Ep 296: Analysing major trends in the European postal sector

Mindaugas Cerpickis, Managing Economist at Copenhagen Economics, discusses the state of the European postal sector, including declining letter volumes, growing parcel volumes, competition in the last mile, sustainability, and more Postal sector in Europe is expanding in terms of revenue and headcount Growth in total carbon emissions Larger, heavier parcels in the delivery stream Is e-commerce better for the environment than in-store shopping? The irrational behaviour of consumers when shopping online How regulations affect CO2 emissions Transition from letters to parcels What failure to adapt means for the bottom line Competition and market share in parcels Parcel pricing and the ability for postal operators to be competitive Network design and cost-efficiency of parcel delivery Increase in State aid during the pandemic, and complexities of State aid Accelerated letter volume decline Letter pricing, reducing costs in letter delivery (leading to alternative delivery models), and State aid Getting approval for changing letter delivery models Emerging trends that will impact the postal sector in coming years Green transition of the postal sector Role of postal regulators and policy makers in helping posts reduce emissions