There are many postal and mailing industry conferences. Many are focused on the immediate problems facing the Postal Service and its partners in the mailing and printing industry. Approaching current issues as pragmatic problem solvers focuses attention on the here and now. But today’s solutions to yesterday’s problems will not be enough to address the challenges of tomorrow. Few of the conferences focus on the creation of a new vision. The recent PostalVision conference held in Washington, D.C. attracted participants from Africa, Europe, Australia, China and the United States to discuss the twin related drivers of the global postal future.

Delivery: Drones, Parcel Lockers, Information Systems and Consumer Choice

The meeting included speakers from outside the industry, such as Andreas Raptopoulos of Matternet , Matt Sweeney from Flirtey, and authors Jeff Jarvis (What Would Google Do?) and Chris Anderson (Makers), all discussing drones (or rather, Unmanned Aerial Vehicles), as part of the future of delivery. Another part of the delivery future includes the massive implementation (in some countries, notably Germany) of parcel lockers. Yet another part of the puzzle was provided by speakers who focused on the growing power of the consumer in determining how, where, and when items will be delivered to them, based upon digital connections and accessible information systems. Bpost (Belgium) provided an overview of how this might work, describing a current test of “Bpost by appointment.”

The important role of the relationship between the delivery channel, mailers, and consumers was reinforced by Professor Marshall Van Alstyne of MIT and Boston University, as he spoke of the importance of the feedback loop for direct mail. Research conducted by Accenture and highlighted at the conference reinforced the point that meeting the needs of the consumer must be the central focus of successful posts – a point disputed by some representing the mailing industry who argued for the continued primacy of the sender of mail. Others pointed out that success required solving a simultaneous equation which balances the needs of senders and recipients. The Postal Service’s CMSO, Nagisa Magabe, appeared to lean in favor of this approach when she used a consumer-based model as the focus of a number of innovative approaches to the market. Furthermore, several speakers noted the continuing value of personal relationships provided by delivery carriers as a critical element of the channel’s brand strength (the magic of delivery or “point of the spear”).

The future will be driven by enhanced technology and empowered consumers.

Digitalization: Providing Relevant Services in a Global Market

One of the recurring themes of the conference was the globalization of the market and the need for cross-border solutions to the delivery of merchandise and other items. BrianBieron, of eBay’s Policy Lab, joined several other speakers in commenting about the emerging model of small and medium businesses empowered to do business globally through accessible and easy-to-use but powerfully sophisticated programs that enabled addressing, payment, and delivery confirmation. The emerging “Digital Front End” of mail is likely to disintermediate and simplify the creation and processing of mail, mailings, and package shipping. Hybrid Mail remains an option, especially as it can be increasingly connected with networks of printing services to enable small and medium businesses to take advantage of postal programs. Another role for posts in the global digital environment was to assist in the development of improved security for transactions.

While many of the solutions will be high-tech digital developments, such as services described by Deutsche Post’s Peer Bentzen and Poste Italiane’s Ulisee Del Gallo, improvements can be as simple as new forms of packaging described by two students from Cooper’s Union, winners of a competitive challenge program at their university. Other universities have similar programs of particular interest to the industry, such as the print-oriented challenges at RIT, Clemson, and San Diego State. These programs focus on improving print and mail by embedding technology such as Quick Response Codes, Augmented Reality, Clickable Paper, and more to improve the customer experience, link with the digital world, and drive improved business results.

Innovation and new forms of collaboration is also a recurring theme used to describe the future of the industry.

Headlines: Opportunity and Consumer Benefits

The typical headline for most articles about the future of paper, print, mail and especially the Postal Service are usually negative and the articles focus on the difficulties caused by technology and legislation. The postal “glass” always seem to be half-full and emptying quickly. There is a different perspective, one that focuses on opportunities for profits in the industry by creating new capabilities that provide greater benefits to consumers in different markets. This is where new value begins to fill the glass.

The Postal Service can no longer simply be a channel or utility delivering undifferentiated services to passive recipients at the lowest possible cost. It must become a platform for supporting industry innovation and growth.

By Kent Smith

Kent Smith is Research Director, Ursa Major Associates / Postal Vision 2020. His 38 year career in the Postal Service included Rate Classification Research, Market Research, and Strategic Planning. Ursa Major Associates / Postal Vision 2020 is dedicated to taking a broader, longer-term perspective on the future of the mailing industry ecosystem. The thoughts expressed in this “Point of View” are his own.

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Coming Soon From PostalVision 2020:

> USPS Veteran Kent Smith’s 7 Point Survival Plan for the USPS

> A Future Vision from the PostalVision 2020/4.0 Conference

> Delivery Drones at 4.0