
Home Delivery Network Limited (HDNL) has launched a small-package delivery service to go head-to-head with Royal Mail.
From January 2010, HDNL will offer retailers a distribution service for parcels up to 2kg called HDN Lite. The service was previously only available to existing clients, but the Royal Mail strikes have prompted the parcel carrier to roll out HDN Lite to all customers.
The firm says the 72-hour service will be an improvement to Royal Mail's second-class mail-delivery service, because full track-and-trace will be standard, and proof of delivery and scheduled returns will also be available.
"With continued uncertainty about the reliability of Royal Mail deliveries, the service is designed to meet growing customer demand for fully trackable and guaranteed delivery, all at the same price as competing non-tracked services," says Brian Gaunt, chief executive at HDNL.
Analysts have warned that customers seeking an alternative to Royal Mail may never return to the publicly-owned postal service, further damaging its market share.