The UK letters market 2000-2003 (published January 2004)
This market report (pdf, 952 KB) gave information on:
- Key features of the postal market between 2000 and 2003 (28 billion items per year were handled by postal operators; business customers sent approximately 86% of all Royal Mail addressed mail; 67% of all addressed mail was received by domestic customers; 81% of mail originated from urban areas; mail volumes have grown consistently over time, with changes in demand linked closely to the general performance of the economy; demand has shifted from the standard postal product at public prices, to products that offer a discount for customers performing part of the sortation and "upstream" activity themselves.)
- Royal Mail's performance
- The development of competition
- Legal barriers to further competition (Royal Mail's special privileges include an exemption from VAT, customs privileges and parking/traffic privileges.)
- Economic barriers to competition, including economies of scale or scope, and the benefits to Royal Mail that come from its role as a universal service provider.
- An update on the access situation
It was followed later by more detailed assessments of the state of competition in the postal market:
- more on Postcomm's Competitive Market Review;
- see also "Competitive Market Review. Proposals for consultation" (September 2004), Chapter 2.