e-Commerce as Russian Post’s key growth driver for the next 5-10 years
21.02.2017 128 views
Dmitry Strashnov, General Director of Russian Post, discusses the outlook for his company as he presents a new programme, A Queue-Free Post, in Moscow.
Russian Post is currently processing huge volumes of outbound and incoming international parcels as their numbers rise to over 300m today from 100m three-and-a-half years ago. By Russian Post’s expectations, 2017 will set a new record of 400m. Mr Strashnov says that daily volumes of international mail have grown exponentially, from 50,000 parcels in a peak season in 2012-13 to 1.5m at 2016-year-end at the time of New Year sales. Yet against these odds, Russian Post carries on delivering each and every parcel.
“We are living in an age of e-commerce, which will be the key growth driver on a five-to-ten-year horizon,” says Mr Strashnov. His company is now focussed on upgrading its sorting and logistical infrastructure to be able to process large volumes and deliver on time.
Russian Post is fully aware that the sector of written correspondence is set to transform over the next five-to-seven years, gradually shifting from offline to online, Mr Strashnov says. Russian Post is already piloting, quite successfully, a new product – a registered e-letter, in Moscow and elsewhere.
“We expect that the correspondence now sent out by government agencies to people will eventually migrate online. Indeed, it may take a hybrid form, where you have to print forms and notices as you reach the ‘last mile’ - or it may be a fully online item. We are not going to be mere onlookers watching how the sector of written correspondence moves online. We will be doing our best to be the agent of change here to lead the process,” he says.
Mr Strashnov adds that the financial services in which the Postal service has been involved for over 300 years now are migrating to a new, banking format. Speaking of Post Bank (established last year), he calls its first performance results ‘astonishing’. And he believes that cash transfers will soon give way to wire payments.
“We are already using mobile terminals to accept utilities and other payments as we visit our customers who want to pay from home from their debit or credit cards,” says Mr Strashnov, adding that all post offices will have at least one Post Bank window to offer basic customer service.
Source: Retail & Loyalty