A competitive start to 2007
Following a relatively slow start competition in the UK mail market seems to be taking off. Already in 2007 two large contracts have been awarded to Royal Mail's competitors.
The Department for Work and Pensions awarded UK Mail a £12m contract to handle a third of its post. It is thought that this will lead to a saving of £1.7m a year.
BT have awarded the single biggest contract since the market was opened to TNT Post. The contract, worth £90m over 2 years, will see BT use TNT Post's Premier service and it is hoped it will offer valuable benefits to BT and their 25 million customers.
It is encouraging to see organisations considering all the options when awarding their mail contracts and these decisions hopefully herald the start of a truly competitive market
The Department for Work and Pensions awarded UK Mail a £12m contract to handle a third of its post. It is thought that this will lead to a saving of £1.7m a year.
BT have awarded the single biggest contract since the market was opened to TNT Post. The contract, worth £90m over 2 years, will see BT use TNT Post's Premier service and it is hoped it will offer valuable benefits to BT and their 25 million customers.
It is encouraging to see organisations considering all the options when awarding their mail contracts and these decisions hopefully herald the start of a truly competitive market
posted by Anonymous at 3:56 pm
5 Comments:
Yet another nail in the postbox!
Lets be clear on this because postcomm/postwatch seem to be very good at misguiding people with information.
Royal Mail CANNOT compete by lowering prices, so to be fair this is NOT competition but a direct attack on Royal Mail.
RM have taken their customers , even their big ones, for granted for too long . This is a direct consequence of poor account management, inflexibility and ignoring what customer's want. It's happening to the top 50 clients and so it will happen to the SME's.
I wish I could be as optimistic as Postwatch about competition. Unfortunately, opening up state-owned public services and utilities to competition seems to go more the way of the railways than telecommunications: that is they become increasingly expensive and the idea of choice turns out to be a mirage...
Its got nothing to do with taking customers for granted. Its all about who can do it the CHEAPEST and thats it. If RM could drop their prices and be allowed to compete then they would. But their hands are tied to allow other private operators cherry pick their top customers. This is the reality of whats happening. It will eventually lead to higher prices.
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