Royal Mail is risking the wrath of the direct mail industry after it revealed plans to scrap compensation payments for loss or damage of postal items for business customers using services such as Mailsort or Packetpost.
The vast majority of direct mailshots use one of the three Mailsort products but the postal operator claims existing compensation arrangements are “not in tune with today’s market” and the changes would bring it “more in line with other delivery companies”.
Regulator Postcomm has launched a consultation on the changes, which also include plans to leave undeliverable parcels with neighbours when the no-one is at home.
A company statement said: “Royal Mail believes that the current compensation arrangements are not in tune with the reality of today’s postal market.
“Customers increasingly want tracked services. Royal Mail has invested heavily in these services to meet the changing market demands. The improved range of delivery services Royal Mail offers enables customers to choose the right service to meet their needs for speed, tracking and compensation.
“None of the major UK delivery companies provide large businesses with untracked delivery services with compensation for loss or damage. These changes will not affect consumers or the vast majority of small business customers who use stamped and franked mail and parcels.”
