Thursday, July 7

Diversification as a word of change

The process of business diversification in any organization is based on a growth and expansion strategy that allows it to reach new customers and expand its areas of activity in the market.

There are many reasons to diversify, even more so when your star product, cards, is clearly in decline: reduce risks and generate income; take advantage of existing resources and their capabilities to create new products and services; create synergies that enhance business core of the company and promote more efficient operation and improve business results, etc.

Diversifying means, in short, improving our presence in the market, as well as our own reputation and, above all, adapting to the current changes and needs of citizens in order to satisfy them.

If we add to these variables our status as a public company, the capillarity of our branch network capable of reaching any citizen to try to make their lives easier, avoiding travel and inconvenience, it becomes even more necessary than ever for Correos to establish as a line fundamental strategic diversification of its business. .

To this end, at Correos we are committed to horizontal diversification, which allows products and services to be placed on the market that are related to our commercial scope as a public company.

Thanks to this, we have been able to implement 5 new lines of business that allow us to use our extensive network to bring all citizens, regardless of their place of residence, necessary and commonly used products and services for a more comfortable and simpler life:

  1. Bringing the ADMINISTRATION closer to the citizens. For this we have created different services such as Correos Pay, which allows citizens to pay their taxes, fees and taxes at the Post Office, through the rural postmen themselves; the ORVE connection for the transmission of administrative documentation or the possibility of carrying out different types of procedures with the DGT
  2. INSURANCE: We have also made progress with the aim of enriching the offer available in our branch network, the largest in Spain in terms of capillarity and territorial coverage, to provide useful services and make life easier for citizens and companies anywhere in the country. Thus, we have started two pilot projects with top-tier companies in the insurance world, allowing access to their products and services to the thousands of citizens who pass through our offices every day.
  3. ENERGY: Likewise, based on the diversification strategy launched by Correos, the company carries out other pilot projects to facilitate access to products and services from various electricity and gas energy entities with the aim of bringing their services closer to the citizens of a easier and more comfortable way.
  4. FINANCIAL. There are many localities in our rural geography that have seen their bank branches close, leaving their population without service. In the context of this situation, Correos has created Correos Cash, a service with which anyone can withdraw or deposit money from their bank at our offices or request it at home. There are already 6 financial entities adhering to this initiative. We aspire to integrate more entities into it that will allow us to reach all the clients they have in towns where they do not have branches.
  5. VARIOUS SERVICES WITH SYNERGIES IN THE 4 ABOVE. Along with this, at Correos we have made a significant effort to promote access to our services for the entire population, for which we have implemented ATMs in our branches and in populations at risk of financial exclusion, as well as portable devices for the delivery staff that allow the citizen to carry out numerous procedures in a comfortable and agile way, from their own home, without having to travel to other towns

At Correos we will continue promoting those diversification opportunities that meet our objectives of improvement, growth and service to the citizen, bearing in mind more than ever our vocation for public service.