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Watch Part 1 - Bob Black
For years, letter volumes have been declining, and as e-commerce booms, parcel demands have soared.
TMX Transform non-executive board director & former Australia Post group chief operating officer Bob Black says a key part of the transformation of the postal and parcel sector is how customer experience is informing new and preferred modes of delivery.
“We’re seeing a global shift, Australia Post is reducing letter delivery frequency, Royal Mail is challenging six-day service mandates, and PostNord will stop delivering letters altogether by the end of 2025. The Universal Service Obligation is being redefined to reflect a parcel-first future.”
Smart organizations are moving from static planning to systems that update constantly by the second, by the hour, by the day. It’s not just about one part of the supply chain – it’s about creating an end-to-end view that’s holistic, dynamic, and gives you solutions rather than just data.
What started as a backup for missed deliveries has increased in popularity, especially in Europe. InPost has rapidly expanded, with over 82,000 locations in its out-of-home network, of which automated parcel machines (APMs) make up 57 percent of these points.
Bob says out-of-home (OOH) delivery has become a hot topic in the parcel and postal industry because it prioritizes customer experience.
Not only is out-of-home used for attempted failed deliveries, but it’s also now about giving consumers and customers choice and convenience. We should also make sure that we consider ease-of-use both at checkout and at point-of-collection or delivery.
Click through to access other videos in the postal and parcel video series.
“Some delivery providers offer significantly more out-of-home drop-off/pick-up options than others. While many operators utilize the post office networks, often these function as separate entities, with differences in ownership and strategic priorities,” Bob says.
Third-party postal and parcel operators need to consider how they are facilitating this mode of delivery for their own customers – the retailers themselves.
“When it comes to parcel lockers, adoption remains low for many players when compared to others like InPost and Amazon. By offering incentives to consumers, such as cheaper pricing, faster delivery, and easy check out, whilst also managing messaging such as ‘environmentally friendly’ and ‘convenient’, those leading in this space can drive volume where they want to – it’s a win/win.”