Tag: DX

Businesses benefit from postal competition

Competition in the postal market is showing “great promise” as businesses benefit from lower mail prices and a better service, the industry regulator said today.

Postcomm said its latest Business Customer Survey showed a competitive market had delivered early benefits, although more progress was still needed.

One fifth of the 1,213 firms quizzed said mail prices had reduced significantly, while 34% thought the quality of Royal Mail’s service had improved and 38% believed the choice of operator had improved.

Sarah Chambers, chief executive at Postcomm, said: “The results of the survey show there is great promise for the further development of competition in the UK mail market, but it is clear there is much still to be done.

“Although Royal Mail remains by far the largest operator in the market, competition has encouraged it to raise its game, especially on quality of service.”

Postcomm said twice as many businesses had switched to major competitors such as TNT, DX and DHL than in the previous year.

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DX wins N. Ireland civil service mail contract

British mail and parcels carrier DX Network Services has been awarded a province-wide courier contract by the Central Procurement Directorate for the Northern Ireland Civil Service, to carry mail between Northern Ireland Government Departments.

The contract, which commenced on 3 July 2006, is for an initial twelve-month period, with options to extend for a period of up to three years. DX will provide a daily door-to-door collection and delivery service for mail, pouches and boxes across 138 addresses, for all Civil Service Departments.

Paul Kehoe, CEO DX Network Services commented: “We are delighted to have been awarded this contract for the Northern Ireland Civil Service. It is particularly pleasing to have won the business in the face of strong competition from other major industry players.”

The contract was awarded as a result of going through a fully compliant framework arrangement, following Procurement Regulations and the requirements of the new European Procurement Directives.

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Candover moves into mail with pounds 349m DX deal

Order must be accepted by 06 August 2006. Minimum 12 month contract. Subject 1o BT line and availability. Further conditions apply.

Candover, the private equity company, yesterday took the fight to the ubiquitous Royal Mail after agreeing to pay pounds 349m for DX Services, the private post group spun out of the former conglomerate Hays 18 months ago.

Royal Mail still has a market share of more than 96 per cent in the UK, despite attempts to open up the market to competition.

Paul Kehoe, the chief executive of DX, said: “There has been 350 years’ worth of inertia in this market and the red post boxes continue to dominate.”

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Rival to Royal Mail stamp starts trials

DX Services, Britain’s longest established private mail business, is to start trials next month of a new blue and white stamp for business mail in Scotland and Northern Ireland.

If successful, the stamp, believed to be the first official competitor to the Royal Mail stamp, will be made available throughout the UK later this year. DX Services, a FTSE 250 company whose clients include Clifford Chance, Linklaters and several major banks and insurance companies, said that the stamp would be the same price as a Royal Mail first-class stamp.

Its unique selling point will be the guarantee to deliver mail before the start of the next working day.

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