Text messages cut revenue of PT Pos Indonesia
Text messages cut revenue of PT Pos Indonesia
Novan Iman Santosa, The Jakarta Post, Jakarta
Many people will experience the information revolution firsthand
this Idul Fitri by sending a text message to their loved ones
instead of doing it the old way: sending a greeting card or
letter through the post.
This new technology can instantly connect us with our loved
ones, and is cheaper, faster and more practical than the post.
But it has a victim, the state-owned post office, PT Pos
Indonesia.
"We have suffered a drop of 40 percent in mailed greeting
cards and letters during the peak season thanks to texting and e-
mail services," the company's Greater Jakarta Division secretary
Baharuddin told The Jakarta Post on Monday.
Indonesian cellular telephone operators interconnected their
text services last May, which lead to a surge in text messages.
Telecommunications data shows that more people are expected to
use the service this year as the total number of cellular
subscribers is expected to increase to around nine million
compared to 5.3 million last year and about 3.2 million in 2000.
But despite the losses caused by texting, Baharuddin said the
Greater Jakarta Division still expected a surge in mail for Idul
Fitri.
"Mail will increase by some 7 percent to 10 percent while
money order and parcel services are expected to go up by 15
percent each," he explained.
Baharuddin said that last year the Greater Jakarta Division
delivered an average of 600,000 items and received some 700,000
items per normal day.
The figures soared during the peak season, when the division
delivered about 1 million items and received some 1.3 million
items daily.
During last year's peak season, the division delivered 4,000
parcels and received 750 parcels compared to 2,500 and 800
outside the peak season.
The division also transmitted Rp 1.8 billion and received Rp
250 million in money orders compared to Rp 1.4 billion and Rp 400
million outside the peak season.
"The 7 percent to 15 percent increase, however, is still an
early prediction as we are still at the beginning of the fasting
month," said Baharuddin.
"Currently, the volume of mail posted has only reached some 70
percent of the volume sent during last year's peak season. The
amount of mail will increase during the second half of the
Ramadhan fasting month," he added.
Despite the competition from e-mail, text message services and
courier companies, Baharuddin was still optimistic that the
postal service possessed particular advantages that would ensure
its survival.
"We have a vast and long experience. PT Pos Indonesia also has
the largest coverage nationwide with low charges. You can send a
postcard to anywhere in the country for only Rp 1,000," he said.
Baharuddin emphasized that most of Indonesians still
considered it better to receive mail in their hands instead of
electronically.
Deddy, an architect, echoed Baharuddin's view, saying that he
had sent text messages last year and would also use the service
this year to send Idul Fitri greetings to his friends.
"But I still send greeting cards to special people such as my
family members and my clients." Deddy told the Post. "I guess
nothing can really replace the mail."