Evri and Yodel customers are the least satisfied with their experience when it comes to contacting parcel firms for help, Ofcom has found, while Amazon and DHL are the best performers.
Ofcom has published its annual Post Monitoring Report, which sets out data and trends in the postal sector, including people’s experiences of sending and receiving post.
UK addressed letter volumes fell by 9.0 per cent to 6.6 billion items in 2023-24. Despite this continued trend, this year’s research shows that around two thirds (64 per cent) of people say post is important to them for staying in touch with friends and family. Eight in 10 (82 per cent) say there are things they will always need to send by post.
Ofcom’s report also finds that, while on average eight in 10 parcel recipients (78 per cent) are satisfied with parcel firms, two thirds (67 per cent) have had a delivery issue in the past six months. The most common issues experienced are delivery delays (27 per cent), parcels being left in an inappropriate location (23 per cent), the delivery driver not knocking loudly enough (20 per cent), and not being given sufficient time to answer the door (19 per cent).
Comparing courier companies
Consumers continue to use online retail services driving up parcel volumes and this sees growing competition in the UK parcel delivery market. Measured parcels across the UK increased by 8.3 per cent to 3.9 billion items in 2023-24, close to the 4.0 billion pandemic peak in 2020-21.
When comparing individual parcel companies’ performance in handling contacts and complaints from parcel recipients, Amazon (56 per cent) and DHL (55 per cent) secure the highest levels of satisfaction with this process this year. FedEx has slipped to third place, with its proportion of satisfied parcel recipients falling from 58 per cent in 2023 to 52 per cent in 2024.
Yodel performs below average on some aspects of its customer contact processes, contributing to a satisfaction score of 38 per cent, Evri, once again, has the lowest levels of satisfaction. The company has, however, improved on its 2023 performance, closing the gap at the bottom of the table with its satisfaction score increasing from 26 per cent to 32 per cent during the last year.
Early signs of improvement under new regulations
There are also other signs of improvement from parcel companies in some areas of their customer experience.
Customers’ satisfaction with the process of contacting the parcel company to discuss an issue or complaint increased from 41 per cent in 2023 to 44 per cent in 2024. Customers also had less cause to complain about a delayed parcel (19 per cent in 2024 vs 23 per cent in 2023) or a parcel not being delivered (16 per cent in 2024 vs 20 per cent in 2023) than they did a year ago.
Ofcom has strengthened regulations to make sure people are treated fairly by parcel companies, and it is speaking to companies to understand how they are improving their service.
Parcel operators have made a number of improvements to complaints handling, including better information on their websites; improvements to phone lines and live chat; and introducing options for customers to request an email or call back.
Ofcom expects further sustained and continued improvement. It remains particularly concerned that disabled consumers and those with limiting conditions are still more likely to encounter difficulties with the delivery process (71 per cent) compared to other people (63 per cent).
Royal Mail and the universal service
The report also looks at Royal Mail’s financial and efficiency performance as the universal service provider.
Last year, Royal Mail won back some of the parcel volumes and revenues it lost the previous year because of industrial action. However, the company continues to make a loss; and, while it has made productivity improvements, these are behind expectations.
Ofcom continues to have concerns about the longer-term sustainability of the universal service, and we are progressing work on the future of the service, as well as an investigation into Royal Mail’s delivery performance.
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