Mailing/Fulfillment - Postal Trends

Industries that heavily use the mail, like magazines, catalog marketers and banks, say that a sharp hike in the postage rate would drag down their bottom line.

A postal rate increase of as much as 10 percent could produce a short-term revenue burst for the struggling service, mailers say, but could be a long-term loser once companies rely less on the mail.

The U.S. Postal Service (USPS) board of governors has announced that it will hold a private meeting on Sept. 5 that will touch on a range of issues, including pricing.

Magazines, newspapers and direct marketers are girding for the possibility that the U.S. Postal Service will pass an exigent rate increase on top of the annual postal rate that is capped by the consumer price index.

The increase, made possible by a 2006 law that gives the postal service the option to raise rates in case of extreme circumstances like a terrorist attack, could be as high as 10 percent across the board.

It couldn't come at a worse time for the media and marketing industries that depend on mail service.

With the recent addition of new warehouse space and mail automation equipment, SunDance Marketing Solutions in Orlando, FL, can now offer a wide range of new mailing services, such as three-dimensional or uniquely shaped mailers.

The U.S. Postal Service (USPS) has launched major changes to its Priority Mail line-up, with improved features including free insurance, improved USPS Tracking and day-specific delivery which are expected to generate more than a half a billion dollars in new revenue over the next year.

The U.S. Postal Service (USPS) anticipates having only five days of operating cash on hand after making its annual workers’ compensation payment in October, leaving the agency with slim reserves in the event of an unforeseen downturn.

USPS spokesman David Partenheimer clarified Tuesday that the agency should be able to survive with a five-day reserve until the first quarter, when revenues for the agency typically begin to increase. “But no business should have to operate that way,” he added.

What happens if the Postal Service experiences an unexpected downturn?

Three years ago Postmaster General John Potter defiantly insisted: “We intend to be around for decades and centuries to come.” But monopoly won’t be enough to save the U.S. Postal Service's (USPS). The Postal Service is locked in a death spiral of more losses, poorer service, fewer customers, more losses.

The system needs money, lots of it. However, Uncle Sam has none to give. The only answer is to turn mail delivery over to market competition.

The U.S. Postal Service's (USPS) most successful efficiency tactic in recent years has been reducing its workforce by offering Voluntary Early Retirement (VERA). But reports of disgraceful nine-month waits to start receiving full retirement checks discouraged many other employees from taking the offers.

The federal Office of Personnel Management in the first quarter of this year, processed more applications than ever in recent memory.

If normal funding is restored when the new fiscal year begins in October, the agency estimates it can whittle the backlog down to target levels by March 2014. But that’s a big if.

Two top Senators have introduced a bipartisan bill to overhaul the ailing U.S. Postal Service's (USPS), a contrast to House Democrats and Republicans who remained divided last week as Congress headed into its five-week recess.

Proposed by Sens. Tom Carper (D-Del.) and Tom Coburn (R-Okla.), the legislation would restructure the agency’s prefunding requirement for retirement benefits and allow a gradual end to Saturday mail delivery, as well as general door-to-door service if financially necessary.

“Although the situation is dire, it isn’t hopeless,” Carper said. “With the right tools and quick action from Congress, the Postal Service can reform, right-size and modernize.”

The U.S. Postal Service (USPS) takes pictures of every piece of mail processed in the United States—160 billion last year—and keeps them on hand for up to a month.

In an interview with The Associated Press, Postmaster General Patrick Donahoe said the photos of the exterior of mail pieces are used primarily for the sorting process, but they are available for law enforcement, if requested.

The images are generally stored for between a week and 30 days and then disposed of, he said. Keeping the images for those periods may be necessary to ensure delivery accuracy, for forwarding mail or making

The relationship the U.S. Postal Service has with its customers and employees would change considerably under legislation a House committee approved Wednesday night.

The legislation, which was voted for along party lines by the Oversight and Government Reform Committee, represents the House Republicans’ efforts to stabilize sinking Postal Service finances.

Committee Chairman Darrell Issa (R-Calif.), sponsor of the bill, said, “The common-sense reforms in this legislation will restore the United States Postal Service to long-term financial solvency while maintaining high-quality universal service for all Americans.”