on Aug 13th, 2012
in Products & Services
| 29 comments
More than 40 million Americans change their address each year, which means the U.S. Postal Service forwards an awful lot of mail. In fiscal year 2010, it forwarded 1.2 billion pieces. Under the Postal Service’s regulations, customers who fill out a change of address form have their mail forwarded to their new address for 12 months after the move. Mail forwarding costs the Postal Service almost $300 million a year. The cost to return mail to sender is another $800 million. The cost of mail forwarding – and returning to sender and treating as waste -- is baked into the overall First Class Mail rates, so all customers effectively pay for this service whether they use it or not. Canada Post has taken a different approach to mail forwarding, charging recipients either an annual or semi-annual fee when they move. Residential customers pay $75 for 12 months of forwarding and business customers pay $235. These prices increase slightly if the person or business moves to another province. The Canada Post model extricates the costs from the overall First Class Mail rate and is structured so recipients pay for the service, but only if they use it. Some U.S. business customers have requested that the Postal Service explore new pricing and product options to reduce the costs of forwarding and returning mail to sender. Would a model similar to the Canada Post one work in the U.S. or would residential recipients, in particular, feel like they were being charged for a service they thought was free? Should the sender pay for forwarding instead of the recipients? What would happen if recipients or senders decided against paying for forwarding? Would total costs merely go up since return to sender mail costs more than twice as much as forwarding per piece? Are there other alternatives? Share your thoughts below.
on Jan 23rd, 2012
in Ideas Worth Exploring
| 7 comments
A leading book on business strategy and innovation claims, “through innovation, business organizations can change the world.”
A 2010 study on global postal innovation by Capgemini states “there is a general tendency among all postal operators to diversify by investments outside their core business (mail, parcel),” especially into the logistics and financial services areas. Among European operators, Poste Italiane, Swiss Post, Deutsche Post DHL (Germany), and Austrian Post, in particular, have increased their share of non-core business.
Poste Italiane introduced the Postepay prepaid card at the end of 2003. Over 5.6 million customers in Italy have used this reloadable card, which allows them to make purchases and withdraw cash from ATMs. There is a one-time fee of €5 ($6.44) for opening the account and adding funds to the card or withdrawing money costs €1 ($1.29) at an Italian Poste.
A number of other posts have made their own innovative marks. Canada Post in partnership with BackCheck, now offers ID verification at their locations. Post Denmark, working with financial partners, signed almost 3.5 million users for its eBoks digital mail service, almost 2/3 of the population. Austrian Post operates a banking network called PSK BANK, which has trained financial advisors at every postal branch and offers services including:
- Free bank accounts.
- High-yield insurance products such as retirement planning products.
- Eastern European stocks.
Share your thoughts in the comment section below.This blog is hosted by the Information Systems directorate.
This site provides a forum to discuss different aspects of the United States Postal Service and how it can be improved. We encourage you to share your comments, ideas, and concerns.
This is a moderated site—we will review all comments before posting them. We expect that participants will treat each other with respect. We will not post comments that contain vulgar language, personal attacks of any kind, or offensive terms that target specific individuals or groups. We will not post comments that are clearly off-topic or that promote services or products. Comments that make unsupported accusations will also not be posted.
We ask that reporters send questions to the USPS OIG Media Office through their normal channels and refrain from submitting questions here as comments. We will not post questions from reporters.
We recognize that the Web is a 24/7 medium, and your comments are welcome at any time. Given the need to manage Federal resources effectively, however, we will review comments and post them from 9:00 a.m—5:00 p.m Eastern Time, Monday through Friday. We will read and post comments submitted after hours, on weekends, or on holidays as early as possible the next business day.
To protect your own privacy, and the privacy of others, please do not include personal information or personally identifiable information such as names, addresses, phone numbers or e-mail addresses in the body of your comment.
Except when specifically noted, any views or opinions expressed on this forum (or any other forums available via an RSS feed) are those of the individual bloggers. The views and posted comments do not necessarily reflect those of the U.S. Postal Service Office of Inspector General, or the Federal government.
Thank you for taking the time to read this comment policy and disclaimer. We plan to blog weekly on as many emerging new media topics as possible. We encourage your participation in our discussion and look forward to an active exchange of ideas.