Chapter 2: Our Customers
EXFC
For single-piece First-Class cards, letters, and flats, EXFC is the system that continuously measures service for 3-digit ZIP Code service areas. In 2008, the Postal Service prepared for expanding EXFC measurement to include nearly all 3-digit ZIP Codes in 2009. The EXFC contractor (IBM Global Business Services) designs mailpieces to resemble the First-Class Mail mailstream; pieces are hand or machine-addressed, stamped or metered, and are of different colors, sizes, and weights. The number of pieces entered from each postal district is proportionate to the corresponding origin-destination volumes by service standard. The EXFC contractor then calculates service performance and compiles the necessary reports.
Parcels
For parcel-shaped First-Class Mail, Standard Mail, and Package Services, the Postal Service uses an internal solution based on Delivery Confirmation scans obtained at acceptance and delivery. The Postal Service uses the Delivery Confirmation scan at the retail counter as the “start-the-clock” event for single-piece rate parcels. For presorted parcels, the documented arrival time at the postal facility is used as the “start-the-clock.” For presorted parcels, validation similar to that for letters and flats is performed to ensure that the parcels were dropped at the correct postal facility. The “stop-the-clock” event is the Delivery Confirmation scan performed at delivery or attempted delivery. The sender also has access to the Delivery Confirmation information from the Track & Confirm function at usps.com.
Special Services
There are two categories of special services: ancillary and stand-alone. Ancillary special services are purchased in addition to the postage. These optional special services are varied in nature and include Delivery Confirmation, Signature Confirmation, Certified Mail, Electronic Return Receipt, Registered Mail, Collect On Delivery (COD), and Address Correction Service, among others. In contrast to ancillary special services, stand-alone special services are not contingent on sending or receiving a particular mailpiece and include services such as Post Office Box “up-time” performance, CONFIRM, and Address List Services.
The principal feature of ancillary special services’ performance measurement is the electronic provision of information by the Postal Service to the sender regarding delivery status of a particular mail piece. Service is measured by comparing when the information is collected to when it is available to customers. Stand-alone services generally provide a service or response. Service is measured by comparing when the information or response is available to customers to the schedule for the service.
Reporting
Reporting will be provided quarterly on usps.com.
Shipping Services
Shipping services products face considerable market competition. These products represent the remaining 11 percent of postal revenue and include Priority Mail (domestic and international), Express Mail (domestic and international), domestic Bulk Parcel Post and Bulk International Mail.
Unlike mailing services, shipping services are not subject to a price cap. Instead, prices are driven by the market with a price floor as the only restriction. On May 12, new shipping services prices took effect designed to promote growth and attract new customers. Customer support was increased by adding 80 dedicated Package Sales specialists. The Expedited Shipping Web pages on usps.com were updated in mid-September to improve customer ease of use and navigation.
An integrated multi-media advertising campaign was launched to build awareness among business customers that the Postal Service is in the shipping business. The campaign included television, radio, print, direct mail, and Internet advertising. In addition, sales support materials were developed for public lobbies in Post Offices; for the local outreach programs Business Connect, Customer Connect, and Rural Reach; and for the professional sales force.
Express Mail
Express Mail, the fastest postal product for time-sensitive items, offers guaranteed overnight or second-day delivery to most domestic addresses. The product includes tracking, proof of delivery, Sunday and holiday delivery where available, a flat-rate envelope option, and insurance up to $100. Any mailable matter may be sent as Express Mail. Cradle to Cradle certified packaging is available at no additional cost.
Express Mail pricing was changed to include distance (zones) as an element of price. New commercial base prices that are lower than retail prices, and volume rebates for commercial base prices were added. The Postal Service introduced a premium price for Express Mail Sunday and federal holiday delivery, expanded overnight coverage, added a new legal-size envelope to shipping supplies, standardized the waiver of signature option, changed the redelivery process, and relaunched Express Mail Hold for Pickup service. An expedited acceptance process for prepaid Express Mail labels created online (e.g., via Click-N-Ship, PC Postage, or eBay) was also implemented.
The delivery procedure for Express Mail with a waiver of signature request was changed to save delivery costs and improve customer convenience. The carrier may place the shipment in the mail receptacle or leave it in a secure location without attempting to obtain a delivery signature. This change follows an industry practice while providing service requested by the sender. The delivery procedure for handling Express Mail without a waiver of signature request was also modified. Delivery personnel no longer automatically redeliver Express Mail shipments the next delivery day unless the recipient requests redelivery.