USPS Spins A Web of Cross-Promotion

[USPS press release]

Priority Mail Gets Amazing Endorsement from Spider-Man
USPS and Sony Pictures Team Up to Cross-promote Priority Mail and ‘The Amazing Spider-Man 2’

spider_boxWASHINGTON — To put some Super Hero Spidey-power into its promotion of Priority Mail, the United States Postal Service (USPS) is teaming up with Sony Pictures for the release of the highly anticipated motion picture “The Amazing Spider-Man 2,” in theaters nationwide on May 2, 2014.

In a campaign to promote Priority Mail and “The Amazing Spider-Man 2,” the Postal Service and Sony Pictures are collaborating on a high-profile, multi-channel marketing campaign that begins this week and continues through the end of May.

“Our Priority Mail products share many qualities with a Super Hero of Spider-Man’s caliber, namely those of speed, agility and reliability,” said Nagisa Manabe, Chief Marketing and Sales Officer at USPS. “Like Spider-Man, our priority has always been the people we serve. We pride ourselves on our commitment to public service and delivering for our customers, and we are excited about enlisting Spider-Man to help promote our Priority Mail offerings.”

One of the centerpieces of the campaign, which includes direct mail, digital and social media elements, is a television commercial that features Spider-Man circumventing all obstacles in delivering a Priority Mail package to a special showing for fans of “The Amazing Spider-Man 2.” USPS linked up with Sony Pictures through their mutual media agency, Universal McCann (UM), and DNA Productions to create the television spot with renowned directors, Rich Lee and Marc Webb, director of “The Amazing Spider-Man 2. Viewers can watch the new USPS/Spider-Man TV spot on the Postal Service’s YouTube channel at youtube.com/user/uspstv.

“While we always knew about the breadth and reach of the Postal Service, it was exciting to learn about the everyday heroism of its employees,” said Dwight Caines, president, Theatrical Marketing for Sony Pictures. “Those traits make this partnership the perfect fit for co-branding and cross-promoting ‘The Amazing Spider-Man 2.’ We are constantly seeking creative ways to promote our films, and the Postal Service couldn’t have been a better choice.”

The campaign also parallels with the beloved Super Hero by highlighting the courageous acts of the postal workforce. One such example is Isagani Ravelo, a letter carrier in Virginia who saved a person’s life when he heard a customer in distress calling for help. He entered the home to find an elderly woman with severe head injuries resulting from a fall. He immediately performed first-aid to stop bleeding and called an acquaintance of the accident victim for assistance, as the victim requested.

Last year, the Postal Service recognized 262 postal employees for heroic acts in the Postmaster General’s heroes program.

spider_truck The wide-ranging promotion also includes trucks featuring Spider-Man images in major urban centers, in-movie integrated logo placement, limited-edition Spider-Man Priority Mail Flat Rate Shipping Boxes, online and digital banners, Spider-Man postage from self-service kiosks, and retail signs. Inspired by Spider-Man’s comic book heritage, the campaign will feature graphic renderings as a story-telling vehicle and feature stories of ‘USPS super heroes’ – real-life Postal Service employees delivering for their customers.

“We are thrilled to collaborate with Sony to relay everyday heroism in Spider-Man and the Postal Service,” continued Manabe. “Sony’s innovation and global leadership is sure to help us highlight the exciting products the Postal Service has recently brought to the shipping marketplace. We plan to continue pursuing effective marketing collaborations that highlight the great and reliable service the Postal Service offers to customers each and every day.”

In 2013, the Postal Service added to the strong momentum in its shipping business by launching major changes to its Priority Mail lineup such as improved features, improved USPS Tracking and day-specific delivery.

Former U.S. Postal Workers Get Medal of Honor, Will Appear On Stamp Sheet

You may have heard on the news late last week that the Medal of Honor was bestowed 24 U.S. soldiers who had been overlooked for racial and religious reasons. What you may not have heard is that of the three honorees still living, two are former postal workers.

Both served in the Vietnam War, and USPS press rep Mark Saunders told them that, when the Vietnam War Medal of Honor stamps are issued (the World War II set was issued last year, Korean War is later this year, so our guess for Vietnam is 2015), their pictures will be included in the selvage (margin area) of the stamp sheet. Mark says they were “VERY excited” by this.

Below is Mark’s press release and his photos of the two men at the Vietnam Veterans Memorial in Washington.

Two Former Postal Employees Receive Medal of Honor
Santiago Erevia and Jose Rodela to be honored by U.S. Postal Service on Upcoming Stamp Sheet

ereviaWASHINGTON — Only a few close friends who have known Santiago Erevia (right) during his 32-year Postal Service career are aware that the San Antonio letter carrier was decorated for his extraordinary heroism in Vietnam. Nearly 45 years later, President Obama shared his story with the world today when he upgraded Erevia’s Distinguished Service Cross to the Medal of Honor for his gallantry, intrepidity and heroism above and beyond the call of duty.

rodela1Jose Rodela (left), who served as a Mail Handler for the Postal Service during the late 1970s, also had his Distinguished Service Cross upgraded to the Medal of Honor by President Obama today.

“Nearly 20 percent of our workforce has served our country in the military,” said Postmaster General Patrick Donahoe. “Clearly 100 percent of our postal family is proud to learn of this long overdue honor. We salute you Santiago and Jose, as well as all who have unselfishly served our nation at great personal sacrifice in the military.”

A radio telephone operator in the 101st Airborne Division, Specialist Fourth Class Erevia was participating in a search-and-clear mission in central Vietnam in 1969 when his platoon came under fire. Erevia crawled from one wounded soldier to another to provide aid, then charged and destroyed several enemy bunkers while under hostile fire.

Erevia said receiving the Medal of Honor “is bitter sweet after so much time has passed, but I am elated by this distinction. It is truly a great honor.”

Erevia followed the path of many veterans upon leaving the armed forces — continuing to serve the nation by joining the Postal Service. Six months after returning home in 1970, Erevia began his postal career as a San Antonio letter carrier and for the last seven years of his career served at San Antonio’s Frank Tejeda Station.

rodela2Sergeant First Class Jose Rodela’s courageous actions took place while serving as the company commander, Detachment B-36, Company A, 5th Special Forces Group (Airborne), 1st Special Forces during combat in Phuoc Long Province, Sept. 1, 1969. Rodela commanded his company through 18 hours of continuous combat while his battalion was attacked, taking heavy casualties. Throughout the battle, in spite of his wounds, Rodela repeatedly exposed himself to enemy fire to attend to the fallen and eliminate an enemy rocket position. (He is shown at right creating a “rubbing” at the Memorial, surrounded by members of his family.)

Rodela retired from the Army in 1975 and worked for the Postal Service in Corpus Christi and San Antonio, TX, between 1976 to 1978 before joining the Air Force. He currently resides in San Antonio.

Medal of Honor Forever Stamps
Erevia and Rodela bring the total number of living former postal employees/Medal of Honor recipients to three.George Sakato, a World War II Distinguished Service Cross recipient from Denver, CO, was upgraded to receive the Medal in 2000. Sakato’s image is featured on the World War II Medal of Honor Forever stamp sheet issued Veterans’ Day 2013. The sheet lists all 464 World War II Medal of Honor recipients and includes photographs of recipients who were alive at the time of the stamp proposal. The Korean War Medal of Honor Forever stamps will be issued Veterans’ Day 2014. The Vietnam Medal of Honor stamps, bearing photographs of living recipients, will be issued at a yet-to-be announced date.

Congressional Review of Discrimination
Today’s Medal of Honor presentation to Erevia, Rodela and 22 other veterans culminates a 12-year Pentagon review ordered by Congress in 2002, through the Defense Authorization Act, which called for a review of Jewish-American and Hispanic-American veteran war records from World War II, the Korean War and the Vietnam War, to ensure those deserving the Medal of Honor were not denied because of prejudice.

President Obama will award the 24 Army veterans the Medal of Honor in recognition of their valor during major combat operations in World War II, the Korean War and the Vietnam War. Each of these soldiers’ bravery was previously recognized by award of the Distinguished Service Cross, the nation’s second highest military award. The award will be upgraded to the Medal of Honor.

Kennedy Nominated for USPS Board

President Obama is nominating Vicki Kennedy, the widow of Sen. Edward M. Kennedy (D-Mass.) to the U.S. Postal Service Board of Governors. The 59-year-old attorney also serves on the Kennedy Center for the Performing Arts board, and is an activist for gun control. She has been asked to run for her late husband’s Senate seat, but has refused. Sen. Kennedy endorsed Mr. Obama for President in 2008; Mrs. Kennedy endorsed him in 2012.

The USPS Board of Governors functions like a board of directors in a private corporation, appointing the CEO (Postmaster General) and overseeing the agency’s operations and policies.

Another Record Loss for U.S. Postal Service

[press release]
U.S. Postal Service Records Loss of $354 Million in First Quarter, Underscoring Need for Comprehensive Legislation
·     Revenue Increases by $334 Million, Driven by 14.1 Percent Growth in Shipping and Package Services; First-Class Mail Continues to Decline
·   Operating Costs decreased by $574 Million
·   Liabilities of $63 Billion Exceed Assets by Approximately $40 Billion

WASHINGTON — The U.S. Postal Service ended the first quarter of its 2014 fiscal year (Oct. 1, 2013 – Dec. 31, 2013) with a net loss of $354 million. This marks the 19th of the last 21 quarters that it has sustained a loss. Though the Postal Service has been able to grow revenue by capitalizing on opportunities in Shipping and Package Services and has aggressively reduced operating costs, losses continue to mount due to the persistent decline of higher-margin First-Class Mail, stifling legal mandates, and its inflexible business and governance models.

“The Postal Service is doing its part within the bounds of law to right size the organization, and I am very proud of the achievements we have made to reduce costs while significantly growing our package business,” said Postmaster General and CEO Patrick Donahoe. “We cannot return the organization to long-term financial stability without passage of comprehensive postal reform legislation. We appreciate the efforts of the House and Senate oversight committees to make this happen as soon as possible.”

Without legislative change, the Postal Service will be forced to default on another required $5.7 billion retiree health benefits prefunding payment due by Sept. 30, 2014, because it will have insufficient cash and no ability to borrow additional funds at that date.

The Postal Service will continue to have a low level of liquidity through October 2014. In the event that circumstances leave the Postal Service with insufficient cash, the Postal Service would be required to implement contingency plans to ensure that all mail deliveries continue. These measures could require the Postal Service to prioritize payments to its employees and suppliers ahead of some payments to the federal government, as has been done in the past.

Citing that the Postal Service could not wait for legislation indefinitely, the Postal Service’s Board of Governors directed management in 2013 to accelerate alignment of its operations to further reduce costs and strengthen its finances. The Postal Service leveraged employee attrition and increased use of non-career employees — as provided by new labor agreements — which allowed for better alignment of staffing and workload levels, resulting in reduced labor costs.

“We grew revenue by over $300 million through aggressive marketing and improving service, and we reduced operating costs by $574 million in Quarter 1, partially due to the separation of approximately 22,800 employees in 2013 under a Voluntary Early Retirement program and improved efficiency in our workforce,” said Chief Financial Officer and Executive Vice President Joseph Corbett.

First Quarter Results of Operations Compared to Same Period Last Year

  • Total mail volume of 42.0 billion pieces compared to 43.5 billion pieces
  • First-Class Mail volume declined 4.6 percent.
  • Standard Mail volume declined by 2.8 percent.
  • Shipping and Package volume increased 10.3 percent.
  • Operating revenue of $18.0 billion, an increase of $334 million or 1.9 percent
  • Operating expenses of $18.3 billion compared to $18.9 billion, a decrease of 3.0 percent

Revenue from First-Class Mail, the Postal Service’s most profitable service category, decreased $209 million, or 2.8 percent from the same period last year, with a volume decrease of 817 million pieces, or 4.6 percent. The most significant factors contributing to this decline were the ongoing trends in the mailing behavior of consumers and businesses emanating from the recent recession, and the continuing migration toward electronic communication and transactional alternatives.

The Postal Service’s shipping business continues to show solid growth. Shipping and Package revenue increased $479 million or 14.1 percent over 2013 first quarter results, fueled by the growth of online shopping, Sunday deliveries in limited U.S. markets and the ongoing success of Postal Service campaigns to promote the value of Postal Service shipping services. The Postal Service continues to capitalize on its competitive advantage in providing “last mile” service, resulting in a 34.3 percent increase in revenue from Parcel Return and Parcel Select Service over the same period last year.
Complete financial results are available in the Form 10-Q, available online.

Janet Klug To Chair US Advisory Panel

klug_thumbWell-known stamp collector Janet Klug has been named chair of the U.S. Postal Service’s Citizens’ Stamp Advisory Committee, reports Linn’s Stamp News. Klug is a past president of the American Philatelic Society (and probably holds the record for the longest-serving Immediate Past President), a member of The Virtual Stamp Club, and has described herself as a lifelong collector. She lives in suburban Cincinnati.

If confirmed (and Bill McAllister of Linn’s is almost always accurate), this will mark the first time in recent memory that a “pre-existing” stamp collector (that is, someone who collected stamps before being named to CSAC) has chaired the panel.

Added: The USPS later in the day confirmed the Linn’s article:

Postmaster General Announces New Chairman of the Citizens’ Stamp Advisory Committee

WASHINGTON — On a telephone conference this morning with the Citizens’ Stamp Advisory Committee (CSAC), Postmaster General Patrick Donahoe enthusiastically appointed Janet Klug, past president of the American Philatelic Society, to become chairman of the committee, beginning Jan. 16, 2014.

“I am pleased to appoint Janet Klug chairman of the Citizens’ Stamp Advisory Committee. Janet has already made her presence felt on the committee, having served since 2010. She continually champions ideas that are contemporary, timely and relevant,” Donahoe said.

“As Janet takes on this leadership role, the Postal Service will benefit from her wealth of expertise and knowledge of philately as she helps the Postal Service develop exceptional stamp topics that represent the best of America,” said Donahoe.

A lifelong stamp collector, Klug writes regular columns about stamp collecting for Linn’s Stamp News. Her work has also appeared in American Philatelist, Stamp Collector and Global Stamp News. Her recent publications include Smithsonian Guide to Collecting (2008) and 100 Greatest American Stamps (2007), which she co-authored with Donald Sundman.

Klug also served as chair of the New Initiatives Committee on the Smithsonian National Postal Museum’s Council of Philatelists.

Klug studied computer science and history at the University of Cincinnati and worked in the computer departments of several corporations, including EDS (Electronic Data Systems). Now retired, she is a firm believer in continuing education and loves taking courses at community colleges. “I can see myself as a 90-year-old woman taking yodeling for beginners,” she says. Her considerable volunteer work centers on philately and adult literacy.

Janet will lead her first meeting on January 16th, in Washington D.C. when the group meets for the first of their quarterly scheduled meetings.

Donahoe expressed his appreciation and thanks to outgoing chair Jean Firstenberg, who served on the committee since February 2002.

“Jean brought passion to her work on the committee and served with great distinction and the utmost dedication. She often referred to her work developing stamps as a noble cause and we echo that sentiment ,” Donahoe said.

Firstenberg championed many interesting and unique stamp subjects over the years, including the Legends of Hollywood series, Film Directors, American Journalists, Pixar, Disney and Classic Comic Strips. Other memorable and highly successful stamps issued under her leadership included such topics as Thanksgiving Day Parade, Negro Leagues Baseball, Baseball All-Stars, United States Supreme Court Justices, and several Black Heritage stamps.

Prior to joining CSAC, Firstenberg was the director and chief executive officer of the American Film Institute.

Established in 1957, CSAC is tasked with evaluating the merits of all stamp subjects suggested by the public. The committee’s primary goal is to select subjects of broad national interest for recommendation to the Postmaster General that are educational, contemporary, relevant and timely. Also, the members review and provide guidance on artwork and designs for stamp subjects that are scheduled to be issued.

The Postal Service encourages individuals with stamp ideas to submit their suggestions in writing to:

Citizens’ Stamp Advisory Committee
475 L’Enfant Plaza SW Room 3300
Washington, DC 20260-3501

The Postal Service receives no tax dollars for operating expenses, and relies on the sale of postage, products and services to fund its operations.

More Details on the U.S. Postal Rate Increase

Besides the 3¢ increase to 49¢ for a letter, the Postal Regulatory Commission also approved:

  • 21¢ for additional ounces
  • 34¢ for postcards
  • $1.15 to all international destinations

It’s interesting that the PRC is granting this increase “to offset losses suffered as a result of the Great Recession of 2008-2009.” It calculates that as 25.3 billion pieces of mail, which would have brought in another $2.8 billion. The agency calls this more-than-inflation rate increase a “surcharge that will last just long enough to recover the loss.” That’s two years.

After that, prices are supposed to go back to the present rates, or the present rates plus inflation — and, with the Federal Reserve eases its controls on the economy to keep inflation low, that could be just about the same as the rates that start in 2014.

Surprise! SpongeBob Postcards

[UPDATED] A surprise from the U.S. Postal Service and the Nickelodeon children’s television channel, announced on the same day they were first available — and they’re only going available in 25,000 post offices.

They’re not “postal cards,” or postal stationery, as we first thought. They’re available for free.

Here’s the press release:

 [Nickelodeon press release]
Nickelodeon And The United States Postal Service Team Up For “SpongeBob Mailpants” Letter Writing Program

Campaign Encourages Kids to Write and Mail Letters


30 Custom-Wrapped SpongeBob Mailboxes Placed in 13 Cities Nationwide, as Program Rolls Out in 25,000 Post Office Locations

spongebob_card2NEW YORK, Dec. 5, 2013 /PRNewswire/ — Today Nickelodeon and the United States Postal Service are launching “SpongeBob MailPants,” an educational letter-writing program that uses SpongeBob SquarePants to show kids the fun of writing, sending and receiving mail this holiday season. Now through Jan. 4, 2014, kids can get special postage-paid, customized SpongeBob postcards at more than 25,000 Post Office locations nationwide to connect with their loved ones using the U.S. Postal Service.

In addition to the postcards, 30 mailboxes are being wrapped in a custom SpongeBob design in cities, including Atlanta, GA; Boston, MA; Charlotte, NC; Chicago, IL; Dallas, TX; Hollywood, FL; Kirkwood, MO; Los Angeles, CA; Miami, FL; New York, NY; Orlando, FL; Philadelphia, PA; and Washington, DC, adding a blast of color and comedy to sidewalks this winter.

spongebob_cardback2“This program is a great way to inspire kids to write and send cards and letters because it’s done with the fun, positivity and humor of the one and only SpongeBob SquarePants,” said Pam Kaufman, Chief Marketing Officer and President of Consumer Products for Nickelodeon. “SpongeBob MailPants is a terrific partnership between Nickelodeon and the Postal Service, and we’re thrilled that kids and families across the country can go to their local Post Office for some SpongeBob-inspired holiday cheer.”

“We’re excited to partner with Nickelodeon. This is a great, fun way to teach kids to write postcards. What better way to encourage kids to experience the excitement of sending personal correspondence than teaming up with SpongeBob, who is adored by children of all ages,” said Nagisa Manabe, Chief Marketing and Sales Officer at the United States Postal Service. “And the timing is perfect. A postcard is a terrific way to send a holiday thank you.”

Kids, parents, and teachers who want to learn more about letter writing and the “SpongeBob MailPants” program can visit www.nick.com/usps to find the following:

  • A step-by-step, interactive video tutorial that guides kids through the process of writing a letter and provides printable practice sheets.
  • Customizable and printable SpongeBob stationery that will be updated with new imagery throughout the program.
  • Writing-themed SpongeBob video clips.

spongebob_mailbox2Since its launch in July 1999, SpongeBob SquarePants has emerged as a pop culture phenomenon.  The series has been the most-watched animated program with kids 2-11 for more than 12 consecutive years, and over the past several years, it has averaged more than 100 million total viewers every quarter across all Nickelodeon networks. As the most widely distributed property in Viacom history, SpongeBob is seen in more than 170 countries and translated into more than 35 languages. The character-driven cartoon chronicles the nautical and sometimes nonsensical adventures of SpongeBob, an incurable optimist and earnest sea sponge, and his undersea friends.

This partnership with the United States Postal Service was created by Nickelodeon’s New Business Development team, which brings family-influenced insights to the marketing community and delivers new, robust partnership solutions to clients.

About USPS
 

The second design

The second design

A self-supporting government enterprise, the U.S. Postal Service is the only delivery service that reaches every address in the nation: 152 million residences, businesses and Post Office Boxes. The Postal Service receives no tax dollars for operating expenses and relies on the sale of postage, products and services to fund its operations. With more than 31,000 retail locations and the most frequently visited website in the federal government, usps.com, the Postal Service has annual revenue of more than $65 billion and delivers nearly 40 percent of the world’s mail. If it were a private-sector company, the U.S. Postal Service would rank 42nd in the 2012 Fortune 500. The Postal Service has been named the Most Trusted Government Agency for seven years and the fifth Most Trusted Business in the nation by the Ponemon Institute.

About Nickelodeon
spongebob_2card2Nickelodeon, now in its 34th year, is the number-one entertainment brand for kids. It has built a diverse, global business by putting kids first in everything it does. The company includes television programming and production in the United States and around the world, plus consumer products, online, recreation, books and feature films. Nickelodeon’s U.S. television network is seen in more than 100 million households and has been the number-one-rated basic cable network for 18 consecutive years. Nickelodeon and all related titles, characters and logos are trademarks of Viacom Inc. (NASDAQ: VIA, VIA.B).