Whilst OFCOM, in conjunction with the Royal Mail, finalise the way forward to both protect the Royal Mail and ensure we have a service everybody wants and can afford, it’s worth reflecting on today’s environment.
The number of postal addresses has increased from 28 million to 32 million since 2008.
The volume of letters posted has reduced by almost 70 per cent in the last 20 years, from 20 billion letters annually to a forecast of 4 billion in the next few years.
63 per cent of post is bulk from large institutions.
The Royal Mail revenue from letter posting has reduced by 50 per cent in this corresponding period.
To ensure a sustainable Royal Mail service delivery nationwide for the future, it has proposed first-class letters will be delivered six days a week (90% delivery target for next day) and second-class delivered on an alternate day service, excluding Saturdays (95% delivery target for delivery within three days).
The Royal Mail currently provides a very cost-effective service for bulk mailings, which enables businesses to deliver impactful communications through the post (with digital fatigue, there is an enormous window for creativity and longevity of print based direct marketing). Yes Response believes the Royal Mail must deliver a reliable and affordable service. We cannot allow a poorer performance to prevail with a higher cost. OFCOM will publish its decisions this summer.
