Finding value in disruption
The new post and parcel industry
With ever-decreasing returns in core mail business, the rapid take up of eCommerce and shifting customer expectations, post and parcel organizations need to be adaptable, relevant and creative to keep pace with changing demands.
While digital technology has led to a decline in post, it's caused explosive growth in parcels. Now, the major challenge is to meet rising consumer demands and compete with the retailers that are using the last mile as a competitive advantage.
The decline in mail advertising due to new, digital options, means traditional post must adapt. By becoming more tailored to senders and recipients, integrating digital technologies and using data-driven insights, advertising can remain a key revenue stream for postal organizations.
To succeed in a digital world, post and parcel organizations must improve the delivery experience while pivoting to new business models that reduce costs and realize growth.
In our world of never-ending choice, retailers are weaponizing the last mile in a bid for customer loyalty, relevance and increased sales. By offering cheap or free same-day delivery, savvy retailers are able to capture a consumer base that holds continually evolving expectations driven by the pace and demands of modern life.
Fueled by mobile advertising and supercharged by artificial intelligence, ecommerce fulfillment is now characterized by faster cycles, smaller shipments, atomization of inventory and a move from a supply chain to a supply network.
To speed up delivery timeframes, retailers are quickly moving toward an omnichannel approach that allows them to use their offline capabilities as a strategic advantage online.
As the supply chain grows in strategic importance, our research shows those networks are fundamentally changing, creating a new delivery reality.
New technologies and changing customer demands have seen a dramatic shift in the strategic priorities of all post and parcel players. Digital transformation is a driver, and the impact is being felt in delivery demand and supply, returns, cross-border eCommerce and the USO. Post and parcel organizations must improve the delivery experience while pivoting to new business models that reduce costs and realize growth.
Hear from industry leaders to understand how they are addressing these disruptions and gain their perspectives on where the industry is heading next.
David McRedmond, CEO, An Post
Mary Traversy, COO, Canada Post
Thomas Baldry, SVP, Deutsche Post
Stephen Agar, Director – Letters, Royal Mail