PrintMEMO TO MAILERS - OCTOBER 2006 (text)
UNITED STATES POSTAL SERVICE
VOLUME 41 NUMBER 10
OCTOBER 2006
WHAT'S INSIDE
DIRECT MAIL
MAILING STANDARDS PROPOSAL
NATIONAL POSTAL FORUM
KEEPING POSTED
POSTAL NEWS BRIEFS
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'AMERICA'S PARTNERSHIP' MAKING IT STRONGER!
Postmaster General John E. Potter announced expanded support for the nation’s 200 Postal Customer Councils (PCCs), a network of community-based business mailers and representatives of the Postal Service who have an important role in helping USPS add value and make the mail work better for customers.
“Our goal is to continually improve your PCC experience,” he said during a national satellite broadcast last month on National PCC Day, which honors “America’s Partnership” between the councils and the Postal Service.
“We traveled around the country, asking you what you thought and what you needed from us to strengthen this partnership,” Potter said. “We listened to you. We took action for you.”
Last summer, Postal Service executives and program managers conducted 20 focus groups with PCC members across the country to better understand the needs of this growing network.
Potter pledged the support of district managers, plant managers and executive-level Postmasters and marketing managers at future PCC meetings.
“Our goal is to give you direct access, through your meetings, to every resource we have that can support you,” Potter said.
A new, monthly electronic newsletter will debut. The PCC Insider will keep members updated on issues affecting the Postal Service and mailing industry partners. Taking another lead from the focus groups, Potter announced a new publication, MailPro, combining the best features of two existing hard-copy publications, Memo to Mailers and Mailers Companion, and adding new content.
Potter also discussed the pending rate adjustment. Describing the current proposal to increase rates as a “difficult choice,” Potter stressed that timing was a key issue for the Postal Service. Announcing the proposed rate changes well in advance of their spring 2007 implementation was intended to give business customers and consumers time to prepare, update software and make necessary changes to processing systems. The independent Postal Rate Commission is expected to make a recommendation on the rate case next March.
“The heart of the rate case is more efficient preparation, packaging and presentation of the mail,” Potter said.
Staying relevant in a rapidly changing business environment is key to the future success of the Postal Service, Potter said. Leveraging the accessibility and convenience of the Internet is one of the ways the Postal Service is achieving this goal. Citing successful partnerships with eBay and Netflix, the Postmaster General explained that USPS.com replaces a trip to the Post Office for a number of services. Paying for postage through Click-N-Ship and scheduling a Carrier Pickup are two ways the Postal Service is making services quick, easy and convenient.
“The next time you go to your computer, you’ll have your Post Office,” Potter said.
Potter said that the various components of the mail business — list owners, envelope manufacturers, printers and logistic companies — are “islands of information” that need to share their knowledge with USPS. “Current and new technology create an information-rich environment,” he said. “Making the most of this information will assure the future of our industry for many years to come.”
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FRESH SUCCESS WITH DIRECT MAIL
Business can be poppin’ good when you use Direct Mail to send packages. Just ask the Dale and Thomas Popcorn Co., which is celebrating National Popcorn Poppin’ Month by shipping hundreds of thousands of free popcorn samples nationwide through the U.S. Postal Service.
(In 1999, then-U.S. Secretary of Agriculture Dan Glickman proclaimed October as National Popcorn Poppin’ Month to coincide with the annual corn harvest.)
“Postal Service letter carriers are more a part of people’s lives than any other carrier service. You know and trust them. They are like a friend of the family. What better way to have our popcorn samples — the share-with-a-friend snack — delivered than by friendly neighborhood letter carriers,” says Warren Struhl, founder and president of the Englewood, NJ-based company.
Dale and Thomas, which specializes in gourmet popcorn in a variety of flavors ranging from sweet and spicy barbecue to pineapple coconut, sells its products online and through catalogs. The firm mails more than 1.5 million catalogs a year to customers.
Struhl credits Direct Mail for helping drive sales and boost business at www.daleandthomas.com. The company recently opened a new production facility to help keep up with demand. In the past year, Struhl says Dale and Thomas increased its Direct Mail budget by more than 500 percent.
Want to grow your business? Direct Mail is a valuable, cost-effective way to connect with customers and let them know what your business offers. Go to usps.com/directmail to learn more about Direct Mail and how to make it part of your marketing campaign.
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POSTAL SERVICE PROPOSES NEW MAILING STANDARDS
The U.S. Postal Service proposes to revise its mailing standards to encourage mail preparation that is compatible with the Postal Service’s improved processing capabilities. When implemented, the standards would accompany the proposed price changes planned to take effect next spring.
The new standards give customers more choices in terms of shape, sorting, packaging and containers that encourage more efficient mail preparation. The proposal also increases worksharing opportunities for mailers, allows them to qualify for lower prices by permitting multiple classes of mail to be combined, and reduces the number of bundles, sacks, or trays in a mailing through scheme sorting for letters, flats and parcels, when appropriate.
Highlights of the proposed changes include the following:
Letters
- 3.5-ounce maximum weight for all First-Class Mail letters.
- Fewer presort requirements for First-Class Mail and Standard Mail non-barcoded machinable letters.
- Require full trays for most Enhanced Carrier Route (ECR) mail.
Flats
- All flats must be rectangular, flexible and uniformly thick. Non-rectangular, non-uniform or rigid pieces pay parcel or Not Flat-Machinable prices.
- There are onsistent size standards for all flats. For example, Standard Mail ECR flats will have the same maximum size as all other flats.
- Physical standards for automation flats adjusted to meet the current criteria for AFSM 100 pieces, with new standards for flexibility and deflection.
Not Flat-Machinable (NFM) Pieces
- New category for Standard Mail pieces with parcel-like characteristics, including rigid pieces. Today these pieces qualify as automation flats under UFSM 1000 guidelines or because flexibility is currently not required. These pieces are actually handled as parcels, especially at delivery. Under the new standards, these pieces will be presorted, entered and processed as parcels.
- Qualify for 5-digit rates with minimum five-piece bundles on pallets for easier access to the lowest NFM price.
Parcels
- Minimum 10 pounds qualifies for presort rates.
- Simplify standards by eliminating almost all bundling of parcels.
- Enhanced discounts to encourage drop shipping parcels to destination delivery units (DDUs), with no minimum volume requirement for parcels sorted to the 5-digit level.
- Additional options to combine different classes of parcels in sacks and on pallets to achieve finer levels of presort as long as they are in the same processing category.
- Require barcoding of parcels unless prepared in 5-digit/scheme containers.
Comments on the proposal are being accepted through Nov. 13, 2006. Written comments should be sent to the Manager of Mailing Standards, U.S. Postal Service, 475 L’Enfant Plaza, SW, Room 3436, Washington DC 20260-3436. The complete Federal Register notice on the proposal is available at http://www.access.gpo.gov/su_docs/fedreg/a060927c.html.
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INFO@USPS
SMALL BUSINESS TOOLS
Get new customers.
Meet customer demands.
Around town or around the world.
www.usps.com
SIMPLE FORMULAS
Use the mail to grow your business.
Order a Simple Formulas kit.
800-THE-USPS, ext. AD4433
SEND MAIL FROM YOUR PC
Send postcards, letters,
flyers, booklets or greeting cards.
www.usps.com/netpost
THE POSTAL STORE ONLINE
Open 24/7. Stamps.
Subscription services.
Digital scales.
www.usps.com/shop
SHIPPING INFORMATION
Express Mail, Priority Mail
and package support line.
800-222-1811
PRINT POSTAGE ONLINE
Your shipping label is just
a Click-N-Ship away.
www.usps.com/clicknship
CARRIER PICKUP
From your home or office
at no extra charge.
www.usps.com/pickup
ONLINE SHORTCUT
One-click access.
www.usps.com/smartbusiness
QUESTIONS?
800-ASK-USPS
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MAKE YOUR GLOBAL BUSINESS CLICK
The Postal Service now offers Application Program Interfaces (APIs) for Global Priority Mail and Global Airmail parcel post shipping labels through USPS Web Tools.
These new international online shipping APIs allow customers to print shipping labels that combine mailing information with PS Form 2976, Customs Declaration CN 22 — Sender’s Declaration (green label), and PS Form 2976-A, Customs Declaration and Dispatch Note — CP 72, eliminating the need for a separate customs form.
Business customers can install the APIs into their e-commerce websites or their own shipping operations to make it easy for them or their customers to print shipping labels without leaving their website or work station.
The APIs are easy to use and available at no charge. Simply go to www.usps.com/webtools to register and review Postal Service technical guides that provide step-by-step instructions for integrating the USPS Web Tools.
If there are any questions during installation of the APIs, the Postal Service provides technical support through its Internet Customer Care Center.
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INTERNATIONAL SHIPPING NEVER LOOKED SO GOOD
One of the fastest growing Internet-based companies in the country has fashioned an arrangement with the U.S. Postal Service to deliver all international online sales.
eFashionSolutions will use the Postal Service’s Global Shipping Solution (GSS) exclusively for all orders placed through its 26 websites destined overseas. GSS software allows companies like eFashionSolutions to create online customs forms, print labels and track packages door-to-door. The process is easy for customers and helps simplify the customs clearance process, shortening delivery times.
eFashionSolutions designs and manages the fulfillment for the leading designer, luxury and celebrity-licensed brand fashion apparel.
“It’s simple to use, there are no surcharges and the enhanced tracking system gives customers additional peace of mind,” said Paul Vogel, senior vice president and managing director of Global Business for the Postal Service.
“Forward-thinking programs like this one can make a distinct difference to companies like eFashionSolutions in the areas of customer satisfaction and excellence.”
With a customer database of more than 1 million and averaging 50,000 transactions each month, eFashionSolutions is constantly improving its operations to make online shopping a positive and reliable experience. The company works with 28 different brands, including Oscar de la Renta, DKNY, jLo by Jennifer Lopez, Phat Farm, Rocawear, House of Dereon by Beyonce, and even Elvis Presley licensed merchandise.
Ed Foy, Jr., CEO of eFashionSolutions, believes this is an important step in separating his company from others.
“We are excited about offering such a cost-effective and reliable delivery option to our online customers and enhance our fulfillment offering to our fashion clients. As we move further into the international arena, we feel this will help us expand our place in that market,” Foy said.
eFashionSolutions will offer Global Express Mail and Global Parcel Post through the GSS software. The features that make it easier for customs processing include pre-paying duty fees online, automated customs declaration preparation and international customized mailing forms.
Postal Service Manager of Package Services Jim Cochrane said providing tailored products and customized fits for international customers is one more way the Postal Service is using the Internet to meet an ever-changing customer base.
“We’ve been very successful in understanding and meeting the needs of clients and businesses who see the Internet as an effective way of driving sales and maintaining customers,” Cochrane said.
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KEEPING POSTED
NEWS FROM AND FOR POSTAL CUSTOMER COUNCILS
www.usps.com/nationalpcc
NATIONAL PCC DAY 2006 RECOGNITION PROGRAM
Each year during National Postal Customer Council (PCC) Day, the Postal Service recognizes outstanding achievements of PCCs around the country. Congratulations to these high-achieving PCCs that were honored during National PCC Day 2006.
LEADERSHIP AWARDS
The 2006 PCC Leadership Awards honor the “best of the best.” These individuals and PCCs provided value to their memberships through outstanding programs and activities.
PCC Industry Member of the Year
- Lou Ann Warren — PCC Industry Co-Chair,
Dallas Postal Customer Council
PCC Postal Member of the Year
- Sandra Calos — Customer Relations Coordinator,
Greater New York Postal Customer Council
PCC of the Year
- Cincinnati Postal Customer Council
PCC of the Year Level 21 or Below Office
- Central Wisconsin Postal Customer Council
Communications Program Excellence Award
- Greater St. Louis Postal Customer Council — Gold
- Milwaukee Postal Customer Council — Silver
- Fort Worth Postal Customer Council — Bronze
Education Program Award
- Greater St. Louis Postal Customer Council — Gold
- Greater New York Postal Customer Council — Silver
- Fort Worth Postal Customer Council — Bronze
Grow Your Business Excellence Award
- Fort Worth Postal Customer Council — Gold
- Dallas Postal Customer Council — Gold
- Greater New York Postal Customer Council — Silver
- Miami – Dade County Postal Customer Council — Bronze
- Middle Tennessee Postal Customer Council — Bronze
PREMIER PROGRAM RECOGNITION
The goal of the Premier PCC Program is to provide PCCs with a set of national standards that serve as a benchmark of PCC excellence and address the PCC Network’s core growth strategy of “implementing and leveraging network best practices to create business growth opportunities for PCC members and the Postal Service.” PCCs can strive for excellence by meeting the requirements on this program at the bronze, silver or gold level. The program is intended to give every PCC an opportunity to become the best it can be, regardless of size.
Gold
- Fort Worth Postal Customer Council
- Greater New York Postal Customer Council
- Dallas Postal Customer Council
Silver
- Central Florida Postal Customer Council
- West Michigan Postal Customer Council
- Washington Metro Postal Customer Council
- Twin Cities Postal Customer Council
Bronze
- Fresno Postal Customer Council
- Erie Area Postal Customer Council
- Greater Triangle Area Postal Customer Council
- Greater Kansas City Postal Customer Council
- Buffalo/Niagara Postal Customer Council
- Sacramento Postal Customer Council
- Des Moines Postal Customer Council
A GREAT RESOURCE:
POSTAL INSPECTION SERVICE
Each year the Postal Inspection Service commits significant resources and capital to maintaining the safety, security and trust of the mail. Fraudulent schemes, mailroom security and workplace safety are just some of the carefully coordinated initiatives with which the Inspection Service has been involved. Educating government organizations and industry partners helps the Inspection Service fulfill its role as the law enforcement and security arm of the Postal Service.
To learn more about the Inspection Service and the value it can bring to PCCs regarding the safety and continuity of the mail, please visit the Inspection Service website at www.usps.com/postalinspectors/.
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POSTAL NEWS BRIEFS
PLANS FOR MORE THAN $1 BILLION IN COST REDUCTIONS
The U.S. Postal Service Board of Governors has approved a fiscal year 2007 integrated financial plan that includes cost reduction programs totaling $1.1 billion, while continuing to provide universal service to a continuously expanding delivery network.
These cost reductions contain a planned decrease of 40 million workhours from the estimated FY 2006 level. Savings will come from automation improvements and implementation of additional “breakthrough productivity” initiatives.
The Postal Service’s 2007 fiscal year begins Oct. 1, 2006, and ends Sept. 30, 2007.
The plan also calls for a 3.2 percent increase in revenue and a 2.6 percent increase in expenses over the current year’s forecast, resulting in $1.7 billion in net income. However, the estimated $3.3 billion escrow requirement results in a net deficiency after escrow of $1.6 billion. The plan assumes continued slower growth in the U.S. economy and implementation of the planned postage price adjustments in May 2007.
“There is a potential for more risk in the achievement of this plan compared to recent years,” said Chief Financial Officer and Executive Vice President H. Glen Walker. “The pending rate case, the current labor negotiations with our four largest unions and uncertainties with the economy — including fuel prices — all have the potential to affect actual revenue and expense figures.” The financial plan does not include effects from possible passage of postal reform legislation.
Other factors taken into account in developing the FY 2007 plan include an expected overall mail volume decrease of 0.5 percent — including a First-Class Mail volume decrease of 2.8 percent — and a continuation in the growth of additional delivery points, expected to be 1.9 million again next fiscal year. The plan also calls for an eighth consecutive year of increases in Total Factor Productivity.
APPS FUNDING APPROVED
The Board of Governors approved funding to purchase eight Automated Package Processing Systems (APPS). This represents the second phase of the program, which will bring the total number of APPS machines deployed to 84.
“The APPS machine uses advanced technology to automate parcel and bundle sorting and replaces mechanized and manual parcel and bundle operations with a more efficient operation,” says Walter O’Tormey, vice president of Engineering for the Postal Service.
Deployment of the eight APPS machines is expected in July 2007.
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IMPROVE YOUR BOTTOM LINE. UPDATE.
You wouldn’t let the issue of poor data quality cause your company to miss out on opportunities to sell and promote your products and services, would you? Well, outdated address information can do just that, and having poor quality address data can also prevent the timely delivery of customer invoices. These issues could seriously affect your bottom line.
According to the U.S. Census Bureau, more than 44 million Americans move annually. You need to know if your customers are among them, before you mail. Additionally, not having the correct address information in your database compounds the problem of undeliverable-as-addressed (UAA) mail for the Postal Service, which can mean higher costs passed to you, the mailer.
The Postal Service has developed NCOALink, which provides change-of-address (COA) information to mailers who possess a previous address for a mail recipient. NCOALink is based on patented, secure technology and is one way to update your address lists with COA information prior to mailing.
NCOALink is a vital part of a suite of services available through official USPS licensees. These services are designed to standardize, validate and update addresses for your customers, saving you time and money.
The perfect complement to NCOALink processing is ACS. This service provides address change information for mailpieces in the mailstream. Change information is provided when customers move or when mail is not deliverable for reasons other than a move. ACS is available directly from the Postal Service.
Updating your mailing lists regularly with the combination of NCOALink and ACS will keep you in touch with your customers and help improve your bottom line.
For information on finding a licensed service provider for NCOALink contact the National Customer Support Center at 1-800-589-5766 or go to http://ribbs.usps.gov/files/ncoalinkCERTIFIED%5FLICENSEES/ for a list of full and limited service licensees.
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MEMO TO MAILERS
Volume 41 Number 10
Ilze Sella
Editorial Services
David Ostroff
Designer
George Huelsman
Purchasing Specialist
John E. Potter
Postmaster General and CEO
Thomas G. Day
Senior Vice President, Government Relations
Jon Leonard
Acting Vice President, Public Affairs and Communications
MEMO TO MAILERS
is published by U.S. Postal Service
Public Affairs and Communications.
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registered marks of the
United States Postal Service.
© 2006 United States Postal Service. The following are among the many trademarks owned by the United States Postal Service: USPS®, U.S. Postal Service®, United States Postal Service®, Postal Service™, Post Office™, Priority Mail®, Express Mail®, Standard Mail™, First-Class Mail®, Registered Mail™, Certified Mail™, Delivery Confirmation™, Signature Confirmation™, ZIP Code™, Click-N-Ship®, NetPost® and The Postal Store®. This list is not a comprehensive list of all Postal Service marks.
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