Graphic Communications Key Notes Vol. 02 No. 44

USPS to Handle More Than Half a Billion Packages This Season The Postal Service expects to deliver a total of approximately 15.5 billion cards, letters, flats, and packages during the 2015 holiday season. In addition, they are projecting approximately 600 million packages will be delivered between Thanksgiving and New Year’s Eve, which is an increase of 10.5 percent over last year’s volume.  Monday, December 21, is expected to be the busiest delivery day for holiday packages, cards and letters. The Postal Service anticipates that more than 30 million packages will be delivered on the peak delivery day alone.  Source:  USPS
Reforming the Postal ServiceAccording to Senator Carper the United States Postal Service is an important part of our everyday lives and a critical engine for the American economy. Last month, Senator Carper introduced the Improving Postal Operations, Service and Transparency (iPost) Act of 2015 (S. 2051).  The legislation provides a comprehensive package of reforms to place the Postal Service on firm financial footing, stabilize and improve service performance, allow for the development of new products and services, and enhance transparency.  Source:  Postal Reporter
Cooperative CompetitorsYou may or may not have noticed the U.S. Postal Service delivers a lot of packages that have a UPS or FedEx label on them.  And maybe you’ve wondered what’s up with that? Why would the Postal Service deliver its rivals’ packages?  It’s because sometimes parcels go to remote areas, where it would be unprofitable for companies to establish regular delivery service.  The Postal Service, on the other hand, is required by law go to every address in the country.  Competitors-collaborating is a relatively new business phenomenon that the OIG calls co-opetition, and the benefits it offers to all parties involved are evident. UPS and FedEx, for example, save money by avoiding unprofitable routes, and the Postal Service realizes additional revenues as a result.  For more details check out Co-opetition in Parcel Delivery: An Exploratory Analysis .  Source:  USPS OIG
Millennials Still Prefer Paper CouponsDespite all of the technology available to today’s consumers, Americans still prefer paper coupons, according to a new report.  Of U.S. credit/debit cardholders who use coupons, 63 percent say they most frequently present coupons from newspapers, mailings and other paper products.  Entering a discount code online is a distant second at 17 percent, followed by presenting a coupon or discount code on one’s phone at 15 percent.  Eight-five percent of Americans use coupons.  Source:  9News
Mail Anywhere Full-Service mailers have the opportunity to use the same permit at any location via the Mail Anywhere program.  Entry into the Mail Anywhere program is limited to mailers who meet the quality thresholds for Full-Service electronic verification.  Mailers are allowed to maintain a single permit and centralized account to enter and pay for all mailings across the country.  Source:  USPS
Programmatic Printing and Direct Mail According to research from the Direct Marketing Association (DMA), 79 percent of consumers will act on direct physical mail right away, versus 45 percent for email. Meanwhile, the digital ad click-through rate is only 0.06 percent, or less than one click per 1,000 impressions.  Approximately $45.7 billion will be spent on direct mail in 2015, according to the Winterberry Group, versus just $2.2 billion for email.  “Direct mail is the second largest ad spend next to television, and it’s the highest response rate next to telemarketing,” says Lewis Gersh, CEO of PebblePost, a new startup that takes the real-time analytics and optimization of programmatic digital formats and applies them to direct mail.  Source:  B2C
Did You Know?Permit Holders presenting Full-Service automation mailings (consisting of First-Class Mail cards, letters, and flats, Standard Mail letters and flats, or Bound Printed Matter flats) are eligible for the waiver of annual presort mailing or destination entry Presort fees, when 90% or more of each permit’s cumulative mailings contain Full-Service pieces.  Source:  USPS
UPS to Impose 3rd Party Billing Surcharge Effective January 4, 2016, there will be a charge for UPS’s Third-Party Billing Service.  This rate is set at 2.5% fee for each package.  The charge will affect drop shippers and any other company moving packages for a client.   This fee bills back to the shipper of record directly and not to the customer or the UPS account holder.  Source:  UPS

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