Competition

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Competition (picture of football helmet representing USPS colliding with the unknown competition)

When the topic of competition for the Postal Service comes up in casual conversation, the discussion usually involves FedEx or UPS. However, packages are a relatively small part of the Postal Service’s business. Certainly, these firms are direct competitors, but are there other competitors for Postal Service business?

The biggest competitive threat to the Postal Service is from

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What alternatives compete with each of the various Postal products? What, if anything, can the Postal Service do to better compete in each product line?

The Postal Service has the best opportunity to compete in which market?

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This blog is hosted by the OIG’s Risk Analysis Research Center (RARC).

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Permalink | Comments (13) | Oct 13, 2009

 

 

13 Responses to “Competition”

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  1. 13
    RBriarcliff Says:
    October 22nd, 2009 at 5:21 pm

    USPS has already lost the personal mail and bill pay competition. Focus on packages.

    I agree with Online Shopper. Yes, younger generations may not mail personal letters anymore and pay bills online. The USPS needs to focus on what the younger generation does do (each year they get older). Young generations do not buy books from brick and mortar bookstores. They buy online. But, they still need those packages shipped. When books are no longer read, the devices need to be shipped.

    On the flipside, sending the packages needs to be more user friendly. 1) have the APSCs accept cash. 2) have the APSCs equipped with sensors so they know when they are full 3) hire some people across different regions to empty the APSCs when the feedback mechanism is tripped. I cannot say how many times I have to DRIVE TO 3 DIFFERENT POST OFFICES on the weekend because the APSCs at the first two were full (and not even during the holiday season.

    Here is another idea – charge bulk mail senders extra money for special “feedback” service stamps. If a bulk item has a feedback service stamp, then the USPS will be able to send that bulk item back to the sender (that way the bulk senders know what works like online vendors do). The USPS could have recycling centers put in place at PO boxes and pedestals to collect unwanted mail (I hate having to take bulk home, go through it, throw items out, bag it up, and have the trash people take it.

    I would also focus on marketing USPS certified e-mail. I believe the USPS offers this service but many people do not realize it exists.

  2. 12
    Skippy Says:
    October 15th, 2009 at 5:50 pm

    I agreee on the fact that there should be no discounts for online bill pay. I will take it a step further and state that the PS should make it a rule that nothing should be printed in the “stamp corner” other than the fact that postage is required. I am so sick of seeing “Save a stamp-pay online” on every envelope I see. Where is the ad program from the PS saying “Save your identity-Pay by mail”? That is what I like to see.

    Also, I would like to see paper surcharges outlawed, because there are a lot of poor people and minorities who do not have access to a computer. It is somewhat discriminatory in a way to make people pay to use the PS in lieu of online bill pay.

  3. 11
    Jeff Kostic Says:
    October 15th, 2009 at 9:25 am

    The Postal Service needs to stop letting the competition take advantage of “universal service” Don’t let them shipping via the US Mail. Those ugly Brown trucks seem to only want to deliver on the profitable cupcake routes.

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