The U.S. Postal Service adds more than 600,000 new delivery points each year, mostly in the form of new residential homes. While most new residences include cluster boxes rather than to-the-door delivery to reduce costs, delivery remains the Postal Service's largest cost center. Canada Post, which has suffered losses recently after years of profits, has introduced a $200 per address charge that it is assessing housing developers for installing community mailboxes.
Traditional addressing systems rely on subjective identifiers like street names and business or residence numbers. These addressing systems have generally offered the U.S. and many foreign postal services an effective means to identify pickup and delivery locations. However, recent technological innovations related to digital mapping have led some to consider the adoption of an addressing system based on geocodes.