Singapore Post is adjusting its delivery rates for parcels and packages to streamline its services and offer more competitive prices ahead of the holiday peak season.
The new pricing structure, which takes effect on Oct 15, will comprise flat rates and lower prices for most domestic delivery services.
International postal rates for packages will also be simplified and made cheaper for most customers, SingPost said in a statement yesterday.
Basic packages, which are small items delivered to the letterbox, are currently priced at between 90 cents and $3.50, depending on weight.
From Oct 15, all packages up to 2kg - the maximum for letterbox deliveries - will cost a flat $1.50.
This means that heavier items will be cheaper to post, while items weighing between 100g and 250g will cost more.
Those who opt for tracking will pay $3, down from the current range of $3.20 to $4.80.
Postage-paid envelopes, such as poly mailers and SmartPac packaging, will also have their rates revised down.
All basic delivery packages will be delivered to the letterbox within two working days, down from the current service standard of three working days, SingPost said.
There are also changes to local delivery services by courier arm Speedpost, which offers doorstep delivery.
The domestic Speedpost Economy service, which offers delivery in two working days, will be discontinued.
This is because next-day delivery service Speedpost Standard will have its rates cut from between $10 and $16 to a flat $6 for items weighing up to 30kg. There will be no changes to the Speedpost Express service, which offers two-hour delivery for between $15 and $25.
SingPost spokesman Robin Goh said the faster service and lower prices that Speedpost will offer are due to investments in technology and better delivery productivity.
"As we improve the way we work, we have ample capacity to take on more parcel deliveries domestically," he said.
For international deliveries, the Speedpost Standard option - which offers parcel delivery in five to 14 days - will cease.
This leaves only the faster Express and Priority options or the slower Economy route, delivered by sea.
While international package deliveries will largely be cheaper, some will cost more, depending on weight and destination.
A registered package sent to Australia, for example, will cost $21.10 for 500g, up from $20.60 now.
This is because of higher terminal dues paid to overseas postal agencies for the last-mile delivery of items and the significant increase in air freight charges in recent years, Mr Goh said.
There are no changes to airmail and aerogramme rates.
The adjustments come amid a surge in e-commerce volumes and in anticipation of the year-end peak season, SingPost said.
SingPost last revised its rates and services last year, when new categories for delivery of packages to the letterbox were introduced.
Mr Vincent Phang, Singapore head and chief executive of postal services at SingPost, said there has been a strong take-up for both the basic and tracked package options, which do not rely on recipients being at home for delivery.
Competition in the last-mile delivery scene has been heating up amid the growing popularity of online shopping, with couriers such as GrabExpress offering delivery rates starting at $6.
