Take it With You
European and North American Postal Services have seen a steady and continuous decline in the use of first-class mail over the past five years. This has consistently been the highest margin product and the funding engine for less profitable services. Industry predictions are that over the next several years to 2010, first-class volumes could have declined by around 30 percent from those of 2004.
The industry is now fighting for survival in a multi-channel world; the ubiquitous Internet now reaches more than 71 percent of households and uptake is expected to increase. High-speed broadband makes Internet-based services more attractive and practical, which will likely expand the use of online alternatives to mail. The projected decline of first-class mail impacts Postal Services’ ability to continue affording a universal service. This represents one of the greatest challenges facing the Postal Services.
In this viewpoint paper, author Anthony Joyce of EDS Global Government Industry discusses how innovative online-based, customer-centric applications, along with collaborative partnerships, can help Postal Services providers gain new capabilities or transform operations in order to survive in the liberalized market.