open to full competition. At a time when competitor activity is intensifying, we look forward to Gillian playing a central role in the transformation of Royal Mail.”

Gillian said: “I’ve enjoyed working with committed managers and trade union officials during my time at the BBC and I’m grateful for their support. I look forward to building the same relationships in Royal Mail Letters.”

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Modernizing 3500 post offices at the Republic level

Chairman of Egypt Post, Eng. Alaa Fahmy said: Egypt post is implementing a plan for modernizing 3500 main & sub post offices at the Republic level.

He pointed out that 30% of the plan was completed, totally 1100 post offices and the rest will be ended in 2010. This statement was made following the inauguration of Sidi Abdel Rahman post office and Deshna post office after modernization with the governor of Qena Mr. Magdy Ayoub who said: The postal services cover 95% of governorate’s villages beside supplemental post offices in 11 cities. Moreover it has been agreed that 15 post offices will be modernized in villages & supplied with up-to-date equipments.

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ComReg publishes the findings of its 2006 Business and Residential postal surveys

The Commission for Communications Regulation (ComReg) today published the findings
of its 2006 postal business and residential surveys. An Post, the Universal Service
Provider, delivers over 750 million items each year. Approximately 85% of Ireland’s
domestic post is business mail.
The key findings from the Business Survey, based on telephone interviews
conducted with a sample of 600 businesses, show:
• An increase to 20% in the number of companies who are opting to use other
providers in addition to An Post.
• An increase in the volume of post sent by businesses surveyed
• An average spend on postal services with An Post of €8,019.
• Nearly half expressed satisfaction with the postal service in Ireland Among
the lowest satisfaction scores were the length of time An Post takes to deliver
letters and the clarity of information available on postal services provided by
all providers.
The key findings from the Residential Survey, based on structured questionnaire to a
nationally representative sample of more than one thousand adults aged 15-74, show:
• A reduction in the average amount of mail sent from 4.69 per week in 2005 to
3.06 items in 2006 and a reduction in mail items delivered to each home
address from 9.36 in 2005 to 8.11 in 2006.
• A good increase in the level of awareness of other postal operators from 30%
in 2005 to 47% in 2006.
• The frequency of mail delivery is well known with over a quarter claiming
receipt of mail every day, and less than a quarter in receipt of mail 2-3 times a
week.
• Over two thirds of those surveyed expressed satisfaction with collection times
and their mail delivery.
The full survey presentations ComReg 07/19a (Business Survey) and 07/19b
(Residential Survey) can be found on ComReg’s website at www.comreg.ie
ENDS
Issued ByTom Butler
Public Affairs Manager, ComReg
Ph: 01 804 9639 Mobile: 087 2536358

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