Zonal Pricing
Royal Mail has submitted a revised application for zonal pricing following discussions with Postcomm. The change is to the definition of the zones.
Zones now range from A (business district, i.e. very high density)through to D (very low density). There will also be a Greater London zone (referred to as London) which is defined to comprise approximately the area within the M25 motorway. Discounts will be given to bulk business mail customers for deliveries to higher density zones, where delivery costs are lower than average, and surcharges made for deliveries to low density zones, where delivery costs are higher than average.
According to Royal Mail, a London zone (covering AL, BR, CR, DA E, EC,EN, HA, IG, KT, N, NW, RM, SE, SM, SW, UB, TW, W, WC, WD) has been created to reflect the cost differences between locations that are not caused by geographical factors but by the amount that it costs to supply the relevant resource, principally pay rates, but also inward Mail Centre costs, indoor delivery office work and other delivery
office costs.
Postcomm is continuing to analyse Royal Mail's costing data and is expected to make a decision within the next 2 weeks on whether it has information of sufficient quality to start the 9 month consultation clock. Royal Mail has targeted April 2008 for introduction, however, this date is becoming more unrealistic as the weeks pass by.
Zones now range from A (business district, i.e. very high density)through to D (very low density). There will also be a Greater London zone (referred to as London) which is defined to comprise approximately the area within the M25 motorway. Discounts will be given to bulk business mail customers for deliveries to higher density zones, where delivery costs are lower than average, and surcharges made for deliveries to low density zones, where delivery costs are higher than average.
According to Royal Mail, a London zone (covering AL, BR, CR, DA E, EC,EN, HA, IG, KT, N, NW, RM, SE, SM, SW, UB, TW, W, WC, WD) has been created to reflect the cost differences between locations that are not caused by geographical factors but by the amount that it costs to supply the relevant resource, principally pay rates, but also inward Mail Centre costs, indoor delivery office work and other delivery
office costs.
Postcomm is continuing to analyse Royal Mail's costing data and is expected to make a decision within the next 2 weeks on whether it has information of sufficient quality to start the 9 month consultation clock. Royal Mail has targeted April 2008 for introduction, however, this date is becoming more unrealistic as the weeks pass by.
posted by Postwatch at 11:20 am
1 Comments:
Here we go, ZONAL PRICING another nail in the coffin for "ONE PRICE GOES ANYWHERE". All thanks to this stupid Government, the EU and endorsed by Postcomm and Postwatch who are supposed to be for the "Customer".
We will have NO CHOICE but to pay more. A contradiction in terms!
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