As Australia post is suffering from an ongoing slump in its mail business, 4 potential solutions are proposed to address the issue. These include: optimizing operating model, restructuring management system, innovating digital postal technology, and enhancing customer experience (Turnbull, 2014). The digital postal substitution is the predominant measure to prohibit the escalating downturn in postal sector compared with other solutions.
On the one hand, Digital mail technologies can generate enormous profits in the long run. Having access to digital alternative will attract more clients to get involved. Since digital mail service is not only low-priced, but also instantaneous worldwide, customers can obtain information within a few seconds (The Mckell institute, 2015). Particularly, users who are engaging in financial sector will benefit massively. For instance, information in the stock market is fatal due to the unpredictable fluctuation. Digital transformation is able to convey the message instantly, which can assist the shareholders to make accurate decisions. Furthermore, streamlined operation can be propelled by the new digital technology, which results in the cost reduction (Fitzgerald et al., 2013, Westerman et al., 2014). Digital mail is a kind of service providing automation and centralization technology. If the large scale of digital mail is used, the aim of economizing on labor cost will be spontaneously achieved (Environment and Communications Legislation Committee, 2014). Thus, the performance in postal sector will be improved, and will yield the constant financial profit.
On the other hand, digital transformation also leads to environmental sustainability. In comparison with the traditional delivery means, the digital alternative can avoid the environmental pollution owing to the virtualization technology. Forest deforestation and carbon emission are 2 severe problems during the physical postal service (Australia Post annual report, 2014).