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Public Services and Procurement Canada
Service publics et Approvisionnement Canada

Indigenous Peoples' Views on Canada Post Services

Executive Summary

Prepared for Public Services and Procurement Canada

Supplier Name: Environics Research

Contract Number: EP363-222453/001/CY

Contract Value: $113,005.06 (including HST)

Award Date: 2022-03-09

Delivery Date: 2022-06-08

Registration Number: POR 134-21

For more information on this report: TPSGC.PORCoordComm-ROPCoordComm.PWGSC@tpsgc-pwgsc.gc.ca

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Indigenous Peoples' Views on Canada Post Services Executive Summary

Prepared for Public Services and Procurement Canada by Environics Research

June 2022

This public opinion research report presents the results of a quantitative research study conducted by Environics Research on behalf of Public Services and Procurement Canada, comprising a telephone survey with 425 Indigenous Peoples across Canada aged 18 living both on- and off- reserve, conducted from April 12 – May 8, 2022.

Permission to reproduce

This publication may be reproduced for non-commercial purposes only. Prior written permission must be obtained from Public Services and Procurement Canada. For more information on this report, please contact Public Services and Procurement Canada at: TPSGC.PORCoordComm-ROPCoordComm.PWGSC@tpsgc-pwgsc.gc.ca

© His Majesty the King in Right of Canada, as represented by the Minister of Public Services and Procurement Canada, 2022

Cat. No. P4-108/2-2022E-PDF

ISBN 978-0-660-44717-9

Cette publication est aussi disponible en français sous le titre Opinions des Autochtones sur les services de Postes Canada - Rapport final

Cat. No. P4-108/2-2022F-PDF

ISBN 978-0-660-44718-6


Executive Summary

A.                Background and objectives

The Canadian Postal Service Charter describes the Government of Canada’s expectations regarding Canada Post’s service standards and related activities in providing postal services that ensure these remain universal, affordable, reliable, convenient, secure and responsive to the needs of consumers in Canada.

The Government has committed to review the Canadian Postal Service Charter (established in 2009) every five (5) years to assess the need to adapt the Charter to changing requirements.

COVID-19 has dramatically changed how Canadians use postal services. Given this shift, research was needed to help the Government of Canada better understand Indigenous peoples’ views regarding how Canada Post serves them today and how they wish to be served into the future to ensure that Canada Post services, and in particular the Service Charter, continue to meet the needs of Canadians. In 2018, the government affirmed that Canada Post is expected to continue to meet the expectations laid out in the Charter.

Public opinion research was designed to measure the current views of Indigenous peoples about the mail and their current expectations of Canada Post, especially in the wake of the COVID-19 pandemic, and Canada Post’s ongoing financial losses, to ensure the evolution of this important public institution reflects their understanding of “quality service that Canadians can afford.”

B.                 Methodology

Environics conducted a telephone survey with a random sample of 425 Indigenous people from April 12 and May 8, 2022. The sample was stratified to include 50% interviews on-reserve and 50% off-reserve. This stratification is important because Canada Post mail delivery varies on First Nations reserves: mail is delivered to a central location (e.g., Band Office or community centre), but Canada Post is not responsible for mail delivery to individual households on-reserve.

The data were weighted at the analysis stage to ensure the final sample is representative of the current Indigenous population by province, location (urban, rural, on-reserve), and Indigenous identity. The margin of error for the total sample is plus or minus 4.9 percentage points, at the 95% confidence level.

C.                 Key findings

The survey reveals the great diversity in how Indigenous people receive their mail: postal boxes at post offices are much more prominent (skewing to rural areas and reserves) than door-to-door delivery (skewing to urban areas). Of Canada Post’s services, there is clearly an important role played by parcel delivery/pick-up, particularly for Indigenous people living outside of cities. These two issues clearly factor into how Indigenous people evaluate current services and react to potential alternatives.

Overall, Canada Post is viewed as an essential service and there is good satisfaction with its services, although satisfaction is lower among those who do not receive door-to-door delivery. In this context, the stated preference (regardless of how mail is received) is for the status quo (maintaining services) over reduced services, even if it requires the introduction of federal government funding. Moreover, rural and reserve residents favour extended services, such as the ability to access other government services, financial services or other businesses, where they get their mail. In addition, a significant majority agreed that all Canadians should shoulder the same parcel cost regardless of distance (72%).

In terms of specific measures to address Canada Post’s revenue shortfall, support is highest for ending door-to-door delivery (especially among the majority of Indigenous people who do not have this service) and lowest for reducing the number of post offices (reflecting current reliance on post offices for parcel pick-up). The results suggest some flexibility around franchising, alternate day delivery and postage rates, but likely requires the case for increased prices to be clearly made, since there is limited belief that current postal services are underpriced for their value.

Experience with Canada Post services

·       The 2016 Census revealed that over half (55%) of Indigenous people in Canada live in urban areas, with just under half in rural areas (25%) or on First Nations reserves (20%). The way Indigenous people receive their mail is related to their location of residence. Overall, Indigenous people are most likely to receive mail by postal box at a post office or retail outlet (46%); this segment is more likely than average to live in a rural area or on a First Nations reserve. The small proportion who receive mail to their door (14%) skews to mainly urban or suburban areas.

·       Reported use of Canada Post’s services emphasizes the role of parcel delivery for Indigenous communities. When it comes to sending mail, personal correspondence (22% send monthly) exceeds bill payments (17%) and parcels (14%). Yet all three are surpassed by the one-third of Indigenous people who pick up parcels at the post office at least monthly. Parcel pickup is particularly widespread outside of cities (41% vs. 17% in cities), which reflects greater propensity for door-to-door parcel delivery in cities, but also the importance of parcel delivery in accessing goods not available on reserves, in rural areas, and smaller population centres. Such reliance on parcels likely also contributes to the finding that parcel shipping costs are a significant challenge for close to one in five (18%) rural and reserve residents.

·       Further evidence for growing emphasis on parcel delivery is that, among Indigenous people who say COVID-19 changed the way they use Canada Post services (34%), the most widely reported change is an increase in online parcel ordering.

Satisfaction with and perceived value of Canada Post

·       Indigenous people place considerable value on Canada Post, with more than seven in ten strongly agreeing it is an essential service for Canadians in general (77%) as well as for them personally (73%).

·       Indigenous people also express an overall high level of satisfaction with Canada Post services (88% satisfied, including 54% very satisfied). They are most satisfied with where they get their mail (86%; 57% very satisfied) and slightly less satisfied with parcel delivery (80%; 43% very satisfied). Location matters, as satisfaction with both aspects is higher among Indigenous people who receive door-to-door delivery, and lower among those who get their mail by postal box or centralized mailbox.

·       Despite the perceived importance of and satisfaction with Canada Post, there is limited perception that domestic postage costs less than its worth for the service provided. Indigenous people are more likely to agree (57%) than disagree (43%) that domestic stamps are underpriced for their value, but few (14%) strongly agree.

Addressing Canada Post’s revenue shortfall

·       There is widespread preference to address Canada Post’s revenue shortfall[1] through federal government funding to maintain current service levels and prices (82%) rather than reducing services to fit Canada Post’s budget (13%) – even though the latter reflects the organization’s current mandate. This preference is remarkably consistent across the population.

·       In terms of specific measures to reduce Canada Post’s losses, ending door-to-door delivery and moving to community mailboxes ranks at the top of the list. Seven in ten support (71% overall, 50% strongly) this measure. And while strong support ranges from 66 percent in rural areas to 39 percent in cities (and 34% among those who currently receive home delivery), no other option garners substantially greater support among city-dwellers. For instance, support for ending daily mail delivery (i.e., switching the frequency of delivery to fewer than five days a week) ranks the same or slightly lower in support (65% overall, 38% strongly), across all areas of residence.

·       There is majority opposition to addressing Canada Post’s losses by reducing the number of post offices (64% oppose vs. 30% support), which likely reflects the extensive use of parcel pick up described earlier. The results suggest openness to alternate service delivery models such as replacing corporate-owned post offices with franchises in grocery stores and pharmacies (64% support, 30% strongly) and automated parcel lockers (57% support, 32% strongly) – the latter receiving particularly strong support from rural residents.

·       Indigenous people are open to pricing changes to address Canada Post’s losses. There is majority support for increasing basic stamp prices by 25-cents (65% support, 31% strongly). There is also indication of willingness to consider paying differing letter mail rates by distance: majorities say it is reasonable to pay $1.25 to send a letter within their province (54%) and $1.50 across the country (64%), compared to one-quarter willing to pay beyond $1.00 to send mail within their city/town.

·       In contrast, respondents were asked about moving to a standardized cost for parcel delivery: a majority of Indigenous people agree all Canadians should shoulder the same parcel cost regardless of distance (72% agree, 44% strongly). Notably, this option is more appealing to those outside of cities (48% strongly agree, vs. 37% of city-dwellers), likely reflecting the challenge parcel cost presents for rural and reserve residents (described in an earlier paragraph). The difference may also reflect concerns among urban residents about subsidizing parcel costs for non-urban residents.

Services in rural areas

·       Indigenous people are generally in favour of efforts to maintain postal services to rural communities, regardless of where they themselves live. There is majority support for the federal government to subsidize more costly and unprofitable postal services in rural and remote communities (73% support, 43% strongly). Majorities also agree with maintaining the rural moratorium with certain adjustments, either with updated definition of rural (84%) or a modified moratorium where rural post offices are replaced with franchises (62%); over half disagree with ending the moratorium outright.

·       There is broad interest among rural and reserve residents for expanded services in rural areas. Support is highest for offering other government services at post offices (85%) and creating shared-service hubs (80%), followed by providing access to financial services at post offices (71%).  

·       In terms of actual use of additional services, small segments of Indigenous people indicate they would certainly use government services like those offered at Service Canada outlet (17%) or become a client of Canada Post banking services (5%), although this latter is of greater interest on-reserve (10%). While these overall numbers are limited, they are nonetheless important to consider given the demonstrated challenges Indigenous people have trying to access government and financial services.

D.                Cost of research

The contract value was $113,005.06 (including HST)

E.                 Political neutrality statement and contact information

I hereby certify as senior officer of Environics that the deliverables fully comply with the Government of Canada political neutrality requirements outlined in the Communications Policy of the Government of Canada, and Procedures for Planning and Contracting Public Opinion Research. Specifically, the deliverables do not include information on electoral voting intentions, political party preferences, standings with the electorate, or ratings of the performance of a political party or its leaders.

Sarah Roberton

Vice President, Corporate and Public Affairs

Environics Research Group

sarah.roberton@environics.ca

Supplier name: Environics Research Group

PWGSC contract number: EP363-222453/001/CY

Original contract date: 2022-03-09

For more information on this report, please contact Public Services and Procurement Canada at: TPSGC.PORCoordComm-ROPCoordComm.PWGSC@tpsgc-pwgsc.gc.ca



[1]     The following explanation was provided to survey respondents: “Canada Post has lost hundreds of millions of dollars over the past four years. This is due to the decline of mail revenues and because services in rural and remote areas are unprofitable. Canada Post’s mandate is to support itself financially and it does not receive any funding from the federal government. However, to address its losses, it needs some combination of government funding, increased revenue or decreased costs.”