30 Oct 2019

SingPost introduces new package categories and adjusts postal products to meet eCommerce boom

 

SINGAPORE, 30 October 2019 – To meet the demands brought about by changes in Singapore’s postal landscape, including the growth of eCommerce and falling mail volumes, Singapore Post Limited (SingPost) is adjusting some of its existing products and services with effect from 2 December 2019.

The adjustments, which follow a full review of SingPost’s entire range of products and services, will enable SingPost to better serve the fast evolving needs of the local community and improve service standards.

As part of the adjustment, SingPost will introduce two new postal service categories – Basic Package and Tracked Package.

SingPost will only accept letters and printed papers weighing up to 500g, under its Basic Mail (previously known as Ordinary Mail) service. Rates for Basic Mail remain unchanged. SingPost will also limit its Registered Service (Singapore) to letters and printed papers.

International airmail rates from Singapore will cost $0.10 to $0.20 more, depending on country zones, due to international settlement rate increases made annually by the Universal Postal Union (UPU)1.

1The UPU is the United Nations agency that sets the rules for international mail services among its 192 member countries. The UPU international settlement rate system determines how much an originating postal operator pays the destination postal operator to cover the cost of delivery in the destination country.

 
New postal service categories for packages
 
SingPost will introduce the new Basic Package and Tracked Package service categories from 2 December 2019, specifically for packages weighing up to 2kg. These packages will be delivered to the recipients’ letterboxes. The new international postal rates can be found in the Appendix.
 
The introduction of these new categories reflects the high demand for small package deliveries across Singapore, with a tracking option given to customers. Direct delivery to the letterbox means customers do not need to stay at home to receive their packages and will therefore reduce missed deliveries. This will also make the work of the postman more efficient, leading to improved service standards. 
 
Basic Package is a basic letterbox package delivery service which will cost between $0.90 and $3.50. It does not offer customers any form of tracking or notification for their deliveries. 
 
Tracked Package is an over-the-counter package delivery service, priced between $3.20 and $4.80, offering delivery progress tracking as well as notifications for the recipient. Customers will be kept updated on their package deliveries, which will be delivered directly to their letterboxes. 
 
The new Tracked Package service is also lower in cost on heavier items compared to Registered Service (Singapore), thereby offering consumers and businesses cost savings for a delivery service with value-added tracking service (See Appendix 1).
 
The detailed price chart for the new package services can be found in Appendix 1.
 
Renaming of Ordinary Mail to Basic Mail
 
With the introduction of the Basic Package service, existing Ordinary Mail services will now be known as Basic Mail from 2 December 2019.
 
Under Basic Mail, the Standard Regular, Standard Large and Non-Standard categories will only accept letters and printed papers up to 500g. All other items, including merchandise and items between 501g and 2kg will be categorised under Basic Package. This is to streamline the definitions of mail and package items, and hence, increasing operational efficiency of workflows and deliveries. 
 
There are no changes to the existing rates and delivery times for Basic Mail (up to 500g). The postage rates for Basic Mail (used to be known as Ordinary Mail) were last adjusted in 2014.
 
Changes to Registered Article Service in Singapore
 
The Registered Article service within Singapore will be renamed as Registered Service (Singapore) from 2 December 2019. This optional sign-for service will only accept letters and printed papers, up to 500g.
 
This is to realign the intent of the service, originally designed to offer secure delivery and tracked receipt of important letters and documents. Due to its sign-for service, customers have been using the Registered Service (Singapore) to send packages, which has put a strain on SingPost’s Registered Service.      
 
Following these adjustments, customers sending heavier items can now consider using the new Tracked Package for deliveries to the letterbox, or Speedpost courier services for doorstep deliveries.
 
The changes above are summarised in the chart below.
 
 
Please refer to Appendix 1 for the detailed postal rates and maximum dimensions for each category.
 
International airmail rates to go up
 
Postal operators have increased their international mail rates each year to mitigate their rising operating costs due to increasing international postal settlement rates. SingPost has been absorbing the yearly increase in payment made to foreign postal operators since 2014. In 2018, SingPost saw an increase in payments to foreign postal operators by more than 25 per cent, and projects that the payments will continue to increase each year. 
 
SingPost will revise the following rates from 2 December 2019:    
 

• Airmail rates for letters, printed papers and postcards will increase by $0.20 for Zone 1 (Malaysia & Brunei) and $0.10 for Zones 2 & 3 (all other countries).

• Aerogramme rates will also increase by $0.10 per piece.

• The Registered Service (International) fee will also be revised to $3.60 up from the current $2.50, in addition to the applicable postage fees.

 
These rate revisions will be paid to postal operators of destination countries, in response to the increase in charges for their delivery of postal items from Singapore.
 
International surface (sea/land) mail rates, as well as airmail rates for packages, will remain the same. 
 
The new postage rates for international mail can be found in Appendix 2.
 
Re-focusing to meet customers’ evolving needs
 
Mr Vincent Phang, CEO for Postal Services and Singapore, said: “We are committed to keeping our postal service relevant in the eCommerce age to better serve the needs of our customers."
 
“We have conducted a thorough review of our postal operations and engaged customers to improve our service offerings and standards."
 
“Among the numerous feedback received, tracking and letterbox deliveries were preferred by customers as compared to waiting at home for doorstep deliveries. As such, the new Tracked Package service, in addition to the other new services introduced here are the natural next steps in the transformation of Singapore’s postal services,” Mr Phang added
 
- END -
 
For media enquiries:
 
Shannon Lim (Mr)
+65 9728 8580
 
Hong Mei Yu
+65 6845 6298

About Singapore Post Limited

For more than 160 years, Singapore Post (SingPost), as the country's postal service provider, has been delivering trusted and reliable services to homes and businesses in Singapore. Today, SingPost is pioneering and leading in eCommerce logistics as well as providing innovative mail and logistics solutions in Singapore and around the world, with operations in 19 markets.

Building on its trusted communications through domestic and international postal services, SingPost is taking the lead in end-to-end integrated and digital mail solutions. The suite of SingPost eCommerce logistics solutions includes front end web management, warehousing and fulfilment, last mile delivery and international freight forwarding.

Appendix 1 – Domestic Postage Rates & Dimensions from 2 December 2019

For Mail (no changes to rates):

Item Type

Mail(Letter/Postcard/Printed Paper)

Service Type

Basic Mail

Weight Step up to

Standard Regular

(C5/C6/DL sized envelope)

Standard Large

(up to C4 sized envelope)

Non-standard

20g

$0.30

$0.60

$0.60

40g

$0.37

100g

-

$0.90

250g

-

$0.90

$1.15

500g

-

$1.15

$1.70

Registered Service (Singapore) fee for delivery within Singapore*

Additional $2.24 on top of applicable postage

*Only applicable for Basic Mail services
 

Item Type

Mail

(Letter/Postcard/Printed Paper)

Service Type

Basic Mail

Category

Standard Regular

(C5/C6/DL sized envelope)

Standard Large

(up to C4 sized envelope)

Non-standard

Weight limit

< 40g

< 500g

< 500g

Maximum dimensions

240mm x 162mm x
6mm

324mm x 229mm x
14 mm

340mm x 240mm x
70mm

Tracking

No

No

No

Type of Delivery

Letterbox

Letterbox

Letterbox

Delivery standard

Letter/Postcard:
Next working day

 

Printed Paper:

2 – 4 working days

Letter/Postcard:
Next working day

 

Printed Paper:

2 – 4 working days

Letter/Postcard:
2 working days

 

Printed Paper:

2 – 4 working days

 

For Packages (new service categories):

Item Type

Package

Service Type

Basic Package

Tracked Package

Weight Step up to

100g

$0.90

$3.20

250g

$1.40

500g

$1.80

$3.80

1kg

$2.70

$4.20

2kg

$3.50

$4.80

 

Item Type

Package

Service Type

Basic Package

Tracked Package

Weight limit

< 2kg

< 2kg

Maximum dimensions

324mm x 229mm x
65 mm

324mm x 229mm x
65 mm

Tracking

No

Yes

Type of Delivery

Letterbox

Letterbox

Delivery standard

2 – 4
working days

2 – 4
working days

 

Comparison of new Tracked Package & existing Registered Article service rates

 

Existing

New

Change

Service Type

Ordinary Mail (Non-standard) + Registered Article fee

 

Delivery to doorstep, sign-for service

Tracked Package

 

Delivery to letterbox, tracking capabilities and SMS notification upon delivery

Weight Step up to

40g

$2.84

$3.20

+$0.36 (+13%)

100g

$3.14

$3.20

Cost savings on Tracked Package service for items above 100g

+$0.06 (+2%)

250g

$3.39

$3.20

-$0.19 (-6%)*

500g

$3.94

$3.80

-$0.14 (-4%)*

1kg

$4.79

$4.20

-$0.59 (-12%)*

2kg

$5.59

$4.80

-$0.79 (-14%)*

*Cost savings on Tracked Package service for items above 100g.
All rates are in Singapore Dollars and inclusive of GST. Terms and conditions apply.

 

Appendix 2 - Postage Rates for International Mail from 2 December 2019

Airmail rates - Mail

Service Type

Mail (Letter/Printed Paper)

Postcard

Destination

Weight-step up to

(max 2kg)

New Postage Rate (existing rate in brackets)

New Postage Rate (existing rate in brackets)

Zone 1

Malaysia & Brunei

20g

$0.70 ($0.50)

$0.60 ($0.40)

50g

$0.90 ($0.70)

100g

$1.30 ($1.10)

Each additional 100g

$1.10 (no change)

Zone 2

Countries in Asia & The Pacific (except Australia, Japan & New Zealand)

1st 20g

$0.80 ($0.70)

$0.70 ($0.60)

Each additional 10g

$0.25 (no change)

Zone 3

Australia, Japan, New Zealand & rest of the world

1st 20g

$1.40 ($1.30)

$0.70 ($0.60)

Each additional 10g

$0.35 (no change)

Aerogrammes

(to all countries except Malaysia & Brunei)

$0.70 ($0.60)

 

Airmail rates - Package (no changes to rates)

Service Type

Package (Small Packet)

Destination

Weight-step up to

(max 2kg)

Postage Rate (no change)

Zone 1

Malaysia & Brunei

100g

$2.50

250g

$3.90

500g

$5.20

Each additional 100g

$1.10

Zone 2

Countries in Asia & The Pacific (except Australia, Japan & New Zealand)

100g

$3.20

250g

$6.80

500g

$12.00

Each additional 100g

$2.50

Zone 3

Australia, Japan, New Zealand & rest of the world

100g

$4.70

250g

$9.85

500g

$17.00

Each additional 100g

$3.50

Registered Service (international) fee for airmail (mail and packages): additional $3.60 (previously $2.50), on top of applicable postage.

 

Surface (sea/land) mail rates (no changes to rates)

Destination

Weight-step up to

(max 2kg)

Letter / Printed Paper

Postcard

To all countries except Malaysia & Brunei

20g

$0.50

$0.30

50g

$0.70

100g

$1.00

Each additional 100g

$1.00

All rates are in Singapore Dollars. Terms and conditions apply.