Merchants sending packages via Shippit will be able to opt for delivery by Australia Post to cut delivery fees and to reach any address, including PO Boxes.
Shippit started out as an intermediary that made it easier for online retailers to avoid the shortcomings of Australia Post by providing one-stop access to multiple courier services around the country.
But Australia Post wasn't prepared to let a significant share of what is now its core business to slip through its fingers, and a new partnership means Shippit's retailer clients will get the option of delivery by Australia Post as a lower-cost alternative to courier delivery.
The deal with Australia Post means more than 11,000 delivery vehicles are now available to Shippit clients.
Another advantage of the Australia Post relationship is that it allows Shippit clients to arrange delivery to PO Boxes and certain other 'non-standard' addresses.
Although Australia Post deliveries will not occur within the narrow time windows associated with Shippit's courier deliveries, customers will be notified of the ETA when their package has been collected from the retailer, with a further message when it has been loaded for final delivery.
In addition, customers will have the option of changing the destination address and rescheduling the delivery to suit themselves, just as they can with Shippit courier deliveries.
Prices start at $5.99 for a 1kg satchel delivery, but vary according to pickup and delivery addresses. A premium is charged for delivery during a specific three-hour window where that option is available. For example, a $6.52 next-day service shoots up to $44.88 for delivery between 7 and 10pm.