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Unlocking Growth Potential in the Post and Parcel Industry
21 May, 2019

The post and parcel industry continues to grow at an unprecedented pace. It’s not just surviving, it’s waxing stronger than ever before. More and more profitable post and parcel businesses are emerging and achieving big successes. The growth in the e-commerce sector, as well as the evolution of free shipping, has helped turn post and parcel into a game changer. 

New technologies may appear disruptive but they are also important in driving growth through innovation. In the midst of growing consumer expectations and increased competition, post and parcel have made the difference in the delivery landscape. But then, there is still room for more growth and organizations within this sector have to capitalize on current success to unlock more growth.


 


 

The industry as it is today

E-commerce has been driving growth within the post and parcel industry. From 2016 through to 2020, global growth in the e-commerce sector, both domestic and international, is expected to grow by 20.2%. International e-commerce growth alone has grown by 25.5%. While startups backed by venture capitals are achieving big strides and reinventing delivery, the incumbents as well are not relenting, investing at record incredible pace. 

Parcel volumes have grown between 2010 to 2015 by a whopping 48% although pricing power has declined. Mali volumes, on the other hand, have declined though profitability has increased significantly. The industry is steadily growing but then, there is still enough room for improvement.


 

Growth and performance strategies

Post and parcel businesses need to drive superior value. This can be achieved through investment in future growth to drive growth and revenue at high margins. In making mail profitable, operators should focus on utilizing operations as well as smart pricing amidst other methods to innovate and reinvent mail.

There is also the need to enable e-commerce to unlock more growth. Post and parcel carriers should focus on domestic parcels while still targeting cross-border opportunities. Much emphasis as well should be placed on the recipient to guarantee personalized experiences. Smart diversification strategies may also help post and parcel operators accelerate growth. By diversifying through moves such as smart acquisitions among others, operators would be able to drive synergy in their logistics operations. 

Finally, operators in the post and parcel industry should also adopt a modern commercial business model and mindset. While focusing on the market and their customers, they should also create an atmosphere for profitability to drive shareholder value. With these strategies, post and parcel operators will be able to perform even better to succeed and innovate in a rapidly changing business environment.


 

SendMyShipment.com

Value and efficiency will usually top your priority as a business or an individual in need of post and parcel delivery services. Here at SendMyShipment.com, we strive to give you the value you so much desire. This is made possible through our strategic partnership with some of the best post and parcel logistics provider in the industry today.

Just enter the details of your parcel on our website and you can get free quotes at competitive rates from multiple carriers at no cost. You can as well contact us at info@sendmyshipment.com for more information. We’ll be glad to help.