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Keeping you up to date
News from Royal Mail
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Service update for customers in London
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Royal Mail condems further CWU strikes
Royal Mail today condemned the Communication Workers Union call for further strike action in London over essential changes to which the union have already agreed and which are being implemented in Royal Mail units throughout the UK. Customers will not understand how the union can claim to support modernisation but then announce strike action to halt existing efforts to modernise Royal Mail in London.
The CWU claims to have offered a “moratorium” on industrial action when in fact they are demanding a moratorium on further change at Royal Mail – and at a time when we urgently need to accelerate the pace of change in the face of an annual 10% decline in UK mail volumes. All our stakeholders, including our shareholder, the Government, are encouraging Royal Mail to modernise even more quickly yet the CWU persists in opposing change.
Royal Mail is simply asking for the union to honour existing agreements on modernisation and changes in working practices - including the agreement its leaders signed in the presence of the TUC in 2007 - to address falling volumes and to improve efficiency in London as our people have already done successfully in units throughout the UK. The fact is that 20% fewer items are being delivered in central London each day compared to two years ago, while efficiency lags behind the rest of the UK, with productivity in some parts of the capital around 35% below the best UK units.
The CWU's strike action can only hurt customers and drive them away either to electronic communications or other postal companies. Particularly at risk is our vitally important online fulfilment and packets business - which is crucial to ensuring a successful future for the Royal Mail and its employees and to securing the Universal Service - but where large customers have a real choice to use other operators.
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Clear Prospects™, the new data solution for SMEs
A new online data tool for SMEs has been launched by Royal Mail. Clear Prospects™, an easy-to-use online service, enables companies to grow their business by enhancing and expanding their customer database.
Clear Prospects™ - available at www.royalmail.com/clearprospects gives SMEs the ability to increase the effectiveness of their marketing campaigns by cleansing and enhancing existing customer data. In addition, SMEs can also use Clear Prospects™ to purchase new suitable records.
A typical database of 5,000 records can be enhanced and prepared for a mailout in just 15 minutes – by correctly formatting addresses, identifying duplicates and cleaning against suppression files. Additional data is available to purchase for as little as 5p per consumer or 11p per business record.
To get SMEs started, businesses that register for Clear Prospects™ will receive a free data audit, and can also purchase two records for the price of one until August 31st on a minimum order of £10.
Clear ProspectsTM has been developed in conjunction with UKChanges, the latest company to join Royal Mail’s expert data supplier framework. Launched in January 2008, the framework brings together specialist companies to deliver a portfolio of data services to help companies improve their direct communications.
Keith Jones, Head of Data Strategy at Royal Mail, said: “Direct mail is an extremely powerful channel to retain and recruit customers, and underpin business growth. Solutions such as Clear ProspectsTM simplify and speed up the campaign process.”
Find out more about the benefits of Clear Prospects and register for a free data audit at www.royalmail.com/clearprospects.
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Royal Mail hits First and Second Class mail targets
Royal Mail has announced that the targets for First and Second Class mail - alongside those for business bulk mail - have been met in the financial year ending March 2009. The news was released in Royal Mail’s recently-published annual customer quality of service report.
The report showed that 93.0% of First Class mail arrived the day after posting and 98.5% of Second Class mail arrived within three working days of posting, with the result that both services were precisely on target. In addition, there was a target-beating performance for Standard parcels and European International mail over the last year.
Mark Higson, Managing Director of Royal Mail Letters said: “I’m proud of the performance of Royal Mail’s postmen and women. The quality service to customers last financial year came as we made significant progress modernising the company ... we are determined to keep delivering the best possible service as we continue transforming Royal Mail to ensure it competes successfully in an open competitive market.”
View the latest quality of service report.
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SMEs ask ‘downturn dads’ for advice
Small business owners are turning to their dads for words of wisdom to ride out the recession, a new study has revealed.
More than a quarter of small and medium sized businesses (27%) have asked ‘downturn dads’ for advice and nine in ten rate their advice as good – higher than any other informal source, including partners.
Six hundred SMEs were questioned by Royal Mail as part of its Partner for Growth campaign, which celebrates success and supports growth among the UK’s 4.7 million small businesses. The survey also revealed the pitfalls in relying on friends or family, particularly ex-partners; businesses said that they had provided the worst advice they had ever received.
It’s no surprise, therefore, that 57% of SMEs said that they continue to rely on more formal sources of support. That assistance has now received a boost with the chance for all SMEs to get free tailored help and advice at www.royalmail.com/growth (opens in a new window).
After completing a short questionnaire, businesses are sent a free personalised growth pack containing advice, product and service recommendations and inspiring case studies of companies of a similar size and type to theirs.
Cary Cooper CBE, Professor of Organisational Psychology and Health at Lancaster University, said: “In order to thrive, SMEs need to ensure they have a rounded knowledge of all help available to them.
“They need to utilise every support network. Turning to one’s dad for business advice is great as long as it is coupled with a formal source to back it up. Royal Mail’s growth website is a gift to SMEs in this case.”
Tim Rivett, Head of Small Business at Royal Mail, said: “Royal Mail is unique in the way it connects businesses and consumers throughout the UK and, whatever a company's size, ambition or sector, we can play a vital part in its success and help it deliver its promises to customers.”
The survey also delved into the weird and wonderful advice SMEs have received in the past.
Top three unconventional business tips:
1. Slowly slowly catchee monkey!
2. You can milk a cow everyday but only barbeque it once
3. There is no settling the point of precedence between a louse and a flea
For a free SME personalised growth pack, visit www.royalmail.com/growth (opens in a new window).. There is also a wealth of help and inspiration available at SMART, Royal Mail’s SME advice centre.
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Lands’ End seizes the Sustainable Mail™ advantage
Lands’ End has become the first catalogue company to sign up to Sustainable Mail™, Royal Mail’s new reduced-tariff bulk mail service.
The company, which sells high quality casual clothing and footwear by mail order, has just posted its first catalogues using Sustainable Mail™. This innovative Royal Mail product offers a lower tariff for products that meet environmental standards.
Tariffs using Sustainable Mail™ are up to 4.7% lower than standard Mailsort® prices, and are available to companies that meet criteria covering improved sustainability, minimised waste and increased recyclability.
Tim Curtis, Lands’ End Managing Director, commented: “We were already doing what we thought was right for the environment, such as delivering our catalogues without polywrap. But Sustainable Mail™ highlighted other ways we could be more environmentally friendly, and rewards us for doing them.”
To qualify for the Sustainable Mail™ product, catalogue companies and direct mailers must meet the criteria for two specifications:
Entry level, with prices of up to 2% below normal Mailsort® tariffs, requires the recyclability of all paper elements of the mailing, good data management, the use of recycled fibre or approved virgin fibre and other practices.
Intermediate level offers a tariff up to 4.7% lower than Mailsort®, and covers standards such as a standards-compliant environmental management system and restrictions on finishes and adhesives.
Find out more about the benefits and specifications of Sustainable Mail™ at www.royalmail.com/sustainablemail.
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Royal Mail’s concept truck is revealed
Royal Mail has unveiled a prototype ‘Safety Concept Vehicle’, marking a significant step forward in HGV safety.
Taking a cue from the car industry with its rigorous NCAP safety ratings, Royal Mail has worked with manufacturers DAF and Cartwright to develop the new truck. It boasts 30 additional safety features, ranging from Lane Change Departure Warning to proximity sensors and Ground Level Coupling device.
Royal Mail will be trialling the vehicle across the UK over the coming 12 months, before demanding that the most beneficial features are added to any new vehicles they order in the future.
Phil Murphy, Royal Mail’s Network Operations Director, said: “Our goal is to improve safety by making the best use of existing technology, and initiate the design and development of innovative features.
“The current NCAP ratings for the car industry are not replicated in the truck industry,” he said. “We believe that similar comparison data would drive safety improvements ahead of legislation.”
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Royal Mail announces first Sustainable Mail™ customers
Sustainable Mail™, Royal Mail’s new bulk mail service, is already proving a big hit with some high profile customers. Black Horse Personal Finance (part of the Lloyds Banking Group) and Standard Life Healthcare have now signed up to the service.
Sustainable Mail™ offers a tariff of up to 4.7% lower than standard Mailsort® prices when sending direct mail that meets environmental standards.
Royal Mail also revealed that more than a dozen companies across a range of sectors are finalising plans to send mailings through the Sustainable Mail™ product.
Matthew Neilson, Head of Environmental Solutions at Royal Mail, said: “We launched Sustainable Mail™ as part of our commitment to help businesses improve their environmental performance. Black Horse Personal Finance and Standard Life Healthcare fully satisfied our criteria and we are sure they will be joined by many customers who will take advantage of this product and work with us to reduce waste, streamline production and encourage recycling.”
Sustainable Mail™, along with the Responsible Mail™ product offered by Royal Mail’s Wholesale division, are the first services available to advertisers that are consistent with the forthcoming BSI standard for Environmental Performance for Direct Marketing. The standard, PAS 2020, was announced in January with the backing of Royal Mail as well as others including the Direct Marketing Association, Acxiom and advertising organisation ISBA.
To qualify for the Sustainable Mail™ product, mailers must meet the criteria for either entry or intermediate level specifications. Entry level, with prices of up to 2% below normal Mailsort®, includes criteria such as the use of certain fibres and good data practices. The intermediate level, offering a discount of 4.7% on Mailsort® prices, requires adherence to standards including the types of finishes used in printing and the use of a suitable environmental management system.
The full Sustainable Mail™ specification is available at www.royalmail.com/sustainablemail
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Improved Track & Trace capability from the Post Office
Royal Mail has introduced improved tracking capability for some of its tracked and signature services such as Special Delivery and Airsure with an extra track at the beginning of your purchase at a Post Office Counter. Up to now the first 'visible' track or scan has been deployed when items reach our Mail Centres, we are now scanning all such letters and packages on acceptance over the counter at Post Office branches. You now get greater peace of mind from the extra and earlier tracking.
You can track the progress of your item by going to www.royalmail.com/trackandtrace
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Awards for Royal Mail’s 1st-class people
The winners of three prestigious Royal Mail awards have been announced.
Royal Mail’s Postman of the Year is Bude postman and coastguard station officer, Neil Chesebrough. A member of the coastguard for over 21 years and on call 24 hours a day, 365 days a year, Neil leads a team of 12 volunteers. With countless rescues under his belt, Neil and his team have saved hundreds of lives.
Royal Mail’s National Bravery Award goes to Iain MacDonald from Cowdenbeath. One of several hundred Royal Mail employees who are also in the Territorial Army, Iain’s most recent tour of duty was as guard commander in Helmand province, Afghanistan. Along with five other soldiers, Iain was injured by a rocket propelled grenade attack. But he chose to stay in the country and returned to his front line post just ten days later; he returned to his young family at the scheduled end of his tour.
Finally, Royal Mail’s National Fundraising Award has been won by Pauline Eastment, from St Athan, Wales. Since being treated for breast cancer 10 years ago, Pauline’s daredevil adventures – from skydiving to a trek to Everest’s Basecamp - have raised over £23,000 for cancer charities.
“The winners are fantastic examples of bravery, selflessness and helping others,” commented Royal Mail Managing Director Mark Higson. “They are the tip of the iceberg and I would like to congratulate everyone who was nominated.”
Nominations for the 2009 awards are now open; simply email details to nominations@royalmail.com
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Royal Mail launches Facebook Smile Calendar
Facebook users now have an extra reason to be cheerful, thanks to the new Smile Calendar application launched by Royal Mail. ‘Smile Calendar’ enables Facebook’s 150m users to share their feel-good dates, such as birthdays, anniversaries and parties, and then create unique Smilers® stamps for each occasion.
Smilers® are a fun way to personalise your post by combining one of your own photos with a Royal mail stamp. Use a snap of the birthday boy to brighten up party invites; put a cheeky picture on granny’s thank you note; or simply give them as gifts to family and friends.
John Rowley from Royal Mail said, “We are delighted with the Facebook application. By exploring digital channels we’re reaching the millions of Royal Mail customers who have embraced social networks. The Smile Calendar ties together their online and offline experience, giving them a way to share their favourite social events and produce matching stamps to customise their post.”
Try out the Facebook Smile Calendar.
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New Royal Mail postage prices for April 2009
Royal Mail today announced that the price of First and Second class stamps for standard letters weighing up to 100g would rise by 3p, to 39p and 30p respectively, from 6 April 2009, in line with the price controls set by the regulator, Postcomm.
The price increases will add less than 5p to the average UK household’s weekly expenditure – households currently spend around £26 on postage each year, considerably less than on other forms of communication, including telephone and broadband services.
After the new prices take effect, Royal Mail’s stamp prices will remain among the lowest in Europe, while Quality of Service is among the best. However, even after these price rises stamped mail will still be loss making for Royal Mail.
Earlier this month the report of the Independent Review Panel led by Richard Hooper highlighted the scale of the challenge presented by rapidly falling mail volumes and the need to ensure that the Universal Service can be secured for the future. Last year Royal Mail lost more than £100 million providing the Universal Service, and more than £200 million across the wider area of services whose prices are set by the regulator.
Luisa Fulci, Royal Mail’s Director of Marketing Services, said: “Stamped mail remains very affordable and consumers are still receiving excellent value for money - most countries in Europe charge more to deliver less. Our overriding priority must be to safeguard the currently loss making six-days-a-week one-price-goes-anywhere Universal Service – a task which the current market makes much harder, as big business customers choose other forms of electronic communications or competing operators instead of continuing to subsidise consumers.
“The change in the way people communicate is accelerating the structural decline in market volumes, with the Hooper report predicting that volumes could fall by between five and seven per cent a year.”
Business customers will see price increases averaging 4.2%, but the changes include a range of measures to ensure that both large and small businesses can get the best value for money from Royal Mail’s services:
- Smaller price increases for businesses using franking machines and pre-paid accounts;
- Increased discounts for machineable mail and lower than inflation increases for many bulk business services including Mailsort 2.
Royal Mail’s most recent independently measured Quality of Service report showed all First and Second Class mail, Standard Parcels, Special Delivery and bulk business services were delivered at target beating performance levels.
Ms Fulci added: “We are committed to ensuring that prices remain as competitive as possible while complying with the price controls set by the regulator and ensuring that Royal Mail can continue to fund the one-price-goes-anywhere stamped mail service to the UK’s 27 million addresses against the backdrop of greater competition and falling mail volumes.”
See the full details of new prices
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You are invited to join The Big Lunch!
On Sunday 19th July 2009, The Big Lunch is inviting you and all 61 million people across the UK to simultaneously sit down to eat lunch with your neighbours, in the middle of your street as a simple act of community.
A new initiative run by the Eden Project, The Big Lunch encourages communities to come together through growing food and flowers; creating street music, art and theatre; dressing the street and, of course, cooking and eating together.
The day after the Big Lunch, people will walk down their street and know someone in most windows. However, the legacy of The Big Lunch is much bigger than just the day after... The aim is to give people the tools to strengthen their communities through activities such as neighbourhood-watch; improving local amenities such as youth centres; taking care of the elderly or disabled; making imaginative improvements to the local environment; sharing resources from lawnmowers to cars; and supporting local charities both with money and volunteering time.
Organising a Big Lunch in your area is really easy. Available from April, The Big Lunch website and printed Ideas Booklet will take you through the process step by step, giving you the tools, templates and resources to make it as simple as possible. You’ll find inspirational ideas and top tips from our ambassadors on the website and you can find others planning a Big Lunch in your street or area by simply entering your post-code on our Big Lunch map.
To find out more: visit The Big Lunch site (Opens in a new window) or call 020 7636 8152
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Royal Mail seeks deregulation of products that serve the fulfilment market
As part of our drive to become a more responsive commercial organisation Royal Mail has sent an application to Postcomm that requests the deregulation of products that serve the ‘ business fulfilment’ market – essentially those that carry packets in bulk . This application will not affect individual consumers or others who use Post Office® branches to send their packets and parcels rather than accessing our network directly.
The application mainly covers the packet format of our account PPI, Mailsort and Response Services products, as well as our two packet-specific services – Packetsort and Packetpost.
For each of these products, we’ve asked for the removal of the ‘price control’ which places a number of restrictions on the way we can charge. We’ve also asked for the removal of the licence condition which requires us to provide extensive advanced notification when we change any aspect of a product. We have also requested the removal of this latter condition only from two further products – Mail Order Returns (a specialist service used by a small number of our larger customers) and our new Royal Mail Tracked service.
We believe that deregulating our products in this way will allow us to serve our customers better by creating a flexible, responsive offering more suitable to the diverse marketplace in which we operate. Our prices and service offerings will become more competitive.
Over the next few months Postcomm will be analysing our application, requesting more information from us if necessary and bringing their analysis to the wider market for consultation. In the meantime. If you are a Royal Mail customer with specific questions regarding deregulation, please contact the Regulation Manager, Matt Bright, at matt.bright@royalmail.com (Tel: 07725 826793).
You can find more details, including a full list of the products covered by the application, on our Royal Mail Group website and also on Postcomm's website. View a copy of Royal Mail's application.
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Royal Mail delivers target beating quality of service
Royal Mail’s postmen and women delivered First and Second Class mail at target-beating performances this summer, according to the latest independent research on Royal Mail’s quality of service published today.
The report showed 93.4% of First Class mail was delivered the next working day after posting – ahead of the 93.0% target – and 98.8% of Second Class mail was delivered within three working days after posting, above the 98.5% target. Standard parcels, Special Delivery, International European and business bulk mail services were also all delivered ahead of target.
Mark Higson, Managing Director of Royal Mail Letters, said: “These target-beating results are a tribute to the dedication and commitment of Royal Mail’s postmen and women but we will not relax and are determined to keep doing all we can to deliver ever better service to all our customers.”
Issued by Royal Mail: 020 7250 2468 (24 hours)
148 Old Street
LONDON
EC1V 9HQ
www.royalmail.com
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Bringing brands to life – mail enhances consumers’ perception of companies
Advertisers that combine direct mail with internet search activity are more successful at bringing their brands to life for consumers, research released by Royal Mail revealed today.
The study, commissioned by Royal Mail to examine the role of posted material in the media mix, demonstrates how direct mail can significantly boost campaigns by enhancing existing search engine marketing drives.
The research found that mail can help build brand familiarity among people who subsequently search online. 58 per cent of people said they were more likely to click on a link if they had already received something from a company or organisation in the post.
It appears many people believe mail can really turn a two-dimensional on-screen campaign into a 3-D experience. In addition to mail’s strong link with search, some 49 per cent of respondents also felt brochures or catalogues received through their letterbox help make brands that advertise on TV seem “more real”.
Further evidence that mail increases the effectiveness of TV ads is provided by the 43% of people who felt mail was good at clarifying information they saw on the small screen. In contrast, more than half (57 per cent) thought TV ads alone did not provide enough of a reason to purchase a product. Direct mail was also shown to have a wide reach, with 83 per cent tending to open post addressed to them, while only 17% of respondents always watched TV ad breaks.
The research also found that: - 28 per cent of people feel “valued” by a brand that contacts them through the post, compared to 9 per cent of people who only saw a TV ad campaign
- 28 per cent of people were prompted to contact a company after receiving mail, compared to 14 per cent of TV ad viewers.
Meanwhile, almost three quarters (70 per cent) of consumers say they use an internet address provided in mail when searching online, and two thirds use post received to find out more information before purchasing goods or services online. Other findings about using mail to drive search include: - 50 per cent would be keen to find out more about a product or service they came across online by requesting further information in the post
- 29 per cent of people said mail reminded them about a company when they were thinking of buying something online.
Overall, 33 per cent of consumers found mail to be better than search engine marketing at engaging their attention, and 19 per cent were more captivated by posted material than TV ads.
Antony Miller, Head of Media Development at Royal Mail, said: “Search as a medium has been growing for several years, while we all know the power of TV advertising for reaching widespread audiences. “But our findings prove that when mail is used in conjunction with either or both of these channels, consumers are more engaged by a brand and more likely to want to discover more about the product or service on offer. “Consumers clearly believe that mail plays a crucial role in their purchasing decisions. This is a key insight in the current financial climate, when every pound spent on marketing has to work harder for return on investment.”
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Success stories leading the way in nationwide campaign to help small businesses grow
One hundred of the UK’s brightest success stories – including a mix of booming small businesses, outstanding organisations and other bodies – are sharing tips for success with other companies and organisations as part of a Royal Mail initiative to help UK firms thrive.
The 100 leading lights from around the UK are being enlisted to share their stories and provide advice through a new online service developed by Royal Mail to create tailored growth packs.
A specially designed microsite asks businesses and organisations to fill in a short questionnaire and analyses the information to create the free growth packs, which contain advice, product recommendations and inspiring case studies from other companies of a similar size and sector to theirs. Advice provided ranges from information on finding new customers and keeping existing ones as well as ways of saving time and money.
The online service – available at www.royalmail.com/growth - is part of Royal Mail’s nationwide ‘Partner for Growth’ campaign, celebrating success and supporting growth among the UK’s 4.4 million small and medium sized businesses.
The growth packs and in-depth case studies provide recommendations to others and outline some of the challenges the top 100 trailblazers have faced as well as their tips for success.
Sam Remer, Managing Director of ilovejeans.com, one of the organisations signed up to the campaign, said: “Ilovejeans.com has benefited enormously from the right advice given to us at the right time. In the last three years, we’ve experienced rapid growth, now selling 200 pairs of jeans a month, with an average order value of £100. “By being part of this campaign, we and others taking part can share the benefits of our collective experience with other entrepreneurs, and hopefully support others in meeting their growth plans.”
The year-long Royal Mail campaign aims to offer continued support and practical guidance to the businessmen and women who are the lifeblood of the UK economy. So far almost 15,000 businesses have created tailored growth packs.
Tim Rivett, Royal Mail’s Head of Small Business, said: "This exciting new campaign will help us reach out to our business customers. Whatever sector or field they operate in, Royal Mail can be a vital part of their success. This initiative showcases the great number of ways our services can help them improve the quality, cost and reputation of their operations.
“Whatever an organisation’s size, ambitions or objectives, we want to work closely with them and forge long-lasting and dynamic partnerships.”
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Royal Mail puts brands into consumers' hands through innovative new channel
Royal Mail is continuing its drive to deliver innovation in marketing by launching a new advertising and communications solution named Matter, which literally puts brands into consumers’ hands.
Matter is a box that fits the standard dimensions of a UK household letterbox, containing a range of physical brand representations enabling advertisers to get their products and services into the homes of their target customers.
And Matter has already received the endorsement of consumers - with more than 30,000 people registered to receive a box of brands after a test mailing created a storm of interest, featuring on more than 100 blogs and websites, as well as YouTube.
The test mailing, to just under 1,000 ABC1 males, included a range of physical brand representations including a small tub of Play Doh from Sony Bravia, reflecting its 'plasticine bunnies' advertisement, while Nissan provided a branded box of soap crayons and Nintendo Wii included a sweatband.
And consumer engagement was so successful that Virgin Atlantic’s Clubhouse Lounge offer and Stolichnaya’s Vodka Party invitation were oversubscribed and withdrawn.
Industry endorsement for Matter is also strong. Rory Sutherland, Vice-Chairman at Ogilvy Group UK, said: “In my opinion this is one of the biggest ideas in DM in years.”
Royal Mail, which developed the solution in an exclusive partnership with Matter Media Limited, is now talking to advertisers keen to be involved in the next Matter mailing scheduled for October.
Further research conducted amongst recipients six weeks after receiving Matter revealed that the average recall rate for each brand representation was 85 per cent. Other findings included: - Almost half (41 per cent) of recipients used the items
- 21 per cent gave an item to a friend or family member
- 20 per cent spoke with a friend or family member about the brand
- 14 per cent considered purchasing the brand
- 10 per cent were prompted to visit the brand’s website
- 6 per cent actually purchased the brand
Bill Gosbee, Virgin Atlantic Airways, said: “Matter is more about bonding with potential customers than selling them something. Furthermore, because consumers actively opt in to receiving the mailing, they are already receptive before it arrives. The halo of other exciting brands ensures that everyone engages with your stuff, even if they subsequently pass it on to someone else. Innovation is at the heart of the Virgin Atlantic brand so the fit was ideal for us. We’ve been delighted to participate in the pilot and would definitely take part in future boxes.”
Fraser Chisholm, Head of Media Propositions at Royal Mail, said: “The strength of direct mail has always been that it is personal and delivered through the letterbox. Matter takes the medium to the next level. Real objects have more value in the digital age which is why this concept has been so favourably received. Media is changing and advertisers can no longer rely on consumers seeing or hearing their messages – they really have to engage to create standout and there is no better way than putting the brand directly into their hands.”
Tim Milne, Matter Media Limited, said: “Tangible objects offer endless potential for telling stories and communicating ideas and values. There are no rules as to what goes into the box – only that the recipients like getting them and value them enough to do something with them, whether that is keep it, or give it to a friend or family member.”
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