Aavo Kärmas reflects on Eesti Post’s transformation into Omniva in the fifth episode of Postipoisid
In the fifth episode of Omniva’s Postipoisid podcast, CEO Martti Kuldma speaks with Aavo Kärmas, former CEO of Eesti Post. Kärmas recalls why the company chose to invest in parcels and parcel machines as letter volumes declined, even though postal operators elsewhere in Europe feared that parcel machines would take business away from post offices.
During Kärmas’s tenure, Eesti Post shifted its focus from cutting costs to finding new opportunities for growth. He explains how the parcel machine strategy took shape, why Estonia, Latvia and Lithuania came to be seen as a single home market, and how Eesti Post became Omniva.
The conversation also explores the company’s expansion into Latvia and Lithuania, and how contacts made in China led to talks with Alibaba and other international e-commerce companies. Kärmas reflects on the more difficult side of the transformation: during his tenure, the workforce fell from 4,000 to 2,200, while the existing universal postal service model was no longer suited to a changing market. The introduction of parcel machines also prompted the company to pay closer attention to the needs of parcel recipients.
Postipoisid is Omniva’s podcast series in which CEO Martti Kuldma speaks with former leaders of Eesti Post about the company’s history, leadership, and the evolution of the postal and parcel markets over the years. The series revisits the decisions and turning points that have shaped today’s Omniva.
Listen to the podcast on Spotify and SoundCloud.
Photo: Omniva