Move Update

1. Move Update Keeping Track of Your Customers Elaine Robinson Business Mail Entry January 20, 2010

2. Move UpdateMaking the Case America is on the Move and Growing! • 45+ million Americans move each year • 2.3+ million businesses move each year • On average mailing lists deteriorate over 1% a month • USPS delivers to 149+ MILLION addresses • USPS adds more than 1.8 MILLION new delivery points each year • UAA Cost Study: • Challenges to address quality still exist • Move-related UAA appears to be a big contributor • Physical address accuracy still a major issue 2

3. What is Move Update? Process of periodically matching a mailer’s address records with customer-filed Change-of-Address orders received and maintained by the Postal Service. Move Update = Fewer Forwarded and Returned Mailpieces 3

4. Who Must Use Move Update? Move Update is required for mailpieces claiming Presorted or Automation prices for First-Class Mail® and Standard Mail To meet the Move Update standard, mailers must be using addresses on mailpieces that have been updated using an approved method within 95 days prior to the mailing date First-Class Mail or Standard Mail mailpieces that use an “Exceptional” or an “Alternative” address format are not required to meet the Move Update standard 4

5. Alternative Address Formats Alternative Address Formats – DMM 602: Simplified Address = “Postal Customer” Occupant Address = “Occupant” Exceptional Address = “Jane Doe or Current Resident” or “Jane Doe or Current Occupant” 5

6. Move Update Methods There are 6 ways a mailer can perform a Move Update. 4 of these methods are pre-approved 2 of these methods require separate approval. 6

7. 4 Pre-Approved Methods: Ancillary Service Endorsements ACS™, OneCode ACS®, and Full-Service ACS NCOALink ® FASTforward® Multiline Optical Character Reader Move Update Methods 7

8. Move Update Methods 2 Methods Require Separate Approval: Legal Restraint Method 99 Percent Accuracy Method 8

9. Ancillary Service Endorsements JOHN DOE10 ELM AVEANYTOWN OR 97654-3218 Endorsements keywords Return Address Change Temp-Return (used for FCM ONLY) Endorsement > • On-piece mailing instructions • Same handling for all classes of mail • Different fees applicable for First-Class and Standard Followed by… Service Requested Pe.usps.com –Quick Service Guide – Sections 230A and 507D 9

10. Ancillary Service Endorsements Return Service Requested No forwarding service is provided The Postal Service™ will return non-deliverable mailpieces with the new address information, or the reason for non-delivery. Temp-Return Service Requested(First-Class Mail® only) If Temporary COA – Mailpiece is forwarded without temporary address provided. If Permanent COA – Mailpiece is returned with new address provided. 10

11. Ancillary Service Endorsements Address Service Requested Service provided varies by time period: Months 1 – 12: the mailpiece is forwarded at no charge; the mailer is provided a separate hardcopy notice of the new address for a fee Months 13 – 18: the mailpiece is returned with the new address attached After month 18 or if undeliverable at any time: the mailpiece is returned with reason for non-delivery First-Class – no forwarding or return charges Standard Mail – charged single piece First-Class price times the weighted fee (2.472) Example: $0.44 x 2.472 = $1.09 11

12. Ancillary Service Endorsements Change Service Requested Separate notice of the new address or reason for nondelivery is provided; in either case, a fee is charged. Standard Mail mailpiece is not forwarded or returned, but disposed of by the Postal Service™. For First-Class Mail® this endorsement is available only when used in conjunction with ACS™, OneCode ACS®, or Full-Service ACS. Option 1: All undeliverable mail is disposed Option 2: Forwardable mail pieces forwarded, all other undeliverable mail is disposed 12

13. Ancillary Service Endorsements For an address to meet the Move Update requirement, the mailer must have sent at least one letter or postcard to an address with an approved ancillary endorsement within 95 days before mailing to that address a second time. To complete the Move Update process, the mailer must make address corrections resulting in the use of the ancillary endorsement. It is recommended that the mailer retain address correction records for up to one year. 13

14. ACS™ and OneCode ACS® An electronic enhancement to traditional, manual methods of providing change-of-address information to mailers. Mailers add a unique mailer identification code to the address area of their mailpieces to identify them as ACS™ participants. The Postal Service™ uses the mailer identification code to send change-of-address information electronically to the mailer. Mailers can choose to receive electronic notifications daily, weekly, bi-weekly, monthly or bi-monthly. Available for all classes of mail. 14

15. Traditional ACS™ Address Change Service ABC Inc 123 Main St Memphis TN 38101-1234 Change Service Requested PRSRT STD AUTO US POSTAGE PAID NEW YORK, NY PERMIT NO. 1 < Ancillary Service Endorsement Mailer Participant Code > #BXBJDCK ************* 5-Digit 38188 Optional Keyline > #WAIC 381 SEP 2009# CANDICE WAITE DEW PROCRASTINATORS ANNOYMOUS LLC 456 ELM ST STE 201 MEMPHIS TN 38188-0001 National Customer Support Center #800-331-5746 15

16. OneCode ACS® Available for FCM, Standard Mail & Periodicals Weather Forecasting Limited 123 Main St Memphis TN 38101-1234 Electronic Service Requested PRSRT STD AUTO US POSTAGE PAID NEW YORK, NY PERMIT NO. 1 On-Piece Endorsement 1 JANE DOE DOE CONSULTANTS 6060 PRIMACY PKWY STE 201 MEMPHIS TN 38188-0001 The mailer must print ancillary service endorsement on Standard Mail and First-Class flats; optional on First-Class Mail letters NCSC # 877-640-0724 acs@usps.gov 16

17. NCOALink is an address correction service provided to mailers through companies licensed by the Postal Service™. To access the NCOALink database, computer software is purchased, leased, or developed by the licensee. Individual mailers can also license NCOALink for their internal use to maintain their address lists. NCOALink® 17

18. NCOALink® Updated change-of-address information for the entire country is provided on a regular basis to the licensee by the Postal Service™ through the NCOALink database. The licensees match mailing lists submitted to them by mailers on tape, disk or by upload against the information contained in the NCOALink database. If a match is made, NCOALink can correct the address before it is printed. 18

19. FASTforward® MLOCR Postal Service-owned and user-licensed computer system Contains FASTforward name and address matching software and the Postal Service’s COA database 19

20. FASTforward® MLOCR Hardware and software interface with MLOCR equipment Addresses are checked against the COA information contained in the FASTforward system If an address is found the correct address and barcode are sprayed on the mailpiece Reduces delays associated with traditional forwarding 20

21. Alternate Methods (First-Class Mail® Only) • 99% Accuracy Method • Mailer file is tested against the USPS COA database • Wavier granted if less than 1% of the addresses result in a COA update • Legal Restraint Method • Prevents mailer from updating address without permission from the addressee • Must provide the actual law that prohibits their update National Customer Support Center # 800-589-5766 21

22. Move Update Acceptance and Verification 22

23. Postage Statement Move Update Method Checkbox 23

24. Postage Statement Move Update Method Checkbox Postal Wizard Statement Entry 24

25. Performance-Based Verification and Move Update 25

26. Performance Based Verification • Process in the Postal One system that determines frequency of verifications • Prompts acceptance clerk to perform verification based upon past verification history of mailer • Move Update is a part of the PBV verification process • PBV integrates postage statement processing in Postal One and sample mail processing in MERLIN 26

27. Move Update Verification Process Postage Statement is entered into Postal One! PostalOne!/PBV Triggers Verification BME clerk selects sample mailpieces for MERLIN verification Mailpieces are run on MERLIN, data file sent electronically to NCSC Sample extracted from the mailing is processed on MERLIN Electronic data file Contains name, address and barcode (if available) Mailpiece ID can be used to identify any piece found as an error. The NCSC performs a Move Update validation against the NCOA database Move Update Verification results are displayed in PostalOne! in a report format Results forwarded to PostalOne! electronically 27

28. Move Update Verification Acceptance Thresholds Effective January 4, 2010 • Pass verification - score of 70% or higher (tolerance of 30%) • Fail verification - score below 70% and there are MORE THAN 5 PIECES with a COA on file not updated by the mailer • First-Class and Standard Mail accessed $0.07 cents for each piece • Mailer option – pay additional postage or withdraw the mailing 28

29. Additional Postage Calculation • Additional postage will only be assessed against the portion of the mail that is below the threshold • Calculations are based on dividing the number of pieces with a COA on file that the mailer updated by the total number of pieces with a COA on file [ ] COAs Updated by Mailer x .07 x (pcs. in mailing) Total COAs on File 29

30. Additional Postage Example Mailing total pieces 100,000 Move Update score 60% Percent application 70% threshold – 60% =10% Pieces for additional postage 10% X 100,000 = 10,000 Calculation .07 x 10,000 = $700.00 30

31. Move Update: Combined Mailings • If three or fewer clients are detected with Move Update errors, postage would be attributed to each of the 3 clients. • The mailer will be allowed the opportunity to examine the sample and extract any piece found to be in error to identify the client to which the piece belongs. • Pieces must be identifiable back to the client using some identification from the mailpiece such as return address, meter impression, or permit imprint that is verifiable by the acceptance clerk back to the detailed documentation. • This exception is allowed for 1 year from date of implementation of the Move Update verification. 31

32. Move Update: Combined Mailings • Additional postage will be applied to the mail volume for up to three clients whose pieces were found with Move Update errors. For example: • Total mailing is 100,000 pieces and the Move Update verification result is a 60% passing score with 10 pieces not updated within the sample • Client A has 4 pieces not updated, Client B has 4 pieces not updated and Client C has 2 pieces not updated. • Client A volume is 5,000 pieces, Client B volume is 10,000 pieces and Client C is 10,000 pieces. • Total volume for Client A, B and C is 25,000 pieces. • 70% threshold minus the passing percentage 60% = 10% (adjustment percentage). • 10% times the total volume (25,000 pieces) for the clients is 2500 pieces. • 2500 times $0.07 = $175.00. • $175.00 is the calculated additional postage. 32

33. Move Update: Combined Mailings • The mailer must provide detailed documentation to support the volume by client. • If more than three clients are found with Move Update errors that cause the mailing to fail verification, the entire mailing will be subject to an additional postage calculation. 33

34. Access Move Update Reports • Navigate to usps.com • Access “Business Customer Gateway” at the bottom of the page 34

35. Access Move Update Reports • Login using the assigned username and password 35

36. Access Move Update Reports • After successful login, access “Mailing Reports (PostalOne!)” Click Mailing Reports (PostalOne!) 36

37. Access Move Update Worksheet • On the Mailing Reports page, click on “View Transactions” Click View Transactions 37

38. Access Move Update Worksheet • On the Transaction Search Results, look for “MU” (for Move Update) under Verifications Click on the ‘Search’ Button MU = Move Update 38

39. Top Section of Move Update report Access Move Update Worksheets postage statement information 39

40. Move Update Worksheet • Summary Move Update Information Detailed Piece Information for a COA found but not updated 40

41. Move Update Worksheet • Additional postage is based on 95 days – 18 month date range • Report will display percentage results but if there are not more than 5 pieces not updated, system will not charge additional postage. 41

42. Resources Contact your local Mailpiece Design Analyst (MDA) or Business Mail Entry Unit (BMEU) Mailpiece Design Analyst Locator http://pe.usps.gov/mpdesign/mpdfr_mda_lookup.asp District Business Mail Entry Locator http://www.usps.com/ncsc/locators/find-bme.html 42

43. If you are not receiving reports or if you have questions about accessing reports you can send an email to moveupdatereports@usps.gov. Contact Help Desk: 1-800-522-9085 to gain access to your Move Update reports via the Business Customer Gateway Sign up for the DMM Advisory to receive the latest news on Move Update To sign up email dmmadvisory@usps.com http://pe.usps.gov/dmmAdvisory.asp Resources 43

44. Access ribbs.usps.gov/Move Update Move Update Advisement Policy Explains Verification and Assessment Approach Guide to Accessing Move Update Reports Explains reports available and how to access Publication 363 Explains the Move Update options available for mailers to update their addresses Resources 44

45. RIBBS.USPS.GOV 45

46. Thank You!