If Running the Post Office was Easy, Even the Government Could Do It!
February 15th, 2012 by Steve RosenbergThere are 3 expressions that experience teaches are not always accurate:
- “I’ll trust you in the morning.”
- “The check is in the mail.”
- “The government is here to help you.”
What’s this have to do with the post office? Everything!
Yesterday, I attended the monthly meeting of the local Postal Customer Council. That’s where I try to stay abreast of all the changes taking place in the post office. New regulations. New rates. What’s happening.
Yesterday, it was a presentation from Randall Anderson, the marketing manager for the Greensboro District — a very high position. Randall talked about the various proposals going through Congress and the one proposed by the administration.
Everyone knows we are coming to the end of the world this year. My question is, will the Post Office make it to the end?
The Post Office, in my opinion, has the worst of all possible worlds. On one hand, they are told to make a profit. On the other, they are told how to do it by Congress and other politicians.
There is no doubt the Post Office is in trouble with First Class mail volumes dropping precipitously. I think it’s down over 25% over since 2007 and projected to drop another 50% within a few more years. It’s not coming back as more people go online to receive and pay bills.
First class mail pays for the infrastructure that allows someone to mail a first class letter from Maine to Hawaii for only 45¢.
It’s way beyond my pay grade to understand the finances of the post office — prefunding of retiree’s healthcare, the economics of 6-day versus 5-day delivery, etc.
If Randall is accurate — and I think he is — the Post Office has a good handle on what needs to be done. It’s closing facilities, adjusting delivery standards, eliminating Saturday delivery, getting retiree funding relief.
It’s all about massive, painful changes that seem inevitable. We’ve seen restructuring in other segments of the economy — notably the auto and steel industry.
But the Post Office is a “quasi” governmental agency that does not take tax dollars. Instead of a board of directors who can and do make decisions, the Post Office is controlled by government officials who really have no idea of what they are talking about.
One Congressman can address one set of problems, but a Senator has other ideas. Neither of them has any real investment in the system — after all, they are our elected officials who are going to get their retirement benefits and other perks no matter what happens to the Post Office.
However, most politicians use the mail to stay elected. (And that business that I want more of!)
Given the polarization of the legislative landscape, I think it’s a safe bet to say that nothing will get through Congress this year.
It’s impossible to imagine a scenario where the USPS runs out of money (which could happen this year) AND shuts down. The Post Office is still vital to the economy.
It’s certainly vital to my business. I try to encourage prospects to effectively use direct mail marketing to increase their business. It’s the only economical way to put something tangible in a prospect’s hand.
But all this trash talk of the post office not being relevant cannot help my business. Instead of focusing on the advantages of using the mail, the talk is about how the post office is going to disappear.
I have no intention of retiring any time soon (can’t afford to), so I need the post office. The one good thing for me is that I tell prospects there is an expression “Go Postal” and that’s my job security. Competition is declining and no one entering the business, so there is a small silver lining for me in all this confusion.
If you read this blog post and want to help me help the Post Office with your mailings, call me at 919-848-4332. I’ll guarantee that I’ll get it done right!