Not delivering: Industry revenue has declined due to a drop in traditional mail volumes

Operators in the Postal and Courier Pick-up and Delivery Services industry have struggled with a changing operating environment over the past five years. Traditional mail volumes have declined steadily over the past decade as consumers and businesses shifted to alternative communication methods, such as email, text message, phone calls and social media. According to New Zealand Post (NZ Post), the volume of traditional letters delivered to New Zealand households has been falling by 60 million per year over the past five years, significantly affecting revenue. Overall, industry revenue is expected to fall by an annualised 1.0% over the five years through 2017-18. This decline is anticipated to continue in the current year, with industry revenue dropping by 2.2%, to total $2.42 billion...read more.

Industry Statistics & Market Size
Revenue
$2bn
Annual Growth 13-18
-1.0%
Forecast Growth 18-23
Profit
Employment
11,470
Businesses
3,618

Industry Report - Industry Investment Chapter

The Postal and Courier Pick-up and Delivery Services industry exhibits a low level of capital intensity. IBISWorld estimates that for every dollar spent on capital costs, $11.50 is spent on wages. The industry is labour-intensive. Employees are required for the physical delivery of parcels and letters, the operation of post offices and courier agencies, and back-office and administration duties. However, increased automation has reduced the industry's reliance on labour over the past five years. This has caused wages to decline slightly as a share of revenue.Depreciation costs are low, and are typically incurred on delivery vehicles, infrastructure, and mail and parcel sorting processes and computer systems. In ...purchase to read more.

Additional Insights for the Postal and Courier Pick-up and Delivery Services Industry

IBISWorld identifies 250 Key Success Factors for a business.The most important for the Postal and Courier Pick-up and Delivery Services Industry are

  • Proximity to key markets
  • Ability to alter goods and services produced in favour of market conditions
  • Prompt delivery to market
  • IBISWorld analysts also discuss how external factors such as Demand from online shopping and Internet connections in the Postal and Courier Pick-up and Delivery Services industry impact industry performance..

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    What's in this report

    What is the Postal and Courier Pick-up and Delivery Services in New Zealand Industry?

    Industry operators pick up, transport and deliver letters, documents, parcels and other items weighing less than 30 kilograms. Postal service operators pick up items from predetermined collection points such as post offices and postal agencies, whereas couriers engage in door-to-door pick-up (i.e. from residences or places of business).

    Industry Products
  • Courier services
  • Parcel delivery services
  • Letter delivery services
  • Other services
  • Industry Activities
  • Mail service
  • Post office operation
  • Mailbox rental service
  • Mailbox sorting, distribution and delivery
  • Postage stamp selling
  • Grocery delivery service
  • Courier pick-up and delivery service
  • Home delivery service
  • Messenger service
  • Food delivery service
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from online shopping
  • Internet connections
  • Number of businesses
  • Number of households

  • Current Performance
  • Traditional letter volumes
  • Parcel delivery services
  • Industry structure
  • Food delivery services
  • Chart: Revenue Growth

  • Industry Outlook
  • Mail and parcel services
  • Industry changes
  • Innovation
  • Table: Postal and Courier Pick-up and Delivery Services Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Postal and Courier Pick-up and Delivery Services Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Legal Services in New Zealand
  • Banking in New Zealand
  • Consumers in New Zealand

  • Key Selling Industries
  • Commercial Vehicle Wholesaling in New Zealand
  • Fuel Retailing in New Zealand

  • Products & Services
  • Courier services
  • Parcel delivery services
  • Letter delivery services
  • Other services
  • Chart: Postal and Courier Pick-up and Delivery Services Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Other businesses
  • Manufacturers and wholesalers
  • Financial and professional services firms
  • Governments and public services providers
  • Consumers
  • Chart: Major Market Segmentation for the Postal and Courier Pick-up and Delivery Services Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Postal and Courier Pick-up and Delivery Services

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Postal and Courier Pick-up and Delivery Services Industry

  • Industry Globalization
    New Zealand Post Limited, Freightways Limited,
  • Table: New Zealand Post Limited - financial performance
  • Table: Freightways Limited - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Postal and Courier Pick-up and Delivery Services Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Postal and Courier Pick-up and Delivery Services Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Bulk Mail Services
  • Postal services that are offered at a discounted rate based on send large quantities of letters.
  • Letter
  • A postal item weighing less than 500 grams and that is less than 20 millimetres thick.
  • Parcel
  • A postal item weighing more than 500 grams but less than 30 kilograms, and that is less than 20 millimetres thick.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Postal and Courier Pick-up and Delivery Services in New Zealand market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Postal and Courier Pick-up and Delivery Services in New Zealand:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Postal and Courier Pick-up and Delivery Services in New Zealand market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Postal and Courier Pick-up and Delivery Services in New Zealand, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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