News & Research

New Postal Offerings Raise Questions


New Postal Service Offerings Raise Questions

Issue Brief
February 20, 2014

Summary

A new U.S. Postal Service product offering and one recently proposed could generate new revenue via direct financial services to consumers and same-day metropolitan package delivery. But pertinent questions of regulatory, legal, privacy/data security and other implications merit timely consideration. A report by the Postal Service’s Inspector General suggests that partnerships with financial sector providers could leverage the postal network to sell a suite of new consumer financial services. Meanwhile, market tests of same-day package delivery demonstrate how the Postal Service’s monopolies and vast network position it to benefit from competitive advantages over private providers that include subsidies from monopoly revenues.

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