Tag: UK

Rivals deliver new blow to Royal Mail (UK)

Private postal companies are rapidly gaining ground on the Royal Mail in Scotland, with one firm tripling its business since the start of the year.

Figures to be released on Friday by TNT Post UK will show private operators have seized a large slice of the business delivery market over the past 12 months as more firms move away from the Royal Mail.

TNT Post will reveal it has tripled its business clients in Scotland to 300 since January.

It has also doubled the number of letters and packages it carries north of the border from 4.5m to nine million in the past 12 months.

The company says its services are proving particularly popular among Scotland’s army of small and medium-sized businesses which are looking to trim their costs.

The figures will make grim reading for the Royal Mail, which has faced mounting competition from firms such as TNT Post and DX since the UK postal market was liberalised in 2006.

TNT Post says it wants to launch a nationwide “end-to-end” service, where it will handle post at every stage, from pick up to delivery, but it is currently prevented from doing so because of unfair barriers in certain parts of the market.

Most private operators still pay the Royal Mail to deliver mail over the “final mile”.

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Integrator shares rocked by financial sector turbulence

Shares of Deutsche Post World Net, TNT, UPS and FedEx have been hit dramatically in recent weeks by the turbulence in world financial markets but also by clear signs of a slowdown in the international express business. The outlook for the forthcoming weeks and months remains uncertain.

Since the start of September, TNT shares have fallen nearly 40pct, DPWN shares have dropped 37pct, FedEx shares are down 20pct and UPS has declined 19.5pct, according to CEP-Research analysis. Since the start of 2008, DPWN is down 57pct, TNT is down 44.9pct, UPS has fallen 25.3pct and FedEx has dropped 23.1pct.

“Integrator shares have clearly been impacted by the general slump on the world stock exchanges. But investors also appear nervous about how the economic slowdown will affect the express and parcel sector,” commented Mark Winkelmann, managing partner of ITA Consulting, the CEP-Research parent company. “There are certainly widespread indications of customers downtrading from expensive air express services to cheaper and slower economy products. It is unclear however whether this is a short-term or a longer-term trend.”

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Royal Mail: mail enhances consumers’ perception of companies

Advertisers that combine direct mail with internet search activity are more successful at bringing their brands to life for consumers, research released by Royal Mail revealed.

The study, commissioned by Royal Mail to examine the role of posted material in the media mix, demonstrates how direct mail can significantly boost campaigns by enhancing existing search engine marketing drives.

The research found that mail can help build brand familiarity among people who subsequently search online. 58 per cent of people said they were more likely to click on a link if they had already received something from a company or organisation in the post.

It appears many people believe mail can really turn a two-dimensional on-screen campaign into a 3-D experience. In addition to mail’s strong link with search, some 49 per cent of respondents also felt brochures or catalogues received through their letterbox help make brands that advertise on TV seem “more real”.

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British courier CitySprint makes regional acquisition

CitySprint has acquired Birmingham-based courier company PBS Deliveries for an undisclosed sum to expand its national network whilst further strengthening its established Midlands operations.

CitySprint, with 31 locations and a fleet of over 1,500 couriers, said that despite the current economic turmoil it is continuing its successful growth strategy of focussing on organic expansion and strategic add-on acquisitions to maintain its strong foothold and grow its market share.

The company has taken over PBS’s city centre location and will retain its staff as well as its 25 self-employed couriers. PBS owner and founder Kris Mazumder will remain at CitySprint as Logistics Manager, managing the Birmingham business.

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Post Office UK Post & Go Kiosk

Royal Mail has started to introduce new automated self-service kiosks in some Post Offices with the first two units installed in a Bristol Post Office on Wednesday this week (15th October).
The Post Office Post & Go Kiosks aim to be the quickest and simplest way to send mail and buy stamps. Customers can purchase stamps that can be used immediately or taken away for later use.
All customers need do is place their item on the scale and follow the step-by-step instructions to send their item paying with cash with the option of card payments for transactions over GBP 2.00.
The initial roll out will see 175 Post & Go kiosks in 80 Post Offices spread around the country.

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