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An Exploration of the Impact of Parcel Volume Growth on the Service Performance of Letter Mail

In: The Contribution of the Postal and Delivery Sector

Author

Listed:
  • Margaret Cigno

    (Soiliou Daw Namoro 1504 Lawrence St. NE)

  • Soiliou D. Namoro

    (Soiliou Daw Namoro 1504 Lawrence St. NE)

Abstract

Online shopping has increased globally, leading to an explosion in parcel volumes for both postal operators and commercial delivery companies. This increase in package volume is a positive development for postal operators who have been facing long-term volume and revenue declines in letter mail. USPS’ competitive products revenue, which is composed mostly of package volume, increased more than $2 billion in FY 2016, a 12.6% increase over 2015. The present paper offers some theoretical perspectives and some quantitative evidence on the effect of parcel trends on service performance for letters.

Suggested Citation

  • Margaret Cigno & Soiliou D. Namoro, 2018. "An Exploration of the Impact of Parcel Volume Growth on the Service Performance of Letter Mail," Topics in Regulatory Economics and Policy, in: Pier Luigi Parcu & Timothy Brennan & Victor Glass (ed.), The Contribution of the Postal and Delivery Sector, pages 311-325, Springer.
  • Handle: RePEc:spr:topchp:978-3-319-70672-6_22
    DOI: 10.1007/978-3-319-70672-6_22
    as

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