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Could UPS deliver the mail?
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<blockquote data-quote="randomUPSISer" data-source="post: 664417" data-attributes="member: 24399"><p>I have doubts UPS could do it as cheaply as they say without sacrificing service to certain postal codes and addresses. </p><p></p><p>For example, I am willing to bet the "study" assumes that UPS would be able to skip service to the most costly of addresses, OR increase rates for those addresses. An an example, think of "Joe Farmer" in the middle of Iowa who is 25 miles from any other house... think UPS would make a profit on that 10 cent envelope that has to go to his house today? The USPS by mandate of the constitution HAS to deliver that letter... profit or not. There are TONS of addresses in similar situations all across America that the USPS has to deal with. </p><p></p><p>Currently, UPS is trying its best to create bulk stops to increase profit margin. Why on earth would UPS want to have to stop at nearly every address in America EVERY SINGLE DAY to drop off something worth less than 10 cents to the company? The idling truck + hourly wage would negate that with ease. </p><p></p><p>I bet we could do it cheaper than 45 cents "on average" though. My best guess is it simply wouldn't remain a 45 cent flat rate any longer. We would bill based on the distance and journey through the network, just like we do small package now. That could get messy for most Americans who are used to just slapping a stamp on the envelope. Instead they'd have to go to UPS.com, log in with their account ID, print a label, and then get charged for the particular journey of their envelope. Thats a GIANT strain on the companies IT systems, hubs, accounting, billing, and operations to say the least.</p></blockquote><p></p>
[QUOTE="randomUPSISer, post: 664417, member: 24399"] I have doubts UPS could do it as cheaply as they say without sacrificing service to certain postal codes and addresses. For example, I am willing to bet the "study" assumes that UPS would be able to skip service to the most costly of addresses, OR increase rates for those addresses. An an example, think of "Joe Farmer" in the middle of Iowa who is 25 miles from any other house... think UPS would make a profit on that 10 cent envelope that has to go to his house today? The USPS by mandate of the constitution HAS to deliver that letter... profit or not. There are TONS of addresses in similar situations all across America that the USPS has to deal with. Currently, UPS is trying its best to create bulk stops to increase profit margin. Why on earth would UPS want to have to stop at nearly every address in America EVERY SINGLE DAY to drop off something worth less than 10 cents to the company? The idling truck + hourly wage would negate that with ease. I bet we could do it cheaper than 45 cents "on average" though. My best guess is it simply wouldn't remain a 45 cent flat rate any longer. We would bill based on the distance and journey through the network, just like we do small package now. That could get messy for most Americans who are used to just slapping a stamp on the envelope. Instead they'd have to go to UPS.com, log in with their account ID, print a label, and then get charged for the particular journey of their envelope. Thats a GIANT strain on the companies IT systems, hubs, accounting, billing, and operations to say the least. [/QUOTE]
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