MOVE UPDATE STANDARDS
Keeping Track of Your CustomersAssessment charges for Standard and First-Class Mail effective January 4, 2010
Theresa PeterleinMid-Michigan PCC
Lansing MI
“Address” means specific address associated with specific occupant name
Reduces the number of your mailpieces that require forwarding, returning, or disposal
Requires periodic matching of your address records with USPS® Change-of-Address (COA) orders
Use of an Authorized Move Update Method
MOVE UPDATE REQUIREMENT
Move Update is required for mailpieces claiming Presorted or Automation prices for First-Class and Standard Mail (letters, flats, parcels and not flat-machinables)
To meet Move Update, mailers must be using addresses on mailpieces that have been updated using an approved method within 95 days prior to mailing
MOVE UPDATE REQUIREMENT
Undeliverable As Addressed (UAA) costs the USPS more than $1.9 billion each year to process.
More than 6 billion mail pieces are disposed (recycled) of every year because of poor address quality – that means that they never left the Post Office and went straight into the recycle dumpster.
Main reason: incorrect and outdated addressed on business-to-consumer mail.
Almost 5 out of every 100 mailpieces are Undeliverable-as-Addressed (UAA) Mail
First-Class Mail® UAA Rate: 3.4%
Standard Mail® UAA Mail Rate: 6.4%
Standard Mail accounts for almost 63% of all UAA Mail
75% of UAA Mail is move-related by reason
First-Class Mail Move UAA Rate: 2.6%
Standard Mail Move UAA Mail Rate: 4.8%
DID YOU KNOW?
UAA COST & VOLUME BY REASON*
Cost Volume
75.8%7.368 Billion
Address Quality-Related
11.9% 1.155 B
12.4% 1.201 B
* Directly Attributable Cost Only
79.0%$1.196 Billion
8.8%$133.9 MM
12.2% $184.5
MM
Move-Related
Move-Related
Non-Address Quality-Related
MOVE UPDATE REQUIREMENT Updated addresses on mailpieces at one class of mail are
qualified to be used for other classes during current Move Update cycle
EACH ADDRESS IN MAILING SUBJECT TO MOVE UPDATE
EXCEPTION: Mailpieces using Alternative Address Format are not subject to Move Update
“Jane Doe or Current Resident”“Postal Customer”, “Occupant”, etc.
WHY IS IMPLEMENTING A MOVE UPDATE SOLUTION IMPORTANT?
Impact associated with return mail to your company
Lost postage (initial mail piece and postage if re-mail)
Cost of producing documents (paper, envelopes, content, design, labor, sorting return mail, analysis and system update)
Customer service (increased call volumes, collection notices and handling, cost of lost customers)
Green initiatives (decreased waste and carbon footprint)
The estimated average industry cost of Return Mail to an organization is $3.00 per piece.
For many companies, the amount surpasses $10.00 per piece when there is a direct financial association to the mailpiece (bill/invoice).
WHY IS IMPLEMENTING A MOVE UPDATE SOLUTION IMPORTANT?
NCOALink® Processing ACS™ OneCode ACS® – Intelligent Mail® Barcode FASTforward® MLOCR Processing Appropriate Ancillary Service Endorsement Alternative Method (First-Class Mail® Only)
Requires Separate Approval:
Legal Restriction 99 Percent
NATIONAL CHANGE OF ADDRESS(NCOALINK®)
Expands mailer’s accessibility to USPS® National Change-Of-Address
Provides electronic Change-of-Address information prior to mailing
Updated change-of-address information for the entire country is provided on a regular basis to the licensee by the USPS through the NCOAlink database.
Typical match rate – 75%
Optional name-matching routines (individual, family, business)
FASTforward® MLOCR
Mailpieces are updated against the USPS change-of-address data base as the mail is transported for barcoding.
If a change of address is found, the new address is printed directly on the mailpiece
When FASTforward® is used in conjunction with either MLOCR processing, mailpieces avoid the delays associated with traditional mail forwarding.
FASTforward®
Ms N. Formation, Esq.Dewey Cheatem & Howe PC123 Main StMemphis TN 38101-1234
456 ELM STJUDGE A. MENTALL
MEMPHIS TN 38188-0001STE 201
COA-AA 1000 SE 17TH ST 38119
FASTforward®: EXAMPLE OF AN MLOCR REDIRECTED MAILPIECE
Window must be a minimum of 5/8th inch from bottom to enable printing COA information
JOHN DOE10 ELM AVEANYTOWN OR 97654-3218
► On-piece mailing instructions ► Same handling for all classes of mail► Very different fees applicable for First-Class and Standard!
Return
Address
Change
Endorsements keywords
Endorsement
Service Requested
ANCILLARY SERVICE ENDORSEMENTS
Followed by…
•Forwarding, Return, & New Address Notification Provided
If Forwarded, A Separate COA Notification Is Provided
If Returned, New Address Or Reason For Non-delivery Is Provided
Fees may apply (Class of Mail, ACS or no ACS) and vary by time period
Forwarding Or Return Service Provided
If Forwarded, Separate COA Notification Is NOT Provided
If Returned, Reason For Non-delivery Is Provided
This Endorsement DOES NOT Meet the Move Update Requirement!
Separate COA Notification With New Address Or Reason For Non-Delivery Provided.
Mailpiece is not forwarded or returned, but disposed of as waste by the USPS
On First-Class Mail®, CHANGE SERVICE REQUESTED Is Only Available When Used in Conjunction With ACS™
CHANGE SERVICE REQUESTED
For an address to meet Move Update requirements, the mailer must send 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 two years
ANCILLARY SERVICE ENDORSEMENTS
Mailers who claim they are restricted from incorporating the Postal Service COA information into their mailing lists without permission from the addressees may request approval from the Postal Service’s National Customer Support Center
Unless the mailer is a federal, state, or local government entity, the request must be accompanied by citation of the specific legal restriction, including copies of the statutes or regulations.
Federal, state, or local government entities must still make a request, but will receive a letter of approval without having to submit a citation
LEGAL RESTRAINT METHOD
MAILERS APPROVED TO USE THE LEGAL RESTRAINT METHOD MUST HAVE A PROCESS IN PLACE TO:
Identify customer change-of-address using approved Move Update programs within 95 days of mailing
Contact customer within 30 days to request address correction from customer
Make changes to address information within 30 days of receiving change from customer
Keep documentation of above steps for 2 years
LEGAL RESTRAINT METHOD
MAILERS WHO BELIEVE THEIR MAILING LISTS ARE ALREADY ACCURATE BECAUSE THEIR CUSTOMERS DILIGENTLY NOTIFY THEM OF ADDRESS CHANGES MAY MEET MOVE UPDATE REQUIREMENTS BY:
Getting approval from the National Customer Support Center and following a 4 step validation process
99 PERCENT ACCURACY METHOD
TO DETERMINE IF THE MAILER HAS CURRENT ADDRESS INFORMATION FOR THEIR CUSTOMER, THE USPS EVALUATES THE ADDRESS LIST FOR ACCURACY.
If less than 1% of the customer addresses in the address list have a change-of-address detected, the mailer is given written approval to use the 99% method to satisfy Move Update requirement for the address list tested.
The Postal Service will periodically review the mailing list to determine if it is being kept up-to-date.
99 PERCENT ACCURACY METHOD
Address Change Service (ACS™ - Traditional)
Post-Mailing Service – Provides electronic COA Notices for undeliverable mailpieces
Mailers apply a Participant Code and an Optional Keyline to each mailpiece
Participant Code assigned for each class of mail
Using ACS customers can reduce cost associated with manual keying of data
EXAMPLE OF AN ACS™ MAILPIECE
Tanya Hyde-Goode IncNanny Placement Service123 Main StMemphis TN 38101-1234
Address Service Requested
DEW
456 ELM ST
CANDICE WAITE
MEMPHIS TN 38188-0001STE 201
#BXBJDCK ************* 5-Digit 38188#WAIC 381 SEP 2009#
Participant Code >
Optional Keyline >
Participant Code and Keyline always preceded by # For window envelopes – Tap Test from top & bottom
PROCRASTINATORS ANNOYMOUS LLC
5/8”
ONECODE ACS® OneCode ACS using the standardized Intelligent Mail™
barcode (IMB)
Eliminates need for participant code and keyline
Provides electronic address correction notifications
Flexibility of standardized IMB barcodes enables future enhancements without altering mailpiece design
IMB contains data to sort mail and data to support ACS™
Numeric Mailer Identifier in place of ACS information - one code for all classes of mail
1
Kay Shira Weather Forecasting Limited123 Main StMemphis TN 38101-1234
Electronic Service Requested
6060 PRIMACY PKWY STE 201
LES ISMORE
MEMPHIS TN 38188-0001
EXAMPLE OF AN ONECODE ACS® MAILPIECE
DEPRECIATION CONSULTANTS
Must print ancillary service endorsement for Standard Mail® – recommended for First-Class Mail®
CASS™ / DPV® Meets The Move Update Requirement
Mail Will Get Delivered To The Old Address Instead Of Becoming UAA
Implementing Move Update Will Eliminate My Return Mail
If I use an Ancillary Endorsement or ACS™; I am in compliance
-not true
-not true
-not true
-not necessarily
Date of First Mailing on or after Nov 23,
2008
Address does not meet Move Update standard
Waseach address used
in mailing exposed to a Move Update method within
95 days ?
Wasaddress directly
acquired from yourcustomer within 95
days ?
Does mailpiece bear an
alternative address format ?
Was address matchedto a New (COA)
record ?
Wasupdated address
applied to mailpiece?
Continue to use existing address for
remainder of 95 days - address currently
meets Move Update standard
No
No
No
Yes
No
Yes
YesAddress does not
have to meet Move Update
standard
Address currently
meets Move Update
standard
Yes Yes
No
The USPS has implemented several steps to assist mailers in improving the quality of their addresses and in obtaining the optimum results from
Move Update compliance efforts
MOVE UPDATE VERIFICATION
Signature on the Postage Statement by either the Mail Owner or Agent certified compliance
Mailer must record Move Update method
USPS can request substantiation of Move Update compliance
ACCEPTANCE UNIT TESTING
A process to measure a sample of a mailing and determine the quality of the mailer’s Move Update process and provide feedback to mailers
Mailings are selected randomly by PostalOne! for verification
A sample is selected from the mailing for processing on MERLiN
MERLiN captures barcode, name and address information into a data file that is electronically transmitted to National Customer Support Center (NCSC)
NCSC processes the data file using NCOAlink and returns the results to the PostalOne! System where the results can be discussed with the mailer
ACCEPTANCE UNIT TESTING
Electronic data file Contains name, address and barcode (if available)
Sample extracted from the mailing isprocessed on MERLIN
Mailpiece ID can be used to identify anypiece found as an Error.
MOVE UPDATE VERIFICATION PROCESS
BME clerk selectssample mailpieces for MERLIN verification
The NCSC performs a DPV & Move Updatevalidation
Move Update Verification results are displayed in PostalOne!
Results forwardedto PostalOne!
Mailpieces are run on MERLIN, data file sent to NCSC
VERIFICATION THRESHOLD AND ADDITIONAL POSTAGE CALCULATIONS
A mailing with 5 or fewer pieces with a COA on file that were not updated by the mailer will pass the verification regardless of the passing percentage
A mailing with a passing score of 70% (tolerance 30%) or higher will pass verification
A mailing with a score below 70% will fail verification if there are also more than 5 pieces with COA’s that were not updated by the mailer
The passing score will be calculated using the total number of pieces with a Move Update on file divided into the number of pieces that the mailer updated with the change (within the date range, 95 days – 18 month)
VERIFICATION THRESHOLD AND ADDITIONAL POSTAGE CALCULATIONS
VERIFICATION THRESHOLD AND ADDITIONAL POSTAGE CALCULATIONS
EXAMPLE 1
15 Mail Pieces With A Change Of Address Are Found In Sample
The Mailer Used The New Address On 10 Of The Pieces
The Score Is 66.7%.....However, Since Only 5 Pieces Were Not Updated By The Mailer, The Mailing Passes
VERIFICATION THRESHOLD AND ADDITIONAL POSTAGE CALCULATIONS
EXAMPLE 2
A Total Of 20 Pieces With Change Of Address Are Found In The Sample
For 13 Of The Pieces, The Mailer Used The New Address (Coa Updated By Mailer)
13 Is Divided By 20 = Score Of 60%
More Than 5 Pieces Were Not Updated And The Score Is Under 70% = The Mailing Fails
MAILINGS THAT FAILBOTH FIRST-CLASS AND STANDARD
The assessment will be calculated based on only the percentage of failed pieces in excess of the tolerance (30%) multiplied by the total number of pieces in the mailing.
The fee is $0.07 per assessed piece
MAILINGS THAT FAILBOTH FIRST-CLASS AND STANDARD
A mailing with a score of 60% and more than 5 pieces that were not updated will be assessed additional postage of $.07 per piece for 10% of the pieces in the mailing.
This is the 10% difference between the not-updated percentage (40%) and the tolerance (30%).
EXAMPLE
A mailing consisting of 100,000 pieces would be charged $0.07 per piece on 10,000 pieces (10%) of the total mailing = $700.00
MAILINGS THAT FAILBOTH FIRST-CLASS AND STANDARD MAIL
Standard Mail and First-Class Mail mailings that have not performed Move Update are not eligible for the presorted (including automation, non-automation and carrier route) prices and MUST be mailed at a price that does not require Move Update
e.g. First-Class single-piece price
ADDITIONAL RESOURCES
A GUIDE TO ACCESSING MOVEUPDATE REPORTS available on ribbs.usps.gov
http://ribbs.usps.gov/move_update/documents/tech_guides/PUB363.pdf
ribbs.usps.govribbs.usps.gov