Bruce Peddlesden, managing director of Port Melbourne-based On Demand, said the firm was producing the cards that let residents know they have a package to collect.

The offset shells are outsourced to a commercial printer, then On Demand overprints the black personalised details in-house.

"It doesn't sound like a lot, but [Australia Post] produce about eight million cards per month," he told ProPrint.

Peddlesden said the contract went live on 7 November after being signed in September. He said it was a three-year deal with a two-year option and worth "in excess of $2 million a year". The previous incumbent, Geon, was one of the tenderers on the shortlist, he added.

"We were successful in that contract, because we put a lot of effort into the IT component," he said.

Geon declined to comment.

[Related: Peddlesden named in 2012 ProPrint Power 50]

The 102-staff firm set up a "seamless" system for the 4,400 Australia Post outlets to make and approve orders online, said Peddlesden.

On Demand then prints the cards, which are personalised for each branch. An invoice is automatically delivered to Australia Post once the barcode is scanned and despatched, he said.

Peddlesden said this "loop" system had cut out of lot of cost and complexity for Australia Post.

"On Demand continues to use its IT smarts, which is a way we believe all work should be done," he told ProPrint.

"We need to simplify and cut costs for the client, by making it a seamless transaction. It saves Australia Post time and money, and makes it quicker and easier to do the transactions.

"It's been a good win. We're very proud and it’s a long-term relationship, which is the way we're wanting to move to ensure our growth and sustainability."

Peddlesden also credited Australia Post with rationalising the range from 52 to four when the contract changed hands.

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