An Post plans to launch new loyalty scheme for customers

An Post is planning a shake-up of its services, including a new loyalty scheme for its business and retail customers.

Documents filed by An Post related to seeking potential consultants and operators for a scheme confirm that it hopes to launch the new loyalty programme.

A spokesman for the semi-state company has declined to disclose any details for the proposals.

An Post, whose chief executive is David McRedmond, operates a network of 943 post offices and services 2.3 million delivery points every working day.

It operates a number of subsidiary and associated business, including An Post Insurance, Air Business and the Prize Bond Company.

“The rapid growth of technology has created challenges but also opportunities for our business as communication moves online and we rapidly head towards a cashless society,” it noted in a pre-qualification questionnaire for potential operators of its new loyalty scheme.

“As the digital world closes one door on our mail business with e-substitution, it opens another with the world of e-commerce,” it adds.

“We’re changing from one world to another, requiring us to make bold strategic moves to become a sustainable, profitable business.”

In 2020, An Post’s revenues rose 2.6pc to €915m, while it made a profit before depreciation and amortisation of €33m. It incurred €50m in additional costs in 2020 due to the pandemic.

“We require the expertise of a market leader in the loyalty sector to review what we offer currently, analyse the best approach, research what loyalty looks like from An Post, how we should reward and recommend a strategic approach that can be integrated and brought to life internally,” the company noted in its pre-qualification questionnaire.

It said the successful tenderer will be expected to deliver a “cost-efficient, competent and sustainable service for [the] An Post Loyalty Strategy Programme”.

A spokesman for An Post said the development of a new loyalty programme is still in its “early stages”.

“We are always looking at ways to enhance our engagement with customers, especially business customers and SMEs,” the spokesman for An Post told the Irish Independent.

“The process is in its early stages and we look forward to engaging with a supplier to enhance this engagement.”

An Post said it wants to play a “full role” in Irish economic life as the “backbone of e-commerce”. It added that it “will seek to diversify and grow our financial and retail services”.