Australia Post Franchisee Owners: Want to Hear about Your Experience

Hi,

Not sure which category to pick. Hence picked Financial tag for this forum.

I have been looking (last 3-4 months only) to own a Australia Post Franchisee but don't know what to look for in AP franchisee and hence reaching out if anyone out there has some info that would be really helpful.

Also would someone can shed some light on what's future looking like for AP? do you think there will be enough demand/requirement for AP services say by 2030 and beyond?

Thank you in advance and really appreciate if someone who own a franchise can give me some insight!!

Regards,

Related Stores

Australia Post
Australia Post

Comments

  • im curious about that luxury watch saga

    • +1

      Hmm will let you know once i get in!!!

    • +7

      Was a beat up by crooked politicians on behalf of their bankster masters.

      https://citizensparty.org.au/getting-in-the-way

      When Labor Senator Kimberley Kitching on 22 October 2020 ambushed Australia Post CEO Christine Holgate over Cartier watches she had awarded to executives two years earlier, the Morrison government moved quickly to force Holgate out. Her success as CEO had become the obstacle to a privatisation agenda targeting $75 trillion in public assets globally, the schemers of which have been eyeing off Australia Post for years; it is a sick joke that these interests were able to use the mere $20,000 she spent on watches as the pretext to get her out of the way.

      The Chairman of Australia Post is Lucio Di Bartolomeo. He is the political assassin of Christine Holgate, the person who made the moves on behalf of the government to force her out. From the beginning of his chairmanship in September 2019, he was also the government’s agent to get the privatisation agenda for Australia Post back on track. The evidence is in testimony he gave to Senate Estimates on 9 November, relating to “the secret review of Australia Post by the Boston Consulting Group” cited in the terms of reference. As documented later in this article, Di Bartolomeo blatantly lied in his testimony, stating that he hadn’t seen the Boston Consulting Group (BCG) report. The chairman lied for one reason—he was doing the bidding of the government, which is hiding this BCG report from Parliament to conceal the agenda to cut services and privatise Australia Post.

      Christine Holgate’s predecessor as Australia Post CEO, Ahmed Fahour, was a director of BCG before he became CEO of Big Four bank NAB’s Australian operations in 2004-09, and then CEO of Australia Post 2009-17. In both jobs Fahour overhauled operations by cutting costs and downsizing—and pocketing huge salaries. The difference is NAB is a private bank, while Australia Post is a public service, albeit one operating commercially as a government business enterprise (GBE); Fahour’s overhaul undermined its core obligation as a mail service and put it on the path to privatisation.

      In 2014 Fahour enlisted his old firm BCG to prepare a review of Australia Post’s operations for then Communications Minister Malcolm Turnbull. The review predicted the increasing unprofitability of the delivery of letters would lead to losses adding up to $12.1 billion over the coming decade, which, offset by the growth in profitable parcels from online shopping, would result in overall losses for Australia Post of $6.6 billion over the decade. An Australia Institute analysis of the BCG review by James Cook University economic researcher Mick Peel observed: “The key themes in the BCG report are clearly designed to deliver the ultimate goal of outsourcing and privatising the mail delivery business in Australia.”

      Suspiciously, during his management Fahour “restated” the business’s accounts 49 times, compared with just once in the five years before he took over; the 1 September 2017 Australian Financial Review noted these restatements made “the letters business look worse and strengthened Fahour's public case for reform”. That “reform” amounted to aggressive downsizing and undermining of Australia Post’s service obligation.

      Christine Holgate took over as CEO in 2017 on a salary less than half of Fahour’s, and with a radically different intention: not to focus on downsizing and cost-cutting, but to fund the cost of meeting Australia Post’s service obligation by growing the business as a whole, including in the fast-growing trade with Asia. She restructured the management, which the 31 January 2018 AFR reported her saying was necessary because the organisation had had a “fragmented” approach that prioritised growing the parcel business but “diluted the focus on the needs of our customers”. She told the 27 February 2018 AFR she didn’t plan on selling more property: “In the future we may need to do some … but we would like to focus on growing the business sustainably.”

      https://citizensparty.org.au/search?keywords=Christine+holga…

      TL:DR: She had full approval to gift the watches as an incentive for a job well done. She became a threat to the banksters so they had their bought-and-paid-for politicians lie though their teeth and get rid of her. All the documentation is in the links above.

      Well, you did ask.

      • +2

        Farhour is a (profanity) leech.

      • +2

        While the things mentioned in the article could be true, I think it was poor judgment to choose Cartier watches to reward her staff as they will obviously be recognised as a symbol of extravagance among normal people. It looks like she didn't learn from the story of a bottle of wine bringing down a Premier.

        Perception matters when you are in the public eye, and she certainly didn't gain any support through her actions. Instead, she could have chosen a different reward such as monetary bonuses to staff, and it would have received less coverage in the media as people think of bonuses commensurate with their work.

  • +2

    There are 2 in my area. They always seem to be under staffed with customers qued up. Really need 2 people serving but I guess they don't make enough money to pay for it.

  • do you think there will be enough demand/requirement for AP services say by 2030 and beyond

    I wouldnt think so, so many better options, and not many people use snail mail anymore.

    • AusPost are unprepared about snail mail volumes dropping in 2021 when it was quite apparent since the 90's that email is going to replace snail mail.

  • +1

    Yeah same with the one I go to. Seems like many individuals paying they bills (not being rude but it's over 65's most of the time) but in 5 years time individuals & families will jump over Bpay and bpay view to pay bills and there will be none who will line-up at AP to pay their bills?? Hope i am wrong!!

  • +1

    Also would someone can shed some light on what's future looking like for AP?

    🔮

    • See my post above for plenty of evidence that the political class want to privatise it like all of our other assets.

  • -1

    Gender imbalance is improving: always lots of mail, but that's been reducing over time.

  • I think the big money maker was western union until a few years ago, when they could charge $20 to send $50
    4-5 western unions a day could pay for 2 casual workers working busy periods ($15 profit a send)

    Now they seem to be selling junk to chase that extra $200-500 a month revenue, the newsagency model.

  • I think you want to own a franchise (the business), not a franchisee (the owner of a franchise).

  • +1

    As someone who has previously had working relationship with post, beware of them. They are quite a stingy organisation and frankly it runs like a sinking ship.

  • Dependent on your business model an Australia Post franchisee setup could assist in driving traffic to your store to sell complementary products or services. I assume the other key benefit of being a franchisee, apart from getting a cut of sales, would be getting access to corporate rates on affiliated suppliers, thus reducing your need to negotiate with particular suppliers.

    • That's overly optimistic, franchising model has many obligations and I'm sure you won't be able to pick a random product like pop it or a fidget spinner off aliexpress to make a living. you might be able to source them from the franchisee apprived suppliers 6 months later but the world has probably moved on to the next hype.

      • There are plenty of newsagents that also operate as Australia Post franchisees, they are not bound by any sourcing requirements. They have the choice to buy from Australia Post preferred suppliers, and for that matter any where else they choose. I know this as I have a close friend who operates one.

  • +1

    The way banks are closing, there'll certainly be demand for deposit services for Westpac, NAB and Commonwealth customers.

  • Long time lurker, first time poster so take my thoughts with grain of salt (much like everything online). I believe that AP are very much focused on how to deliver value through their bricks and mortar presence as they are mandated to uphold a minimum level of service, and that fixed cost is not going away anytime soon. They are quite focused on improving and enhancing customer experiences and also staff/franchise experience, which includes physical and digital in store experiences.

    On another aspect, if you are looking to a franchise, what is the growth of that area in relation to new houses/apartments?

  • If the store is for sale and you can see the low traffick volume then you'll probably know why. There's a LPO store near me that couldn't renew their agreement. It was closed for months and in the end Auspost had to step in, probably not very happy.

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