Tuesday, July 28, 2009

Proposal by a Frequent Mover

Three observations:
  1. The U.S. Postal Service is bleeding money as mail volume declines
  2. Paper mail contributes to identity theft
  3. Mail forwarding service is great, but temporary; address changes consume considerable energy among recipients and senders

Proposal: A simple new USPS service that provides individual subscribers with one persistant lifetime address. Think portable mobile phone number, but for mail. This virtual address would be matched to the subscriber's current physical address within a confidential database maintained by the USPS, and updated by individual subscribers.

As a young professional I have moved frequently in the last several years: hometown to school dorm, to school apartment, to summer job, to school apartment, to summer job..., to Dupont Circle in Washington, to Van Ness in Washington, to Columbia Heights in Washington, to Seattle. Each time I've diligently updated my address with every single legitimate mailer (insurance companies, banks, former employers for W-2s, grandma...) and filed for forwarding with the USPS, yet it takes weeks for these changes to take effect, and I am confident a flurry of credit card offers, junk mail, and old wedding invitations follows in my wake. This is one major reason I have gone paperless at every opportunity (among others).

The concept of a physical mailing address as a point of contact is antiquated and needlessly obtuse convention. I would much prefer a single virtual address that is mine for life, which I may update with my current physical address as I please. The virtual address could be something as simple as a number--Jamie Campbell, 555239432930--or a novelty address with a unique zip-code for the nostalgic--Jamie Campbell, 123 Eagle Way, USA 55555. In July 2004 it could have pointed to Durham, North Carolina; in July 2007 it could have pointed to Washington, D.C.; and in July 2009 it could have pointed to Seattle, WA.

The potential market for this service is not limited to unrooted twenty-somethings, as it would markedly improve the security of mailed correspondence, and the privacy of recipients. In turn: credit card offers, among other identity theft targets, are not bound to a physical address. Applicants can provide new addresses to open accounts so long as they provide the golden ticket--the infamously insecure Social Security Number combined with a birthday (which are related, believe it or not). Under the proposed system, enterprise mailers would have a single address for recipients, that would only be changed by direct interaction with the USPS, with security protocols on par with credit report access. The only remaining weak link is the physical box on my end. Consider also: lawyers, certain business owners, public figures, and the wealthy would all value the ability to make their address available for legitimate purposes, but in doing so reveal their physical locations. Unlisted phone numbers are prolific, but what of unlisted addresses? Security concerns would drive interest in both.

The USPS could charge a premium to both subscribers and senders: a recipient is assured security and completeness in his/her mail, and a sender is assured that the recipient received the item. Moreover, the USPS would avoid the cost of delivering mail to out-of-date addresses. I concede that mail delivery in general isn't exactly a growth market, but it doesn't mean it is a marginal concern for the government or consumers, or that there is no money to be made or costs to be cut. And, so long as the USPS continues to exist, it must strive to improve upon its model.

Competition for such a service would be extremely limited as the USPS commands a legal monopoly on mail service. It is conceivable that a private business could offer lifetime mail forwarding (if not illegal under the terms of the USPS's domain), but turn-around-time and privacy concerns would severely limit its viability.

I believe the USPS has the capability to implement this service with minimal delay (other than bureaucratic). Although I am having difficulty finding a citable source at the moment, it is my understanding that Netflix has been able to establish speedy turn-around-time because a USPS service scans the barcodes on each mailer as they are received from consumers; USPS then conveys this evidence of return to Netflix which immediately ships the next DVD even before it receives the returned DVD in its regional distribution center. The facility for manipulating structured data for novel purposes at regional postal centers exists; it's time the USPS wielded it for its own purposes.

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