Business Model Assessment of USPS
The main objective of this research paper is to evaluate the effectiveness of business assessment model used by United States Postal Service. The United States Postal Service has was formed in 26th July, 1775 and has been operational since then providing different postal services in the United States with the aim of uniting the people together. USPS provides a variety of package and mailing services where it delivers to different customers in the United States. It offers various services depending on what the customer requires. The main key activities provided by the postal service include package and mail delivery and ensures customers get their services in good time without delays. These activities are provided to all the people across the nation with the obligation of binding the people together through educational, personal, literary and business correspondence of the people.
The customer services are divided according to the services provided by the United States Postal Services. There are individual citizens and businesses services offered to the customers. The individual services are divided into two where there is first class mail and standard mail. First class mails are more expensive than standard mails since they are sealed and protected and the customer is assured of security of the document being delivered. First mails take two to three days to be delivered in the contiguous states Standard mails are mostly commonly used as they are cost effective to the customers. Standards mails can be used to send letters, personal cards and bill payments. The other service offered by USPS is for businesses where it caters all mailing needs for businesses. Banks use first class mails to send credit and debit and other confidential information since it is protected and handled with great caution. A person may also use the first class mail services depending on the type of document of information being delivered. In this way, customers are assured safety of their mails and documents till they get them as they are handled properly.
Many people see that USPS has a flawed business model which has failed and there is a need to develop a new business model. The new model should ensure maximum profits is gained and lower the costs of the postal services so as to achieve high returns in terms of sales and profits. USPS has reported increased operating expenses and eventually making big losses due to the increased costs in carrying out its services. This has contributed to many people acknowledging that the business model used has failed and there is need to change it for the postal service to make big profits and reduce its expenses. The United States Postal Service is a big organization which manages and fully funds itself by the services it offers to its customers. USPS business model is unique in that like many government or federal institutions which receives incentives or tax money, no amount is channelled to USPS and has a full mandate to fund itself. This is achieved by the services provided to customers like selling stamps, boxes and packaging materials to the customers. This may be a challenge to the organization especially when sales are low, there may be difficulties in funding all the activities. This may lead to losses and expenses going high hence the need to change the business model of the institution.
There are also other services offered by United States Postal Service for publishers. The USPS has periodicals, a mail class used to send newspapers, magazines and journals by the publishers. Different publishers are able to use the postal services available in USPS which enable them to send various documents to their clients and makes delivery simple and efficient. This is an obligation of United States Postal Corporation to provide prompt and reliable services to its clients. The United States Postal Service has also partnered with other mail providers to ensure effective delivery of mails in various parts of the nation. The two companies are UPS and FedEx who were not able to deliver mails in rural areas due to the high costs incurred and this led to the partnership with the USP. This partnership of USPS with other mail providers is to ensure binding of the people across the nation through various correspondences of the people. This is all aimed at ensuring the mission of the United States Postal Service which is to provide the people in the nation with affordable and reliable mail services is achieved.
The postal service provides affordable, effective and efficient mail services to all the communities in the United States. The services are also cheaper compared to other mail service providers thus being affordable to many people. The United States Postal Service therefore enjoys many customers than its competitors in the mailing industry. It has many offices and branches in the United States which makes it easily accessible to the customers in different parts of the nation. The postal service is reliable in that it collects millions of addresses in six days a week and also collects outgoing packages and mails when doing delivery. This shows many people are doing mailing services with USPS and it indicates the services are reliable and effective for any person in the nation. The United States Postal Service provides mailing and shipping services to tens of thousands of postal retail outlets across the United States. It also provides the services through usps.com where people can access the services and they provide direct delivery to the customers. The USPS has all the addresses in the United States which makes it easy to do huge amount of deliveries every week in different parts of the nation and the delivery system has being made to be direct, from the sender to the receiver of the mail or document. This is efficient to many people who use the mailing and packaging services of United States Postal Service in United States.
The United States Postal Service provides different mailing services where customers are able to choose the affordable service. There are first-class mail, standard mail, periodicals, international mail, packages and shipping services which enable the customers to select for their wants. The USPS has over thirty thousand offices in the United States where customers can access the services they want. These offices are distributed across the country to ensure they are easily accessible to their clients. Customers are therefore able to get the mailing services without travelling far distances. This has contributed to the large number of customers USPS enjoys compared to the competing mail providers in United States. This enables the postal service to provide different services to its clients to meet all the requirements and ensure there is effective delivery of mail services across all the offices in the nation. The USPS has made the stamps and postage available in different shops like supermarkets, post offices and even in drug stores for customers to access them. There is a postman who is available and can come in your house and pick mails and package for postage and no charges at all. This makes United States Postal Service have many customers due to the variety services available which caters for all clients and their wants.
There is good customer relationship between the postal service and their clients. Customers are served in a good way depending on their needs which is reliable, affordable and fast. This has promoted to the large number of customers in USPS due to the good customer services provided. For individuals, they receive their customer services through sending and receiving letters or packages form the postal service provider. This is efficient and effective to the clients who are able to receive their mails and packages in good time and also send them in the appropriate time. Customer services of businesses are done through advertising campaigns and special mailing and packaging business prices which are affordable to the business people and publishers. USPS has partnered with other mail providers like UPS and FedEx where it provides delivery of their mails and packages in the rural areas and also delivery of small packages in various areas across the nation.
United States Postal Service also offer customer services by phone, online and through post offices for all other customers in need of their services. This has become effective and efficient for USPS to reach large number of customers in the United States and many people prefer to use its services than other competing mail providers. The United States Postal Service has taken the initiative of doing campaigns and creating awareness by marketing itself in the nation to advertise its mailing services. Most of the US citizens are aware about USPS and the postman who comes to their houses every day has enabled many people know the postal service. The USPS has feedback programmes where they get to know how customers are getting their services and ways of improving customer services. This has promoted the good customer relationships between the postal service and the customers. Researches which have being carried out show that USPS has been performing well generally compared to the other mail providers in United States and this ensures USPS keep in toes to remain at the top in provision of its services.
The United States Postal Service has been using the business model canvas and there is a need to do some reviews to the model to ensure success and high returns and profits to the organization. A good and successful business model should ensure there are minimal costs used and high returns gained for the organization to make huge profits and sales. In the last three decades, USPS was able to grow in large mail volume which led to success and prosper to great heights because the volume growth was able to cover all the cost incurred. This has not been in the case due to the stiff competition of marketing and product innovation which USPS did not prioritize in planning of the business model in the future. This has led to losses in the United States Postal Service where the profits have gone down and costs used going high. Therefore, there is the need to review the business model canvas of USPS for it to remain successful in the mailing industry.
Business Model Assessment of USPS