Post Office reports 'strong' Christmas performance

[TrueBlueTerrier]

https://www.talkingretail.com/news/indu ... 1-01-2021/

The Post Office has reported a 17% year-on-year increase in total network income, posting £66.3m in sales, for the peak Christmas period from 30 November to 27 December 2020.

The company said its network availability was in line with the same period last year despite the pandemic, with 11,450 branches open, totalling more than 99% of the network.

In addition, footfall was consistent with the same period last year, with 51.3 million customer transactions during the four-week period (-0.5%).

The week beginning Monday 7 December was the Post Office’s busiest week of the year, with 15.1m customer transactions, two-thirds of which were mails transactions.

The company reported that its mails and parcels services increased significantly during the festive period. Drop & Go – its fast-track service for businesses and online sellers sending parcels – also increased sales value by 87%.

In addition, the company said its cash and banking services remained “resilient”. In the period 30 November to 27 December, £1.56bn was deposited and £630m was withdrawn at Post Office branches, only 10% lower than the same period last year.

Bill payment volumes increased by 27% across Post Office and Payzone during the period due to the benefit of the British Gas contract from January 2020 despite mild weather contributing to lower demand for energy top-ups.

However, Post Office Travel Money has seen a 69% year-on-year decrease in like for like sales because of pandemic related travel restrictions.

Postmaster variable remuneration increased on average by an estimated 20% compared to the same period last year.

Post Office chief executive, Nick Read, said: “After a very challenging year for much of the retail sector, I am pleased to see 17% growth in network income over the Christmas period thanks to the hard work of postmasters. The mails market, particularly for parcels, remains very strong driven by the growth in online retailing.

“Our physical presence has been vital across the UK, with customers enjoying the convenience, expert advice and safe hands that our postmasters offer, in addition to the invaluable support they have provided to local communities during the pandemic with 99% of the network remaining open.”