Panel: “Hearing from the Next Generation”

Moderator: Drew Bartkiewicz, Co-founder and CEO of lettrs

Panelists:

Lauren Abraham, Student Nikita Shamdasani, Student

Blake Bartkiewicz, Student

United States Postal Service University of North Carolina at Chapel Hill, Kenan-Flagler Business School

Consulting Skills and Frameworks, Professor Steve Jones

Tate Byers, Kevin DePopas, Kevin Lampley, Nikita Shamdasani, and Kaitlin Williams

Student Recommendations for Case Competition

3

Data Collection

Transpromotional advertising*

Telematics

Aggregated data reports

Digital Platform

Online consolidated billing service platform

Digital mail service

Increased Efficiencies

Hybrid mail

Same day delivery

Advertising

Advertising space on trucks

Transpromotional advertising*

Our analysis of the key question has led to three distinct recommendations

Hybrid Mail Transpromotional

Advertising

Online consolidated billing services

platform

4

Hybrid mail combines electronic transmission and physical transportation to decrease total cost of mail delivery

Source: www.vendigo.co.uk

5

Outsourced

printing and

mailing to USPS

cost:

58M customers 76% receive

paper bills/statements

24 bills/statements

per year

$0.60 per bill/statement

$635M Total cost for mail per

year

The low cost of hybrid mail relative to traditional mail creates demand for an alternative to first-class paper bills

Source: InfoTrends TCO Study, Bank of America 10K 2011

6

In-house

printing and

mailing cost:

58M customers 76% receive

paper bills/statements

24 bills/statements

per year

$0.70 per bill/statement

$740M Total cost for mail per

year

Cost savings:

$105M per year

USPS is in a unique position to meet the growing demand of corporate clients as a facilitator of the hybrid mail process

7

Source: Google Maps

Electronic

Physical transportation