Stamp Lickers...just added to the endangered species list
Posted on Tue, Oct 18, 2011 @ 01:02 PM
Stamp Lickers...just added to the endangered species list
A time-bomb it ticking for the US Postal Service. The USPS is losing between 7 and 8 billion dollars each year, is maxed out on its $12 billion line of credit with the Treasury Department, and is at real risk of default on a $5.5 billion payment it must make to a retiree health benefits fund. These financial straits are pressuring Congress to act and a number of proposals in both the US senate and the House of Representatives take different approaches to solve the problem. But many in Washington and elsewhere say the postal service is clearly in need of a radical overhaul and that the USPS is at real risk of shutting down sometime later this year as it piles up billions of dollars in losses.
Even the Postal Service acknowledges the troubling downturn. "A significant portion of USPS losses in the past few years has been due to an unprecedented decline in mail volume -- down more than 20% since 2007," the USPS said in a statement recently. "The replacement of letter mail and business-transaction mail by electronic alternatives continues to cause downward pressure on mail volume."
According to a recent study conducted by the Boston Consulting Group we will continue to see a steady and irreversible decline in first class and standard mail, with 2020 projections at a 30% decline off of the 2006 peak USPS volume.
What does this mean for American businesses? It means that it is time to join the paperless revolution. In growing numbers your customers prefer to receive business correspondence online rather than in the mail box. According to the Boston Group study, bill receipt will decline 45% and statement receipt will decline by 40% over the next eight years. Clearly, now is the time to evaluate and implement paperless correspondence. Companies that fail to recognize this societal and business trend face the risk of being left behind.
Contact us today to learn how we can help you join the paperless revolution. Don't become the latest addition to the endangered species list!