Royal Mail posts fewer parcels as retailers reopen however volumes are nonetheless 35% larger than pre-pandemic ranges
Royal Mail has been hit by a drop in parcel volumes since lockdowns began to ease, however says procuring habits have been completely modified by Covid-19.
The postal service mentioned the variety of packages despatched within the UK throughout April, Might and June was down by 7 per cent in contrast with final yr.
However in opposition to the identical interval in 2019, the determine was up by 35 per cent – an early signal that the surge in web procuring through the pandemic might show to be lasting.
Royal Mail mentioned the variety of packages despatched within the UK throughout April, Might and June was down by 7 per cent in comparison with final yr, however nonetheless up 35 per cent in opposition to the identical interval in 2019
Ecommerce gross sales went into overdrive throughout 2020 as lockdown restrictions pressured bricks-and-mortar retailers to shut, pushing buyers on-line.
That handed an enormous enhance to parcel supply companies similar to Royal Mail, which loved the busiest Christmas in its 500-year historical past.
It additionally helped cushion a years-long discount in letter volumes, with the corporate now getting a much bigger share of revenues from parcels for the primary time.
On high of this, it was awarded a contract reportedly value £550million to ship Covid checks for the NHS.
The agency predicted ‘fluctuations’ in parcel numbers within the coming months however mentioned on-line procuring had to this point continued ‘at a better degree than pre-Covid’ through the three months to June.
This included the interval after ‘non-essential’ Excessive Avenue retailers have been allowed to reopen in April.
Royal Mail mentioned it dealt with 326m parcels within the UK through the three months to June 30.
That in contrast with 427m throughout the identical interval in 2020 and 310m in 2019.
Some 1.98bn letters have been despatched, up from 1.6bn in 2020 and down from 2.4bn in 2019.
Letter volumes plunged final yr as struggling corporations initially slashed spending on promoting to avoid wasting money.
In the meantime, at worldwide parcels arm GLS, 216m parcels have been despatched within the first quarter in contrast with 195m in 2020 and 160m in 2019.
Total, whole revenues at Royal Mail elevated by 12.2 per cent.