Mailstrom: UK's Royal Mail Faces Similar Woes as USPS

[TrueBlueTerrier]

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Posting mail has traditionally been part of most national governments' service to citizens. But in an era when digital communication is out-pacing print, it is increasingly difficult to justify the cost of mail delivery service. The problems of the U.S. Postal Service are, of course, well known. Recently, the USPS said it would end Saturday delivery to save money, but just this week, it reversed that decision, saying a new Congressional budget would prevent the move—so its struggles continue unabated.
If you think the mail delivery problem is restricted to the U.S. Postal Service, take a look at Great Britain's hallowed institution, Royal Mail.
Royal Mail's origins pre-date the American Revolution. Royal Mail has been part of the fabric of British life, as visible and respected as, well, the Queen of England. The Royal Mail has always had an ironclad guarantee of reliability, value and mail delivery at the same price, regardless of where in the UK a person resides.

Still, when the British government lifted restrictions on the price of postage, the cost to post a letter skyrocketed from 14 pence to 60 pence in one year. Just like in the US, mail volume was in freefall and Royal Mail was feeling the pinch. Now comes the unthinkable: There's talk of privatizing the beloved Royal Mail brand. According to The Telegraph, "the fact remains that ever since the postal market was opened to competition, the sale of the Royal Mail has been inevitable; indeed, the legislation to do so is already on the Statute Book."

Some in the UK are not at all happy about it, including the Communication Workers Union that represents postal workers. The union and other groups have started a "Save Our Royal Mail" campaign. The campaign's website claims the campaign is part of a "broad based coalition" whose goal is to "protect postal services from threat of a Royal Mail sell off." The campaign is hardly shy about predicting the potential impact of privatization: "Prices will shoot up... small businesses will suffer... the countryside will be left isolated...Royal Mail's heritage lost." The campaign's website even suggests that the British Forces Post Office (BFPO), a free postal service for those serving in the British military, might no longer be supported.

Even so, the BFPO said in February it was engaged in a rebrand that features a new iPhone and iPad app. And just this month, the Royal Mail and business software provider Sage announced a partnership to provide "Simple Ways to Grow" for UK businesses with 10 or less employees. "We wanted Simple Ways to Grow to exist as a central place which gave entrepreneurs everything they needed to start a successful business," said Jim Bulmer, head of channel partners at Royal Mail. "The convenience of having these services in one place and on one system means that SMEs can spend time on the important things—driving sales, speaking to customers, and successfully growing their business." So for the moment, at least, it's business as usual at the Royal Mail.

In response to the claims of the "Save Our Royal Mail" campaign, Royal Mail and government postal regulator Ofcom said "guarantees are already in place for affordable mail services and that there are no plans to change the terms of the UK's universal service." No one is denying, however, that the currently public Royal Mail may soon go private.

[DGP1]

The price of stamps have gone from 14p to 60p in a year I wish I'd have bought loads before they went up in price, I'd be a millionaire now

[cdpete2004]

On the subject of BFPO, they have a fabulous innovation called 'e-blueys'. A sender can write their message online, send it to the base (or wherever) the recipient is at, it's then printed (I assume at the BFPO local site) and sealed, all automated, and all in strictest confidence, then delivered to the recipient, all within 24 hours. Now, if RM could offer a similar service to big businesses, have their bills printed locally overnight and delivered next day, how much business would that win back for RM ?

[DGP1]

On the subject of BFPO, they have a fabulous innovation called 'e-blueys'. A sender can write their message online, send it to the base (or wherever) the recipient is at, it's then printed (I assume at the BFPO local site) and sealed, all automated, and all in strictest confidence, then delivered to the recipient, all within 24 hours. Now, if RM could offer a similar service to big businesses, have their bills printed locally overnight and delivered next day, how much business would that win back for RM ?

I believe they did try this............many years ago before the technology was really there but it didn't work so it's been totally abandoned.

[TrueBlueTerrier]

On the subject of BFPO, they have a fabulous innovation called 'e-blueys'. A sender can write their message online, send it to the base (or wherever) the recipient is at, it's then printed (I assume at the BFPO local site) and sealed, all automated, and all in strictest confidence, then delivered to the recipient, all within 24 hours. Now, if RM could offer a similar service to big businesses, have their bills printed locally overnight and delivered next day, how much business would that win back for RM ?

I believe they did try this............many years ago before the technology was really there but it didn't work so it's been totally abandoned.

Hybrid mail I think they called it, and its a service I think our competitors offer.

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