Tuesday, July 26, 2011

USPS To Expand Services Into Local Businesses, While Closing Up To 3,700 Post Offices

USPS introduced the Village Post Offices concept to replace 3,700 postal offices.

By H. Nelson Goodson
July 26, 2011

Washington, D.C. - The U.S. Postal Service (USPS) reported losing billions in revenue through the years as customers change their mailing habits to using online E-mail, Internet and other electronic devices (cellphones) as a means to communicate. USPS is evaluating and considering shutting down at least 3,700 post offices nationwide, which are viewed as "low activity" or generate less than $50 a day, has a maximum of two hours work a day and have a minimal walk-in customer base. USPS introduced a new concept to fill the void.
On Tuesday as an innovative strategic change to update its operations and generate revenue, USPS announced in a press release it will expand its operations through the Village Post Office as a potential replacement option. Village Post Offices would be operated by local businesses such as pharmacies, grocery stores and other appropriate retailers, and would offer popular postal products and services such as stamps and flat-rate packaging.
Today, more than 35 percent of the Postal Services retail revenue comes from expanded access locations such as grocery stores, drug stores, office supply stores, retail chains, self service kiosks, ATMs and USPS, open 24/7, said Postmaster General Patrick Donahoe. Our customers habits have made it clear that they no longer require a physical post office to conduct most of their postal business. Donahoe strongly believes that third-party retailers would create easier and convenient access of postal products and services to customers at their local shopping centers and businesses. The Village Post Office will offer another way for us to meet our customers needs, Donahoe said.
Today, USPS has 32,000 postal retail offices and more than 70,000 third-party retailers as Approved Postal Providers that sell postage stamps and are providing expanded access to other postal products and services. USPS customers have about 100,000 locations across the nation where they can do business with the Postal Service.
USPS is the only postal service that delivers ro 150 milliom residences, businesses and Post Office Boxes, generates more than $68 billion in revenues annually and delivers nearly half of the world's mail. The Postal Service receives no tax dollars for operating expenses, and relies on the sale of postage, products and services to fund its operations.

Expanded Access Study List, affected states at link: http://ur.ly/TMJo

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