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Swiss Post decides not to increase prices for letters and parcels

02 Jul 2018, 13:55

https://www.post.ch/en/about-us/company ... nd-parcels

It will not become more expensive to send letters and parcels in the coming year. Swiss Post has decided not to increase prices for letters and parcels in 2019. This was agreed upon jointly by Swiss Post and the price regulator. In addition, Swiss Post will refrain from charging the customs inspection fee of 13 francs for another year.

Swiss Post has not increased its prices for A and B Mail letters for 14 years. Despite shrinking mail volumes and a difficult market environment, Swiss Post will again refrain from raising prices next year – and this also applies to parcels. (Economy and Priority) This was agreed upon jointly by Swiss Post and the price regulator. While it is good news for customers, it means a decrease in revenue for Swiss Post. Swiss Post needs cost-oriented and market-driven prices in order to remain competitive. Combined with the waiver of the customs inspection fee, Swiss Post will forgo millions of francs in revenue in 2019, by mutual agreement with the price regulator. This comes at a time when customer behaviour is rapidly changing in an increasingly digitized world. Swiss Post relies on profits in order to finance the universal service from its own funds, continue to develop and meet customers’ modern demands.

Swiss Post to seek dialogue for the years 2020 onwards

Swiss Post’s core business is continually declining. The volume of letters and over-the-counter transactions has been shrinking for years, and low interest rates mean that Swiss Post’s profits have steadily fallen in recent years. For this reason, Swiss Post will seek dialogue with the price regulator in the coming year in order to discuss the pricing structure for letters and parcels from 2020.

There will be no general price increases for letters and parcels in 2019. For some less heavily used products, there may be selective minor price modifications. These will come into force at the beginning of 2019. Swiss Post will individually inform any customers who are affected.

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