Fear for local communities, businesses with NZ Post chopping services – Editorial
THE FACTS
- NZ Post will close 142 post shops nationwide this year.
- Parcel services, which now make up 65-70% of NZ Post’s revenue, will be the company’s focus.
- Closures are expected to particularly affect older people and those without digital access, with impacts on community interaction and local businesses.
Another year, another cut to NZ Post services.
Last week the company announced it will close 142 post shops nationwide this year, including partner stores at Four Squares, dairies, bookstores and pharmacies.
It follows an update to the Deed of Understanding with the Government, with the key change to reduce the required number of postal outlets from 800 to 500, with a path to reduce the minimum to 400 in coming years.
Despite the closures, NZ Post says 90% of New Zealanders in urban areas will be within 4km of a post shop.
For many of us, posting a letter may be a distant memory; others who have grown up in a digital world may have never done it.
Addressed letter volumes have consistently declined over the past decade to fewer than 200 million, roughly a quarter of the 2012 level, according to Ministry of Business, Innovation and Employment data.
However, we’re shopping up large online, meaning greater demand for parcel deliveries. NZ Post says parcel services now make up 65-70% of its revenue.
Not all of us are living online though. For some people, the post shop remains a key part of their community, not only for posting letters.
Business owners and community advocates have voiced concerns about the impact of closures, especially on older people who rely on the service, including for paying bills.
The personal interaction at their local shop is also important for many people.
For those with disabilities, no access to transport or financial challenges, travelling further to access services is not an easy option. Technology, which provides an alternative to postal services, is a barrier for those who are not digitally literate.
The closures will have a flow-on effect for retailers with a reduction in foot traffic and subsequent drop in revenue. That has the potential to affect employment and the viability of some businesses.
The Herald’s The Front Page podcast reported NZ Post’s move follows a long line of postal groups around the world scaling back as we enter an era dominated by tech. Czech Post closed 300 post office branches, the Greek postal service shut more than 200 last year, UK networks have gone through rolling waves of reductions, and Denmark has stopped traditional letter delivery entirely – an end to a 400-year-old service.
With NZ Post also reducing the number of mail delivery days, is the writing on the wall for snail mail? And what wider impact will that have on communities?