TNT set to put orange-clad postmen on streets
TNT is ready to roll out a door-to-door letter delivery system in cities across the UK, bringing staff in an orange uniform shoulder to shoulder with postmen and women dressed in the familiar blue and red.
TNT of the Netherlands said it would take a final decision over the next couple of months when it had gained final data from its trials in Glasgow and Manchester but was now “hopeful” that it would proceed with its plans for the biggest ever challenge to Royal Mail’s position.
Reporting an 11.3% increase in worldwide operating profits and earnings before tax and interest of EUR355m (GBP238m), TNT chief executive Peter Bakker said Britain was a key market showing healthy growth and the company was now distributing more than 1bn pieces of mail a year here. Royal Mail customers to have switched to TNT include BT, which recently signed a contract worth up to GBP90m.
Items handled by TNT – apart from those involved in the trials – are collected before being handed over to the Royal Mail for the “last mile” delivery. But that will change when TNT starts offering a complete next-day service in many locations.
TNT wants to roll out its door-to-door operation to large cities in Britain but is unlikely to offer next-day delivery to more remote rural areas, critics argue. But the Dutch company said yesterday that private companies were also working at a disadvantage, particularly from having to add VAT to services, unlike Royal Mail. The European commission is looking at this issue in Britain, Germany and Sweden.
Read More
