Archive for Downsizer For an ethical approach to consumption
 


       Downsizer Forum Index -> Small Business Questions, Ideas and Advice
powerjen

Royal Mail Prices Going Up Again...

Hi,

Not totally sure where to put this so please move if it's in the wrong place. I've had a letter from the Royal Mail this week saying that they're going to be putting their postage prices up again this April. They say that they're going to publish their prices early March so people can prepare for the change.

I just thought it was worth putting it on here so that if anyone needs to stock up on postage stamps at the current prices they can start it now. Last year before the huge price rise the Royal Mail limited the number of stamps available at the old price so people couldn't stock pile too many. NO doubt they'll do the same this year too.

I know that the Royal Mail had been forced to cap the price that a 2nd class stamp could go up to last year (it went up to 50p), the maximum price cap was 55p and that runs out April this year, so in theory it could go up to 55p or more for 2nd class. So far, it's guesswork as to what the new prices will be, but I'm assuming it's not going to do any of us any favours.
sally_in_wales

oh what a pain, the last jump which took the typical price of a parcel I sent out from about 1.50ish to 2.70 in one go was bad enough wonder what the same parcel will work out at this time. Its already the case that customers often end up paying as much for their postage as they do for their purchase Sad
Rob R

We, as in Downsizers, should be welcoming this though, surely? As it again discouraging national trade and making local trade more competitive.

It's certainly encouraging me to make better use of e-mail and sending documents online.
sally_in_wales

my worry is that high postage prices put people off ordering from small artisan businesses, and drives them to a 'convenient' supermarket
Midland Spinner

Local is all very good when it's meat, veg or other foodstuffs, but not necessarily so good when it's more specialist.

Not every village has someone who can make you a stone age bone flute, a handmade table, custom made tailoring or a C16th fulled bonnet. And not every village has enough specialist customers who want a stone-age flute or whatever.

If you take your argument to its logical extreme we'll lose all the specialist skills that require a wider customer base, like jewellers, artists, blacksmiths, woodworkers etc. That really would be a shame.
Rob R

Local is all very good when it's meat, veg or other foodstuffs, but not necessarily so good when it's more specialist.

Not every village has someone who can make you a stone age bone flute, a handmade table, custom made tailoring or a C16th fulled bonnet. And not every village has enough specialist customers who want a stone-age flute or whatever.


Which makes them rare & valuable skills that should command a decent price which makes the postage costs less significant. Food stuffs can be just the same and very specialist. If I had to rely on local trade it would be a very different product.

I'm not arguing that postage prices should necessarily go up, merely that we can't expect consumerist tendancies to go up & down according to our needs. I am assuming, of course, that the postal prices are across the board & not just aimed at small traders.
powerjen

Whilst I agree that we should be supporting local trade, these postal hikes don't affect the large national companies because they can afford to absorb the postage price hikes for sending goods out to customers.

Unlike someone like me, who lives rurally and can't rely on local sales, so almost all of my sales are from the internet and I am not able to absorb the extra postage costs and whilst times are already tight for orders generally, let alone the lessening margins on products as raw ingredients go up in price, I will once again have to charge my customers more and I won't see a penny of it!

My hope is that they reallocate the pricings at the lower end of the parcel weights. Having a flat rate from 0g - 750g for a parcel is ridiculous. As Sally said, some of my postage costs went up 1.50 overnight too.
vegplot

RM increasing prices may be a good thing. Private delivery companies will be able to exploit the pricing to their advantage. Shop around.
Rob R

Whilst I agree that we should be supporting local trade, these postal hikes don't affect the large national companies because they can afford to absorb the postage price hikes for sending goods out to customers.


I don't think we can assume that either, some big names have gone down this year and franking is only a few pence cheaper than stamped mail.

The thing I've noticed about the increase in Royal Mail charges is that I'm making more use of courier companies. They may or may not be much cheaper than RM but as they come to the door to collect, versus the drive down to the Post Office, the latter becomes more competitive when you consider your time & fuel.
LynneA

On the other hand, private companies are not obliged to provide a daily to the door delivery.

And thinking of some of the grief that courier companies put us through, (depots too far away to collect, drivers "not obliged" to follow delivery requests) at least matters with the Royal Mail are easier to resolve. For the moment. Once it gets sold off and becomes just another private delivery service it will be just as bad as the others.
Rob R

On the other hand, private companies are not obliged to provide a daily to the door delivery.

And thinking of some of the grief that courier companies put us through, (depots too far away to collect, drivers "not obliged" to follow delivery requests) at least matters with the Royal Mail are easier to resolve. For the moment. Once it gets sold off and becomes just another private delivery service it will be just as bad as the others.

Really? I think a letter, delivered to anywhere in the UK for less than a quid is amazing value, but I don't find them particularly easy to follow delivery requests and you have to pay a fair bit more to get them to collect. I've had bad couriers in the past (such as the one that delivered half a lamb 14 days after I sent it) but lately I've had 99% sucess rate on the day they say they'll deliver and 1% the following day. It's swings & round abouts but each have their uses.
powerjen

I have used couriers for heavier items in the past but because I sell toiletries and their classed as liquids - strictly I'm not supposed to use them as their forbidden items. I do use Hermes (they don't care what you send) but the guy who collects here finds it difficult to get up my driveway... (dont' ask) and only do 3-5 day delivery. Royal Mail is the only way that small businesses can get lighter weight items sent out to customers in a timely fashion i.e one or two days and and not at courier prices.

Whilst it is also great that there are other companies such as TNT trying to give RM a run for their money for business mail services, I think I am right in saying that this year the RM will introduce a new surcharge to deliver their items so Royal Mail might be shooting themselves in the foot twice this year.
Rob R

Try APC, they'll carry just about anything that isn't illegal, alive or explosive. powerjen

I'll have a look at them, thanks Rob.
       Downsizer Forum Index -> Small Business Questions, Ideas and Advice
Page 1 of 1
Home Home Home Home Home