Still confused about the Move Update requirement? Wondering what the consequences for not complying might be? Do you have lingering questions about the IMB deadlines? This article will attempt to remove the confusion and fear that is gripping many over the Move Update requirement and the USPS Intelligent Mail Barcode rollout.
Move Update:
Think of it like your Mom or Dad telling you to eat your vegetables, you may not want to eat them, but you now realize that they are good for you. It’s the same thing here! Move Update is the requirement that forces mailers of Automation Standard and Presorted/Automation First Class Mail™ to do something to make sure that your address lists are up to date when you mail.
Why?
• Costs the USPS 2 Billion /Yr to Return/Dispose of Undeliverable mail
• 17% of Consumers and Businesses move every year – 45 Million!
• 24% of all mail have some kind of address problem
• 2.72% of mail is never delivered
• 17% of all mail is delayed
Or, to put this into hard numbers:
• 10 Billion Pieces are affected each year.
• 1.6 Billion are Returned
• 1.985 billion are Forwarded
• 6.0 Billion are Discarded
OK – So how do I comply?
For most of us, the easiest way is to use an NCOA-Link product that will satisfy it quickly and easily. Most Mail management software packages have a NCOA-link solution. For our Satori Bulk Mailer customers, when they run their lists thru this process, it actually does 5 things to improve the deliverability, all without the hassle of exporting and re-importing the data. With Mailroom Toolkit, it takes place right within our customer’s “Host Application”.
Satori’s “Move Update” features:
CASS – 1st step to break the address down to its component parts, Standardizes and corrects the Physical part of the address to USPS specifications
DPV – Delivery Point Validation – Further corrects the address to the actual delivery point and reports back if the secondary address info (Suite #, Unit #, Apt #) is accurate, missing or wrong.
LACS- Link – Changes old Rural Routes into physical delivery address –Helps emergency service providers locate rural addresses.
Suite-Link – Adds or changes Secondary address information for Businesses – (Suite #, Unit #)
Move Update – Fixes the Personal portion of the address by changing the addresses based upon moves registered with the USPS. Satori is a full service NCOA Provider and will update registered move data up to 48 months old.
Are there other ways I can satisfy the Move Update requirement?
Yes, there are “Post-Mailing” methods such as using Ancillary Service Endorsements, ACS, or One Code ACS (IMB). All of these Post Mailing methods require that the list has gone thru some other “Pre-Mailing” method within 95 days of the mailing, and then you can use these “Post-Mailing” methods to keep the list current. Another “Pre-Mailing” method is to first mail the list at full First Class with an approved Ancillary Service Endorsement.
Using Alternative Address Formats like “Current Resident/Occupant” are exempt, but not very personal. If the data came directly to you within 95 days of the mailing, like thru your call center, BRM or web site, those addresses would be OK.
If you are using a Presort service, they offer a service called Fast-Forward that can apply the DPBC and forwarding address while co-mingling your mail allowing you some presort savings. The drawback is that the information is applied after your mail piece has been created so the corrected information doesn’t update your records.
Is there a way for me to take advantage of Better Address Quality without big changes to our I.T. processes?
Yes Document Control Software, by Hasler (DCS), can capture your Print Image Files and manipulate them prior to printing. It is mind boggling to see all of the things DCS can be designed to do. Not only can DCS improve address quality but it can merge multiple print streams, change background overlays, add OMR marks for automation processing by a Folder Inserter, add the postage Indicia into the address block and can even include Mail Piece Verification to ensure that every piece makes it into the mailstream.
What are the consequences for not complying with Move Update?
When you sign the 3602 Mailing statement acknowledges that … “who omits information requested on this form may be subject to criminal and/or civil penalties, including fines and imprisonment.” At the least, you will be required to pay $.07 for every piece in the mailing for Standard and the entire discount is forfeit for First Class mailers. As of April 1, 2009, the Post Office has bowed to pressure from consumers and acknowledges that they are not yet ready to enforce the penalties for Standard Mailer compliance with the Move Update requirement. The $.07 penalty will be implemented on January 4, 2010.
What are the chances of getting caught?
It is getting easier all the time for the USPS to catch this as their focus is absolutely on reducing costs. UAA (Undeliverable as Addressed) and FOE (Forwarding Order has Expired) mail are the biggest areas they have identified to save money. The mail today is becoming “Intelligent” with mailer identification embedded in the IMB (intelligent Mail Barcode) and IBIP (Information Based Indicia Program) meter indicia (All Phase 6 meters) it won’t be hard to find or account for as computers will do the hard work.
What about the IMB (Intelligent Mail Barcode) Mandate?
The deadline for IMB implementation was rolled back to May 2009 with two years for mailers to conform. This means that you do not have to change until May 2011. There are plenty of reasons to implement IMB now to take advantage of the new features IMB makes available.
What is the discount going to be for using IMB?
For Full Service IMB there is a $.003 per piece reduction for (Discounted) First Class Mail and $.001 for Standard. “Basic IMB” and DPBC share the same rate. The clear reason to make this change will be for “business reasons”, not postage savings!
The “business reasons” to implement IMB are many:
• More room on the mail piece to do other things as the IMB replaces the DPBC, Planet Codes, and most Optional Endorsement Lines.
• Tracking of the mail thru “One Code Confirm”
• Updating of the Address Quality thru “One Code ACS” (Electronic Address Correction Service – a “post-mailing” method of satisfying the Move Update requirement)
• For Full Service IMB customers, less time at the BMEU, all paperwork is sent electronically and the mailing will be verified as it is being processed.
• Improved USPS performance and tracking with Full Service IMB as “Start the Clock” performance measurements will change from just sampling the mail to a broad spectrum of real world statistics that will help the USPS improve their delivery times for all classes of mail.
As a mailer you have a choice of whether to stay with the older DPBC until May 2011 or you can easily implement the “Basic IMB” to get the normal Automation discounts. For larger and more sophisticated mailers – Full Service IMB offers some great rewards. Mailer’s should know that effective with the May 2009 rate change, you don’t have to go “Full Service” to get One Code ACS or One Code Confirm, you can do this with the Basic IMB option! You will also be able to incorporate Ancillary Service Endorsements and Optional Endorsement lines and the height of the new IMB can be made as small as the current DPBC (.125”).
So even though the IMB monetary savings may not drive you to change, the business reasons should and it will be good to have your processes in place before the deadline. Combine IMB with Move Update and your mailing performance will improve, just like a healthy body that eats right and exercises should.
Hopefully this has diminished your fears and confusion regarding IMB and the Move Update requirement, so eat your vegetables, they’re good for you!
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