Australian Newsagency Blog

A blog on issues affecting Australia's newsagents, media and small business generally.

Parcel pickup woes in the UK

Mark Fletcher
June 19th, 2018 · 1 Comment

Smiths News in the UK has closed its 3,500 outlet strong Pass My Parcel service.

Smiths News has shut down its Pass My Parcel service with immediate effect after announcing “very disappointing” financial performance.

Newly-released interim results predicted that Pass My Parcel would make an even larger loss than last year due to decreased margins.

In a statement, the company said: “After a careful review of the prospects for Pass My Parcel, the group has decided to close the proposition and wind down its associated network of local retailers. We are currently in discussion with key clients to effect as orderly a withdrawal as possible.”

I mention this today because of the debate among newsagents about the value of offering parcel pick up. I know some newsagents who swear by offering parcel pickup and others who dread ever agreeing to take on this service.

Personally, I have no experience in my stores as I see low fee agency business like this of little value for the time involved and the distraction from higher margin retail activity.

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Category: Australia Post · Newsagency management

1 response so far ↓

  • 1 Colin // Jun 20, 2018 at 10:58 AM

    To clarify, Smith News is actually Connect Group and Pass My Parcel is not available in WHSmith stores. The decision is more about the final mile distribution system and how to make or in this case how not to make money from it.

    I would keep away from parcel point business for another reason. You are beholden to the various sub contractors who deliver/collect. When they fail to perform it is the retailer who gets the flack, not the contractor.

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