Royal Mail accelerates parcel business pivot with collection service launch
Royal Mail has stepped up its fight back against online delivery giants as it launched a parcel pick-up service across the UK.
The postal service is adapting its service to cater for the boom in online shopping, which has accelerated during the coronavirus pandemic, saying the move means sellers and shoppers will “no longer need to leave the comfort of their home” to mail a parcel.
Royal Mail (LON:RMG) said the launch of Parcel Collect is the “one of the biggest share-ups to the daily delivery service since the launch of the postbox in 1852”.
Royal Mail said a recent consumer survey found that 44 per cent of respondents said they were likely to use a home collection service offered by their delivery provider.
The company has been attempting to refocus on its parcel business following a sharp drop in the number of customers sending letters.
The net cost estimate from the shift in Royal Mail’s business from letters to parcels is now at £140m to £160m, compared to its earlier assumption of £110m, it said last month.
Nick Landon, chief commercial officer at Royal Mail, said: “Royal Mail Parcel Collect is a fantastic step forward for all of our customers. It makes it easier to use our services than ever before.
“Whether you’re up against time and working from home, making a return, selling online or sending a gift to make someone’s day, Royal Mail Parcel Collect is here to help.
“The launch of Parcel Collect is part of our commitment to continuously make our services better and more convenient.”
Postal workers will collect the parcels from the customer’s door or a nominated safe place for 72p per parcel, in addition to postage costs.
The service will be available for pre-paid return items at a cost of 60p per item.
Workers will be able to collect up to five parcels per address, with the service available six days a week.
The nationwide launch comes after the initial roll-out of Parcel Collect in parts of west England.