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Marketing Strategy for USPS

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Sravya Pangur

on 8 May 2014

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Transcript of Marketing Strategy for USPS

Marketing Strategy for USPS
About USPS
It is one of the few government agencies explicitly authorized by the United States Constitution.

The United States Postal Service utilizes about 574,000 laborers, making it the third-biggest regular person management in the United States behind the national government and Wal-Mart.

The USPS is the admin of the biggest citizen vehicle armada on the planet, with an expected 218,684 vehicles. This clearly explains that USPS have better transportation facilities.
In this paper we have discussed the marketing strategy that will help USPS to increase their profits and improvise their market share. We will be discussing about Low cost local market strategy and how it will benefit USPS if implemented effectively.

Targeting local market is one of the main considerations in this strategy and also targeting the non-emergency mailing customer segment should be followed.
What Strategy will help!!!?
USPS fail to keep on its winning streak once its competitors like FedEx and UPS came into competition.

USPS has expanded benefit every year from 2000 to 2007, through expanded computerization, course re-improvement, and office combining. Regardless of these endeavors, the association saw an $8.5 billion plan shortage in 2010, and was losing cash at a rate of about $3 billion for every quarter in 2011.

The USPS lost US$ 5 billion in 2013, and its revenue was US$ 66 billion.
Sravya Pangur
Sindhu Manadalapa
SathishKumar Gopu
Low cost local market
By SWOT analysis it is clear that we can target people who prefer low cost over quick delivery and also local market is identified to be the strength of USPS. We can satisfy these customers by providing low cost service.

By conducting market research with reference to the pricing table (table reference) we can clearly see USPS can lower it's cost in local markets (zone) and effectively improve their business over it competitors.

USPS can target segment of customers who prefers non emergency mailing and low cost mailing over high cost mailing.
Why this strategy
Easy to attract people.
Increase market size.
Differential advantage over competitors.
Increase profits and market share.
Withstand the confrontation of the existing competitors.
Other Suggestions
Other additional areas where USPS can work on are considering the suggestions of IG and incorporating low level banking. This banking service was provided by post office long ago then it was with drawn. By again incorporating this post office banking and service customers with saving account debit cards and even simple loans can be seriously considered.

As per the research done by MIT professor Ayyadurai by embracing e-services, USPS can save upto $8.9 billion amount as profit and improvise it market share.
If the company takes all the measures to implement low cost local market leadership strategy, USPS can drastically improvise its market share and hike its profit. By also considering the other suggestions that have been made like providing basic postal banking services etc USPS can come out of its financial crisis that it is currently facing. Like any other marketing strategy implementation there are few risks involved in implementing this strategy. But USPS can effectively improvise their company current economic and business status by proper implementation of this marketing strategy.
Thank you!!!
Any Questions??
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