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Annual Report Magazine FY 2015

AUSTRIAN POST ANNUAL REPORT 2015 37 EXTRAORDINARY. The parcel centre of Austrian Post in Vienna- Inzersdorf served as a unique location for a photo shooting of fashion bloggers. A ustrian Post is playing a decisive role in the development of e-commerce on the Austrian market. It has clearly positioned itself as the market leader in parcel volumes over the past few years, and continues to be on the ball with respect to innovative solutions. And that is a good thing. This is because Austria’s consumers continue to rely on doing things from a distance in terms of their purchasing behaviour. In 2015, the number of people in Austria engaged in so- called “distance selling” (online shopping) via the Internet or via catalogues climbed to almost five million. For the first time, the mail order business generated revenue exceeding EUR 7bn. The data is derived from a review carried out by the Austrian Retail Association, which put a figure on distance selling in the year 2015. Accordingly, the increasing popularity of mobile phones plays a major role in the development of e-commerce. The number of individuals making purchases on their mobile phones rose by 60% to about one million from 2014 to 2015. In particular, young people in the age group of 15–29 year-olds use their mobile phones to shop, comprising a 31% share of all people who do so. They browse and try out products in the stores and then compare prices on the Internet. The best offer stands out and is ordered before their attention is turned to the next object of comparison. Naturally, products repeatedly end up in their shopping carts – in real ones, mind you. Up until now, sponta­ neous purchases online have been difficult due to shipping times. It will be interesting to see how things develop in the future. Very trendy By the way, 38% of all the parcels delivered by Austrian Post contain fashion goods. That is why Austrian Post held a photo shooting in its Vienna Parcel Centre in October 2015 featuring eight fashion bloggers. They were not only impressed by the extraordinary location but also by the services of Austrian Post – and they should know what they are talking about. 91% of all parcels are suc­ cessfully delivered by Austrian Post on the first at­ tempt. Personal contact to the parcel carriers is an­ other asset offered by Austrian Post. “My mail car­ rier already knows me. He always laughs when he gets me out of bed at seven in the morning,” says one participant in the photo shooting with a smile. She is already looking forward to the next fashion delivery by Austrian Post. WELCOME TO THE GLOBAL ECONOMY! The volume of letters and parcels in global postal traffic is increasing in line with the upturn in e-commerce. The initiative “Interconnect” launched by the International Post Corporation (IPC) aims to improve the coopera- tion of international postal companies in order to more effectively manage growing shipment volumes. According to IPC, about 70% of global e-commerce involves cross-border business transactions. A shipment within a country’s borders can usually be traced by recipients at any time. In contrast, it frequently cannot be tracked along postal routes spanning national boundaries. Interconnect has operated as a link among individual logistics companies since 2015, enabling uninterrupted tracking, even in international postal traffic. Furthermore, IPC harmonises and expands the customer services of its partners on the basis of Interconnect, for example making it possible to process returns and offering different delivery options to recipients. Austrian Post is also making an effort to expand its international network in a different area. Its two “Extraterritorial Offices of Exchange” located in Great Britain and Germany show that service à la Austrian Post is also in demand abroad. More specifically, the foreign branch offices of Austrian Post offer comprehensive services to business customers, for example to pick up mail items from customers, sort them and transport them to the respective country of destination. Due to the success of the Austrian Post branch office in Bonn, it was expanded in 2015 to four times its original capacity. A new office was also opened at London-Heathrow in collabora- tion with a local partner. Austrian Post takes good care of customers Austrian Post continues to step on the gas with regard to its delivery quality. Online shopping may be so convenient at the beginning of the de­ livery chain, when goods are ordered. However, at the end the product has to reach the buyer quickly, and above all directly. This is precisely what consumers attach great importance to, now more than ever. Not only is price a decisive fac­ tor in purchasing decisions, but delivery times and the point in time in which consumers re­ ceive the ordered goods at the desired location are also increasingly important. „ AUSTRIAN POST ANNUAL REPORT 201537

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