The U.S. Postal Service has been hemorrhaging money for years, due in part to declining mail volumes, limits on what it can charge customers and a costly mandate to deliver to every address. The agency is fighting for a larger share of the package business to turn itself around.
It is overhauling its vast network of sorting centers and truck routes that had long been focused on moving flat letters. The $40 billion plan includes outfitting sorting centers with new equipment, purchasing electric vehicles to replace aging trucks, and consolidating processes and facilities. The efforts haven’t gone smoothly.

It is clear that the USPS on-time delivery rates have declined and improvement is needed. It is also clear that the USPS will always struggle to earn a profit. Lastly, the volume of mail and packages combined is down 45% over the last two decades. However, keep in mind the USPS is required to deliver to EVERY single address in the United States. Keep in mind that the USPS must provide a first class letter delivery for the low price of $0.68 to EVERY single address in the United States. UPS and FedEx have the luxury of not delivering to certain addresses and their lowest price service for an item as small as a letter is >$5. Yes the USPS should seek to improve operations and earn or profit or breakeven. However, being a biased eCommerce operator, we would struggle without the USPS even at these service levels.