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USPS cutbacks may hurt bottom lines

The United States Postal Service's plan to do away with next-day delivery could come at a dire cost to large firms, according to one recent study.

Research from consulting firm REL, a division of the Hackett Group, said that the cutback in service could mean that some of the largest companies in the United States will lose as much as $100 million a year. The losses are expected to come as a result of the increase in time it will take these companies to collect bills by mail.

REL Global customer to cash practice leader Veronica Heald said that there were steps firms could take to curb losses.

"There's a lot most companies can do to take a more strategic and proactive approach to collections," she noted. "Companies should segment their customer base to better understand where collections problems are, and where the best opportunities for improvement lie."

Many companies continue to rely on the USPS, in conjunction with tools such as web-to-print, to increase sales and highlight ongoing promotions.