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Posti: Mail volumes have fallen permanently – the prices of stamps will be adjusted to cover delivery costs

The prices of Posti’s Mail Services paid in cash will change on May 11, 2021. Letter services paid in cash include, for example, domestic and international letters that are paid by stamps and included in universal service.

Finnish consumers spend, on average, less than EUR 20 per year on sending letters. For the average Finnish consumer, the price adjustment means an increase of less than EUR 2 in a year.

Nowadays, a household will only receive 3.5 addressed items per week

The volume of mail has fallen permanently due to digitalization and continues to fall. The COVID-19 pandemic further accelerated the decrease in mail volumes last year while also increasing cost pressure by driving up the unit costs of mail delivery and the delivery costs of items sent abroad.

In the 2000s, the volume of letters has fallen by over 60% because of digital communications. In 2020, the mail delivery volume fell by 16%. This downward trend in the volume of printed mail is not about to stop. If the current pace of decline continues, the volume of letters is estimated to even halve from its current level in the next three years. According to our forecast, an average of only two addressed items a week will be delivered to households in 2023. Posti’s operations are funded by service charges paid by customers, and the company does not receive any financial support from the state for its operations.

The increases are aimed at ensuring universal service in the whole country

“We are convinced that there will be demand for real letters and cards for a long time to come because of their high attention value. With the delivery volume falling, we are forced to raise our prices so that the payments will cover the costs of the delivery network. The fewer postcards and letters are sent, the higher the handling and delivery costs of a single letter or postcard become,” says Tuija Åkerman.

The handling and sorting of stamped letters include several manual work phases, from collection to sorting and delivery. A total of about 300,000 km is covered over the course of a normal delivery day in mail delivery. By adjusting the postage to cover the costs of the delivery network, Posti is able to ensure universal service in all of Finland.

Domestic letters are divided into four weight categories according to the weight in grams. The price of a domestic postcard or letter weighing no more than 50 g will be EUR 1.85 from May 11, 2021 (EUR +0.10).

The price of an international Priority postcard or letter weighing no more than 20 g will be EUR 1.95 (EUR +0.10).

The price of Christmas greetings will increase to EUR 1.30 (EUR + 0.10).

All domestic weight classes will be priced in multiples of the no-value indicator stamp’s price. In the lightest class (1–50 g), the postage of a letter or postcard equals one no-value indicator stamp; in the next weight class (51–250 g), the postage equals two no-value indicator stamps; and in the third weight class (251–1,000 g) the postage equals four no-value indicator stamps. In the heaviest weight class (up to 2 kg), the postage equals six no-value indicator stamps.

All domestic and international no-value indicator stamps bought before the price increase will be accepted without additional stamps after the price increase. Old 1st and 2nd class no-value indicator stamps can still be used. Their value equals the domestic no-value indicator stamp and will be EUR 1.85 from May 11, 2021.

The new fees for all Mail Services can be viewed in the price list on Posti’s website at www.posti.fi/hinnat. The changes do not apply to the prices for Posti’s contract customers. Stamps can be bought at about 3,000 sales points or via Posti’s online shop at www.posti.fi/ostoksille