Royal Mail gets in bed with Amazon

royal mail in bed with amazonLess than a week after blaming the march of Amazon for the slowdown in its parcels business Royal Mail has jumped into bed with its rival to allow customers to ‘click and collect’ their packages from Post Offices.
In what would appear to be a classic case of “keep your friends close, keep your enemies closer”, Amazon is joining Local Collect, a partnership between Royal Mail and the Post Office, which allows users to choose the most convenient Post Office for a parcel delivery.
Nick Landon, managing director of Royal Mail Parcels, said the partnership will mean Amazon customers have greater control over the delivery of their items. “Royal Mail is developing services and investing in IT solutions to meet the changing demands of online retailers and their customers,” Landon added.
Meanwhile, Post Office chief commercial officer Martin George said the offer was part of the company’s modernisation programme which includes longer opening hours. “Thousands of our branches are now open for longer, often seven days a week,” he said. “As we move into the busy festive period we’re ensuring that it’s never been easier to pick up online shopping at our branches.”
The deal will also boost Royal Mail’s attempts to shore up its parcels division – once seen as the group’s shining star – which has been hit by increased competition.
According to its latest figures, released last week, volumes did rise slightly, up 2%, but revenues fell by 1%, with the postal operator citing “pricing pressure in the highly competitive market”.
The company warned about the slowdown earlier this year, blaming rival carriers “aggressively reducing prices”. It had previously warned on the impact of competition from the likes of Whistl (formerly TNT) but Amazon’s new same-day delivery service – unveiled last month – was singled out by the company.

Related stories
Royal Mail hails return of direct mail
Royal Mail ratchets up Mailmark bllitz
Amazon hails same-day deliveries
Royal Mail takes £24m DM hit
Royal Mail boosts parcel service
Royal Mail woe as parcels stall
Marketers face chop at Royal Mail
Royal Mail ad blitz targets e-sellers
Royal Mail hunts big data experts
Royal Mail starts click and collect
Catalogues ‘driving online sales’
SME e-tailers predict boom times

Print Friendly

To leave a comment please register – it takes less than a minute and is free of charge. You will also get our weekly email update The DM Report (to opt out contact If you are an existing user, please log in. If you have forgotten your log-in details please email to get them reset!

Existing Users Log In
 Remember Me  
New User Registration
*Required field