National Postal Customer Council February 18, 2016 Gary Reblin, V.P., New Products & Innovation United States Postal Service

INFORMED DELIVERY Pilot Overview New consumer service that enhances hardcopy mail Consumers images of their daily mail Multiple impressions and the potential for interactivity Piloted in Northern Virginia over 10,000 users Expand to New York Metro Area November 2015 ZIP Codes: 066, 069, 100-119 Expedited Mail United States Postal Service

Over time, satisfaction with Informed Delivery improves Northern Virginia Update Over time, satisfaction with Informed Delivery improves Seasoned Users like the service most of all compared to last year, they… Consider the service more effective Are more satisfied with the service Are more likely to recommend it to a friend or family member Are more likely to claim they will continue to use the service OVERALL KEY METRICS 2014 2015 Found very effective/effective 82% 86% Overall satisfaction very satisfied/satisfied 85% 92% Very likely/likely to continue receiving notifications 91% 95% Likely to recommend (top 3 box) 80% 84% +4% +7% +4% +4%

INFORMED DELIVERY: NY UPDATE Expedited Mail United States Postal Service BY THE NUMBERS Registered Subscribers: 65,000 (23k receive email alerts) Average Read Rate: 78% Average time open:1 hour after sent

INFORMED DELIVERY: NY UPDATE Expedited Mail United States Postal Service Participating Mailers Getting Started as a Mailer Mailer ID on letter size mailpiece Image to display for click through URL: where customer lands Start and end date of image being used Image of flat mailpiece (flats are not scanned today)

INFORMED DELIVERY: NY UPDATE Expedited Mail United States Postal Service NEXT STEPS: Customer Acquisition Plan Multi Channel Marketing Campaign: Direct Mail Email Post Office Signage Add mailers > 100k users Integrate into My USPS April Social Media Integration: Share on Twitter Instagram Facebook

USPS Promotions Strategy: Approach: Evolve the mail for long term growth Approach: Incentivize and provide a discount to companies that innovate in the mail New techniques to drive hardcopy to a mobile experience New printing techniques and inks to better engage the consumer

2016 Promotions First Class Mail® Earned Value April 1 –June 30 Personalized Color Transpromo July 1 – December 31 Encourage mailers to use Business Reply Mail (BRM) and Courtesy Reply Mail (CRM) Encourage FCM mailers to use Personalized Color Transpromo messaging on bills or statements Standard Mail® & First Class Mail® Emerging and Advanced Technology/Video in Print March 1 – August 31 Encourage Direct Mailers to incorporate interactive technology Standard Mail® Tactile, Sensory & Interactive Mailpiece Engagement Encourage the use of “Sensory” engagement to drive increased customer response. Includes papers, inks and interactive mailpieces Mobile Shopping Promotes use of technology platforms to go from the mailpiece directly to an online shopping experience

Emerging and Advanced Technology 2016 Promotions Emerging and Advanced Technology A/B testing option Measure response rate of enhanced mail vs. no enhancement Mailing “A” Meets all the published 2016 Emerging and Advanced Technology/Video in Print promotion requirements Mailing “B” Does not need to meet the incentive requirements. 10% of the mailing has no treatment or enhancement Augmented Reality NFCs 9

Questions