The postal sector remains a critical element in the global ecosystem, transcending borders to connect people, businesses, and governments. It not only facilitates communication but also serves as the backbone of digital trade, logistics, and even economic resilience.
However, the sector is grappling with many challenges, from the lasting disruptions induced by global crises, such as the COVID-19 pandemic, to the transformative shifts in consumer behavior ushered in by the digital age. This report provides an exhaustive examination of the postal sector’s existing landscape, challenges, innovations, and potential avenues for future growth and resilience.
Letter post income: a waning source
The research points to a significant drop in Posts revenue generated from letter-post services– from over 50% in 2005 to 34% in 2021. Forecasts suggest a further decline, reaching approximately 29% by 2025. With the acceleration of digitalization and shifts in communication methods, the declining trend of letter-post volumes is undeniable, albeit showing signs of stabilization shortly.
Role of AI and collaborative intelligence
Artificial intelligence (AI) offers transformative capabilities for the postal sector. The potential is even more significant when AI systems are integrated into a hyper-collaborative framework involving multiple ecosystemic stakeholders. This kind of partnership could facilitate optimized routing, real-time tracking, and personalized services, significantly enhancing operational efficiency and boosting the decarbonization of postal exchanges.
Data analytics and shared insights
Advanced data analytics provide the postal sector with the tools for price optimization, route planning, and consumer behavior prediction. Through hypercollaboration, these data analytics capabilities can be extended to cross-industry partners, thus amplifying their impact and leading to more effective strategies, particularly for delivering green international postal growth.
Parcels and logistics: The New Frontier
In stark contrast, income from parcels and logistics has increased, surging from 11% in 2005 to over 32% in 2021. Predictions indicate an even higher ascent, nearing 36% by 2025, potentially overtaking letter-post revenues. The catalysts for this shift appear to be the increasing reliance on e-commerce and online shopping, although this sector also faces stiff competition from alternative delivery services.
Hyper-collaborative global policy alignment
More than ever, there is a need for global cooperation to standardize regulations and operational interfaces. The report recommends adopting a hyper-collaborative approach that involves not just governments and designated operators but also wider postal sector stakeholders to create a more equitable postal ecosystem grounded on freer data exchanges.