| In 2004 the United States Postal Service (USPS) | | | | the Participant Code whereas OneCode ACS requires |
| commissioned an independent study to examine the | | | | the Intelligent Mail Bar code (IMb). |
| volume and cost of "undeliverable-as-addressed" mail | | | | OneCode ACS is a fully automated service and |
| (UAA). The result showed that 4.75% of all mail the | | | | greatly reduces the amount of resources required to |
| USPS received for delivery could not be delivered as | | | | identify the mailer and the mailer's choice of services, |
| addressed. This means almost 5 out of every 100 mail | | | | and provides feedback to the mailer regarding the |
| pieces are undeliverable-as-addressed. Standard Mail | | | | disposition of the mail piece. OneCode ACS provides |
| accounted for almost 63% of all UAA mail and 75% | | | | an efficient and accurate way of capturing all of this |
| of UAA Mail was due to move-related reasons. Each | | | | data from IMb. In addition, combining the former |
| year, over 45 million people and over 2.3 million | | | | POSTNET bar code and the ACS code into |
| businesses move. On the average, mailing lists | | | | OneCode ACS frees up a great deal of "real estate" |
| deteriorate over 1% a month. | | | | on a mail piece, giving mailers the advantage of having |
| Using incorrect addresses is one of the major | | | | more space to utilize for customer messaging or |
| contributing factors for the rising costs of the Postal | | | | leaving the mail piece cleaner. |
| Service. If mail cannot be delivered to the address on | | | | ACS vs. OneCode ACS |
| the mail piece it will be forwarded, returned or treated | | | | Overall, OneCode ACS offers a simpler and more |
| as waste. Each option impacts large volumes of mail | | | | advanced system for processing address corrections. |
| and incurs high expenses to both the USPS and its | | | | It requires using IMb which incorporates both the |
| customers. Cost-effective and timely delivery of every | | | | former POSTNET bar code and the former PLANET |
| mail piece depends on having accurate addresses with | | | | bar code into one simple barcode. This allows more |
| complete and correct address elements. According to | | | | 'real estate' space on the mail piece and a lower |
| the R-2006-1 Rate Case Study (Christiansen UAA | | | | service fee than the traditional ACS service. In the |
| Study), there were 9.724 billion UAA mailpieces | | | | example below you can see how much you will have |
| annually which cost $1.8 billion for the USPS annually: | | | | to pay if you did not have any service, used the |
| $421.9 M for forwarded mail, $822.5 M for returned | | | | traditional ACS, or OneCode ACS. |
| mail, and $269.8M for mail treated as waste. | | | | Example: Standard Mail Undeliverable-As-Addressed |
| Move Update | | | | (UAA) Mail Fee |
| Move Update is one of the requirements the Postal | | | | Without ACS 2.8 oz, First-Class Mail full rate: $0.78, |
| Service has embarked on to deal with the rising costs | | | | Weighted factor: 2.472, Actual return postage fee: |
| of processing UAA mail. Move Update requires | | | | $1.93 |
| First-Class and Standard Mail mailers to match their | | | | With ACS 2.8 oz, First-Class Mail full rate: $0.78, No |
| mailing addresses to the USPS Change-of-Address | | | | Weighted factor, Actual return postage fee: $1.04 |
| (COA) database periodically to get the most current | | | | With OneCode ACS and IM Full Service 2.8 oz, |
| addresses for their customers who have moved. | | | | First-Class Mail full rate: $0.78, No Weighted factor, |
| Move update will reduce the number of mail pieces | | | | Actual return postage fee: $0.78 |
| that are forwarded to the new address, returned to | | | | Who benefits from free ACS? |
| the mailer, or treated as waste. | | | | One of the requirements for Intelligent Mail Full Service |
| Effective November 23, 2008, the USPS revised the | | | | is to use IMb on mail pieces, tray/sack labels and pallet |
| Move Update standard in order to increase the volume | | | | placards. OneCode ACS requires using Intelligent Mail |
| of deliverable mail. They increased the minimum | | | | Full Service and IMb, and ACS is free to Intelligent Mail |
| frequency of Move Update processing from 185 days | | | | Full Service users if they use OneCode ACS. |
| to 95 days prior to the mailing date. In addition, the | | | | One may question why any mailer would not want to |
| USPS expanded Move Update to include | | | | use the free ACS service within Intelligent Mail. While |
| automation-rate and presort-rate First-Class Mail as | | | | most mailers may see some benefit from the free |
| well as Standard Mail (letters and flats, parcels, and | | | | ACS service, some types of mailers will benefit more |
| non-flat-machinables). | | | | than others. |
| In order to meet the Move Update standard, you must | | | | Periodicals mailers, for example, are probably the |
| use an authorized Move Update method. The USPS | | | | primary beneficiaries of this free service because |
| offers four primary methods and two alternative | | | | address corrections are required of them by the |
| methods, one of which is for First-Class Mail only. Of | | | | USPS, this is not optional. Thus, taking advantage of |
| the primary methods, there are two "pre-mailing" | | | | Intelligent Mail Full Service and the free ACS is a very |
| methods and two "post-mailing" methods based on | | | | beneficial service for them. Similarly, any mailer who |
| when you actually receive the updated address. In this | | | | has consistently used ACS service in the past will |
| article, we will focus on ACS" and OneCode ACS. | | | | benefit by the fact that they can now receive this |
| Authorized Move Update Methods: Pre-mailing | | | | service for free when in the past there was a cost |
| methods: NCOALink, FASTforward MLOCR | | | | involved. In fact, any mailer who was previously using a |
| Post-mailing methods: ACS" or OneCode ACS, | | | | post-mailing address correction method will probably |
| Ancillary Service Endorsement | | | | find this new service attractive. It may even provide a |
| ACS (Address Change Service) | | | | new revenue stream for mailers who mail for multiple |
| ACS is a post-mailing service that was developed in | | | | clients and have the tools which allow them to manage |
| the mid-1980s to enhance the way mailers received | | | | these address changes for their clients. If they can |
| change-of-address (COA) information from the USPS. | | | | charge for this management service while getting the |
| The new electronic environment was designed to help | | | | corrections for free, this may prove to be lucrative. |
| reduce manual labor and costs involved in providing | | | | On the other hand, mailers who use highly accurate |
| updated addresses to the mailers. | | | | mailing lists, prefer pre-mail address corrections or use |
| When a mailer uses ACS, they print a USPS assigned | | | | primarily rental lists may not see as much benefit from |
| participant code in the address block which identifies | | | | this free ACS service. For example, photo finishing |
| the mail piece as requesting ACS service. For | | | | companies usually receive their mailing addresses |
| example, when a mail piece for a customer's old | | | | fresh each time from their customers whenever they |
| address is received by the postal carrier, it is sent to | | | | submit an order for photo processing. Since they do |
| CFS (Computerized Forwarding System) for | | | | not maintain any address databases, and their |
| forwarding. At CFS, the operator keys the ACS | | | | addresses are unlikely to be old and outdated, ACS |
| participant code and any optional keyline data that | | | | service would not be as attractive for them. |
| may be present. This causes a transaction to be | | | | Many mailers prefer to obtain their address corrections |
| generated that sends the change-of-address update | | | | pre-mailing, such as with NCOALink. For these mailers, |
| back to the mailer electronically so the address can be | | | | they may see some benefit from receiving |
| updated automatically. | | | | post-mailing corrections that the NCOA processing |
| Mailers may elect to add an optional line to their | | | | may have missed due to the time gap between the |
| address block that contains a "keyline," or a tie-back to | | | | processing and the actual mailing. However, it might be |
| the original record that was used to create the | | | | tough to get a positive ROI on any systems |
| address block. This keyline allows mailers to | | | | implemented to incorporate these changes. Other |
| automatically update their address records without any | | | | mailers may lack the tools to incorporate the returned |
| manual intervention and helps them reduce the costs | | | | data from the ACS process into their databases. |
| associated with manual keying of data. | | | | In conclusion, Move Update will certainly help the Postal |
| To participate in ACS, mailers need to apply for a | | | | Service better manage the volume of |
| 'Participant Code' from the ACS Dept. at the National | | | | undeliverable-as-addressed mail. The USPS offers |
| Customer Support Center (NCSC). There is a | | | | various options for participating in the Move Update |
| Participant Code assigned for each class mail. It is free | | | | program, and OneCode ACS is the most advanced |
| to enroll in ACS, but there is a "per piece fee" for | | | | post-mailing system that offers fast, reliable and |
| records supplied back to a customer. Currently ACS | | | | accurate services to mailers for updating addresses. It |
| corrections for First-Class Mail are 10¢ each and | | | | lets you participate in the Intelligent Mail Full Service |
| 26¢ each for all other classes of mail. | | | | which will unquestionably help everyone in the Postal |
| OneCode ACS | | | | industry move ahead and automate their operations. |
| OneCode ACS is a new and improved option of the | | | | Intelligent Mail Full Service is the way the Postal |
| traditional ACS service for First-Class, Standard Mail, | | | | Service will require mailers to process mailings in the |
| and Periodical flats/letters that mailers can use to get | | | | future and OneCode ACS will help mailers get ready |
| automated or electronic address corrections. The | | | | and be automated. |
| difference is in the triggering mechanism: ACS uses | | | | |