Move It or Lose It

1. Move Itor Lose It Marty McGuire Business Mail Acceptance US Postal Service Charles B Hunt Address Management US Postal Service

2. Move UpdateMaking the Case 45 million Americans move New York 1.8 million new addresses New Jersey Pennsylvania 149 million total addresses America is on the Move and Growing!

3. What is Move Update? Move Update describes the 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® Move Update required for all mailpieces claiming Standard Mail prices 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. Move Update Methods 6 methods to perform Move Update 4 of these methods are pre-approved Ancillary Service Endorsements ACS™, OneCode ACS®, and Full-Service ACS NCOALink ® FASTforward® Multiline Optical Character Reader 2 of these methods require separate approval Legal Restraint Method 99 Percent Accuracy Method 2 exemptions from Move Update Alternative Address Formats Directly Acquired Addresses from customer – last 95 days 5 5

6. Move Update Exemptions 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” Directly Acquired Addresses Directly from your Customer Can be used first 95 days “as is” After 95 days – must undergo Move Update cycle with other addresses in your list 6

7. MoveUpdate Methods Ancillary Service Endorsements 7

8. Ancillary Service Endorsements JOHN DOE10 ELM AVEANYTOWN OR 97654-3218 Endorsements keywords Return Address Change Endorsement > • On-piece mailing instructions • Same handling for all classes of mail • Very different fees applicable for First-Class Mail & Standard Mail ! Followed by… Service Requested 8

9. Ancillary Service Endorsements Return Service Requested The Postal Service™ will return non-deliverable mailpieces with the new address information, or the reason for non-delivery No forwarding service is provided 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 9

10. 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 (First-Class Mail: No Charge / Standard Mail: Weighted Fee) After month 18 or if undeliverable at any time: the mailpiece is returned with reason for non-delivery (First-Class Mail: No Charge / Standard Mail: Weighted Fee) 10

11. Ancillary Service Endorsements Change Service Requested Separate notice of a new address or reason for non-delivery 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 11

12. Ancillary Service Endorsements For an address to meet the Move Update requirement, the mailer must have sent at least one letter or card to an address with an approved ancillary endorsement within 95 days before reuse of the address To complete the Move Update process, the mailer must make the address change received as a result of the use of approved ancillary endorsement It is recommended that the mailer retain address correction records for up to one year 12

13. Move Update Methods ACS™ and OneCode ACS® 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, biweekly, or monthly. Available for all classes of mail. 14

15. ACS™ Address Change Service PRSRT STD AUTO US POSTAGE PAID NEW YORK, NY PERMIT NO. 1 15

16. OneCode ACS® ABC Company 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 6060 PRIMACY PKWY STE 201 MEMPHIS TN 38188-0001 The mailer must print ancillary service endorsement on Standard Mail 16

17. Move Update Methods NCOALink® 17

18. NCOALink is an address correction service provided to mailers through companies licensed by the Postal Service™ Computer software purchased, leased, or developed by the licensee is used to access the NCOALink database The NCOALink process improves mail deliverability by providing mailers with current, standard, delivery point coded addresses for individual, family, and business moves NCOALink® 18

19. 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 processed against the information contained in the NCOALink database If a match is made, NCOALink provides the updated address prior to mail preparation 19

20. Move Update Methods FASTforward®Multiline Optical Character Reader (MLOCR) 20

21. FASTforward® MLOCR FASTforward hardware and software are interfaced with commercial MLOCR equipment. As automation-compatible mailpieces run through the MLOCR, the names and addresses are checked against the COA information contained in the FASTforward system, and if a COA is applicable, the correct address and barcode are sprayed on the mailpiece Using FASTforward MLOCR provides mailers a last chance to avoid delays associated with traditional mail forwarding 21

22. FASTforward® MLOCR Mailpiece processed through a FASTforward system: 22

23. Alternate Methods (First-Class Mail® Only) In Limited Circumstances, An Alternate Method to Meet Move Update Requirement May Be Approved: • Mailer Demonstrates That Their Internal List Management Maintains Address Quality at 99% or Greater Accuracy For Change-of-Address • Mailer Demonstrates A Valid Legal Restriction Which Prevents Changing Customer Address Without Approval 23

24. Move Update Resource Information www.usps.com/ncsc ribbs.usps.gov Customer Support 800-238-3150 1-800-238-3150 24

25. Move Update Acceptance and Verification 25

26. Move Update ChangesEffective Nov. 23, 2008 Revised Move Update standards on Nov 23, 2008 Allowed grace period beyond Nov 23, 2008 for Move Update verification assessment. First-Class Mail® and Standard Mail® mailings. Allowed Move Update grace period beyond Nov 23, 2008 for Standard Mail mailings. March 2009, began providing Move Update verification results nationally for mailings presented at MERLIN sites. Extended Move Update verification threshold from May 2009 until January 4, 2010. Tracking Move Update verification results. 26

27. Overall Score for All Mailings 27

28. Score for Failed Mailings 28

29. % of Verifications Failed 29

30. Move Update Certification Signature on the postage statement by either the mail owner or mailing agent certifies compliance Mailers must check a Move Update method on statement Postage Wizard Indicate Move Update method in Online Postage Statement Mail.dat Indicate Move Update method in Mail.dat File (Qual-segment record level) For OneCode ACS use ACS Mail.XML Indicate Move Update method in Postage Statement Create Request and Periodical Statement Create Request 30

31. Postage Statement Move Update Method Checkbox 31

32. Postage Statement Move Update Method Checkbox Postal Wizard Statement Entry 32

33. Performance-Based Verification and Move Update 33

34. Performance Based Verification • PBV is an intelligent verification model • Integrated in PostalOne! • Prompts clerks to perform verification based upon: • Past verification history of mailer • Verification labor costs • Estimated cost avoidance or additional Postage Collected • PBV deployed to all PostalOne! acceptance sites since March 2009 • With MERLIN, enables Move Update verification and reports 34

35. Performance Based Verification • PBV Verification Modes • Staged • Continuous 35

36. Staged Mailing Environment 36

37. Continuous Mailing Environment • An environment where mailer produces mail over a period of time • The postage statement is not available at time acceptance needs to perform verification • The clerk must determine verification needs before statement is produced • The verification is performed prior to presentation of statement

38. Move Update Verification Process PostalOne!/PBV Triggers Verification and mailing data is sent to MERLIN BME clerk selects sample mailpieces for MERLIN verification Mailpieces are run on MERLIN, data file sent 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 Move Update Verification results are displayed in PostalOne! Results forwarded to PostalOne! 38

39. Move Update Verification Threshold 39

40. Move Update Verification • Move Update verification performed at sites with MERLIN • Threshold effective January 4, 2010 • Must have more than 5 pieces with COA not updated • Passing score below 70% of COAs updated • First-Class Mail® and Standard Mail® assessed at 7 cents – Only on percentage of pieces below threshold

41. Additional Postage Calculation [ ] • -60% COAs Updated Total COAs x .07 x (pcs. in mailing) • Additional postage will only be assessed against the portion of the mail that is below the threshold • Must have more than 5 pieces with COA not updated • If verification results are 60% • Assess additional postage for 10% (70% threshold – 60% score) of pieces in the mailing. • Fee is $0.07 for both First Class or Standard Mailings 41

42. 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 $0.07 x 10,000 = $700.00 42

43. Move Update: Combined Mailings This exception will be allowed for one year from the date of implementation of the Move Update verification. The verification results calculation for a combined multi-client mailing will be the same as stated for all other mailings. A mailer submitting a combined multi-client mailing that fails the Move Update verification may have additional postage attributed to individual clients within the mailing under the following conditions. 43

44. Move Update: Combined Mailings • If three or fewer clients are detected with Move Update error, the mailer may request additional postage be attributed to each of the 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. 44

45. 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. 45

46. Accessing Move Update Reports 46

47. Reports “Guide to Accessing Move Update Reports” on RIBBS Two Report Formats: Move Update worksheets: near real time reports during acceptance by mailing or VRSR Move Update Microstrategy Reports: analytical reports updated nightly and aggregated across mailings (work in progress) 47

48. Access Move Update Reports • Navigate to usps.com • Access “Business Customer Gateway” at the bottom of the page 48

49. Access Move Update Reports • Login using the assigned username and password 49

50. Access Move Update Reports • After successful login, access “Mailing Reports (PostalOne!)” Click Mailing Reports (PostalOne!) 50