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Postal Service Cuts Linked to Email & Social Media, Says Expert

[ 0 ] Apr. 23, 2012 | SBO Editor

Postal Service to Cut 35,000 Jobs – Online Marketing Expert Kenneth Wisnefski Response

The Postal Service announced plans to consolidate or eliminate over 35,000 jobs in the United States.  This comes as revenue has continued to fall and the agency is on a 3-year plan to save $20 billion.

Online marketing expert Kenneth Wisnefski and founder / CEO of WebiMax feels “there is a well-defined parallel of when the Postal Service began losing money to when viral marketing initiatives including text messaging, email marketing, and social media started picking up momentum a few years ago.”

The Postal Service stated the diminishing number of first-class mailings in addition to lower-volume shipments have led to lower revenue over the past few years.

In addition, Wisnefski also feels:

  • The rise in electronic communications has caused the average consumer to stop sending letters and instead correspond through email.  This supports the notion of diminishing number of first-class mailings.
  • The rise in viral marketing initiatives (including text messaging and email marketing) have allowed companies to shift their resources to more innovative marketing tactics that can be tracked with analytics to show greater return on investment.
  • Major retailers (including Best Buy, J.C. Penney, and Wal-Mart) have invested more money into marketing on Facebook and Twitter versus mass-mailing promotional materials.  The 2011 holiday shopping season indicated a tremendous spike in social media marketing at the same time the Postal Service suffered their worst Q4.
  • The Postal Service could actually enter and compete in the online marketing landscape and begin hosting competitive services including email hosting, social media, newsletter marketing with analytics, and text messaging services.
  • Given their available resources dictated by the government sector, the Postal Service could reemerge and begin competing in online viral marketing services.

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Category: Features