Post Office launches 'Next Generation’ branch, a pilot to update the network and improve customer experience

Post Office launches its ‘Next Generation’ branch, a pilot to update the network and improve the experience of Post Office customers

The Post Office has unveiled its sixth ‘Next Generation’ branch in Luton.

The initiative, which began with the opening of the first pilot branch in Pitsea, Essex in November 2024, is a major part of Post Office’s long-term transformation plan to future-proof its operations and better serve its customers.

The Luton branch officially opened on 30 September and is run by postmistress Smita Verma. It’s the largest in the pilot scheme so far and joins Aldbourne in Wiltshire and four other locations in testing this new branch format. The final pilot branch as part of this initial phase opened in Fakenham, Norfolk on 24^thOctober. A detailed evaluation of the pilot will take place over the following months.

Post Office’s new look, modernised ‘Next Generation’ branches have been developed with retail design specialists ITAB—whose portfolio includes major high street brands such as Morrisons and Pets at Home

The ‘Next Generation’ branch format is the result of 18 months of research and stakeholder engagement

The first phase involved a deep dive into what customers wanted from their post office as well as looking at operational efficiency and brand positioning

The new branch format introduces several innovations, including:

• Digital screens to improve customer awareness of products and services that the branch provides
• Identity walls for professional passport photo services, featuring enhanced backgrounds
• Service directory displayed on the storefront to tell customers about available services in that branch, including carrier partnerships such as DPD and Evri
• New PUDO (pick up and drop) storage for branches to help postmasters with the storage of parcels as Post Office takes on new carriers into their branches

The refreshed design of the ‘Next Generation’ branches includes a revised colour palette, keeping Post Office red as the main colour while introducing purple as a secondary tone.

This change was driven by customer feedback, which indicated a desire for a more modern and less cluttered look from their post office.

The pilot branches also place greater emphasis on the Post Office’s three core service areas: Banking, Mails, and Travel Money.

Recent research revealed that 35% of customers were unaware they could access banking and travel money services at their local branch, highlighting a key opportunity for ’Next Generation’ branches to improve their communication and signage regarding these services.

The pilot programme is designed to be scalable across the network with plans to roll out the modernised format to branches subject to Department for Business and Trade (DBT) funding.

The initiative is being delivered in close collaboration with postmasters, who will play a critical role in shaping and investing in the new format.

The ‘Next Generation’ Luton branch is very close to WHSmith store where the branch had been based before that store closed in April and in the new look store there are many familiar faces who worked at the former Luton Post Office.

Postmistress Smita Verma has also run a busy mains branch in Hoddesdon since 2016 and is opening a third branch in Halstead, Essex in the next couple of months.

Smita has added a retail side of the store in Luton with stationery, gifts, cards and photo services including a photo booth and print services.

Steve Fox of Post Office’s Transformation Delivery Network said: “This initiative signals a significant evolution in the Post Office’s retail strategy - one that blends heritage with innovation to meet the demands of today’s consumer. In an increasingly competitive retail environment, the Post Office’s ‘Next Generation’ programme represents a bold step towards making the network fit for the future, enhancing customer engagement, and reinforcing their role as a vital community hub.”

Smita Verma, postmistress of Luton Post Office said: “People are thrilled that the post office is open in this shopping centre again and I’m really happy with my new look post office. It’s spacious and streamlined and tells customers exactly what we do and why we’re here. It’s definitely a popular addition to Luton and we’ve had a huge amount of footfall in the first few weeks of opening. Customers tell me they love the new look. I’m very proud to be running one of Post Office’s ‘Next Generation’ branches."