TNT to take on Royal Mail by offering end-to-end delivery UK-wide
SOON to be privatised Royal Mail may loosen its grip over its monopoly on "last mile" delivery in the UK, with TNT Post UK seeking to extend its market reach in this sector by launching "end-to-end" delivery in Manchester from November.
Operating from 11 local depots with 1,000 staff, TNT Post UK will serve both domestic and business locations. It says it will "track and trace" every item delivered, using its already operational "Ontrack" system.
The new service for Manchester complements an existing delivery service in operation in west and south London, which commenced last year. TNT Post is known to be conducting trials and research in other parts of Britain, mainly in urban areas, reports UK's Transport Intelligence.
The development of a last-mile capability is significant, not least because TNT Post is a major player in both the bulk mail and addressed mail segment of the wider mail market, which used to be reliant on Royal Mail's local delivery capabilities.
"The implication is that TNT Post now has the potential to increase its already significant market-share, largely at the expense of Royal Mail as a result of a more integrated service offering," the report said.