Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Hansard source

The answer to the honourable senator's question is as follows:

(1) By way of background, Australia Post has a long and proud association with the Australian Olympic Team having sponsored them for five out of the six most recent Olympics. Hospitality is one of the benefits derived from sponsorship of the Olympics. Details of Australia Post's sponsorship arrangement with the Australian Olympic Committee are commercial-in-confidence.

Engaging in corporate hospitality by entertaining clients is a common activity in companies across a range of industries. Australia Post operates in an incredibly competitive landscape, particularly in the area of parcel delivery, competing against Toll, UPS, DHL and TNT to name but a few. UPS is a major global sponsor of the Olympics.

Australia Post monitors the benefits gained from all of its sponsorship activities, including new business that is generated, to ensure that it receives maximum return on investment, consistent with proper commercial practice. The total costs of the sponsorship and hospitality are less than the direct revenue derived from the sponsorship and significantly less than the total benefits generated by the sponsorship.

Specific benefits generated by Australia Post's association with the London Olympics include:

(2) Australia Post invited key customers and corporate partners to Olympic sporting events (eg swimming and athletics). Australia Post also co-hosted an event with Qantas at Hampton Court Palace. Specific details about individual events and invitees, who constitute Australia Post's major customer base, are commercial-in-confidence.

(3) 11 Australia Post staff members attended the Olympic Games, including three Australia Post staff members who worked in the Athletes' Village Post Office delivering mail to the Australian Olympic team. Approximate costs for accommodation and airfares are:

(4) Qantas.

(5) Australia Post's hotel base in London was the Sofitel St James. This is the same hotel used by other Australian corporate sponsors such as Qantas. Approximate costs per person, per night were $400 including taxes and breakfast. This was a premium rate due to the Olympic Games.

(6) Cartan Global was employed to manage the logistics for Australia Post's presence at the Olympic Games. The cost of this service is commercial-in-confidence.