SURVEY - POSTAL SERVICES USE BY CITIZENS AND BUSINESSES

 Filenews 14 March 2024

OCECPR, within the framework of its responsibilities and regulatory role, has conducted for the third consecutive year two Pancyprian surveys, addressed to citizens and small and medium-sized enterprises, respectively, for the collection of data and information related to the use of postal services, such as their frequency of use, total expenditure on postal services, etc.

The two surveys were conducted in parallel, in the period October-December 2023, on a sample of 1042 citizens and 500 small and medium-sized enterprises belonging to the retail sector that systematically send parcel-packages.

The main results of the surveys are as follows:

Citizens

1. In 2023, 9 out of 10 respondents have used some kind of postal services. Specifically, 87% of citizens have used postal services in the last year, showing a decrease of 8% compared to November 2022 and 6% compared to October 2021.
2. The use of postal services to receive letters-documents and parcels was about three times higher in 2023 than the use for shipping.
3. Cyprus Post remains the main postal provider for receiving letters (96%), with the bulk of letters received by citizens relating to utility bills, taxes and bank statements.
4. Regarding parcel collection, the main postal providers are ACS Courier (65%), Cyprus Post (51%), GAP Akis Express (25%) and DHL (19%), with the main parcel collection locations being from the provider's premises and their home, with 60% and 50% of respondents respectively.
5. Cyprus Post remains the main postal provider for letter sending (80%), while for parcel shipping the main postal providers are ACS Courier (57%), Cyprus Post (45%), GAP Akis Express (36%) and DHL (13%).
6. The average frequency of receiving letters decreased from 40 times a year in October 2021, to 33.4 times in November 2022 and to 26.7 times in December 2023, while respectively the average frequency of receiving parcels increased from 14.2 times a year in 2021 to 14.3 times in 2022 and to 16.8 times in 2023.
7. The average frequency of sending letters decreased from 21 times a year in October 2021, to 19 times in November 2022 and to 17.2 times in December 2023, while respectively the average frequency of sending parcels increased from 11.1 times a year in 2021, to 11.5 times a year in 2022 and to 16.9 times a year in 2023.
8. Respondents consider the cost of sending letters reasonable but consider the cost of sending parcels high, although 72% do not bother to compare the prices offered by different providers.
9. Regarding the level of satisfaction of respondents with the process of receiving parcels, while generally presented in 2023 to remain at the same levels as in 2022, private providers, with a score of 8.5/10, seem to outperform Cyprus Post, which was rated with 7.5.
10. The average annual expenditure on sending/receiving letters for 2023 compared to 2022 has increased from €37 to €60 per year, respectively (this increase is probably due to the increase observed in the prices of local private postal providers), and on sending/receiving parcels from €83 to €117 per year.
11. The main criteria for choosing a postal provider are habit – previous cooperation (25%), geographical proximity (i.e. there is no one else in my area) (24%), and good service (18%).
12. Respondents rate the arrival of items at the right destination and speed of delivery as more important in relation to usage characteristics.
13. Only 27% believe that letters should be delivered the next business day after they are sent, while 44% consider it reasonable to deliver within 2 working days, 16% within 3 working days and 10% within a week.
14. In relation to e-commerce, the percentage of consumers making online purchases is stabilized in 2023 (65%) compared to 2022 (64%), but is reduced compared to 2021 (71%), which is most likely due to an increase in e-commerce volumes in 2021 due to the restrictions imposed to control the Covid-19 pandemic. The frequency with which consumers shop online shows a similar trend, with the average number per month standing at 1.6 for 2023, 1.5 for 2022 and 2.0 for 2021.

In business

1. The percentage of SMEs surveyed using private postal providers to send parcels has increased compared to 2021 from 53% to 63% in 2022 and to 64% in 2023, while the percentage of those using Cyprus Post has decreased from 47% in 2021 to 44% in 2022 and to 30% in 2023.
2. The average annual expenditure of small and medium-sized enterprises has decreased for sending parcels compared to 2021 from €654 per year to €612 in 2022 and to €592 in 2023, and for sending letters from €295 to €288 to €246 per year, respectively. The average annual expenditure of SMEs with up to 9 employees for parcel shipping ranged to 464 euros, while for SMEs with 10-49 employees it ranged to 1,100 euros, with the majority of packages sent being small in size.
3. 71% of SMEs ship small parcels, 54% medium and 23% large packages.
4. Small and medium-sized enterprises use Cyprus Post on average 1.2 times per week, showing an increase from 1 time per week in 2022, while private providers 3 times a week, showing an increase from 2.3 times per week in 2022.
5. The usual places of receipt of parcels are the business premises with 79% and the premises of the postal provider with 16%.
6. The main postal providers used by SMEs to send parcels to their customers are GAP Akis Express (53%), ACS Courier (50%), Travel Express (31%) and DHL (9%).
7. Business satisfaction with the services offered by postal providers appears to have stabilised. Specifically, satisfaction has ranged from 8.3 (2021) to 8.4 (2022) and 8.5 (2023) for private providers, and from 7.5 (2021) to 7.6 (2022) and 7.4 (2023) for Cyprus Post.
8. The satisfaction of SMEs with the process of receiving parcels from Cyprus Post has increased compared to 2022 from 7.2 to 7.4, in 2021 it was 7.5.
9. In relation to prices, only a very low percentage of SMEs (4% for letters and 12% for parcels) consider Cyprus Post's charges high, while a higher percentage (35%) of SMEs consider private providers' charges high.
10. 57% of SMEs have some kind of agreement with one of their private providers on shipping and/or billing.
11. The percentage of small and medium-sized enterprises that have received complaints from their customers about the postal provider they used to send them a parcel-letter fluctuates. Specifically, in October 2021 this percentage amounted to 11%, in 2022 to 8% and in 2023 to 11%.
12. 38% of SMEs compare the prices offered for parcel-letter shipping from different providers before shipment and to a greater extent for parcel than letters.
13. The main criteria for choosing a postal provider are financial criterion (40%), delivery time (38%), ease of dispatch (36%) and delivery method to be used (27%).
14. As in the case of citizens, small and medium-sized enterprises also consider the arrival of items at the right destination and the speed of delivery as the most important usage characteristics.

The detailed results of the surveys are available in power point format at the following links:

https://ocecpr.ee.cy/agora/paratiritirio-agoras/analyseis https://ocecpr.ee.cy/katanalotes/eikona-agoras/erevnes-katanaloton