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How the USPS Killed Digital Mail
An anonymous reader writes "In 2013, a startup called Outbox drew a lot of attention for its ambitious goal: digitizing everybody's snail mail. It was a nice dream; no more walking down your driveway six days a week to clear out the useless junk it contained. But less than a year later, Outbox shut down. This article explains how the United States Postal Service swiftly crushed their plan to make mail better. The founders were summoned to a meeting with the Postmaster General, who told them. 'We have a misunderstanding. You disrupt my service and we will never work with you. You mentioned making the service better for our customers; but the American citizens aren't our customers—about 400 junk mailers are our customers. Your service hurts our ability to serve those customers.' The USPS's Chief of Digital Strategy said Outbox's business model 'will never work anyway. Digital is a fad.' The USPS wouldn't work with Outbox to forward customers' mail, and that eventually destroyed the business."
They left out the part where the Postmaster General had SEAL Team Six round up the executive team, waterboard them and remand them to the guantanamo detention center where they could learn the error of their ways.
Mod me down, my New Earth Global Warmingist friends!
Do you like golf, Mr. Kramer?
Frankly, the idea of a company opening my private mail for me, reading it, scanning it in, then making it available to me bugs the crap out of me.
Were these guys trying to get a contract with the NSA? Or did they just want to read my stuff themselves?
"I do not agree with what you say, but I will defend to the death your right to say it"
Are you willing to pay them more than the combined members of the Direct Marketing Association, who'll crush the USPS like insects if they allow you, the product, to opt out of their service?
Direct Marketers own the USPS, lock, stock and barrel.
The postmaster General is right, those 400 junk mailers are paying for the entire system. That letter you send once a year for $.50 doesn't even come close to paying the billions those junk mailers pay that provides the money the USPS needs to have 100K employees and a fleet of vehicles and planes that would dwarf some governments.
Contrary to what some small government people claim, the USPS is the envy of the world. The overhead is near non-existent and the delivery network is world class in efficiency. Private companies can't come near the efficiency of the post office. The reason we have a system so efficient is that the natural monopoly was recognized and non-profit corporation beholden to government was created. It's a good thing that the post office recognizes that the customers paying the bills are the junk mailers. It's also a good thing that the USPS is overseen by government regulators (except of course congresses attempt to kill the USPS by mandating that they contribute 75 years worth of retirement in 10 years). That government regulations guarantees that it's a crime for anyone to open my mail, and that the courts have precedence putting searching the mail as equivalent to breaking into your house and reading your diary. This "service" would be a field day for the NSA because the digital records would not have the same protection that he physical envelope does.
If private run companies like UPS were doing first class mail the delivery charge for a first class letter would be several dollars.
You don't need something like this anyway.
1) get your bills electronically, and/or set them up for automatic payments
2) use dmachoice.org and optoutprescreen.com to stop virtually all junk mail (former for 'regular' junk mail, latter for the credit card offers). Yes, they're run by the junk mail companies, but they work, and no, I don't work for them.
The USPS has not received a dime in Tax dollars while I've been alive and that's a long fucking time. That $5 billion dollar loss you heard about last year and trumpeted by the small government pinheads was in fact a fake loss created by congress that had no material affect on their operations. It was a failure to deposit $5 billion into a retirement fund for USPS employees that haven't been born yet.
Get your facts straight.
In 2010 the USPS brought in $17,300 million dollars from standard mail, there were 117.5 million households in 2010 which means the USPS was paid roughly $147 per household to deliver bulk mailings.
There are 4 boxes to use in the defense of liberty: soap, ballot, jury, ammo. Use in that order. Starting now.
Rather than continuing to bitch about how your darling child idea didn't work out, maybe you should just come up with something else and move on?
This is getting a bit old...
I don't know what USPS service you have, but in my experience:
1. USPS is rarely less expensive sending packages than FedEx or UPS.
2. USPS has slower delivery times than FedEx or UPS.
3. USPS has a much higher rate of package damage than FedEx or UPS.
4. USPS has a generally less helpful and less polite staff in the offices than FedEx or UPS.
It is inferior in every way. We can talk about delivery of letters to mailboxes, but I'm sure you know that the mailboxes on the side of the road are considered to be property of USPS. It is illegal for anyone other than USPS to deliver a letter, package, or anything else to that mailbox.
This means that if FedEx or UPS wanted to enter that business they would forced to set up secondary post boxes or deliver directly to the house by foot. I don't know how much this enters into the economics, but god dammit, that's my fucking mailbox.
I paid for it. I dug the hold. I set the post. I poured the concrete. It's my mailbox. Their dictatorial annexation of the mailbox that came from me is exceptionally douchey and for that alone USPS should be smacked upside the head.
If you have USPS service so exceptional that you find it to be truly better than all other alternatives, well, great, good for you. It just doesn't seem to mirror the experience that I and everyone else I know has.
Love sees no species.
I agree completely. Were the founders of this startup really that naive? I could have told them this was a stupid idea years ago. The USPS has two main revenue streams: 1) junk mail, and 2) small packages (they're a big fan of Ebay; they're also working with Amazon now to do Sunday deliveries in some places). They also are a fan of Netflix, and work with them to ship movies faster (the USPS scans the returned movies before Netflix gets them, so Netflix can send your next queued DVD before they get the old one back).
What ever gave them the idea that the USPS would be in favor of screwing over one of their main customers (the junk mailers)?
If you don't like junk mail, think about it this way: the junk mailers are keeping the USPS afloat, and basically subsidizing cheap First Class delivery for everyone.
http://postalnews.com/postalne...
If nothing else, TFA doesn't sound like a particularly unbiased source.
No it's not. The problem with USPS is that they have to pre-pay pensions 70 years out. No other Government agency or private company needs to do this, that's purely USPS regulation thanks to Congress. That is their main hurdle, not the unions or employees "getting paid too much" (seriously, do you even know any postal workers?).
That is an outright lie. The USPS has NEVER failed to meet retirement fund contributions and has never been in the situation you describe. The reality is Congress required the USPS to PREPAY 75 YEARS worth of retirement over 10 years. They are being forced to put retirement funds in for employees that have NOT even been born and under the assumption that they will grow employment at 3% per annum for those years. This requirement also does NOT allow the USPS to reduce hours, post offices, delivery or increase stamp prices. It's a deliberate attempt to fool idiots like you into thinking the most efficient business in the US is a failure so the people will allow congress to sell the USPS to fedex and ups for major kickbacks to the republicans. Without that utterly stupid retirement prefunding requirement the USPS was in the black almost 100 million dollars last year.