• on Nov 3rd, 2014 in Delivery & Collection | 10 comments

    For the major express companies, preparation for the next holiday season started right after the last one ended. If you’re one of the many Americans whose packages arrived after Santa did last year, you are undoubtedly glad to hear this. In 2013, an unexpected surge in online orders, combined with winter storms and sparse airplane capacity, resulted in FedEx and UPS missing deliveries for Christmas.

    While online retailers certainly share some of the blame – they promised more than was reasonable – UPS and FedEx are investing heavily this year to avoid a repeat of last year. For the first time, UPS will operate a full domestic air and ground network on the day after Thanksgiving (not just its air network). It’s also adding 95,000 seasonal workers and 6,000 package delivery cars, plus increasing its available aircraft. FedEx recently announced a sharp increase in its number of seasonal workers.

    Retailers are also making some changes, including in-store pick-up options and better “distributive fulfillment” efforts, which lets them ship from their brick-and-mortar stores rather than distribution centers. These offerings reduce the distances packages travel.

    The U.S. Postal Service came out of last year’s holiday season smelling sweet. A Business Week article called the Postal Service’s performance stellar, noting that it made adjustments throughout December – including adding deliveries on three Sundays in the month – to accommodate package surges. Of course, the Postal Service doesn’t operate its own fleet of airplanes like UPS and FedEx. So it’s not necessarily the carrier of choice for overnight deliveries.

    Still, many pundits believe the Postal Service could win some new customers this holiday season due to its strong performance last year. The Postmaster General recently told USA Today the Postal Service expects an 8 percent increase in packages over last year. Further, the Postal Service’s recent lowering of commercial Priority Mail prices may have already convinced some companies to switch. However, unpredictable weather close to Christmas and increased volume could pose challenges similar to last year. Would a less-than-stellar holiday performance from the Postal Service hurt its potential in the coveted commercial package market? How can the Postal Service prepare for these potential challenges? Will the changes retailers are making help? 

  • on Dec 16th, 2013 in Products & Services | 2 comments

    Holiday greeting cards still outweigh e-cards in terms of sentiment and personal touch, recent surveys indicate. Even digital natives say a card in the mail evokes a stronger reaction than a text or email. Yet, each year, fewer and fewer people are sending holiday greeting cards through the mail.

    In 2011, American households on average sent about 16 holiday greeting cards, according to the Postal Service’s recently released 2012 Household Diary Study report. Twelve years earlier, 23 holiday cards were sent. Data from the Greeting Card Association also chart the downward trend: U.S. consumers bought 1.5 billion holiday cards in 2011, compared to 2.7 billion in 1995.

    Still, mailed holiday greeting cards remain an important component of the Postal Service’s revenues for the year, as single-piece First-Class letters are one of the Postal Service’s most profitable products. While mail is not as seasonal as it used to be, a strong holiday season still sets the tone for the entire fiscal year.

    It seems unlikely that this trend in holiday greeting cards can be easily reversed, given the overall decline in mail use and a growing comfort with digital communications. But, perhaps some small innovations might revive interest in sending holiday greeting cards. For example, Australia Post is pioneering the use of “video stamps” – a recorded 15-second video that the addressee can view using a smart phone app. While the post is allowing the stamps on parcels only at the moment, a similar type QR code might provide an interesting opportunity for greeting cards.

    What other innovations or digital enhancements might work well on hard-copy greeting cards? Do you plan on sending greeting cards this year? Do you expect to send more or fewer cards than last year? 

  • on Dec 27th, 2010 in Post Offices & Retail Network | 7 comments
    It’s a couple days after Christmas and all through the house, still no creatures are stirring. Well, some of us are. After all, it’s back to work for most of us. Postal employees were especially busy this time of year. In the holiday season, the Postal Service delivered nearly 16 billion cards, letters and packages across the country and sent mail around the world. Post Office lobbies were also a busy place, with 97 million customers visiting. But more than 47 million customers skipped the trip to the Post Office this holiday season and took advantage of the Postal Service’s online shipping at www.usps.com. The Postal Service touches everyone regularly, but even more so during the holiday season. We would like to hear about your “Mail Moment” experience with the Postal Service over the past few weeks. What made it memorable? Was it a positive experience? If not, how can the Postal Service improve?