Small businesses are turning their back on Royal Mail in the face of severe delays, instead using other couriers, despite the fact that doing so has, in many cases, doubled their shipping costs.
Royal Mail has been striking over pay and conditions with numerous more strike days planned for December, severely affecting the delivery of Christmas post and parcels.
An i investigation revealed that even before the latest wave of strike action began on Wednesday, images and video show sorting offices were already facing a huge backlog.
As a result, firms have decided to take their business elsewhere after customers have complained about delays and, in some cases, asked for refunds.
Martin Gerhard, 51, said his gifting firm Boostology started using Evri and DPD two weeks ago, despite having used Royal Mail with no problems since 2019.
He said: “We stopped using the Royal Mail last month as I knew it would be an absolute car crash in December if we continued using them. Both Evri and DPD work out more expensive than the Royal Mail for us, but we didn’t really have a choice.
“For smaller items that go in padded envelopes the price is over double what we pay with the Royal Mail. For parcels, DPD is around 50 per cent more expensive.”
Some are concerned that they may receive bad reviews online as a result of the delays, which could have a negative effect on future business.
Others have moved away from Royal Mail, worried their items will get lost.
Ann Edwards, owner of www.mamehuku.com, which sells vintage kimonos and other rare items, has used Royal Mail since the business started 12 years ago but switched to other couriers six months ago.
The 61 year old said: “Now, I generally use DPD via Parcel2go and book the collection online. It is slightly more expensive but they pick up from my office when they say they will and the item will be delivered. It is simpler, easier and more reliable.
“With Royal Mail, I have ordered something from a supplier this month that just hasn’t arrived. This is a real problem as I cannot finish the project without the supplies I had ordered. What am I supposed to do? It’s just ground to a halt. It’s impossible to work like that.
“My kimonos are too valuable and irreplaceable if they get lost. I’m not prepared to jeopardise my relationship with my clients by my carefully and lovingly created collections getting lost by Royal Mail.”
Although there appears to be a wave of businesses moving away from Royal Mail, it is likely that firms will use them again in the future, as they are cheaper.
Harriet Hastings, boss of biscuit firm, Biscuiteers, uses multiple couriers, including Royal Mail, for her firm which expects to send 50,000 to 60,000 parcels in December.
She said: “There is no doubt Royal Mail are the cheapest service. They have the infrastructure and volumes to offer the cheapest price which is a positive thing for small businesses as they can compete with bigger brands and offer competitive shipping prices to customers.”
Despite this, she admits Royal Mail, alongside other couriers, have let her down in recent times.
“We have seen an uptick in complaints about lost and delayed parcels over the last week as system starts to back up. This far out from Christmas we can mitigate the problem to some degree but it’s going to get a lot worse as we get closer to the date if there is no resolution. We are already suggesting customers use our courier option if they want a guaranteed delivery date.”
For businesses, and consumers, it can be a delicate toss up between which courier is cheapest and which is the most reliable, especially when it comes to sending Christmas presents.
Martyn James, consumer expert, said: “Ultimately, businesses are pragmatic. They’ll go with the delivery firm that gives the best rates, but also costs them the least in returns and damaged or disputed parcels.”
“So Royal Mail will be back, but the current delivery firm model still leaves customers open to poor service with no ombudsman to complain to or often even a telephone line to call if there’s a problem.”
This is one of the key frustrations of businesses. Although they can complain to Royal Mail should there be a problem, there is no ombudsman to take the complaint further.
However, there is a Postal Review Panel which will investigate if you’re not happy with Royal Mail’s response. You can use their online form or write them a letter. They should get back to you within 30 days.
A Royal Mail spokesperson told i it has “well-developed contingency plans in place” to ensure customers are looked after and it seeks to minimise delays.
“We have been doing a good job of quickly recovering from industrial action and have been improving our recovery. We thank our customers for their understanding.”
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