Postal services must change, says research. But 'universal' services must remain
A major new piece of research from Postcomm and Consumer Focus, has surveyed the needs of postal customers and tested their views on potential changes to the postal service. The research is being published against the backdrop of the Postal Services Bill which proposes major reforms to Royal Mail, and a general view that the postal service needs to modernise.
According to the in-depth new survey, customers may be prepared to make trade-offs to ensure a sustainable postal service, if it is guaranteed that changes to Royal Mail deliver a reliable, value for money, one-price goes anywhere service. Safeguarding the universal service remains key for customers.
Postcomm, the postal regulator, and Consumer Focus, the consumer watchdog, conducted comprehensive research to look at trends in how customers have used postal services over the last three years, and what residential and business customers need from the postal service.
The survey found that residential and business customers alike acknowledge that the way they use the postal service continues to change. As a result, they appreciate that changes to the service may be needed. In the survey, residential customers and businesses were presented with a range of potential changes to the postal service and asked to trade-off different aspects in order to test which were most important to them. Customers are tolerant of small changes, such as slight increases in stamp prices or minor reductions in the quality of service, in order to retain the ‘one price goes anywhere’ guarantee.
Consumers and businesses said they could accept reductions to the current system, such as changing to a five day a week service, but trade-offs would be needed to make a new system work for them. Customers stressed that any reductions to the current service would need to be balanced out with benefits, such as no large price increases and the introduction of new services like paid for evening deliveries. Any changes need to be carefully considered, as both business and residential customers place a high value on the universal service.
Mike O’Connor CBE, Chief Executive of Consumer Focus, said ‘The universal service – where consumers pay a fair “one price for all” whether they’re posting to Penzance or Portadown is not just a tradition, it is still what consumers want today. The message is loud and clear, people are willing to accept change but any trade-offs must make the service fit for consumers’ needs. Keeping consumers’ trust and confidence in the postal service is key.’
Tim Brown, Chief Executive of Postcomm, said ‘It is reassuring that customers are willing to accept change to the universal service to ensure that it is sustainable and meets their changing needs. This research demonstrates that safeguarding the universal service is crucially important to everybody and we are confident that Royal Mail’s much needed modernisation programme and the move towards a lighter touch regulatory regime, announced by Postcomm, will help ensure it is on a securer footing for the future.’


