A quarterly e-commerce update from Australia Post released last month showed the number of households that regularly shopped online was growing, despite transaction growth slowing.

While online shopping is becoming more entrenched, carriers are feeling cost pressures. Australia Post recently raised parcel delivery prices by as much as 10 per cent from July, citing rising energy, labour and fuel prices.

Graham said the group’s new metro delivery service was competitively priced for businesses, and fast and reliable delivery would help increase consumer engagement during this time of weakening consumer confidence.

“If they get a terrific experience, the stickiness of the customer increases,” he said.

The government is conducting a review into the modernisation of Australia’s postal service, looking at how Australia Post can remain competitive as snail mail continues to decline.

The review is expected to launch a conversation about changes to delivery frequency of letters and how prices are set for sending paper mail.

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