My :2cents: on USPS. It is a service that once upon a time could only be run by the government. Now that there is far more interstate commerce at the consumer level and several competing companies to transport 'light' packages, along with email, e-billing, and other more efficient 'mail' methods... the USPS has become a burdensome dinosaur.
I understand that for many, the USPS is still a life line for them. It's not for me. I bank online, I electronically correspond 99.9% of the time vs. traditional mail. If the USPS ceased, I am not sure it would be much of an inconvenience for me.
Mailing a letter at $0.55 is a bargain too good to be true. Expecting a human to come to your private mail box to pick up deliver a 1oz package anywhere in the USA for that price is ridiculous in my opinion. And that is not to mention the huge pension burden the USPS has to service.
I'm pretty sure the current competing companies such as UPS, FEDEX, DHL, Amazon, or others would emerge to take up the slack if the USPS went away. The free market would then dictate cost/price model. More of a pay per use model than everybody subsidizing a government service where some folks (including large corporations) can take advantage.
Time for USPS to go IMHO.
Not long ago I would have agreed 100%. But looking into it and talking to people I know it seems to be very factual that all these private delivery services use USPS service or infrastructure some how in almost every delivery they make. The USPS is limited legally on what they can charge the private carriers. Any other real private business would be charging them more.
All those Free Prime deliveries are subsidized by the post office.
Not long ago I would have agreed 100%. But looking into it and talking to people I know it seems to be very factual that all these private delivery services use USPS service or infrastructure some how in almost every delivery they make. The USPS is limited legally on what they can charge the private carriers. Any other real private business would be charging them more.
All those Free Prime deliveries are subsidized by the post office.
But why would the board of Governors agree to losing money?
I'd gladly pay an $25 for Prime if I knew it would go to the PO.
Clearly, they wouldn't. But that's a business decision. If they didn't deliver for Amazon, they would lose a lot of income, but would still have to deliver to all addresses. Yes, there would be some savings in not delivering as many packages, but would it offset the income loss? I'm sure they analyze the impact when they negotiate contracts.
To provide an example to think about. Let's say you have a customer and you agree to deliver 1/2 truckload of something to him, 100 miles away for a set price. Now, you get a call and another customer wants 1/2 load, if you give him a good price and he is on the way. Do you insist on your full normal rate and lose the sale, or give him a discount?