Key steps to DM/postal services: Time to deliver
Although Royal Mail still dominates the UK’s postal services market, deregulation has triggered strong growth in competition. Private operators have signed access agreements to allow mail they have collected and sorted to be fed into Royal Mail’s network for delivery.
Royal Mail made 1.2 billion access deliveries in the past year, compared to just 87 million the year before. In the five months to August 2006, access volumes continued to swell, and the latest figures from regulator Postcomm show that access deliveries now account for 10.5 per cent of Royal Mail’s total letters volume.
Royal Mail’s launch on 21 August of its Pricing in Proportion charging structure, reflecting that size and not just weight will determine a mailing’s delivery costs, has given companies further food for thought. For those considering a switch from Royal Mail to a rival access operator, there are now many more issues to consider. And there is certainly some confusion.
“In my experience, the big mailers aren’t confused because they have experts in their business who understand it, and can look at a new player when it comes along,” says Triangle Management Services’ associate director of mail Geoff Lambert. “But once you come down below the top 100 or 200 mailers, it’s true that people haven’t quite been able to understand what’s going on because they don’t have the expertise in-house.”
