Kenya: Postal Corporation and GTV sign sales deal

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The Postal Corporation of Kenya has entered into an agreement to receive subscription payments on behalf of pay -TV service provider GTV.

The deal is part of the corporation’s effort to diversify its operations in the wake of rising competition in its traditional mail market from electronic mail and short message services (SMS) offered by mobile telephone service providers.

The government-owned Postal Corporation has over the years earned its revenue through delivery of mail, both locally and internationally — a service that has come under heavy attack from e-mails and mobile telephony.

Over the past 10 years, technological advancements have seen Kenyans adopt new channels of communication eating into the snail mail market. Globally, it is estimated that the number of people sending snail mail is declining at an annual rate of five per cent. This has forced postal service providers to go back to the drawing board to remain in business.

Last week, the Postal Corporation of Kenya formalised a business partnership with GTV that will enable subscribers for the pay- TV service to settle their monthly bill through the corporation’s 300 outlets. “Our partnership brings together two leading brands in a strategic alliance that will give both of us a high profile presence in the market,” said Fred Odhiambo, the Postmaster General.