Postal Hub podcast

The third part of the 10-year anniversary series features Cathy Morrow Roberson, Managing Director at Logistics Trends and Insights, Mike Richmond VP Returns at Blue Yonder, and Mark Fallon President and CEO at the Berkshire Company.

Cathy Morrow Roberson discusses:

• Competition in the last mile in the USA, and the death of the duopoly
• Retailers building out their own last mile delivery networks
• Role of gig workers in US last mile delivery
• Regional parcel carriers
• E-commerce returns, including returns policies and fraudulent returns

Mike Richmond covers:

• Disruption in the last mile... and what has stayed the same
• Evolution of out-of-home e-commerce delivery

Mark Fallon shares perspectives on:

• The post and print industry's perfect storm: print technology, Louis DeJoy's plan for the USPS, and impact on tariffs on print
• Previous review of the USPS in President Trump's first term, and current speculation on privatisation of the USPS

The second part of the 10-year anniversary series features Achim Dünnwald, Group Area Managing Director for Central Europe at GLS Group, Kate Muth, Executive Director at IMAG, and Brody Buhler, CEO at Escher Group.

Achim Dünnwald discusses:

• Drivers of B2C parcel volumes and the return to "normal" post-COVID-19
• The growing emphasis on demands for flexibility over speed and reliability in parcel delivery.
• Role of out-of-home delivery in fulfilling customer needs
• Retailers such as Temu and Shein driving volume
• The role of AI in delivery

Brody Buhler covers:

• Changes in how consumers buy online
• Inventory placement and fulfilment
• Competition in delivery - even from marketplaces and retailers - leading to fragmentation in the delivery market
• Importance of delivery speed to retailers
• How technology is changing the postal sector and last mile
• AI driving change in consumer interactions

Kate Muth discusses:

• The evolution of Advance Electronic Data, including UPU initiatives
• Data, tariffs, de minimis, and the global exchange of data
• Demand for information on "what's in the box"

The Postal Hub Podcast is 10 years old! To mark this milestone, postal and delivery experts from around the world are sharing their perspectives on the last 10 years in the sector. The first part of the series features Holger Winklbauer, CEO at International Post Corporation, along with international postal and delivery experts Peter Somers and Derek Osborn Peter Somers discusses:

• Trends in e-commerce growth
• Postal operators transforming to focus on parcels
• Domestic vs cross-border parcels
• Covid upending the delivery landscape
• 20-minute delivery in UAE
• Competition in the last mile
• Response to declining letter volumes
• Customer delivery preferences in Middle East, including residential vs out-of-home

Holger Winklbauer covers:

• Small parcels originating from China in the international postal system
• Demand for faster cross-border delivery
• Changing international rates and impact on parcel flows
• Role of consolidators, forwarders and airlines in cross-border e-commerce
• Getting warehouses closer to customers
• Online retailers taking logistics in-house

Derek Osborn discusses:

• Change in the postal industry
• Managing the USO
• Culture change
• Predictions of postal doom
• Recognising the value of the post
• Repositioning the post

Parcel volumes are fluctuating, there's downward pressure on parcel pricing, and staff retention is increasingly important in warehouses and sorting centres. Dirk Van Lammeren, Chief Commercial Officer at Prime Vision, shares how robotic sorting solutions enhance sorting centre operations. We cover:

• The major challenges facing sorting and warehousing
• Planning and organising challenges in warehouse operations
• Investment considerations when planning sorting centres
• Capacity and the pressure on pricing
• Striking a balance between investment and looking for efficiencies
• Growing industry focus on employee wellbeing
• Role of warehouse tech in attracting and retaining staff
• Shift from automating to reduce staff, to automating to help retain staff
• Example of technology improving working conditions for staff
• Robotic sorting - using autonomous machines to assist workers
• Fully autonomous vehicles requiring no navigational assistance
• Integrating robots with sorting systems (e.g. belts and chutes)
• How robotic sorting can help with flexibility and volume
• Improving throughput
• Flexibility of robotic sorting, including moving sites
• Worker safety in sorting centres
• How staff interact with their robotic co-workers

Mario Treinen, Director Post Courrier and Logistics at Post Luxembourg and CEO of Inflow, talks about Post Luxembourg's big move into B2B parcels.

• Letter volume trends in Luxembourg
• Growth in B2C parcel volumes
• The B2B parcels opportunity
• Taking the B2C experience to B2B customers
• Inflow subsidiary coming out of its Michel Greco business
• Expanding beyond express B2B deliveries into transport and logistics
• The full range of Inflow services, including temperature-controlled delivery, warehousing, customs services, and more
• On-premises value added services for some customers
• How the B2B and B2C businesses interact
• Leveraging the postie network for selected B2B deliveries
• Cross-border B2B opportunities, including European next-day
• Managing mail rooms and other value added services

Kate Muth, Executive Director at IMAG, and Ellen McClain, Special Advisor to International Bridge and former deputy assistant secretary at Homeland Security, discuss reform of de minimis arrangements in the USA and Canada.

• Future Borders Coalition report on low value shipments
• History of de minimis in the USA
• Purpose and current rules for de minimis shipments
• Inbound de minimis volumes
• Concerns about illegal and illicit goods being imported using de minimis
• Benefits to consumers and some online sellers
• Weaknesses in the current de minimis system
• Areas that require reform, including poor data
• Collecting better advance data on cross-border shipments
• Using technology for pre-screening of goods prior to shipment
• Pre-clearance of goods
• Laws on fulfilling orders cross-border and eligibility for de minimis
• Would harmonisation on European regulations assist?
• Treatment of postal items vs courier items
• Missing data elements on cross-border shipments
• Difficulties in determining country of origin
• Compliance tools

Professor John Colley from the Warwick Business School, discussing mergers and acquisitions in the food delivery sector.

• Just Eat Takeaway's acquisition of GrubHub, and the pandemic demand for home delivery
• Post-pandemic food delivery trends
• Sale of GrubHub and Just Eat Takeaway's acquisition by Prosus
• Immense demand for businesses in 2021 and early 2022
• Timing of M&A activity
• Avoiding high prices in M&A
• Factors that inflated GrubHub's value
• Investors betting on industry consolidation
• Does size matter in M&A, and how big is big?
• Delivery companies being bought by private equity

Cathy Morrow Roberson, founder and principal at Logistics Trends and Insights, analyses UPS's recent shift from Amazon to B2B parcels.

• UPS reducing its Amazon volumes by 50%
• Current Amazon volumes and revenue for UPS
• Amazon taking parcel volumes in-house
• Cost in the UPS network
• SurePost and the USPS announcement that discounts would cease
• SurePost pricing and destination regions
• UPS profitable parcels, parcel pricing, and the competition
• Growing emphasis on B2B delivery at UPS, including pharmaceutical and healthcare
• Return to the office edicts and consumer delivery preferences
• Retailers taking control of their own parcel volumes, eg Walmart Spark

Jenn Morris from Ship Happens joins us to analyse the opportunities for postal operators in food delivery.

• Understanding the current food distribution network set-up
• Opportunities in semi-perishable food delivery
• Refrigerated and temperature-controlled transport
• Food products already being distributed via the post
• Temperature ranges and compatibility in transport
• The direct-to-consumer opportunity
• Specifications for shipping food items
• Practicalities of food delivery. including doorstep delivery, temperature monitoring
• Sailing schedules for food pickup and delivery, and implications for pricing
• Optimising space in refrigerated vehicles
• Setting up a pilot programme for food delivery
• First steps for a post setting up food delivery concept

Mindaugas Cerpickis, Director at Copenhagen Economics, analyses proposed changes to the universal service obligation in Norway.

• Background to USO reform proposals
• Posten's current USO, including delivery standards
• Alternate day letter delivery
• Out-of-home delivery for letters
• Electronic notification for letter delivery
• Option for weekly residential letter delivery
• Anticipated savings in last mile letter delivery
• Exceptions to proposed letter delivery changes
• Ensuring access to the letter service for vulnerable users
• Managing over-the-counter letter delivery
• Options for delivering letters with parcels
• Electronic notifications options
• Consultation process and timeframe
• European Postal Directive