How does australia post make money

Group CEO and MD Christine Holgate said she was pleased with the continued strong performance of the parcels business, however significant challenges remain for Australia Post with letters revenue now declining at the fastest rate in its history. The number of new delivery addresses has increased by , yet letter volumes have declined by million. Despite the decline, Holgate noted that Australia Post still provides a critical service and is expected to deliver more than two billion letters to almost 12 million homes and businesses this year. During the half it also took full ownership of Aramex Global Solutionswhich provides end-to-end cross-border logistics and ecommerce solutions, to support its international growth strategy. As the former editor of Internet Retailing Australia and journalist for Inside Retail, Tess has five years experience covering retail and ecommerce. At Which Tess reports on a broad range of topics including technology, the industrial internet, analytics and digital marketing. Facebook Twitter LinkedIn. Next post AI projects must protect their most vulnerable users. Often they don’t. Join the digital transformation discussion and sign up for how does australia post make money Which Irregular Insights newsletter. Australia Post inks deal with Doddle to expand parcel pick-up and return network November 21, Coles eyes transformational supply chain investments November 12,

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Australia Post is a government-owned business, with the Australian Government as the only shareholder through the Minister for Communications and the Minister for Finance. It is governed under the Australian Postal Corporation Act Australia Post has the following general obligations:. The Australia Post Board and management are responsible for the day-to-day running of the organisation. Australia Post receives no funding from the government. We advise the government on how the policy and legislative framework of the Australian postal industry can best meet its objectives. On 3 March , the Government announced reforms that will help Australia Post remain viable and continue to deliver a quality and sustainable mail service for all Australians. These reforms are in response to the serious financial challenge Australia Post is facing. Australian businesses, governments and individuals are sending fewer letters and there is an increasing cost to deliver them. During , Australia Post made a number of public commitments about the reform of its letters business. Australia Post has reaffirmed that it will continue to meet these commitments and report to the Shareholder Ministers on the implementation of the reforms. The cost of delivering letters has increased while the amount of mail has declined due to the growth in email and messaging. This paper is the fourth in our series of occasional papers exploring regulatory arrangements in the communications portfolio. This website uses cookies, utilised by us and third parties to enhance your experience. For more information, or to change your cookie settings, learn more about cookies. Australia Post has the following general obligations: To perform its functions as far as possible consistent with sound commercial practice. Commercial obligations for sound commercial practice when possible. Community service obligations CSO. Governmental obligations such as directions by the Minister, international conventions and government policies. Reforming Australia Post On 3 March , the Government announced reforms that will help Australia Post remain viable and continue to deliver a quality and sustainable mail service for all Australians. Connect with the Department. Communications Portfolio Agencies. Arts Portfolio Agencies. This work is licensed under a Creative Commons Attribution 4.

The Sydney Morning Herald

Australia Post has called out an unexpected softening in online shopping, which could disrupt retailers’ rush to capitalise on the e-commerce boom and hurt the postal service as it shifts its focus from letter to parcel delivery. But Australia Post’s chief executive Christine Holgate sounded a cautious note around both domestic and international online retail, which now accounts for the bulk of its earnings. Credit: Daniel Munoz. Growth in domestic business-to-consumer parcel deliveries has slowed from 19 per cent in the fourth quarter of last financial year to about 11 per cent in the first six weeks of the new year, she said. Meanwhile, growth in the number of inbound parcels from China fell from around 40 per cent last year to between 11 and 13 per cent at the start of the year. Significant falls in the delivery of electrical products and clothing seem to be behind the overall decline. Ms Holgate said it was too early to say what exactly caused the drop, but suggested it could be due to warm weather denting demand for winter clothing, and a softening housing market doing the same for household electronics. Still, the former Blackmores vitamins boss, whose experience in Asian markets was seen as a major factor in her appointment last year, talked down fears that political tension between Canberra and Beijing could hurt trade and other business opportunities. Growth in parcel deliveries is helping make up for a decline in the letters business. Credit: Ryan Stuart. Ms Holgate said that was one of the reasons Australia Post needed to strike a better deal with banks on how much it charges their customers to use post offices for paying bills and making other transactions, which it is losing money on at the moment. Australia Post answers to its only shareholder, the federal government, through the ministers for communications and finance. Both of those positions were vacant on Friday. Australia Post sounds caution amid e-commerce slowdown. The Sydney Morning Herald. License this article. Patrick Hatch Twitter Email.

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Designing services to enhance business delivery. As technology catches up with consumer expectations for simplicity and convenience, the challenge for enterprises and governments is transforming their service delivery methods in a way that directly responds how does australia post make money consumer needs. Daily interactions with millions of Australians across our multiple channels foes helped us understand how to facilitate that change. Australia Post acknowledges the Traditional Custodians of the land on which we operate, live and gather as employees, and recognise their continuing connection to land, australix and community. We pay respect to Elders past, present and emerging. Skip to content Skip to primary navigation. Services Designing services to enhance business delivery. Identity services. Identity services Delivering effective identity verification and customer authentication and enrolment services. Read. Information management services. Information management services Delivering cost savings with digital processes, and leverage our market insights to find new customers. Could a single digital identity unlock billions in economic opportunity for Australia? Read our white paper, A frictionless future for identity managementto find. Read white paper.