Annual Report 2015

Business environment and strategy

As a company, Posti is in a completely different situation than five years ago. Digitization is reducing daily mail delivery volumes, while letter volumes are declining at an annual rate of approximately 10%. Posti’s monopoly position will permanently become a thing of the past in 2016 when an amendment to the Finnish Postal Act makes it possible for practically any operator to offer mail delivery services.

Digitization and competition are revolutionizing the future of the postal industry as a whole. Due to declining volumes, mail delivery will become a substantially loss-making activity by 2019 barring improvements in operational efficiency and the development of new business. We want to take a pioneering role in this period of transformation.

The strategic goal of Postal Services is to hold a leading position in personal communications and services delivered to homes, as well as multi-channel and real-time targeted marketing.

The aging of the population creates demand for home services, and home services also provide business opportunities for Posti. We will also introduce new marketing services and make digital marketing solutions a stronger part of our service offering. Growth opportunities can be found in both multi-channel marketing and the utilization of data. By developing various regional models, our Press Services unit can be an attractive partner to both existing and new customers.

In addition to growth, we also want to ensure profitability. This will be pursued through a renewal of our product offering, pricing, the development of delivery models, and new sorting technology. This process of renewal will also benefit our customers: our services will become even better at making their everyday life smoother.