Pos Malaysia to tackle challenges, drive future growth
KUALA LUMPUR, 23/09/2025 — Pos Malaysia Bhd is set to initiate a series of pilot projects aimed at transforming its operations to combat the challenges posed by declining mail volumes and increased competition within the parcel delivery market.
Addressing Declining Mail Volumes
The decline in traditional mail services has been stark, with volumes falling by 79% since 2012. Pos Malaysia’s Group CEO, Charles Brewer, stated that the average Malaysian household now receives only 27 letters per year, compared to 173 in 2012. To address this, Pos Malaysia will roll out pilot business models in the fourth quarter of 2025, focusing on innovative solutions to drive future growth.
Merging Networks for Efficiency
The first pilot initiative involves merging Pos Malaysia’s mail and parcel networks into a single, cohesive end-to-end delivery system. According to Brewer, 45% of the integration is already complete, with full completion expected by 2028. This integration aims to improve resource utilization, enhance delivery efficiency, and align with environmental goals by reducing emissions.
Alternate-Day Mail Delivery
An alternate-day mail delivery trial will be conducted in Sungai Siput, Perak, from November 1, 2025, to January 31, 2026. This trial will cover standard, non-standard, and registered mail. Brewer noted, Alternate-day delivery is already being used successfully in other countries. It aligns with changing mail volume trends, lowers costs, reduces congestion, and cuts carbon emissions.’
Revamping Retail Networks
The third trial focuses on revamping the retail network by closing eight existing post office locations and replacing them with thirteen agent-run outlets. These outlets, also known as pick-up and drop-off points, will utilize existing partners such as Mail Boxes Etc, CollectCo, and ATX, along with Pos Mini locations. Affected post offices are located in Perak, Selangor, and Kuala Lumpur.
Ensuring Long-Term Sustainability
The transformation strategy draws on experiences from international counterparts, including postal operators in Sweden, Norway, Denmark, Finland, the United Kingdom, and Australia. Brewer emphasized that no retrenchments will occur during the trial phase, with excess staff being reassigned within the organization. ‘Bold steps are necessary to ensure long-term sustainability for our 16,000 employees and the Malaysians who rely on our services,’ Brewer said.
