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Royal Mail has unveiled bold plans to nearly double the size of its out-of-home (OOH) parcel point network by 2030, aiming to reach 45,000 locations across the UK as part of a sweeping transformation of its last-mile strategy.
The plans were first mooted during last week’s Leaders in Logistics Last Mile event in London, where Alistair Cochrane, Interim Chief Executive at Royal Mail, hinted at ambitious OOH network growth. He said that the operator “will double, if not triple” its number of OOH locations in the future.
The current network stands at around 24,000 sites, including parcel lockers, Royal Mail Shop stores, and parcel postboxes. Cochrane added that expanding access to OOH options is critical to keeping pace with shifting customer expectations.
Bringing parcels closer to consumers
The expanded OOH network aims to make parcel drop-off and collection points more accessible than ever. Under the new target, 90% of the UK population will be within five minutes’ walk of a Royal Mail parcel point in urban areas, and within a five- to 15-minute drive in suburban and rural regions respectively.
The company is also continuing to modernise its traditional infrastructure. While Royal Mail’s 115,000 postboxes already accommodate small parcels, 3,500 “postboxes of the future” are being upgraded to accept larger items – up to the size of a shoebox. These solar-powered drop-off points allow tracked parcel sending and returns with proof of posting, all integrated with the Royal Mail app.
This drive to enhance convenience aligns with broader customer behaviour trends, Royal Mail noted. Around 15% of UK parcels are currently delivered to OOH points, but this is projected to rise to one-third by 2030. Locker use, in particular, is surging, with 40% of UK adults having used one in the past 12 months.
Multi-channel expansion strategy
Royal Mail’s strategy to hit its 2030 target hinges on a significant multi-channel expansion. Over the past two years, the company has laid the groundwork, launching its own parcel locker network in late 2024 and last month introducing the Royal Mail Shop brand.
The new brand was launched after Royal Mail’s parent company, International Distribution Services, invested £43.9 million in PayPoint’s Collect+ network, giving it a 49% stake. As a result, nearly 8,000 convenience stores will be rebranded as Royal Mail Shops.
The OOH network expansion will also include accelerating the rollout of lockers in high-footfall areas, maintaining its 11,500 Post Office partner locations, and exploring new innovations, such as self-service kiosks and retailer partnerships to create new drop-off points.
A response to marketplace-driven logistics
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