Today We’ll Discuss . . .

1. UnderstandThe Differencesin the Change-of-Address Programs National Postal ForumMarch 17 – 20, 2013Michael Tate, SVP Enterprise Postal Strategy, Bank of AmericaJames D. Wilson, Manager, Address Management, USPS®

2. Today We’ll Discuss . . . • The three ways a Change of Address (COA) request can enter the USPS® database for processing • The flow of COA requests through USPS product and service programs • Quality Control/Fraud Detection Programs And We’ll Focus On . . . • Pre – and Post – mailing address corrections developed from COA data • The intentional differences between the two methods

3. Hardcopy- PS Form 3575 • PS Form 3575 Official Mail Forwarding Change Of Address Order completed by moving customer and sent to USPS® • COA form scanned by PARS • Change of address informationinserted into PARS AddressDatabase (PAD) to be used during mail forwarding process • COA form image and customer data are sent daily to National Customer Support Center (NCSC)

4. ICOA- Internet Change of Addresswww.moversguide.com • Requires customer to present credit card to validate identity • Address validation occurs while customer is online • Allows customer to enter correction when address not matched • Change of address data transmitted to National Customer Support Center for entry into PAD (PARS Address Database)

5. TCOA- Telephone Change of Address • Change of address submitted by customer calling 1-800-ASK-USPS® (1-800-275-8777) • Requires use of credit card to verify identity • PS Form 3575Z • Similar to PS Form 3575 but submitted by Postal personnel on behalf of customers who have: • Moved, Left No Forwarding Address (MLNA) • P.O.Box Closed, No Forwarding Order (BCNO) • Entered after 10-day waiting period once it is determined the customer not retrieving mail at address Other Means of Entering Change of Address

6. Fraud Detection Programs COA Watch • USPS® internal process that screens all change of address entries • Monitors and reports on potentially fraudulent or suspicious activities • Inspection Service Watch List

7. Fraud Detection Programs Customer Notification Processes • Move Validation Letter (MVL) sent to “old” address • Printed and mailed daily from NCSC immediately following receipt of the change of address • Mailpiece tracked to delivery

8. Quality Assurance Initiatives Customer Notification Processes • Customer Notification Letter (CNL) orWelcome Kit sent to “new” address

9. Quality Assurance Initiatives • COA Correct • www.managemymove.usps.com • PS Form 3546

10. Change of Address Data Processing • COA data must be accepted into PAD and transmitted back to NCSC for inclusion into change of address systems • Results in two separate databases • Internal USPS® file (PARS and CFS) which is used for mail forwarding & ACS™ fulfillment • External data product (NCOALink®)

11. Change of Address Data Processing

12. Mail Forwarding Processes • CFS – flats and parcels, nonmachinable letters • PARS letters – intercept mode • PARS letters – carrier identified forward mode

13. Hardcopy Address Correction • Either return of the piece with the correction or reason for nondelivery affixed, or • A separate address correction provided as an image of the piece with the associated old and new address or reason for nondelivery, PS Form 3547 • Return postage or address correctionfee may apply

14. ACS™ Service Post-mailing service provided by the USPS® Internal PARS/CFS database used Participants include an identification code on the mailpieces Traditional (printed participant code as shown left) OneCode ACS® or Full Service (IMb™ as shown on right) JOHN E SMITH 916 N 5TH ST APT 3 SPRINGFIELD IL 62702-5288 #BWNFXZT #P123456789 2572X 7 # JOHN E SMITH 916 N 5TH ST APT 3 SPRINGFIELD IL 62702-5288

15. NCOALink® Service Pre-mailing Move Update method Data delivery from USPS® to certified licensees Stored in a secure format using Secure Hash Algorithm Three types of certified licensees: Full Service Provider(48 months, updated weekly) Limited Service Provider(18 months, updated weekly) End User Mailer(18 months, updated monthly)

16. ACS™ - NCOALink® Product Differences Old New Strict Relaxed Single Multi Pass Pass

17. Undeliverable as Addressed (UAA) Mail • FY2012 Total UAA Cost $1,318.1B (17% ($2.3MM) increase over FY2011) • FY2012 Total UAA Volume 6.759B (-3.72% (261MM) decrease over FY2011) • Forwarding Volume virtually unchanged but efficiencies saved $500K in cost • Returned Volume rose 1.7% (26MM) at a cost $11.8MM • Waste Volume dropped 6.52% (287MM) pieces at a cost savings of $9.0MM

18. ACS Notifications

19. NCOALink® Total Records Processedand Corresponding Matches

20. Why did I receive an ACS record when I did not match NCOALink®? Perhaps: • The mail did not intercept, but carrier input allowed it to process • The old and/or new address did not DPV® confirm, but PARS/CFS clerks found the matching COA • There were multiple names on the mailpiece, PARS and CFS search all names • NCOALink can only make an exact name match, PARS/CFS ignores extraneous information in name field

21. Considerations in Determining theRight COA Process • What type of mailing is it? • What is the objective of the mailing? • Distribution method for my core product offering • Communicating with my customer • Marketing to expand revenue • Regulatory obligation • What is the cost of sending something to the incorrect address? • Does the process meet the USPS® Move Update requirements for postal discount eligibility? 21

22. Address Management – Ongoing Process • Each mailer is different – there is not a one-size fits all solution • Managing address changes is not a point in time event • The initial address capture is critical to all addressing processes including getting a COA hit • The Move Update compliance requirements have to be met but just meeting the requirements might not be the right solution to maximize your address quality • As with any business process, establish metrics to determine where addressing issues exist 22

23. Things To Remember About COA • Name matching criteria is different • NCOALink® has the strictest • The NCOALink output provides a lot of data that can be used for metrics • Important to match against date the address was last changed when updating COAs • The process should validate that the new address DPV® confirms • Full Service provides free ACS™ for automation mailpieces 23

24. Questions to Think About • What is the right frequency for the COA process? • What is the right solution for my COA objectives – Pre, Post or a combination of the two? • When should COA results trigger additional actions to locate my customer or lead to suppressing a mailpiece? • Should the different types of moves (Individual, Family and Business) be handled differently? • How should different results from the COA methods be handled, i.e. a move from NCOALink® but a NIXIE from ACS™? 24

25. Speaker Schedule Sunday What You Need to Know about Unique Address Types / Non-Physical Address Jim Wilson/Adam Collinson/Michael Tate – Period 1, 12 – 1 pm GSA and Addressing (Rules & Recommendations) Angela Lawson/Adam Collinson/Derrick Miliner– Period 4, 3:45 – 4:45 pm Monday Keeping it Simple: ACS Services – It’s All in the Service Type ID Lisa West – Period 5, 10:30 – 11:45 am Secure Destruction – Peace of Mind Lisa West/Tom Day – Period 8, 4:30 – 5:30 pm Tuesday The ROI of Great Address Quality Ed Wanta/Dr. John M. Leininger – Period 10, 9:30 – 10:45 am Understanding the Differences in the Change of Address Programs Jim Wilson/Michael Tate – Period 13, 3:15 – 4:15 pm Peer-To-Peer Roundtables Lisa West/Angela Lawson – Period 14, 4:30 – 6:00pm

26. Thank You!