Tag: Royal Mail

Online shopping boom boosts postal orders

Nearly one in three Postal Orders sold are now being used to pay for goods bought by online and home shoppers. The Post Office® has calculated that GBP 104 million worth of Postal Orders will be sold to fund the UK’s online and home shopping boom this year.
The figures show that a new generation of shoppers are relying on the security and convenience of the traditional Postal Order for their virtual shopping trips. Kevin McAdam, Post Office Ltd, said: “Postal Orders are proving perfect for people who don’t want to give out their bank account details online or over the telephone, or where they cannot use cash.
The new Postal Orders look similar to a cheque and the name of the recipient can be printed on the order, making it more secure. But unlike a cheque the seller doesn’t need to wait for bank clearance allowing them to access the money immediately. For customers without bank accounts or access to plastic or cheques, Postal Orders offer a safe and convenient way to make purchases where they cannot use cash.

Available now at all 14,300 Post Office® branches, the new Postal Orders can now also be processed through bank clearance systems, so retailers can accept them more easily.

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Firms urged to make the most of new postal charges

As part of the new pricing structure, the price of 1st class post for meter users has been reduced by 1p and now costs 30p, rather than the previous price of 31p or the 32p for stamped mail. To take advantage of the discount, all customers need to do is reset their machines.

Royal Mail’s Lorna Clarkson said: “We always remind users to reset their meters when there is a tariff change, and this time is particularly important if business customers are to get a share in the £30 million price reduction.”

While it is important that all businesses check their meters have been reset, it is particularly important for smaller businesses that use manual franking machines.

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Royal Mail 'is keeping secret way of avoiding junk post'

The Royal Mail is failing to give customers sufficient information on how to avoid receiving its junk mail deliveries, a consumer watchdog said yesterday.

The accusation follows the suspension of Roger Annies, a postman who told people on his round how they could stop receiving unsolicited letters and fliers.

“It should not be difficult for customers to opt out,” a spokesman for Postwatch said. “They have the choice. At the moment it is a little prohibitive.”

Royal Mail makes large profits from delivering fliers and letters addressed to “The Householder” or “The Occupier” and, although it says it offers all customers the opportunity to choose not to receive such mailshots, which are known as Door to Door items, the service is not publicised.

Postwatch said that the Door to Door opt-out service had changed its address several times and that customers still had to write a letter to make sure that their wishes were carried out, even after they had called a special number.

The service is also not advertised anywhere and no details could be found during a search of the company’s website.

Royal Mail said that the business mail sent through the Door to Door system was vital for the group’s ability to compete with its rivals.

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Royal Mail to copy Unipart share scheme

Royal Mail plans to model its controversial employee share scheme on one that has delivered thousands of pounds of profit to workers at Unipart.

The Unipart scheme has been running since John Neill, Unipart’s chief executive, led a buyout of the business from British Leyland in 1987. The scheme is credited with transforming the company’s relationship with its 10,000 workers.

The Government is keen on the scheme, which it says it does not regard as a first step to privatisation. But a change in legislation is required for it to go through and more than 200 Labour MPs have threatened to vote against it.

An employee share scheme is also fiercely opposed by the Union of Communication Workers – which has threatened to withhold its Pounds 200,000 contribution to the Labour Party if the Government gives the green light.

Royal Mail regards employee share ownership as part of a wider shake-up that will see the Government help it to deal with its pension deficit by freeing up cash for investment to help it compete with private firms.

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Royal Mail is sorting out its property portfolio

Royal Mail has embarked on a wholesale clear-out of its property portfolio. The move is part of the group’s attempt to become more commercial in the wake of the opening up of the postal market to competition earlier this year.

It is looking to dispose of 130 of its disused post offices, sub post offices and delivery centres that are loss making. It will also transfer ownership of a further 180 properties to a commercial buyer.

The move comes after Royal Mail executives revealed that a commercially viable postal network would comprise just 4,000 post offices, compared with the current 14,500.

Royal Mail said the 310 properties represented only 2.9 per cent of its total operating space and that it intended to lease back any property that it still required.

The funds raised from the disposal will be used to modernise Royal Mail’s facilities and equipment. The company expects to generate cost savings in the region of pounds 5m.

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