The Postal Service will actively pursue opportunities to use scanning equipment and barcode technology to improve Business Reply Mail® (BRM) performance and offer customers new mailer-paid services. One such service is expected to use passive scans of mailer-applied barcodes to count, rate, and bill BRM postage fees while the mailpieces are being processed. This alternative payment method will minimize processing cost and speed delivery. Another potential service would simultaneously capture images from both sides of BRM cards and make the images available to mailers online. An additional option would convert the images to text and transmit the file to a database for customer retrieval. These potential services would all be designed to increase BRM utility, ease of use, cost effectiveness, and performance.

Differentiation

The Postal Service will continue to pursue opportunities to better differentiate First-Class Mail from other products, particularly Standard Mail. The traditional attributes that distinguish First-Class Mail have long been content, delivery service, and the inclusion of value-added services such as forwarding. Over time, however, developments in mail preparation and improvements in processing have made differences between First-Class Mail and other services less clear cut. To begin to remedy this, the Postal Service will take advantage of the 4-state barcode and related technologies to add new value-added features designed and priced specifically for First-Class Mail. Barcode technology will also improve ease of use. With PC Postage and next-generation postage meters, the process of adding Special Services, such as Certified or Registered Mail, to First-Class Mail will be much easier because information about the additional services will be incorporated within the indicia.

Leverage First Mile / Last Mile

The Postal Service is the only carrier that visits virtually all households and businesses six days a week. When combined with its nationwide retail presence, the Postal Service offers an extremely efficient gateway to connect shippers with homes and offices. Parcel Select is a good example of how the Postal Service leveraged the last mile and created new customer value. With Parcel Select, shippers enter packages at a Post Office or plant near the point of delivery. Because the packages bypass steps in handling and transportation, the Postal Service can offer customers an attractive price, while the efficient postal delivery network is able to assure reliable, predictable delivery. Offered in partnership with package consolidators, Parcel Select has been popular for fulfillment with catalog and online retailers. Postal Service package competitors are using the product as well, because they recognize that the Postal Service is able to deliver to residential and rural addresses more cost-effectively than they can deliver themselves.