ICMR post pdf

International Communications
Market Report 2012
7
7
Post
279
Contents
7.1 Key market developments in post
281
7.1.1
7.1.2
281
7.1.3
Introduction
Since 2006, mail volumes across our comparator countries have fallen on
average by 18%
More consumers in the UK than in other countries claim to receive
parcels
282
284
7.2 The post industry
286
7.2.1
7.2.2
7.2.3
7.2.4
7.2.5
286
286
286
288
289
Introduction
Global postal revenues
Mail revenues in our comparator countries
Mail volumes in our comparator countries
Stamp price comparison
7.3 Post and the residential consumer
292
7.3.1
7.3.2
7.3.3
7.3.4
292
292
294
296
280
Introduction
Items sent
Items received
Reliance on post
7.1 Key market developments in post
7.1.1 Introduction
This chapter includes an overview and country-level analysis of the 17 comparator countries.
It focuses on three areas:
•
The key market developments section examines volume and revenue trends over the
past five years.
•
The post industry section looks at volume and revenue trends in 2011, and includes
a comparison of single-piece stamp prices across our 17 comparator countries.
•
The post and the residential consumer section looks at consumer trends in sending
and receiving mail, and consumers’ perceived reliance on post as a method of
communicating.
Mail revenues per capita (£)
Domestic mail volumes (billion items)
Mail volumes per capita
2.1
1.2
0.5
CHI
IRE
1.7
IND
SWE
1.6
RUS
NED
13.8
BRA
ESP
3.7
POL
AUS
4.2 38.5
JPN
7.6
CAN
6.5
USA
GER
Domestic addressed mail revenues (£bn) 6.7
ITA
FRA
Industry metrics and summary
UK
Figure 7.1
1.2 4.9 2.2 0.4 1.0
106.6 98.9 93.7 68.2 123.3 108.1 108.5 71.3 36.0 124.7 135.6 98.8 31.3 24.8 15.8 0.3 0.8
16.6 14.3 16.3 4.9 165.3 10.0 19.3
4.9
4.1
4.4
2.8
0.6
0.8 8.6 1.1 6.6 7.3
264.0 217.9 200.3 80.7 528.8 291.7 151.3 225.7 86.7 261.2 304.5 121.9 21.4 43.6 7.9 5.5 5.4
60
87
78
130
28
81
109
77
74
130
115
56
51
Average number of items sent in a month 5.2
4.9
4.8
4.3
6.2
n/a
2.3
3.6
6.7
n/a
n/a
n/a
n/a n/a n/a n/a 8.3
Standard (C5) domestic stamp price (p)
63
28 33 12
Sources: UPU postal statistics database, regulatory reports, postal operators’ annual reports, Ofcom
analysis; Ofcom research, September 2012
Notes: Standard letter price is based on a C5 envelope, 229x162x5 <=100g; Values converted from
the local currency unit to British Sterling (£1 = €1.154 / US$1.604 / CAN$1.587 / ¥127.979 /
AUS$1.555 / SEK10.413 / PLN4.751 / BRL2.683 / RUB47.117 / INR74.841 / CNY10.362)
Key points in this section are:
•
Across our 17 comparator countries, mail volume has fallen by 18% since
2006. Taken as a whole, volumes have fallen from 355 billion to 288 billion items.
The UK, Italy and Spain have seen the largest declines, with mail volumes in each
falling by 25% from 2006 to 2011.
•
More consumers in the UK claim to receive large parcels than in the other
countries which we surveyed. Thirty-four per cent of UK consumers claimed to
have received a large parcel in the past month, higher than in any other country
surveyed. Forty-six per cent of UK consumers claimed to have received a small
parcel, second only to France (53%). As well as having the highest proportion of
consumers receiving parcels, the value of e-commerce per head of population in
2011 in the UK is higher than in any of the other countries surveyed.
281
7.1.2 Since 2006, mail volumes across our comparator countries have fallen
on average by 18%
The UK, Italy and Spain have seen the largest declines, with mail volume in each
falling 25% between 2006 and 2011
Taken as a whole, mail volume across our comparator countries fell by 67 billion items
between 2006 and 2011 (Figure 7.2). The largest declines occurred in North America, where
volumes fell by 51 billion (23%). Among the European countries analysed in this report,
volumes declined by 17% to 65 billion items. Volumes in the BRIC countries grew slightly
over this period.
Figure 7.2
Total mail volumes in the 17 comparator countries: 2006-2011
Volume (billion items)
400
350
300
355 bn
23 bn
28 bn
351 bn
23 bn
28 bn
336 bn
24 bn
27 bn
250
200
226 bn
222 bn
209 bn
150
BRIC
303 bn
23 bn
26 bn
298 bn
24 bn
25 bn
288 bn
24 bn
24 bn
183 bn
182 bn
175 bn
Japan and
Australia
North
America
100
50
78 bn
78 bn
76 bn
70 bn
68 bn
65 bn
2006
2007
2008
2009
2010
2011
Europe
0
Sources: UPU postal statistics database, regulatory reports, postal operators’ annual reports, Ofcom
analysis
Within each market, the largest proportional declines in volume have occurred in Spain, Italy
and the UK, where 25% of volumes have been lost since 2006. The largest absolute decline
in volumes across all of the comparator countries for this period was in the US, which is also
the largest market. The decline between 2006 and 2011 in the US was 49 billion items,
which equates to a 23% fall in volume.
The only countries where mail volumes increased over this period were Brazil, Russia and
China, with the largest growth (12%) happening in the Russian market.
Figure 7.3
Proportional change in mail volume by country: 2006-2011
15%
12%
3%
3%
0%
-1%
-6%
-10%
-15%
-30%
-13% -14%
-13%
-25%
-25%
-23%
-14% -13%
-20%
-25%
-24%
UK FRA GER ITA USA CAN JPN AUS ESP NED SWE IRE POL BRA RUS IND CHI
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
282
In terms of the absolute number of items, the fall in the UK was larger than in any of the
other European countries analysed in this report. In comparison to 2006, there are 5.4bn
fewer addressed items in the UK postal market (Figure 7.4).
Figure 7.4
2011
Mail item volume decline in the European comparator countries: 2006-
Volume (million items)
Percentage change
2006-2011:
-25%
0
-13%
-6%
-25%
-25%
-20%
-14%
-441 m
-1,000
-1,046 m
-2,000
-24%
-85 m
-255 m
IRE
POL
-1,337 m -1,134 m
-1,652 m
-2,211 m
-3,000
-13%
-4,000
-5,000
-6,000
-5,400 m
UK
FRA
GER
ITA
ESP
NED
SWE
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
As a whole, mail revenue across our comparator countries fell by 5% since 2006.
The effect of the volume decline on revenue is detailed in Figure 7.5, which sets out the
proportional loss of revenue in those countries where revenue has fallen. As the chart
shows, the largest decline in revenue, both in absolute and proportional terms, has been
experienced in the US market, where £5bn (12%) of revenue has been lost between 2006
and 2011. Over this period, price increases in the UK have helped to reduce the impact of
falling volumes on revenue. As a result, mail market revenue in the UK has fallen by only
1.5% (£100mn).
Figure 7.5
Fall in revenue: 2006-2011
Nominal fall: -£100m -£806m -£953m -£469m -£5,241m -£1,120m -£151m -£59m -£145m -£24m -£51m -£122m
0%
-1%
-2%
-3%
-6%
-7%
-9%
-9%
-10%
-5%
-11% -11% -10% -12%
-10%
-15%
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
NED
SWE
IRE
POL
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
Note: Values converted from the local currency unit to British Sterling (£1 = €1.154 / US$1.604 /
CAN$1.587 / ¥127.979 / AUS$1.555 / SEK10.413 / PLN4.751 / BRL2.683 / RUB47.117 / INR74.841 /
CNY10.362)
The countries in which revenue has grown are set out in Figure 7.6. The highest proportional
growth was in China, where revenues increased by 86%. The largest actual growth was in
Brazil, where revenues increased by £1.3bn. China, Russia and Brazil – the countries with
283
the largest growth in revenue – are also the only countries where volumes have increased
since 2006.
Figure 7.6
Nominal
growth:
Growth in revenue: 2006-2011
£19m
£1,341m
£899m
£100m
£483m
100%
75%
50%
86%
69%
25%
0%
37%
32%
0.5%
CAN
BRA
RUS
IND
CHI
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
Note: Values converted from the local currency unit to British Sterling (£1 = €1.154 / US$1.604 /
CAN$1.587 / ¥127.979 / AUS$1.555 / SEK10.413 / PLN4.751 / BRL2.683 / RUB47.117 / INR74.841 /
CNY10.362)
7.1.3 More consumers in the UK than in other countries claim to receive
parcels
Thirty-four percent of consumers in the UK claimed to have received at least one large
parcel in the past month, higher than in any other country surveyed. This is comparable to
Germany, where a third (33%) of consumers had received a large parcel in the past month.
Forty-six per cent of UK consumers said that they had received a small parcel in the past
month, second only to France, where 53% claimed to have received a small parcel in the
past month. Consumers in Italy were least likely to have received a parcel, with only 17%
claiming to have received a small parcel and 13% saying that they had received a large
parcel. In all of the countries surveyed, consumers were more likely to have received a small
parcel, defined as a parcel that would fit through the letterbox, than a large parcel.
284
Figure 7.7
Proportion of residential customers who claim to have received a parcel
in the past month
UK
60%
FRA
GER
ITA
USA
JPN
AUS
ESP
CHN
53%
46%
37%
32%
36%
34%
32%
30%
20%
17%
23%
33%
26% 26%
23%
21%
26%
17%
13%
0%
Smaller parcels - that will fit through a letterbox
Larger parcels - that will not fit through a letterbox
Source: Ofcom consumer research, September 2012
Q. Which of these types of items would you say you have personally received through the post in the
last month? Please think about items that are addressed to you personally rather than items like
leaflets or anything else that may come through your letterbox.
Base: All respondents, UK=1065, FRA=1016, GER=1024, ITA=1015, USA=1010, JPN=1004,
AUS=1007, ESP=1001, CHN=1010
The proportion of consumers who claim to have received a parcel in the past month is
reflected in the value of the e-retail market in each country, as Figure 7.8 shows. In Italy and
Spain, where the lowest proportion of consumers had received a parcel, the value of e-retail
per head of population is also low. The value of e-commerce per head of population in 2011
in the UK is higher than in any of the other countries surveyed. As broadband take-up has
grown and consumer confidence in online shopping and the delivery of purchased goods
has improved, the value of e-commerce has also increased.
Figure 7.8
Value of B2C e-commerce per head: 2007-2011
Value per head (£)
£1,200
£1,083
2007
2008
2009
2010
2011
£1,000
£842
£800
£620
£600
£527
£497
£377
£400
£200
£169
£115
£17
£0
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
CHN
Source: IMRG B2C Global e-Commerce Overview 2011 Update 01, June 2011; IMRG B2C Global eCommerce Overview 2012, May 2012
Notes: Values converted from Euros to British Sterling (£1 = €1.1536). Population figures from US
Census Bureau (end of year estimates from mid-year values)
285
7.2 The post industry
7.2.1 Introduction
This section examines volume and revenue trends across the countries analysed in this
report. It also presents a comparison of stamp prices for three different formats of letter. The
main findings include:
•
Across all of our comparator countries as a whole, mail revenue fell by 1.5% in
2011, ranging from a 16.1% contraction in Poland to 9.4% growth in Brazil.
Revenues grew in only four of 17 of the countries analysed in our report; the UK
(3.1%), Brazil (9.4%), Russia (8.8%) and India (6.6%).
•
Mail markets in Sweden and the Netherlands generate the greatest revenue per
head of population. The highest revenue per head of population of all of our
comparator countries was generated in Sweden (£135.6) and the Netherlands
(£124.7). The comparable figure for the UK was £106.6.
•
Volumes continued to fall in 2011, declining by 2.3% across our comparator
countries as a whole. Brazil and India were the only countries where volumes did
not fall. The largest decline was in Poland (11.3%), followed by Italy (8.1%) and
Spain (7.9%). The comparable figure for the UK was 5.1%.
•
For sending a standard-sized letter, the UK is among the cheapest in Europe.
But for sending small letters, the UK and Japan are the most expensive countries;
this is 63p in Japan and 60p in the UK. 99
7.2.2 Global postal revenues
It is very difficult to come to an authoritative figure of the value of worldwide postal services.
However, using data collated in the UPU Postal Statistics Database, we estimate that our 17
comparator countries represent approximately 60-70% of global postal revenues. The large
postal market in the US is estimated to account for around 20-25% of global postal
revenues.
The data which we have used in our analysis of the postal sector come from a range of
sources, including the UPU postal statistics database, publicly-available data from national
regulatory authorities, annual reports from monopoly postal providers and third-party reports
from sector-specific consultants. Where data from these sources explicitly report fiscal years,
we have used calendar year estimates to aid comparability. We have focused our analysis
on domestic addressed letter post.
7.2.3 Mail revenues in our comparator countries
Revenues continued to decline across our comparator countries, falling by 1.5% on
average in 2011.
Across all of our comparator countries, mail revenue fell on average by 1.5% in 2011.
Revenues grew in only four of the17 countries analysed in our report; the UK (3.1%), Brazil
(9.4%), Russia (8.8%) and India (6.6%). While increased revenues in the UK are due to
price increases, in Brazil, rising volumes have contributed to revenue growth. In Russia,
growth in first class and parcel volumes has helped improve revenues.
99
The different letter sizes and specifications of the stamp price comparison are set out in section
7.2.5
286
Revenues: 2007-2011
£1.0 bn
£0.4 bn
£2.2 bn
£4.9 bn
£1.2 bn
2011
£0.5 bn
£1.2 bn
2010
£2.1 bn
2009
£1.7 bn
2008
£1.6 bn
2007
£13.8 bn
£4.2 bn
£7.8 bn
£6.7 bn
£25 bn
£6.5 bn
£50 bn
£3.7 bn
£38.5 bn
Figure 7.9
£0 bn
UK FRA GER ITA USA CAN JPN AUS ESP NED SWE IRE POL BRA RUS IND CHI
YoY
3.1% -1.3% -0.1% -5.0% -2.0% -1.1% -1.1% -4.6% -1.2% -4.3% -3.0% -3.1% -16.1% 9.4% 8.8% 6.6% -1.8%
change
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
Note: Values converted from the local currency unit to British Sterling (£1 = €1.154 / US$1.604 /
CAN$1.587 / ¥127.979 / AUS$1.555 / SEK10.413 / PLN4.751 / BRL2.683 / RUB47.117 / INR74.841 /
CNY10.362)
The proportional changes in revenue and volume are set out in Figure 7.10. The largest falls
in revenue were in Poland (16.1%), where the largest decline in volume occurred, and Italy
(5.0%), where revenues from publications fell. Unsurprisingly, volume decline is often
accompanied by a fall in revenue.
Figure 7.10
Year-on-year changes in volumes and revenues: 2010-2011
Volume
Revenue
9.4% 8.8%
10%
6.6%
3.1%
0%
0.8%
-1.3% -0.1% -5.0% -2.0% -1.1% -1.1% -4.6% -1.2% -4.3% -3.0% -3.1% -16.1%
-0.2%
-0.6%
-3.7% -4.5% -3.6% -3.0%
-3.2%
-5.1%
-10%
0.5%
-8.1%
-3.7%
-1.8%
-0.6%
-5.0%
-7.9% -7.4%
-11.3%
-20%
UK FRA GER ITA USA CAN JPN AUS ESP NED SWE IRE POL BRA RUS IND CHI
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
Note: Values converted from the local currency unit to British Sterling (£1 = €1.154 / US$1.604 /
CAN$1.587 / ¥127.979 / AUS$1.555 / SEK10.413 / PLN4.751 / BRL2.683 / RUB47.117 / INR74.841 /
CNY10.362)
Mail markets in Sweden and the Netherlands generate the greatest revenues per head
of population.
The mail markets in Australia, Sweden and the Netherlands generated the highest per-capita
revenues in 2011. The highest revenue per head of population of all our comparator
countries was generated in Sweden (£135.6) and the Netherlands (£124.7). Per-capita
revenues were also high in the US (£123.3). The comparable figure for the UK was £106.6.
287
Figure 7.11
Revenues per head of population: 2011
Revenue per capita (£)
160
135.6
124.7
123.3
120
106.6 98.9
108.1 108.5
98.8
95.7
80
71.3
68.2
36.0
40
31.3
24.8
15.8
0.3
0
0.8
UK FRA GER ITA USA CAN JPN AUS ESP NED SWE IRE POL BRA RUS IND CHI
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
Note: Values converted from the local currency unit to British Sterling (£1 = €1.154 / US$1.604 /
CAN$1.587 / ¥127.979 / AUS$1.555 / SEK10.413 / PLN4.751 / BRL2.683 / RUB47.117 / INR74.841 /
CNY10.362) Population figures from US Census Bureau (end of year estimates from mid-year values)
7.2.4 Mail volumes in our comparator countries
Volumes continued to fall in 2011, declining on average by 2.3% across our
comparator countries
While patterns of mail volume growth tend to follow economic growth, increased broadband
take-up and the subsequent electronic substitution of traditional mail have contributed to the
structural decline of mail volumes around the world. As such, volumes continued to decline
in 2011, with Brazil and India the only countries where volumes did not fall. The largest
decline was in Poland (11.3%), followed by Italy (8.1%) and Spain (7.9%). The comparable
figure for the UK was 5.1%.
6.6 bn
1.1 bn
7.3 bn
2011
8.6 bn
0.8 bn
16.3 bn
2010
0.6 bn
5 bn
2009
2.8 bn
50 bn
2008
4.4 bn
10 bn
2007
4.1 bn
100 bn
10.0 bn
15 bn
4.9 bn
150 bn
14.3 bn
20 bn
16.6 bn
165 bn
200 bn
25 bn
4.9 bn
250 bn
Mail volume: 2007-2011
19.3 bn
Figure 7.12
0 bn
0 bn
USA
UK FRA GER ITA CAN JPN AUS ESP NED SWE IRE POL BRA RUS IND CHI
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
Mail volume per head of population is highest in the US
The mail market in the US is the largest in the world, in terms of both volume and revenue,
so it is unsurprising that it also generates the highest number of items of mail per head of
population. In 2011, the US market generated 528.8 items per person, far higher than any
other country. Sweden had the next highest volume per head of population (304.5) followed
288
by Canada (291.7). The comparable figure for the UK was 264, second only to Sweden
among the European countries analysed in this report.
While the US and the Netherlands generate similar revenues per head of population (Figure
7.11), the volume per head is significantly higher in the US (Figure 7.13). This suggests that
it is cheaper to send mail in the US than in the Netherlands, and that the mix of mail in the
US has a higher proportion of cheaper business bulk mail.
Figure 7.13
Mail volume per head of population: 2011
Items per capita
600
528.8
500
400
300 264.0
200
304.5
291.7
261.2
225.7
217.9 200.3
151.3
86.7
80.7
100
121.9
21.4
43.6
7.9
5.5
5.4
0
UK FRA GER ITA USA CAN JPN AUS ESP NED SWE IRE POL BRA RUS IND CHI
Sources: UPU postal statistics database, regulatory reports, operators’ annual reports, Ofcom
analysis
Note: Population figures from US Census Bureau (end-of-year estimates from mid-year values)
7.2.5 Stamp price comparison
The following section looks at domestic stamp prices across the countries analysed in this
report. In each case, we have considered the fastest letter mail product, which
predominantly carry a next-day delivery target (D+1); although, as Figure 7.14 shows, there
is some variance in each territory. The products that we have looked at are all single piece,
domestic tariffs available to all consumers. In line with other currency conversions within this
report, prices have been converted into British Sterling using the International Monetary
Fund average exchange rates for 2011. The prices of the products compared are as they are
published on the operators’ websites and have not been adjusted for purchasing power
parity.
Figure 7.14
Delivery specifications for the products analysed
UK FRA GER ITA USA CAN
JPN
AUS ESP NED SWE IRE
POL
D+1 D+1 D+1 D+1 D+3 D+2-4 Variable D+1-4 D+3 D+1 D+1 D+1 D+1-3
BRA
RUS
IND
CHI
D+1-3 Variable D+2-6 Variable
Source: Source: Operators’ websites, [accessed 10 October 2012]
Note: Delivery targets in Japan, Russia and China are dependent on the point of origin and
destination
We have looked at the prices for three mailings with different characteristics, based on
typical envelope sizes. These are:
• Small letter – based on a DL envelope, 110mm by 220mm by 5mm, weighing 20g or
less
289
•
Standard letter – based on a C5 envelope, 229mm by 162mm by 5mm, weighing
100g or less; 100 and
•
Large letter – based on a C4 envelope, 324mm by 224mm by 25mm, weighing 101150g
Japan and the UK are the most expensive countries to send a small letter
At 63p, Japan is the most expensive country to send a small letter, followed closely by the
UK (60p). Among the European countries analysed in this report, the UK is the most
expensive, just ahead of Sweden, where it costs 58p to send a small letter. The cheapest
country for this size of letter is India, where it costs just 7p, followed by China (12p). The US
is also among the cheapest, costing 28p.
However, when it comes to sending a standard letter, the UK is among the cheapest in
Europe. This is because most postal operators in Europe use tariff structures which start at a
lower price for smaller letters and postcards weighing 20g or less. A higher price is charged
for letters which weigh in excess of 20g, or exceed the dimensions of a DL envelope, as
Figure 7.15 shows. In the UK, the US, and China the price threshold comes at a higher size
and weight.
The Netherlands and Italy are the most expensive countries in which to send a standard
letter (£1.30), followed by Sweden (£1.15) and Japan (£1.09). China is the cheapest (12p),
followed by the US (28p). The lowest price among the European countries in our report is in
Poland, where it costs 51p to send a standard letter.
Figure 7.15 Published stamp prices for small (DL) and standard (C5) domestic
letters: October 2012
Small letter
130p
140p
130p
100p
60p
115p
109p
120p
80p
Standard letter
87p
60p
40p
52p
81p
63p
78p
48p
52p
28p
20p
38p
77p
74p
58p
39p
43p
31p
63p
56p 51p
48p
41p
30p
28p
20p
33p
7p
12p
0p
UK
FRA GER ITA USA CAN JPN AUS ESP NED SWE IRE POL BRA RUS IND
CHI
Source: Operators’ websites, [accessed 10 October 2012]
Note: Small letter is based on DL envelope, 110x220x5 <=20g; Standard letter is based on C5
envelope, 229x162x5 <=100g; Large letter is based on C4 envelope, 324*224*25 101g-150g
Values converted from the local currency unit to British Sterling (£1 = €1.154 / US$1.604 / CAN$1.587
/ ¥127.979 / AUS$1.555 / SEK10.413 / PLN4.751 / BRL2.683 / RUB47.117 / INR74.841 / CNY10.362)
Poland is the cheapest country in Europe in which to send a large letter
Within Europe, the cheapest country in which to send a large letter is Poland (74p), followed
by the UK (£1.20). The lowest price overall is China (31p), followed by India (53p). The most
expensive overall is Australia (£4.24). This is because the maximum thickness of a large
letter in Australia is 20mm, and as this analysis is based on the prices for letters which are
100
Most greetings cards in the UK are no larger than a C5 envelope
290
25mm thick, this price represents the lowest parcel price. To send a large letter up to 20mm
thick in Australia would cost £1.16, cheaper than the UK.
Figure 7.16
Published stamp prices for large letters: October 2012
£4.24
£4.50
£3.00
£2.08 £1.91
£1.50 £1.20
£2.30
£1.73
£1.32
£0.94
£1.56
£1.73 £1.73
£1.30
£0.74 £0.80 £0.59
£0.53
£0.31
£0.00
UK
FRA GER ITA USA CAN JPN AUS ESP NED SWE IRE POL BRA RUS IND
CHI
Source: Operators’ websites, [accessed 10 October 2012]
Note: Small letter is based on DL envelope, 110x220x5 <=20g; Standard letter is based on C5
envelope, 229x162x5 <=100g; Large letter is based on C4 envelope, 324*224*25 101g-150g
Values converted from the local currency unit to British Sterling (£1 = €1.154 / US$1.604 / CAN$1.587
/ ¥127.979 / AUS$1.555 / SEK10.413 / PLN4.751 / BRL2.683 / RUB47.117 / INR74.841 / CNY10.362)
291
7.3 Post and the residential consumer
7.3.1 Introduction
This section presents the findings of our consumer research, the methodology of which is
detailed in Appendix A. The key findings in this section are:
•
Consumers in the US and France are more likely to pay bills by post than any
other country surveyed. In the US, 58% of consumers claimed that they had sent
payment through the post in the past month. In France, 47% of consumers said they
had done this. The comparable figure for the UK was 22%.
•
More consumers in the UK send greetings cards, invitations and postcards
than in other countries. Thirty-seven per cent of respondents in the UK claimed to
have sent this type of mail in the past month. Australia ranked second (34%), with the
fewest consumers claiming to send this type of mail in France (17%).
•
Consumers in France receive twice as much mail as those in the UK. The
average number of items received in a week by consumers in France was 14.9,
higher than in any other country surveyed. Those in the US claimed to receive 9.6
items in a week. The comparable figure for the UK was 7.1.
•
Seventy-four per cent of consumers in France consider themselves ‘very
reliant’ or ‘fairly reliant’ on post as a way of communicating, higher than in any
other country. In the UK, 51% of consumers considered themselves to be reliant on
post. The lowest perceived reliance on post was in Japan, where only 14% of
respondents considered themselves reliant.
7.3.2 Items sent
Residential consumers in China claim to send the most post
Respondents to our survey in China claimed to have sent the greatest number of items of
post, of all the countries we surveyed (Figure 7.17). It should be noted that our research
used an online survey, and as internet availability in China is lower than in other countries,
these findings represent urban consumers only. Looking at the type of items which these
consumers in China had sent in the past month, as set out in Figure 7.18, shows that a far
greater proportion of respondents in China had sent personal letters in the past month than
in any other of the countries surveyed (56%). The proportion of consumers that had sent
personal letters in the past month ranged from 30% - 41% in the other countries surveyed.
The average number of items sent in a month by residential consumers in the UK was 5.2, 101
lower than in Spain (6.7) and the US (6.2). The lowest average number of items sent by
residential consumers was in Japan, where on average, just 2.3 items were sent.
101
Our UK CMR found that consumers sent an average of 3.2 items each month. Differences in
sample sizes, questionnaire design and methodology between research projects mean that results
can often differ.
292
Figure 7.17
Average number of items sent in a month
Average number of items sent each month
9
8
7
6
5
4
3
5.2
4.9
4.8
4.3
2
1
0
UK
FRA
GER
ITA
8.3
6.7
6.2
2.3
USA
JPN
3.6
AUS
ESP
CHN
Source: Ofcom consumer research, September 2012
Q. Approximately how many items of post - including letters, cards and parcels - have you personally
sent in the last month? This would include someone sending items through the post on your behalf.
This would include any items sent internationally or any items sent using Freepost.
Base: All respondents who send items by post, UK=879, FRA=940, GER=868, ITA=662, USA=770,
JPN=754, AUS=807, ESP=696, CHN=849
Consumers in the UK were more likely than consumers in the other countries surveyed to
have sent a greetings card in the past month. Thirty-seven per cent of respondents stated
that they had sent this type of mail in the past month, followed by 34% of respondents in
Australia. People in the US were more likely to have paid a bill by post, with 58% doing so in
the past month. Paying bills by post was also popular in France (47%), compared with 22%
in the UK (Figure 7.18).
293
Figure 7.18
Type of items sent each month
70%
50%
40%
30%
58%
56%
60%
47%
41%41%
38%
38%
35%
33%32%
30%
37%
34%
33%
30%32%
24%
23%
22%
19%
17%
20%
24%
20%
14%
10%
14%
10%
5%
0%
Personal letters (e.g. to a friend
or relative)
Invitations/ cards/ postcards
Payment for bills/ invoices/
statements
70%
60%
59%
49%
50%
40%
30%
20%
40%
38%
34%
31%32%
25%
21%
16%
36%
35%
28%
28%28%
25%
22%
18%
25%
29%
25%
21%23%23%
18%18%
10%
10%
0%
Formal letters to organisations
or individuals
UK
FRA
GER
Smaller parcels - that will fit
through a letterbox
ITA
USA
JPN
AUS
Larger parcels - that will not fit
through a letterbox
ESP
CHN
Source: Ofcom consumer research, September 2012
Q. Which of these types of mail would you say you have personally sent in the last month by post?
Base: All respondents who have sent items by post in the last month, UK=730, FRA=801, GER=697,
ITA=364, USA=591, JPN=427, AUS=563, ESP=411, CHN=659
7.3.3 Items received
Consumers in France claim to receive the most items each week
Across all of the countries that we surveyed, consumers in France claimed to have received
the most items in the past week (14.9), more than twice the average number of items
received by people in the UK (7.1). The average number of items received by those in the
US was also relatively high (9.6). Consumers in Italy and Australia received the fewest
items: 4.9 and 5.0 items respectively.
294
Figure 7.19
Average number of items received in a week
Average number of items received each week
16
14
12
10
8
14.9
6
4
9.6
7.1
6.8
2
8.9
5.0
4.9
7.3
8.7
0
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
CHN
Source: Ofcom consumer research, September 2012
Q. Approximately how many items of post - including letters, cards and parcels - have you personally
received in the last week? By this we mean just yourself, rather than anyone else in the household.
Base: All respondents, UK=1065, FRA=1016, GER=1024, ITA=1015, USA=1010, JPN=1004,
AUS=1007, ESP=1001, CHN=1010
As well as receiving the highest average number of items, consumers in France are also
more likely to receive magazines, letters from organisations, and catalogues, than those in
any of the other countries surveyed. Those in the US are more likely to have received
addressed direct mail and standard circulars (with 47% and 49% respectively claiming to
have received these in the past month) although the proportion of consumers in the UK who
had received these types of mail in the past month was also high (43% and 49%
respectively).
In almost all countries, transactional mail in the form of bills, invoices and statements are the
most commonly-received type of item.
295
Figure 7.20
Types of mail received
100%
80%
60%
60
43
55
41
49
49 51
44 42 47
49 48
42
40%
39
27
21
43
32 31
36 39 37
47
38 40
32 28
13
20%
35
33
21 24 17
18
17 17
0%
Catalogues/ brochures
Standard circulars
Addressed direct mail
Letters from
organisations you have a
relationship with
100%
80%
60%
76
67
65 66
78
73
64
50
46
53
46
37
40%
32 36 32
28
20 23
17
20%
34
33
23
13
21
26 26
26
17
40
34
20
31
25
12
22 20
0%
Bills/ invoices/
statements
UK
Smaller parcels - that will Larger parcels - that will
fit through a letterbox not fit through a letterbox
FRA
GER
ITA
USA
JPN
AUS
ESP
Magazines you
subscribe to
CHN
Source: Ofcom consumer research, September 2012
Q. Which of these types of items would you say you have personally received through the post in the
last month?
Base: All respondents, UK=1065, FRA=1016, GER=1024, ITA=1015, USA=1010, JPN=1004,
AUS=1007, ESP=1001, CHN=1010
7.3.4 Reliance on post
Consumers in France are far more likely to consider themselves to be reliant on post
We asked respondents how reliant on post they considered themselves to be, as a way of
communicating. Consumers in France were most likely to consider themselves to be ‘very
reliant’ (20%) or ‘fairly reliant’ (54%) among all the countries surveyed. People in the US
were the next most likely to consider themselves reliant on post, with 17% considering
themselves to be ‘very reliant’ and 37% ‘fairly reliant’. Those in Japan were least likely to
consider themselves reliant on post (14%), followed by Spain (21%). In the UK, 51% of
people considered themselves to be reliant on post, the same as in Australia.
296
Figure 7.21
How reliant consumers perceive themselves to be on post, by country
Very reliant
0%
UK
Fairly reliant
10%
20%
30%
40%
8%
ITA
8%
17%
12%
5%
10% 2%
6%
20%
23%
27%
21%
35%
38%
100%
17%
30%
5%
13%
6%
14%
34%
37%
Don't know
90%
18%
28%
37%
17%
80%
11%
35%
14%
8%
70%
36%
38%
JPN 2%
ESP 4%
60%
54%
28%
USA
AUS
50%
Not at all reliant
26%
20%
GER
Not very reliant
40%
11%
FRA
CHN
Neither reliant nor not reliant
13%
6%
20%
15%
9%
Source: Ofcom consumer research, September 2012
Q. How reliant would you say you are on post as a way of communicating?
Base: All respondents, UK=1065, FRA=1016, GER=1024, ITA=1015, USA=1010, JPN=1004,
AUS=1007, ESP=1001, CHN=1010
297