3. Create Recipient-Based Products and Services
About 73 percent of all mail is destined for households. How they respond influences how marketers use the mail. The Postal Service can satisfy both senders and recipients by creating more products and services designed around the preference of recipients — especially their desire for greater value and convenience. For example, opportunity exists to simplify receiving and returning merchandise bought online. The Postal Service will develop convenient new features for these customers and continue its outreach with retailers to offer the Postal Service as a shipping option. By providing their customers with a choice, online retailers can create a more convenient experience and further expand their market.
Expand Premium Forwarding Options
Premium Forwarding Service (PFS), launched in 2005, provides temporary forwarding to people such as retirees or frequent travelers who want all their mail reshipped to another location within the United States. The Postal Service will expand PFS options by adding customer-requested services. A premium version might include an upgrade to the basic weekly PFS service by providing multiple shipments each week, with an Express Mail reshipment option. PFS international would be another version to provide temporary forwarding service to customers traveling abroad. In addition, online enrollment in PFS will provide greater customer convenience and make the service more widely available.
Expand Return Services Including Environmentally-Friendly Options
Catalog and e-commerce merchandising present an ideal market opportunity for return services. Return services for packages will be expanded to take advantage of an average 20 percent return rate for merchandise ordered online. Customers tend to purchase online from a company offering convenient and inexpensive merchandise return services. The Postal Service mail processing infrastructure combined with its delivery network creates a favorable opportunity for expanding package returns. Customers can easily return packages through the Postal Service by handing them to a carrier or taking them to the neighborhood Post Office.
Product malfunctions and recalls present a second opportunity for expanding return services options. The Postal Service will create package service options that facilitate the return of fragile items, like electronic equipment requiring repair, that need to be protected during the two-way transit from the customer to the repair center and back. The Postal Service will leverage its first and last mile capabilities to promote mail as the best option for this type of return service. Environmental concerns present a third opportunity for expanding return services. Special prices and shipping services are being explored to handle the recycling and disposal of used products with substances that are harmful to the environment. These recyclables include compact fluorescent light bulbs, ink and toner cartridges, cell phones, consumer electronics, and pharmaceuticals.
Enhance PO Box Services
By 2008 customers will be able to manage their PO Box accounts on usps.com. They will be able to rent a box, make payments, and obtain information about options, pricing, and available boxes in their area. Self-service Automated Postal Centers (APCs) will allow customers to renew PO Boxes with a credit or debit card.
Commercial customers with multiple PO Boxes or Caller Service at one or more locations will also be able to manage multiple boxes online and pay using a credit card, electronic funds transfer, or a Postal One! account. New features are also being explored including online delivery notification, mail redirection, and suite addressing. The Postal Service will establish demand-based pricing for its 20 million PO Boxes based on vacancy rates, box location, and service options. Discounts may be offered where vacancies are high, and premiums may be charged where vacancies are low.