'Virtual' mail service claims 70% savings on postage

[TrueBlueTerrier]

'Virtual' mail service claims 70% savings on conventional postage

http://www.printweek.com/business/news/ ... l-postage/

GI Direct has teamed up with Haigh Consultancy Services to create Unity, a virtual mail system claimed to save businesses around 70% compared to sending communications by conventional post.

Companies can send their mail electronically to the Leicester-based company, which will print and fold the item in a fully automated process, before sorting it and sending it to Royal Mail.

Prices start at 36p for a full-colour duplex document with a personalised envelope, equivalent to the price of a first class stamp.

Haigh Consultancy Ser­vices claimed that the average saving could be up to £1.14 per item, based on a single letter costing between £1.00 and £1.50 to send. This figure included costs avoided with stationery, print consumables and postage, as well as staff costs.

Paul Haigh, managing director of Haigh Consultancy Services, said: "We are targeting many public sector organisations and various SMEs, including housing associations and companies that re­­quire ad-hoc mailing services."

David Palmer-Jeffery, a consultant for Unity, said: "With Unity, companies don’t have to suffer the expense of employees using the post bag for personal use and the system could spell the end of the franking machine."

[DGP1]

You'd have thought RM would have thought of something like that, using the MC's to print, envelope, sort and despatch to individual DO's.

[dvbuk55]

If they can do all that and bring it to Royal Mail, presumably walk sorted, for 36p - exactly how much are they paying us to handle and deliver it. Surely that price must be linked to a massive volume but then volumes are falling.

[Tman]

You'd have thought RM would have thought of something like that, using the MC's to print, envelope, sort and despatch to individual DO's.

You would, and they did way back in the early 1990s, but RM weren't allowed to pursue the idea as it was seen as a government department acting in direct competition to the existing private print/mailing houses, although telegrams (in thier final form) strangely existed in much the same format.

[DGP1]

If they can do all that and bring it to Royal Mail, presumably walk sorted, for 36p - exactly how much are they paying us to handle and deliver it. Surely that price must be linked to a massive volume but then volumes are falling.

They'd be paying the DSA price 13/14p each, and I'd assume big posters like BT would jump at the chance to reduce their postal bill even more .

[fmrPOSTIE]

Royal Mail used to do this back in the 90s, when it was "The Post Office Group" time to bring it back perhaps?

Advert here...

http://uk.youtube.com/watch?v=1-PuxSEyTaI

(wish we could go back to those days!)

[F0zziebear]

The volumes relevant to this service are so small and fiddly that it's not even worth talking about or implementing

[DGP1]

The volumes relevant to this service are so small and fiddly that it's not even worth talking about or implementing

Surely this is a something that could be built up, just because it's a low volume at the moment doesn't mean that it has to stay that way. This is the reason why RM is having trouble at the minute, no idea how to take something that is small and build it up to be a premium service.

[F0zziebear]

Maybe I should explain. The potential volumes are small when you look at the market. This type of service is quite niche and whilst there might be a profit to be made if they get enough critical mass (which I doubt) the profits will not make much of a difference to RM's well being.

RoyalMail need to adjust their network to cater for packets (fulfillment), somehow reduce the number of mail and distribution centres, and develop IT systems that will provide direct marketing campaign managers pinpoint the return on these campaigns, and also help companies improve their targetting.

ONline advertising through networks such as Facebook, Twitter, MySpace and so on really allow them to workout individuals preferences and what types of products and services they may like. At the moment mailing campaigns are a more like the bombing DResden than what I have just described. This is why people call it junk mail. If people really liked most of what came through their letterbox they would call it direct marketing (subtle differences).

If you read the Hooper report and ignore their conclusions which are useless you will find snippets of information that are useful.

Hope that explains where I am coming from

[BELIAL]

Maybe I should explain. The potential volumes are small when you look at the market. This type of service is quite niche and whilst there might be a profit to be made if they get enough critical mass (which I doubt) the profits will not make much of a difference to RM's well being.

RoyalMail need to adjust their network to cater for packets (fulfillment), somehow reduce the number of mail and distribution centres, and develop IT systems that will provide direct marketing campaign managers pinpoint the return on these campaigns, and also help companies improve their targetting.

ONline advertising through networks such as Facebook, Twitter, MySpace and so on really allow them to workout individuals preferences and what types of products and services they may like. At the moment mailing campaigns are a more like the bombing DResden than what I have just described. This is why people call it junk mail. If people really liked most of what came through their letterbox they would call it direct marketing (subtle differences).

If you read the Hooper report and ignore their conclusions which are useless you will find snippets of information that are useful.

Hope that explains where I am coming from

All good points ,and add to that security concerns,upped this week with the news that all explorer users are wide open to total hacking even when offline.Scary