New Post Code will help Smart Economy

 The Irish Exporters Association today, 21 st Sept welcomed the announcement by the Minister for Communications Eamon Ryan TD that a modern post code system would be introduced in Ireland.

John Whelan, CEO of the IEA stated ;

"The Minister should ensure that the tender for the new system calls for the very latest technology to be utilised. There is opportunity for Ireland in coming late to the modern post code system to jump ahead of other countries who have for many years being using the post code system. The Minister should ensure this opportunity is not overlooked, and in doing so adds to the SMART economy model we are striving to achieve."

On the question of capital cost and on going operating cost of the new system, John Whelan had this to say;

"The current postal system is inefficient and is believed to be adding 20% to 30% to the sorting / routing costs in An Post. Hence, it should be possible to introduce the system in a cost neutral way, offsetting capital cost with current operating savings."

However, he went on to say,

"The new system will give An Post a whole new range of marketing tools to offer both consumer and industry , adding value and a new income stream to their current range of services."

 

The IEA also advised;     

  • Ireland is the only EU or OECD country without a postal code system
  • Irish exporters rely on rapid parcel import services more heavily than most of their foreign competitors, to complete processing in Ireland, add value and then re-export. This is being hindered by lack of a universal post code system.

 

Business generally would benefit from a universal postal code system as a result of;

  • More efficient sorting, which would go a long way to help An Post reach the Com Reg target for next day delivery of 94%. Current levels are running at approx 75%
  • Reduction in the level of returned mail, which is currently running at approx 2% to 6%
  • Increased ability of business to do target marketing and reduce on wasted cost and irritation factor to unintended mass market recipients

 

The IEA chief executive concluded by saying;
"The government has been in review process on a modern post code system since 2006, PA consulting were brought in by the Government in 2007 to advise on the best options. It is essential now that the decision has been made to go with the new system, to move rapidly to install the system. Certainly the Minister for Communications should be targeting a maximum 12 month cycle to introduction and not any longer."

 

 

For further information, please contact:     


John F. Whelan, Chief Executive, Irish Exporters Association

Mobile: 087 927 1243 or     Email: jfwhelan@irishexporters.ie

 

 

About the Irish Exporters Association (IEA)

The IEA represents the needs of export industry ensuring that the necessary conditions are created and the necessary support is provided to assist companies to maximise their export sales. The IEA draws its membership from every exporting sector, ensuring that the interests of all industries are represented

and promoted at the highest level.

www.irishexporters.ie

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