New Business Diversification of the Year: POSTI’S HOME SERVICES DIVISION

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Finland’s Posti Group launched the Home Services division in May 2016 to expand its last-mile services. A specific division was created to distance the new offering from the existing corporate structure. “Posti is a big corporate operation, so we wanted to establish a separate division, which followed a startup mode,” explains Petri Kokkonen, vice president of Posti’s Home Services division. “It is not part of the same corporate setup as Posti and does not follow the same processes, so we can get ideas to market much quicker.”

Home Services, very simply, is services for the home, offered to Posti customers, with bookings taken via the operator’s website. Posti workers can voluntarily put themselves forward for the scheme, which is organized around their routine. “Most jobs are scheduled on a Tuesday, which after research we found is our quietest day for mail deliveries,” says Kokkonen. “Lawn mowing, the first service to be launched by Home Services, ran throughout summer 2016 and we had a very good success rate – 96% of those who booked us said they would do so again next year.”

The plan is to offer other services throughout the year, such as collecting leaves in autumn and clearing snow and ice in winter. “Customers book on a monthly basis, with four 30-minute sessions offered as part of the price, which varies according to the size of their property,” says Kokkonen. “We asked our customers which services they would like to see, and lawn mowing was top of the list, but other ideas included watering plants, security checks and home assistance, such as taking people to buy groceries.”

There is plenty of room for expansion, with Posti able to build on its trusted reputation as a delivery service. Kokkonen says he expects different services to be trialled in the coming years, with additional training offered depending on the task. The company may also partner with other specialist businesses, such as nursing and security firms. “Our workers in the field give us lots of ideas, and we have an online innovation channel where they can submit these,” Kokkonen adds. “We ask the customers either face to face or over social media, and we speak to household associations and foundations.”

In addition to the customers, Posti workers have spoken positively about how they benefit from Home Services. “The motivation for our staff is to improve how they feel about their work,” says Kokkonen. “They learn new skills and help others. It’s more meaningful.”

New Business Diversification of the Year Shortlist:

  • UPS’s 3D printing solution
  • Kit Kifayah by Pos Malaysia
  • Home Services division by Posti
  • Jersey Post’s Call & Check service
  • PostNord’s grocery delivery
  • Chronofresh by Chronopost
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Kirstie joined the team in early 2017 and brings writing, communications and client experience with her. Now an assistant editor, she produces content for our magazines and websites. Away from the office, you will find her blogging on her lifestyle website or searching the internet for photos of sausage dogs.

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