Tobacconist’s shops to become postal partners in small villages

Magyar Posta’s new partnership programme offering residents of small villages the opportunity to use postal services along with other services in one place at the same time is arousing great interest. The Association of Hungarian Tobacco Retailers (MDKSZ) has joined the partnership, undertaking to promote the postal partners programme among its members. Under the programme, tobacconists will be able, in a physically separated space, to provide postal services and sell the gambling products available at post offices, according to a cooperation agreement signed by Dr Barnabás Balczó, CEO of Magyar Posta, and Antal Lengyel, President of the MDKSZ.

14 July 2023

As the largest postal and parcel logistics company in Hungary, Magyar Posta considers its most important task to be adapting to the ever-changing customer needs of the 21st century and provide services of the same high quality to private and business customers throughout the country, while operating the company in an economical and sustainable manner. Accordingly, the company has devised its new partnership programme that allows residents of the smallest municipalities to use postal services, including the postal distribution of gambling products, locally, in certain cases during longer opening hours than before, along with other services. In settlements with a population of less than 1,500 where a post office operates, it will also be possible to operate a tobacconist’s shop in a separate place.

“We believe that the benefits of the partnership will soon be felt by the inhabitants and local tobacconists of the small villages concerned as we will bring postal services closer to residents while at the same time providing extra revenue for the tobacconists taking part in the partnership. Magyar Posta will account the provision of the postal service on a commission basis each month. If the amount of the commissions does not reach the current minimum wage, the sum equivalent to that will be paid for the core activity. Above that, the commission paid may increase depending on the volume of traffic for the extended service portfolio. This means that Magyar Posta will pay a minimum of HUF 232,000 plus VAT per month to all its contracted partners for the service, irrespective of the intensity of use by residents,” - said Dr Barnabás Balczó, CEO of Magyar Posta, at the signing ceremony.

“The agreement with Magyar Posta will make it easier for people living in the smallest villages to manage their postal affairs, while it will also increase the turnover of tobacconists by allowing them to earn revenue from providing postal services and selling gambling products available at post offices. In the tobacconist’s shops concerned, the partners will provide a separate room for the use of postal services and the purchase of gambling products available at post offices. This cooperation with Magyar Posta will stimulate the local economy, which is in the vital interest of these villages. At present, we are in the process of mapping the needs and opportunities, and it is already apparent that some of the tobacco retailers are keen to join the programme,” emphasised Antal Lengyel, President of the MDKSZ, at the signing ceremony.

Magyar Posta Zrt.