Internet Usage Boosts Post Office Revenue 140
setirw writes "Contrary to popular belief, the New York Times reports that Internet usage has actually boosted the USPS's revenue, instead of decreasing it. It is commonly believed that the rise of the Internet has negatively affected the Postal Service's revenue, since e-mail usage is rapidly superseding snail-mail usage. 'Six years ago, people were pointing at the Internet as the doom and gloom of the Postal Service,' said James Cochrane, manager of USPS package services. However, the widespread usage of e-commerce sites has boosted USPS revenue, since millions of packages are shipped from such sites daily."
Who cares? (Score:2, Interesting)
Besides, they more powers and subsidies than any other delivery corporation out there.
I highly doubt they were scared - considering the quality of service I receive in downtown Philly - job security is not an issue.
Re:Who cares? (Score:5, Insightful)
I highly doubt they were scared - considering the quality of service I receive in downtown Philly - job security is not an issue.
Unlike the quality of service one receives when dealing with ecommerce sites on the internet.
If I had to chose between script-reading or even non-existent ecommerce help, or a surly postal clerk -- bring on the surly 45 year old with the beer gut.
Re:Who cares? (Score:1)
Re:Who cares? (Score:1)
Monopoly grant is a big subsidy (Score:4, Informative)
I'm not saying that the USPS isn't pretty good at what it does, and I use them all the time, but let's be honest: they have a market that's protected from competition by law. No private corporation is allowed to carry letters for anything less than (IIRC) twice the USPS rate or $3, whichever is lower.
That they're self-supporting is good, but they'd really better be considering that nobody is allowed to touch their business area.
Re:Who cares? (Score:1)
Re:Who cares? (Score:2)
Most likely.. but it won't be anytime soon if it is upto content producers it seems.
Hardware will stabilize after the major Vista upgrade.
Don't worry, there will be a new reason for hardware upgrades once most people can run Vista.
Re:Who cares? (Score:2)
I live in Bucks County and I have learned that most services in downtown Philly are bad (cheesesteaks excepted). I don't blame the USPS for that.
Am I the only person who still writes real letters? I am only 20 years old but I think it makes things more person
Re:Who cares? (Score:1)
I write my friends the old-fashioned way, too. I use pine.
Re:Who cares? (Score:1)
Re:Who cares? (Score:3, Insightful)
That junk mail is what allows the post office to offer first class mail for $0.37 when UPS ground and FedEx ground are often $8 and up.
Besides, they more powers and subsidies than any other delivery corporation out there.
Powers maybe, subsidies no, USPS has it's own separate budget.
I highly doubt they were scared - considering the quality of service I receive in downtown Philly - job
Re:Who cares? (Score:1)
Besides, they more powers and subsidies than any other delivery corporation out there.
Actually, that's a common misconception. The Postal Service is not subsidized in any way, shape or form. They are fully independent (in financial terms) and operational solely from stamps and postage rates. They do have given monopoly powers of first and third class mail, mainly what everyone considers your standard letters. But as far as your tax money and government spending goes, no money is given to the USPS to
Re:Who cares? (Score:2)
Re: (Score:2)
Bugmenot (Score:4, Informative)
usps (Score:1, Funny)
So?.. (Score:5, Insightful)
What would be interesting is how much less *letters* are now being sent via snail mail
Lots (Score:1, Offtopic)
I send my bills in letters, you insensitive clod!
Re:So?.. (Score:5, Insightful)
The only 'obvious' thing that would show an increase would be Netflix/Gamefly/etc. There's a LOT of shipping going on there.
Re:So?.. (Score:4, Informative)
Re:So?.. (Score:2)
Re:So?.. (Score:2)
With Prime (like 80 bucks a year) it's shipped ups 2nd day (or ground if you're close enough to the warehouse it came from). but seriously, how many people fork up 80 bucks a year for prime?
Grump
Re:So?.. (Score:1)
Re:So?.. (Score:2, Informative)
My personal experience is just the opposite. I ship almost everything from Amazon using the free "slow boat to China" method, and I've gotten orders delivered the next day or the day after quite often. If it takes 4-5 days I'm surprised. It really helps that they have warehouses around the country.
That said, it's interesting to hear your thumbs-up appraisal of Amazon Prime. I've considered the free trial just to see what it's like. So far I'm resisting it - I'm afraid it would lead to a lot of impulse buy
Re:So?.. (Score:2)
IMHO, the real savings come from using half.com and amazon
Re:So?.. (Score:2)
Even if you bought an assload of books/movies, it's only worth 80 bucks/yr if each one is shipped independently. Otherwise, just have them box it into one box and you get free shipping and save 80 bucks/year (unless you are on the trial period for prime).
I had a prime trail for 3 months. In the end, I decided it wasn't worth 80/year. Most of my orders from amazon are for stuff I don't need immedietly. And if I need something bad enough, I'd get it from the local store. Same day, not 2 days later
Re:So?.. (Score:1)
Re:So?.. (Score:2)
How many sites even -offer- USPS as a shipping option?
The largest online retailer [amazon.com] uses them for Super Saver and standard shipping. I also see a lot of QVC [qvc.com] returns by USPS, and they ship to customers via UPS or USPS.
Re:So?.. (Score:1)
Re:So?.. (Score:1)
Wrong: USPS uses FedEx aircraft! (Score:4, Informative)
You've got that backwards. The USPS doesn't own any planes, and they have a relatively small fleet of trucks for the volume of stuff that they deliver. It's the Postal Service that uses a lot of other people's trucks and planes, not the other way around.
In particular, a lot of US Mail is shipped on FedEx aircraft. It used to be that a lot of mail was hauled on passenger airplanes (and the passenger airlines used to compete for these contracts, which is a story in itself) but they no longer allow packages on passenger flights for safety/security reasons, so they now put most air mail onto other freight aircraft. FedEx has one of the largest fleets of air-freight craft in the world, so it's natural that they actually do a lot of the transportation.
See http://en.wikipedia.org/wiki/United_States_Postal
Re:Wrong: USPS uses FedEx aircraft! (Score:2)
Actually it is cost effective, which is why FedEx does it. I think you may be confusing cost issues with Congressional decree.
It works like this:
1) Corporation lobbies Congress.
2) Congress passes law forbidding "unfair government competition" to corporation.
3) Government agency contracts corporation.
4) Profit!
5) Campaign cont
Re:So?.. (Score:1)
Why eBay users all use USPS Priority Mail (Score:3, Informative)
Why? Because the integration between eBay, PayPal, and the USPS is so seemless. With just a few clicks through a few screens a bidder has paid you, and you are printing out a pre-paid shipping label that you stick on a free box the USPS delivered to your door and that you can drop off in special priority mail drop containers that do not require standing in line.
You can also pre-print other forms of shipping but Priority is generally a little faster (thou
Re:So?.. (Score:1)
Re:So?.. (Score:2)
Re:So?.. (Score:2)
Re:So?.. (Score:2)
It is if you want to be successful at shipping products internationally (either by eBay or as a store). UPS *SUCKS* for international shipping - sure it only costs the sender $10 or $20, but the buyer is then stiffed with a fee to cross the bor
Re:So?.. (Score:2)
Re:So?.. (Score:2)
Depends on the type of site. I ship a lot of fairly low-value, small items. Probably 80% of my shipments are by first class mail, or airmail letter post for international shipments. A typical package with an electronic kit and a connector or two might cost $1.10 within the US, and maybe $2.80 to just about anywhere in the world.
Not only is it vastly cheaper than UPS, FedEx, or DHL, but it's quite a bit faster compared to ground service. Three days is typical for coast-to-coast shipment. I can get a
Re:So?.. (Score:2)
Parcel Post is cheap; Priority Mail only slightly less so. Carrier pick-up is the best thing ever. Send at least one priority or express mail package, and your mail carrier will pick up whatever else you happen to have that needs shipping at the same time, for free. I live fairly close to the nearest post office, about 5 miles round trip, yet even with that proximity it's nearly always cheaper to upgr
Re:So?.. (Score:2)
USPS sucks. So does UPS.
Phishing will push it even further (Score:5, Insightful)
The clowns insist on using snail mail to reply to mails sent using their "secure" webmail. They have stated that they do not send emails to customers as a matter of policy and they are forced to stick to it even if this means filling Royal Mail coffers.
As e-commerce grows there will be more and more cases like this until the end-users start to actively use encrypted/signed email and banks start to require this for communicating with them.
Re:Phishing will push it even further (Score:2, Interesting)
Re:Phishing will push it even further (Score:3, Interesting)
Re:Phishing will push it even further (Score:2)
Re:Phishing will push it even further (Score:2)
duh! (Score:5, Informative)
If they could they would not even deliver on weekends. Hell they could save money by delivering fewer days. My Aunt and cousin are Postmasters. Home delivery is the big expense.
If it wasn't for filler (all that junk mail) first class postage would be even higher. Its still the best deal for getting something to someone.
Sig Reply (Score:2)
So if you set unambitious goals and meet them, you're a winner. If you are the best ___________ shop on the planet and fail to meet really ambitious goals, then you're a loser. This sounds like especially unenlightened management-speak.
By this metric, GW Bush is a winner and may be our best President ever. He has accomplished a great many of his goals. And those historians who compare hi
Re:Sig Reply (Score:2)
Let's compare what he has done to some of the great presidents:
1. Gotten us into an unpopular war - Lincoln
2. Violated the rights of American citizens - Lincoln, FDR
3. Racked up a huge national debt - FDR
4. Pursued an expansionist policy - Jefferson
I'm not
Re:duh! (Score:2)
Huh. I guess unfortunately for the USPS, I send a lot of small items by first class, in a DVD-sized box. I know people whine about the cost of mail whenever prices go up, but frankly, USPS is a bargain. As you say, the cost of getting to the home is a lot. Not only is UPS and FedEx more expensive, you have to pay them a certain fee if you want them to stop every day, whether or not packages change hands on any given day.
Profit... (Score:3, Interesting)
Ok - IANAE (economist) and IANAPM (postman) - but this is probably a reasonable simplification.
With the postal service, fixed costs are about delivering a single item, where as high variable returns come from large packages. With the decline of letters and such (due to e-mail etc), and the concurrent increase in parcels (due to online shopping) - how could they not make better returns.
If a postal service is making losses and is in decline (as a number are in Europe), I would suggest that they should stop looking at environmental factors, start modernising their organizations and provide a service that complements the needs of their 21st century customer.
Re:Profit... (Score:1)
Being able to turn more profits on packages doesn't terribly surprise me, though. When I have a game shipped from FacelessCorporateVGRetailer.com, they pack it in a box. I'm sure the box with the game generates less revenue than an equivilent volume of letters. But the box is also less dense. It also only has to be sorted once (per facility?), whereas
Re:Profit... (Score:2)
Ok - IANAE (economist) and IANAPM (postman) - but this is probably a reasonable simplification.
With the postal service, fixed costs are about delivering a single item, where as high variable returns come from large packages. With the decline of letters and such (due to e-mail etc), and the concurrent increase in parcels (due to online shopping) - how could they not make better returns.
If a postal service is making losses and is in
Re:Profit... (Score:2)
The discount that's given on presorted mail is substantial, but the cost savings to the USPS of all that presorting is even more than the discount; thus they make more money on it. When you do a mass mailing, in order to get the best rate you basically have to presort the mail all the way down (in some cases) to the ZIP+4 or even down below that to the carrie
The Royal Mail knows this (Score:5, Interesting)
How many are A-O-Hell CD shipments? (Score:1)
Sounds like a similar story to the UK... (Score:5, Interesting)
Personally, I don't beleive Amazon would've single handedly saved it, but no doubt it contributed alongside all the other online retailers. I think it'll only get better for postal services and couriers too, it's the high street that should be (Well, "is" rather than "should be" in most cases) worrying as people shift from a culture of high street shopping to having everything delivered by mail.
eBay saved USPS! (Score:1)
and I always love how people thought that email would mean the demise of the post office; you can't attach furniture to an email message.
Gee... duh! (Score:3, Insightful)
Re:Gee... duh! (Score:2)
Heh, I wonder if people thought about the telephone system making the postal service obsolete when they first started coming into use a hundred years ago. But I suppose the world was too large for technology to have an immediate impact then.
Not a fair comparison (Score:2)
I never wrote a whole lot of letters just because I didn't live that much of my life before email was available, but my parents certainly had whole files of paper letters and would write all the time. Probably still not as often as they send personal emails, so I'd say the amount of communication that people do today via email is greater than what they ever did via mail, but I think you're exaggerating the length
To quote a famous man... (Score:5, Insightful)
- Alexander Graham Bell
It seems the post office are one of the few places that have found another open door rather than litigating to have the closed door forced open.
Re:To quote a famous man... (Score:1)
The door didn't really close. Just the crap they drag through is different. Or rather, the distribution of small, flat crap is down and bulky crap with pesky, ignored instructions* is up.
* (This end up, Fragile)
Re:To quote a famous man... (Score:2)
Your analogy would be closer if the music industry had litigated to keep people using cassettes, rather than moving to CDs.
Re:To quote a famous man... (Score:1)
Postcrossing (Score:3, Informative)
USPS Ranked Most Trusted (Score:4, Interesting)
http://www.directmag.com/news/usps-022306/index.h
.... at protecting people's privacy concerns (Score:2)
Re:USPS Ranked Most Trusted (Score:2)
Re:USPS Ranked Most Trusted (Score:3, Interesting)
Not only packages... (Score:2, Funny)
Of course... (Score:2)
Re:Of course... (Score:2)
Re:Of course... (Score:2)
Re:Of course... (Score:2)
Re:Of course... (Score:2)
I seriously doubt that even the USPS is obscene enough to drive 84 miles round tr
Email Tax? (Score:2, Funny)
The figures can lie. (Score:1)
Maybe this is the real story:
Less mail, higher charges = more money for USPS
Re:The figures can lie. (Score:2)
1) But not much out of line with inflation.
2) If you don't like it, use their competitors.
3) Apply some common sense. 1st class mail delivery is really not profitable. It's more of a government mandated service USPS is required to provide that they really don't make money on. Delivering packages using an existing shipping network, however, is very profitable - the USPS makes a much, much higher margin o
Re:The figures can lie. (Score:1)
Re:The figures can lie. (Score:1)
EBay (Score:2)
Silly (Score:1)
Oh they're hurting all right. Maybe if they developed betetr QoS themselves, they wouldn't be in this bind.
Re:Silly (Score:3, Insightful)
Spam/junkmail (Score:1)
While I'm ranting on junk mail, I would also like to bitch about the douche that throws the free papers in my yard twic
Revenue has Increased (Score:1)
So THAT'S why they keep having to raise the price of a stamp. Uh, wait...
USPS needs to become more shipper-friendly. (Score:4, Interesting)
I don't know what the underlying reasons that they only use Fedex or UPS are, I just now they're pretty damn pervasive, and I wish the USPS would make them unnecessary.
USPS is also doing a great job... (Score:2)
I think USPS has only USPS to thank for its improved o
Re:USPS is also doing a great job... (Score:1)
To compound things, the APC won't let you send packages via Media Mail anymore, apparently because people were using it to scam the USPS sending non-media items at highly redcued prices, so I have to wait in that horrible line just so a postal employee can stamp it Media Mail without e
Not to mention proper internet integration (Score:2)
Re:Not to mention proper internet integration (Score:2)
Re:USPS is also doing a great job... (Score:2)
In a word, eBay (Score:2)
amazon (Score:1)
So if they're making more profit from parcels... (Score:2)
Now all we need is the teleporters.. (Score:1)
USPS Facts. (Score:2)
Also, Postmaster General is also called CEO of USPS. Read USPS website [usps.com]. You can also read their financials and business plans.
The reason why USPS
Re:So postage stamp prices will be coming back dow (Score:1)
Problem is, everyone wants to make more money, have health insurance, and all the other ammenities of modern life. So in order to keep those postal employees, the USPS, BPO, Australian Post, and all the others have to raise their rates to offset the costs.
At least with this latest rate increase that the USPS is announcing, they are off
Re:Totally agree with the idea but... (Score:2)
However, according to the Minneapolis Federal Reserve Bank [westegg.com], prices rose by 43% between 1991 and 2005, and 49% between 1991 and 2006.
Like, you've been pwn3d.