Exactly, how are they losing money when so many people are buying things online.

 

I've been selling a few things on here lately (hallelujah) but I have noticed that postage is just as expensive as (if not more than) the items. I'm sure it's stopping people from buying more.

How would I know why they are losing money on the letter post service?

 

I only do what anyone can do......read the financial pages in the newspapers.

They aren't losing money.

 

They are losing money on letter post, allegedly. The fact that they don't count the 'small' parcels they get their employees to deliver might have something to do with that.

 

They are making plenty out of parcel post, which is what the vast majority of online purchases would be using.

Yes, & when a large letter size item is left on the top of the letterboxes in a block of units & goes missing, guess who has to refund the buyer.

As most of our items are letters/large letters, we always worry when the buyer lives in a block of units. Most arrive, but when they don't, we just refund without an argument. Luckily, a few have arrived later & the buyer has let us know & paid again.

Let me try and shed some light on the Au post thing, this is what i have been told.

 

After speaking with two Au post franchisees regarding postal costs and who pays for the chinese postal deliveries (online buying) to be delivered by an Au Postie to my door.

 

The answer i have received from both post offices is quite shocking in that the Australian Government Subsidises  chinese postage in Australia as part of a trade deal and that Au post is payed letter value only for every chinese parcel they deliver, thats $1-$3 people, thats hundreds of thousands of chinese parcels per year, of coarse Australia post is losing money in a big way concidering the domestic parcel post cost is anywhere from $7.55 upwards.

 

This i believe is why the consistant price rises by Au post, clawing back the short fall from the Australian people, in fact the people are now subsidising chinas postage as well.

 

Every Australian online business is struggling to compete with china and this postal BS enables the chinese to sell for bugger all, basically the Gov is out of control and working against the Australian people rather than for the people, helping the chinese businesses rather than Australian Businesses.

 

As if the chinese item location miss representation wasnt enough, now this comes to light.

 

The info given to me was from two privately owner post offices about 10km appart in NSW, i use both of them regularly, now the Government wants to close all private post offices and take over the lot, i wonder why.

It's called the UPU and it has been around for 150 YEARS. It is not a trade deal and the government doesn't have a lot of control over it as it is an international treaty.

 

There is no secret about it, and it was probably mentioned when this thread was current. If not, it certainly has been, on the boards, since.

 

The problem with most conspiracy theories is they use fallacious premises.

I think you forgot to mention the profit from parcles also props up letter post and the running of post offices which loses 130mil per year.

 

 

 

Just because the letter post division is losing money does not mean tha AP in general is losing money.

The StarTrack Courier arm of AP is making squillions of $$$ and propping up the letter post loses very nicely.

 

While AP may be wanting to take back the franchises that you have mentioned it is not wanting to do it ffor all franchised post offices....they are still actively promoting the selling of franchises.

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@woodduck*2012 wrote:

Let me try and shed some light on the Au post thing, this is what i have been told.

 

After speaking with two Au post franchisees regarding postal costs and who pays for the chinese postal deliveries (online buying) to be delivered by an Au Postie to my door.

 

The answer i have received from both post offices is quite shocking in that the Australian Government Subsidises  chinese postage in Australia as part of a trade deal and that Au post is payed letter value only for every chinese parcel they deliver, thats $1-$3 people, thats hundreds of thousands of chinese parcels per year, of coarse Australia post is losing money in a big way concidering the domestic parcel post cost is anywhere from $7.55 upwards.

 

 

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If the cost of $7.55+ is able to both make record profits from parcel services and make up significant losses for delivering international parcels, imagine how cheap it really is. Don't be fooled by Aus Post crying poor and blaming it on Chinese sellers and delivering their mail. I'm not saying it doesn't cause or incur financial cost or some loss, but I would be inclined to think it isn't anywhere near as bad as they would like to have Aussies think, judging by their past behaviour, and the fact that the only reason we "know" this, is because they keep telling the Australian public about massive losses without any data to support the numbers.