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The Shrinking USPS: Addressing an Uncertain Future

As marketers, we know that every touch point with a consumer is an opportunity to put your brand, product and/or service in front on them. So, what happens when the future of one of those touch points is threatened?

In last week’s webinar, The Shrinking USPS: Addressing an Uncertain Future, Nikki Baird of Retail Systems Research, and our own Zmags COO & CMO, Sean Ford, touched on the new challenges threatening the future of the United States Postal Service (USPS) and its effects on marketers.

In the coming year, the USPS is projected to combine slower service and higher postage rates. So, what does that mean for marketers? According to Nikki and Sean, there are five things to consider:

Timing is everything.  The USPS is projected to close 3,600 locations, cut 120,000 employees, and put an end to Saturday delivery. This slowdown in service will make it more difficult for marketers to determine drop dates and coordinate a campaign with consistent touch points across channels.

ROI is king. As rates increase across all services, companies will be seeking a greater return on investment to justify the expense.

Know your consumer. With increased rates, it will become more important for marketers to spend their direct mail dollars on consumers who have been responsive in the past. Moreover, consumers have come to expect that the communications they receive from retailers and brands be relevant and personalized based on previous interactions.

Move to Mobile. The changes at USPS are only accelerating a trend already in play—a move to digital, specifically mobile. And within mobile, marketers will begin to focus on the most profitable shopper—the tablet shopper.

Play to your digital strengths. As direct mail marketing’s role becomes smaller, other channels will have to pick up the slack. Optimizing a website for tablet or smartphone is not enough. Marketers need to build tools that play to the strengths of new digital channels, taking advantage of their unique capabilities. Think about each channel as its own storefront; a storefront that can inspire, engage, and allow the consumer to have fun.

As the changes in the USPS are rolled out, the challenge to the marketer won’t only be to assess those channels affected the most and adapt them accordingly, but also to take advantage of this shifting landscape by highlighting and utilizing digital channels in a truly meaningful way.

About Lisa Kilborn

Lisa Kilborn is Zmags' Director of Corporate Communications.

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