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Postal Service Focusing on Expensive Products No One Wants

February 26, 2024


The Postal Service has experienced better days. America’s mail carrier recently raised the price of a first-class Forever stamp from 66 cents to 68 cents, its fifth price hike in two years. Instead of getting better service or safer deliveries for these higher prices, consumers can continue to expect chronic mail delays, brazen thefts and taxpayer bailouts.

While the agency trots out an array of excuses for its poor performance, it’s clear that its priorities are misplaced. A case in point is the “Connect Local” service, which is supposed to handle small-business deliveries efficiently but is instead hemorrhaging cash. 

The agency must end its money-losing programs and focus on delivering for Americans.

According to the service, Connect Local mail “allows businesses to send documents locally (to recipients in the same delivery unit) same day or next day … target mailers include law firms, real estate firms, medical offices, and event organizers.” The program was first rolled out in a market test in 2022, and it was quickly apparent that it would be costly.

Even though in its 2022 Annual Compliance Report (released in January 2023), the Postal Service deemed initial market test results “encouraging,” costs exceeded revenues more than tenfold.

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