India Post is creating a new image and upgrading its post offices to boost the company’sinfrastructure and enhance postal services in the country. It has therefore partnered with the
leading Indian advertising agency Ogilvy and Mather (O&M) to help design a new logo and newuniforms keeping up with its new image. In addition, the postal operator takes advantage of risingfuel prices as it becomes more competitive compared to private operators hiking their tariffs,according to the Indian newspaper Business Standard.The upgrading project called “Project Arrow” has been launched to initially upgrade 500 postoffices, across 10 circles, mostly in rural areas, by the end of this year.
To form a complete turnaround strategy for the postal department, India Post has also teamedup with the consultancy firm Mckinsey and Co. “This project is all about transformation and changeand to incorporate a greater degree of efficiency,” said Minister of State for Communications andInformation Technology, Jyotiraditya Scindia, responsible for this project.
Under the project, 500 post offices will receive a makeover representing the new corporateidentity. The post department has developed standardised and consistent interior and exteriorblueprints. The offices will also be equipped with uniform modular furniture. “The first phase ofthis project covering 50 post offices will be flagged off on the 15 August. The rest of the 450will be completed by the end of December,” said Scindia. “After gauging the success of this pilotproject, we hope to implement this in the rest of the post offices across the country,” he added.
The minister also pointed out that over 500 postal employees have undergone training toprovide the best service to customers.
He did not comment, however, on the funds invested in Project Arrow saying that they wereaccounted for in the budget and invested through internal accruals.
Separately, India Post is profiting from the soaring fuel prices that have increased by over50% in the past six months. As all airlines have raised their carriage charges, private couriershave increased their tariffs by 8-20% to keep up with the increase. India Post, on the other hand,has not changed its tariffs at all thus becoming more competitive versus private operators. As aresult, the company’s tariffs are 70% cheaper for domestic destinations and 30% cheaper forinternational destinations.
The officials at the postal department said, this would help them raise volumes. When askedif this will burn a hole in the department’s pocket, the officials said India Post was still makingmoney on its courier service.
On the other hand, some private courier service operators countered, they do not see any hugeswing of business in favour of India Post. “The tariff is not the only factor that a customer looksfor; he looks at other value propositions like reliability, safety, transit time and the efficiencythat we offer,” said Chandrashekhar Pitre, head of marketing at DHL India.
Meanwhile, India Post is gearing itself for a makeover to provide stiff competition to theprivate courier services, Business Standard further reported.
“People have the perception that India Post is complacent in its working. We are trying tochange this mindset. So to improve our image we are now directly going to customers and offeringour services as compared to expecting them to come to us, we have a wide range of service for themto choose from,” said an official from the postal department.
Admitting that a lot of companies were not aware of the services provided by the postaloperator, the official added: “We are now looking at strengthening our marketing and sales bymaking the potential customers aware of the services we provide.”
