Move Update: Are You In Compliance?

Move Update: Are You In Compliance? National Postal Forum March 2005 – Nashville, TN Audrey Conley, DeWitt Crawford & Angelo Wider United States Postal Service, Address Management

76.5% 23.6% Errors WHY IS ADDRESS QUALITY IMPORTANT? ADDRESS QUALITY TOOLS Address Quality Breakout 2.4% Moved 4.1% Apartment # 6.0% Directional / Suffix 0.4% Rural Rt / Box # 5.9% Street Name / # 4.8% ZIP Code / City / State

NCOALink™ National Change of Address Linkage System

NCOALink ADDRESS QUALITY TOOLS • Replaced NCOA Effective Sept. 30, 2004 • Secure Data Set Of USPS Change Of Addresses (160 M - 48 mo., 60 M -18 mo.) • Binary Data Format, Unintelligible To Readers • Processing Using Logic Defined By USPS • Allows Wider Distribution

NCOALink ADDRESS QUALITY TOOLS • Utilizes A Secure Hash Algorithm (SHA) • Creates A Mathematical Value Unique To Every Name/Address In The File

NCOALink ADDRESS QUALITY TOOLS • Consolidated File Containing Over 160 Million Permanent COA Records • Database Contains 4 Years Of Change Of Address Information • Service Provided To Mailing Industry Via Licensees (Full, Limited, or End User) • Customers Can Submit Address List On Electronic Media Or Process In-House

NCOALink ADDRESS QUALITY TOOLS • Matching Logic Strictly Controlled By USPS • Typical Match Rate Is Approximately 4% • 244.6 Billion Address Records Processed By NCOA Licensees in FY 03 • 9.5 Billion Address Records Updated For Change-of-Address

NCOALink ADDRESS QUALITY TOOLS • NCOALink Expands Mailer’s Accessibility To USPS National Change-of-Address • Mailers Can License NCOALink Product For Use Within Their Native Mail Processing Environment • NCOALink Product Licensing Commenced October 1, 2004 • Ask Your Existing Address Hygiene Product Supplier About Their Plans To Market Interfaces To The NCOALink Product

OLD SIDE DEWITT CRAWFORD 5891 PLUM VALLEY DR MEMPHIS TN 38141-6826 (91) NEW SIDE 512 KING RIDGE DR COLLIERVILLE TN 38017-1705 (12) EXAMPLE OF PREVIOUS NCOA DATA FORMAT ADDRESS QUALITY TOOLS This example represents a typical customer change-of-address. This is also typical of the “text’ representation shown in NCOA.

OLD SIDE Not present within COA/Link data format NEW SIDE a7 52 f2 22 0a .. .. .. EXAMPLE NCOALink CHANGE-OF-ADDRESS DATA ADDRESS QUALITY TOOLS This example represents what a typical customer change-of-address will look like within the NCOALink Product.

AVAILABLE ANNUAL LICENSES AND PRICING ADDRESS QUALITY TOOLS • Commercial Distributor License • $25,000 • Full Service License • 48 Month Data File • $175,000 • Additional Site License • $87,500 • Weekly Updates

AVAILABLE ANNUAL LICENSES AND PRICING ADDRESS QUALITY TOOLS • Limited Service License • 18 Month Data File • $15,000 • Additional Site License • $7,500 • Weekly Updates

AVAILABLE ANNUAL LICENSES AND PRICING ADDRESS QUALITY TOOLS • End User License • 18 Month Data File • $7,500 • Additional Site License • $3,750 • Monthly Updates

FASTforward®

FASTforward - WHAT IS IT? ADDRESS QUALITY TOOLS • USPS-Licensed Technology That Enables Mailers to Obtain Change-of-Address Prior to Mailing • FASTforward System Consists of: – Tamper-Proof Microcomputer System With Defined Interface Protocol – USPS Supplied Matching Software and Encrypted COA Database

FASTforward - VERSIONS AVAILABLE ADDRESS QUALITY TOOLS Only one Version Currently Available for Licensing: • Multiline Optical Character Readers (MLOCR) & Remote Video Encoding (RVE) • Updates Mailpieces Directly

FASTforward - COMMON FEATURES OF BOTH VERSIONS ADDRESS QUALITY TOOLS • COA Database With 13 Months of Permanent Change-of-Address Records • COA Database Updated Weekly Via CD-ROM • FASTforward Licensed Directly to End-User • Licensees Are Routinely Audited by the Postal Service to Confirm Proper Use of the FASTforward Technology

FASTforward: EXAMPLE OF AN MLOCR REDIRECTED MAILPIECE ADDRESS QUALITY TOOLS JIM WILSON 123 Main St Memphis TN 38101-1234 DEWITT CRAWFORD 456 ELM ST MEMPHIS TN 38188-0001 COA-ES 1000 SE 17TH ST 33316

Address Change Service (ACS)

ADDRESS CHANGE SERVICE (ACS) ADDRESS QUALITY TOOLS • Post-Mailing Service That Provides Electronic COA Notices For Mailpieces Undeliverable Due to Customer Move Or Deficient Address (Nixie) • Mailers Apply A Participant Code And An Optional Keyline To Mailpiece • Using ACS Customers Can Reduce Cost Associated With Manual Returns & Manual Keying Of Data • ($.20 For Electronic Returns verses $.70 For Manual) • Centralized Billing

MAILING LABEL BEFORE ACS ADDRESS CHANGE SERVICE (ACS) Optional Endorsement Line **************** 5-DIGIT 22030#JAN9 7000 CA3# 1508 1T52 2030 CENTRAL LIBRARY3915 CHAIN BRIDGE RDFAIRFAX VA 22030-3995

MAILING LABEL AFTER ACS (In Address Block) ADDRESS CHANGE SERVICE (ACS) Keyline Participant Code #BXBJDCK******** 5-DIGIT 22030#JAN9 7000 CA3# 1508 1T52 2030 CENTRAL LIBRARY3915 CHAIN BRIDGE RDFAIRFAX VA 22030-3995

ACS PROGRAM ENHANCEMENTS ADDRESS CHANGE SERVICE (ACS) • USPS Now Accommodates Printing The ACS Participant Code Directly On The Face Of The Envelope • Expanded Service Options • Address Service Requested (Option 2) • Change Service Requested (Option 2) • New Fulfillment Options • Electronic Printed Report Option

Keyline Optional NEW ACS PARTICIPANT CODE PLACEMENT OPTIONS ADDRESS CHANGE SERVICE (ACS) 6060 PRIMACY PKWY STE 201 MEMPHIS TN 38188-0001 Presorted First-Class Mail U.S. POSTAGE PAID Washington, DC 20260 Permit No. 1 ADDRESS SERVICE REQUESTED #BXBJDCK On-Envelope ACS Participant Code

NEW ANCILLARY SERVICE ENDORSEMENT OPTIONS * ADDRESS CHANGE SERVICE (ACS) • Address Service Requested (Option 2) • Provides Electronic ACS Notification in Addition to Physical Mailpiece Return • Change Service Requested (Option 2) • Provides Forwarding for Eligible Mail * New Options Only Available for First-Class Mail Using ACS

CUSTOMER NOTIFICATION OPTIONS ADDRESS CHANGE SERVICE (ACS) First-Class Address Service Requested Month 1 – 12 Month 13 – 18 • ACS Notification • Mailpiece Forwarded • No ACS Notification • Mailpiece Is Returned With New Address Information Or Reason For Non-delivery

CUSTOMER NOTIFICATION OPTIONS ADDRESS CHANGE SERVICE (ACS) First-Class ChangeService Requested Month 1 – 18 • ACS Notification • Mailpiece Is Not Returned

CUSTOMER NOTIFICATION OPTIONS ADDRESS CHANGE SERVICE (ACS) Periodicals First Occurrence Forwarding Period Follow-upNotification OPTION 1: DAY 1 ACS Notice 60 Days Form 3579 OPTION 2: DAY 61 60 Days ACS Notice OPTION 3: DAY 120 ACS Notice 120 Days Form 3579 OPTION 4: DAY 1 ACS Notice 60 Days No Form OPTION 5: DAY 1 ACS Notice 60 Days ACS Notice OPTION 6: DAY 120 ACS Notice 60 Days ACS Notice

CUSTOMER NOTIFICATION OPTIONS ADDRESS CHANGE SERVICE (ACS) Standard Mail ChangeService Requested Month 1 – 12 • ACS Notification • Mailpiece Is Not Returned Address Service Requested Month 1 – 12 Month 13 – 18 • ACS Notification • Mailpiece Is Forwarded • No ACS Notification • Mailpiece Is Returned at Weighted Fee

CUSTOMER NOTIFICATION OPTIONS ADDRESS CHANGE SERVICE (ACS) Package Services Address Service Requested Month 1 – 12 Month 13 – 18 • ACS Notification • Mailpiece Forwarded • No ACS Notification • Mailpiece Is Returned With New Address Information or Reason for Non-Delivery ChangeService Requested Month 1 – 12 • ACS Notification • Mailpiece Is Not Returned

NIXIE ADDRESS CHANGE SERVICE (ACS) • Provides ACS Mailers With Information Concerning Addresses That Are Undeliverable For Reasons Other Than A Move UNITED STATES POSTAL SERVICE6060 PRIMACY PKWY STE 201MEMPHIS TN 38188-0001 ADDRESS SERVICE REQUESTED #BXBJDCK ******* 5-DIGIT 22030#JAN9 7000 CA3# 1508 1T52 2030 CENTRAL LIBRARY3915 CHAIN BRIDGE RDFAIRFAX VA 22030-3995

NIXIE CODES ADDRESS CHANGE SERVICE (ACS) A Attempted - Not Know B Returned For Better Address C Outside Delivery Limits E In Dispute I Insufficient Address L Illegible M No Mail Receptacle N No Such Number P Deceased Q Not Deliverable As Addressed – Unable To Forward R Refused S No Such Street U Unclaimed V Vacant W Temporarily Away X No Such Office

ELECTRONIC PRINTED REPORT OPTION ADDRESS CHANGE SERVICE (ACS) • Provides ACS Notices in Printer-Friendly Format • Print Program Supplied on CD-ROM • Consolidates Information into Single Report • Makes Manual Update Processing Easier 512 KING RIDGE DR COLLIERVILLE TN 38017-1705

ADDRESS CHANGE SERVICE (ACS) ADDRESS QUALITY TOOLS Additional Information on the Address Change Service Program Available at: http://www.usps.com/ncsc/

WHAT IS THE CURRENT STATUS OF MOVE UPDATE? ADDRESS QUALITY TOOLS • Move Update Compliance Reviews Effective March 2003 • Federal Register Notice (8/28/2003) • 95 Day Processing of MUD • 95 Day Processing of CASS™ • Use Of A Monthly Data Base • Disallow Ancillary Service Endorsements • MUD For Other Classes Of Mail • http:/ribbs.usps.gov (Federal Register)

REVENUE ASSURANCE DMM™ - DOMESTIC MAIL MANUAL Move Update Requirement • DMM E130.3.3 and E140.1.3 - DMM Issue 58 Updated 7-8-04 A030 Address Quality 1.0 MOVE UPDATE 1.1 Basic Standards — (includes 185 day requirement to update addresses) 1.5 Mailer Certification — The mailer’s signature on the postage statement certifies that the Move Update standard has been met for each address in the corresponding mailing presented to the USPS.

REVENUE ASSURANCE REVENUE PROTECTION TOOLS IBI/RP • Information Based Indicia/Revenue Protection • Identifies “leads” where the new IBI is used • Barcode Duplicate Exceptions • Meter Status Exceptions • Register Exceptions • Short Paid Postage Exceptions Move Update / PARS Interface • PARS is Postal Automated Redirection System • PARS Interface generates “leads” for Move Update Compliance

USPS/MTAC WORK GROUP #75 MOVE UPDATE INITIATIVE

REVENUE ASSURANCE OLD MOVE UPDATE PROCESS • Leads • CFS Unit • Delivery Unit • Business Mail Entry • Phone Call • Supporting Documentation • Working Process? • Yes – No Deficiency • NO – Assess a Deficiency

REVENUE ASSURANCE NEW MOVE UPDATE PROCESS • Leads • PARS & Address Management Systems Interface • CFS unit • Business Mail Entry • Phone Call • Supporting Documentation • Working Process? • Yes – No Deficiency • NO – Assess a Deficiency

REVENUE ASSURANCE PARS AND ADDRESS MANAGEMENT INTERFACE • Mail at origin is processed through the Postal Automation Redirection System (PARS) • Mail is checked for a Change of Address (COA) on file with Address Management • If COA on file, mail is redirected to address. • If COA on file and older than 185 days, an image is captured and a tally started. • If tally is greater than 100, several images are stored. • Files are sent to Revenue Assurance server for analysis and follow-up.

REVENUE ASSURANCE PARS AND ADDRESS MANAGEMENT INTERFACE BENEFITS:  Reduced cost to capture leads • Fewer visits to CFS • Fewer fingering mail All non-compliance pieces for a mailing are captured at origin. • No arguments over number of pieces identified as leads • Able to perform analysis closer to time of mailing  Mailer can react quicker to improve mail quality

REVENUE ASSURANCE MOVE UPDATE REVIEW PROCESS Process in Place? YES No Deficiency Assessed Review Documentation from Mailer NO Assess A Deficiency

MOVE UPDATE MOVE UPDATE INITIATIVE Having a “correct” deliverable address is a foundation of an effective mailing event.

MOVE UPDATE MOVE UPDATE INITIATIVE Mailers would prefer to know about a revenue shortfall issue before they have wasted the effort to induct mail into the system.

MOVE UPDATE MOVE UPDATE ASSURANCE TIGERMAN

FOR MORE INFORMATION ADDRESS QUALITY TOOLS www.usps.com/ncsc/ Customer Support AISProducts 1-800-238-3150

Move Update: Are You In Compliance?