Yodel to raise rates to handle e-commerce boom

Yodel has revealed it will raise its rates as part of a wider strategy to cope with the demands of a rapidly growing e-commerce sector.

The courier firm says the surge in internet shopping is leading the need for a highly flexible infrastructure to keep pace with the shifting parcels market, leaving the delivery sector at “saturation point”.

As a result, the parcels giant says it will be moving to a six-day a week service as standard, removing a premium for weekend deliveries, with prices being standardised across the UK. It will also operate seven days a week throughout the peak December period.

Further investments will be made in staff training, with seasonal temporary staff brought in earlier to improve customer service levels.

Shoppers will receive email and SMS delivery updates as standard, including time slot advice and be able to track their parcel using a customer-friendly online service.  Any additional queries can be answered by making a free call to Yodel’s customer services, as the current charges will be dropped.

Jonathan Smith, Yodel CEO, says: "As the internet shopping market grows, so do the demands on our service. With online promotions and peak periods on a weekly and seasonal basis, we are increasingly required to flex, in some cases handling up to eleven times normal parcel volume.

“In order to ensure best customer service while maintaining a scale of flexibility, which no other carrier is currently able to offer, we recognise the need to change the way we work and invest more in the aspects of our business that impact the consumer.”

Smith adds that such changes will come at a price and “reasonable costs” must be passed on, however he believes the recognised benefits will compensate for this.