Why Mail Matters: Newegg

Newegg, one of the largest sellers of computer and electronic parts and products is a Postal Service customer.  How do I know?  I just purchased some memory for my laptop and just got the notice that the shipment is on its way.    Here is the e-mail message, minus information describing the purchase.


Dear Alan M Robinson,


Thank you for shopping at Newegg.com. We're glad we had what you're looking for!

Your tracking number has been generated via Egg Saver. Please see below for your order information and tracking number. It may take up to 1 business day for your tracking information to become available.

Egg Saver shipments are picked up from our warehouse at the close of each business day by DHL Global Mail, who handles shipping from Newegg to your nearest USPS facility. USPS then delivers the package to your ship-to address with your regular mail delivery within 4-7 business days. [Words are bold in the original email.]

Now, the graphic is nice but isn't it a bit too complicated for Newegg customers who don't know what a DDU, SCF, BMC, or an AMF are?   But it does make it clear that the shipment will arrive in the mail after being transported much of the way by DHL. (DHL should develop a new graphic for inclusion in e-mails like this designed for non-mailing industry customers of Newegg.)
 
The description of the service clearly illustrates a marketing and operations problem that the Postal Service has to fix if it wants to take a larger share of the Newegg's delivery business.   Doesn't the sentence, "USPS then delivers the package to your ship-to address with your regular mail delivery within 4-7 business days," encourage customers to pay to upgrade to faster service the next time they make an order?  Doesn't this sentence make signing up for either Amazon Prime or Shoprunner to get 2-day service at no charge if one shops online frequently?
 
Even with much slower service commitments, the Postal Service has been able to grow its last mile delivery business. In the First quarter of FY 2011 parcel select volume was up 26%, allowing its first-mile partners to cost-effectively drop shipments nearer to the delivery point. 
 
The Postal Service's last mile, parcel delivery service could grow faster if it had tighter delivery standards so DHL would no longer say the "USPS then delivers the package to your ship-to address with your regular mail delivery within 4-7 business days."  For example, the USPS needs to find a way to deliver shipments dropped at a DDU or SCF the next delivery day, and shipments dropped at a National Distribution Center (NDC) in two or three days.   Then its service would nearly service competitive with ground delivery offerings of FedEx and UPS to merchants trying to satisfy demanding customers, while still offering the low-cost delivery option that makes on-line purchases attractive.