Global Mail Innovations

2014 EnterpriseClient Summit

Global Mail InnovationsGary Reblin,VP, New Products & InnovationUnited States Postal Service

2014 Enterprise Client Summit

Direct Mail is Evolving

& Adapting

Mobile Explosion Digital Integration eCommerce Growth Small Business


Direct Mail is Relevant

73%of Consumers

said they prefer direct mail for brand

communication1

51%of Consumers

pay more attention to the information

received2

52%of Businesses are

currently using QR codes in their

catalogs3

1Epsilon: Channel preference for both Mobile and non-Mobile Consumers

2Epsilon: Channel preference for both Mobile and non-Mobile Consumers

32013 Multichannel Merchant Outlook


Direct Mail Delivers

the strongest ROI


Source: Target Marketing B-C 2013 Annual Media Usage Survey

2014 Enterprise Client SummitAmount in Billions

Source: Winterberry Group analysis of multiple sources

Direct mail up1.1%


Mobile Commerce


Source: Pitney Bowes Ecommerce Solutions,

Mobile Commerce Continues to Grow

• Online sales in 2013 grew over 26% over 2012

• Mobile commerce sales increased 68% in 2013 to nearly $42 billion

• 1/3 of all online sales are made on mobile devices

Source: IBM, Dec. 2013

Source: eMarketer, Sept. 2013

Source: IBM, Dec. 2013

• Global Mobile Commerce2011 – 2016 Average Compound Annual Growth Rate 40%


Global Trends Relevant to the Mail


Mail + Mobile

an Optimum ConnectionProvides a jumping off point • Mobile purchases

• Mobile coupon• Mobile-optimized web site• Responsive web site


Adornably


• Engages emotional processing centers

• Leaves deeper footprint in brain

• Mail provides a tactile response that stimulates the senses, creating a more positive brand association and lasting memory

But we can do more…Source: Millward Brown, 2009

Mail is real to the brain


Postal Technology Ecosystem: Key PlayersPost

Key Requirements• High Conversion rates• Promotions that integrate technology

with mail

Technology Partner

Key Requirements• High adoption of technology• Successful consumer response

Mailers / Businesses

Key Requirements• High Conversion rates• Low investment / Low risk• Enhanced profitability

ConsumersKey Requirements• Surprise and delight• Relevant content• Easy to use technology• Innovative


Other Posts Use Emerging TechnologiesUK Royal Mail partnered with Digital Space to make mail interactive using Digital Watermarking

Post NL started “Er is Post,” a quarterly magazine featuring pages with Augmented Reality

Spain’s Correos created “Tu Sello,” allows private companies to customize QR Code Postage Stamps

Australia Post’s Postcards App postcards with photos and texts created through a mobile app

Source: Mobile Marketing Magazine, Layar, Kyero, Australia Post


Poste Italiane offers Hybrid Mail, linking digital communications to physical mail pieces across the world

19

Watch Video

Sent to .post email address

Local post prints and delivers

Create digital communication

Directed to destination country

Source: Post ItalianeCopyright 2013 Accenture Federal Services LLC. All Rights Reserved. Confidential/Proprietary.


Promotions


Promotions are Evolving

2011Mobile Barcode

2012Mobile Commerce& Personalization

2013Shopping

2014Promotional

Calendar


Integrate Mobile Technology• Build upon previous promotions and continue strategy to

encourage mailers to integrate direct mail with mobile technology

Evolve mail for new uses• Color promotions• Variable data printing• Premium advertising

Drive Trial of New Technology• Leverage the value of innovative direct mail techniques

that are effective but less widely used

2014 Calendar Objectives


Explore New Ways to Evolve Promotions • Longer promotional periods• Flexible promotional periods• Multiple years

2015 Calendar Objectives


Transaction Mail


97% of customers open their bills and statementsConsumers spend an average of two to three minutes reviewing each statement they receive in the mail20% of consumers spend five minutes or more

Transaction Mail is Read


Postal Organization Description Paid /

FreebPost RelatioMail

Increase a company’s transactional mail. 1. Approach, design and document creation2. Monitoring of responses

Paid

Australia Post TransPromotion

Promotional features inside a transactional mail with messages that are personalized, relevant and increase communication effectiveness.

Paid

UK Royal Mail Statement Optimization

Test the effectiveness of transactional mail with information and services to make transactional mail more effective

Free/ Paid

Australia PosteLetter Desktop

Software to create transactional email templates that will print and mail these emails to the database attached by the customer

Paid

TNT PostTRANSEND

Hybrid mail solution that sends letters or postcards from PC1. Customer creates the document , TNT post will print, fulfill and post it

Paid

Eesti Post Electronic Mail Center

Electronic Mail Center users creates e-mails securely and the postal service prints and delivers

Paid

International Posts : Transactional Mail Services


Value of Hardcopy Mail

*Majority of Cost came from Call Center


United Health Group Mailing Test

Test color vs. black & white print – If color print would result in more employees

signing up for UHG/USPS healthcare plan Target: Qualified USPS temporary employeesResults:– 14.92% response in control– 24% increase from base response

USPS Test with First - Class Mail


Goal: Slow diversion by adding value to hard copy

• Weight – 2 Oz Free• Promotions• Technology


2014 and Beyond

Enhanced ShippingNetworks

QR Codes Augmented Reality Visibility

NFC Enhanced Returns

New Products and Innovationworking to make it easier to you to do business with

the Postal Service


Thank YouGary Reblin

VP, New Products & Innovation

Global Mail Innovations

Business

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