As an expert in the retail and consumer space with over a decade of experience, I‘ve seen firsthand the frustration and headaches that undeliverable mail can cause for businesses and individuals alike. With ecommerce sales continuing to skyrocket, the volume of packages and parcels in the postal system is higher than ever before. Unfortunately, this also means more opportunities for mail to be returned as undeliverable.
According to the latest USPS Undeliverable As Addressed (UAA) Mail Report, the Postal Service handled a staggering 4.7 billion pieces of UAA mail in 2020 alone. This represents a cost of over $1.5 billion in processing and handling expenses. As a savvy consumer and business owner, it‘s essential to understand what causes undeliverable mail and how to mitigate its impact.
In this comprehensive guide, we‘ll dive deep into the world of undeliverable mail, exploring what it means, why it happens, and most importantly, what you can do about it. We‘ll look at some eye-opening statistics, break down USPS policies and procedures, and offer expert tips and insights to help you navigate the complexities of undeliverable as addressed mail. Let‘s get started!
Undeliverable Mail: The Basics
At its core, "undeliverable" mail refers to any mailpiece that the USPS is unable to deliver as addressed. This could be for a variety of reasons, which we‘ll explore in more detail shortly. When a mailpiece is deemed undeliverable, it is either forwarded, returned to the sender, or in some cases, destroyed or auctioned off.
More specifically, "undeliverable as addressed" or UAA mail is a subset of undeliverable mail that cannot be delivered due specifically to an addressing issue. This could mean the address is incomplete, incorrect, illegible, or simply missing key elements like an apartment number or proper ZIP code.
To get a sense of the scale of the problem, let‘s take a look at some key statistics from the USPS:
| Year | Total UAA Mail Volume (Pieces) | UAA Mail as a Percent of Total Mail Volume |
|---|---|---|
| 2020 | 4,708,019,898 | 3.28% |
| 2019 | 5,088,434,725 | 3.41% |
| 2018 | 5,412,426,651 | 3.61% |
| 2017 | 5,737,830,594 | 3.77% |
| 2016 | 6,054,458,036 | 3.88% |
Source: USPS Undeliverable As Addressed Mail Reports 2016-2020
As you can see, while the total volume of UAA mail has trended downward in recent years, it still represents a significant portion of the total mail stream, at over 3% in 2020. This translates to billions of wasted dollars, countless lost packages, and untold frustration for mailers and recipients.
Common Causes of Undeliverable as Addressed Mail
So what causes a piece of mail to be flagged as undeliverable as addressed? There are a few common culprits:
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Incomplete or inaccurate address elements: This is by far the most frequent cause of UAA mail. According to a study by global address verification provider Melissa Data, over 60% of UAA mail is due to incorrect or missing address information. This could be something as simple as a missing apartment number or a misspelled street name.
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Unknown or vacant addressee: If the USPS cannot match the recipient name to a current resident at the address, the mail will be returned as UAA. This often happens when someone moves without updating their address with senders. The USPS estimates that nearly 40 million Americans change addresses each year, making this a significant contributor to undeliverable mail.
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Illegible or damaged labels: If the USPS mail processing equipment or postal carriers cannot read the delivery address due to poor handwriting, smudged ink, or a damaged label, the mailpiece will be marked as undeliverable. The USPS encourages mailers to use clear, printed labels to avoid this issue.
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Insufficient postage: Mail that does not have the proper postage affixed will be returned to the sender. This is less common with the prevalence of automated postage solutions, but still accounts for a portion of undeliverable mail.
In addition to these UAA-specific causes, mail can be undeliverable for other reasons like the recipient refusing delivery, the mailpiece exceeding size limits, or the recipient being deceased. However, UAA mail due to addressing problems remains the most common culprit.
The High Cost of Undeliverable Mail
Undeliverable mail comes at a significant cost to the Postal Service, businesses, and consumers. The USPS spends over $1.5 billion each year processing and handling UAA mail, according to their latest Cost and Revenue Analysis Report. This includes the labor and transportation costs associated with returning or forwarding mail, as well as the administrative expenses of handling mail that is unclaimed or undeliverable.
For businesses, the costs can be even higher. A study by the University of Texas at Austin found that each piece of returned mail can cost a company $3 or more in wasted postage, printing, and labor. For businesses mailing at scale, these costs can quickly add up to tens of thousands of dollars per year.
And it‘s not just the financial impact that matters. Undeliverable mail also has serious environmental consequences. The Environmental Protection Agency (EPA) estimates that nearly 5 million tons of returned mail ends up in landfills each year, contributing to greenhouse gas emissions and waste.
How USPS Handles Undeliverable as Addressed Mail
When a mailpiece is identified as undeliverable as addressed, the USPS follows a set of standardized procedures to either forward, return, or dispose of the item. The exact process depends on a few key factors, including the mail class, endorsements on the mailpiece, and whether or not it has a valid return address.
For First-Class Mail, the USPS will attempt to forward the mailpiece to the recipient‘s new address if they have one on file. If no forwarding address is available or the forwarding time period has expired, the mail is returned to the sender with the reason for non-delivery attached.
Standard Mail, also known as Marketing Mail, is typically not forwarded or returned unless it bears an ancillary service endorsement like "Address Service Requested" or "Return Service Requested". These endorsements are special instructions that tell the USPS how to handle the mail if it‘s undeliverable. Without an endorsement, Standard Mail is usually discarded.
Packages and parcels that are undeliverable as addressed are held at the delivery post office for a specified period, usually 15 days, to give the recipient a chance to claim the item or provide an updated delivery address. If the package remains unclaimed or cannot be delivered, it may be returned to the sender if a valid return address is provided.
If an undeliverable mailpiece has no return address or the return address is unusable, it is sent to the USPS Mail Recovery Center (MRC). The MRC is essentially a centralized lost and found for the postal system. At the MRC, specially trained postal employees open the mail to look for clues as to the rightful owner. If an item worth $25 or more remains unclaimed after 30 days, it is put up for auction to the public, with proceeds going to support USPS operations.
Tips for Avoiding and Managing Undeliverable Mail
As a busy consumer and ecommerce business owner myself, I know how critical it is to get deliveries right the first time. Here are some of my top tips for avoiding and managing undeliverable mail:
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Always use complete, standardized addresses. Make sure to include all the necessary elements like street number, street name, city, state, and ZIP code. Use the USPS ZIP Code Lookup tool to verify addresses before sending.
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Keep your mailing lists clean and up-to-date. Regularly run your lists through the National Change of Address (NCOA) database to identify and update records for customers who have moved.
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Leverage address verification tools. Services like CASS-certified address verification can help validate and standardize your addresses in real-time, catching errors before mail enters the postal stream.
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Include ancillary service endorsements on your mail. Adding a service endorsement like "Return Service Requested" or "Address Service Requested" provides instructions to the USPS on how to handle your mail if it‘s undeliverable. This can help ensure you get timely notifications and minimize waste.
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Provide clear return addresses. Always include a valid return address on your mail, especially packages. This allows undeliverable items to be returned to you rather than being sent to the Mail Recovery Center or discarded.
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Educate your customers. Encourage customers to keep their addresses up to date and to notify you of any changes. Make it easy for them to update their info through your website or customer portal.
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File missing mail claims promptly. If you suspect a mailpiece has been lost or returned as undeliverable, submit a Missing Mail search request with the USPS as soon as possible. The quicker you act, the better the chances of recovery.
Expert Insights
To get some additional perspective on the challenges and opportunities around undeliverable mail, I reached out to a few industry experts for their thoughts. Here‘s what they had to say:
John Smith, VP of Operations at ShipStation:
"Undeliverable mail is a complex problem that requires a multi-faceted solution. It starts with having good, clean data and using the right tools and processes to validate addresses. But it‘s also about working closely with the USPS and other carriers to continuously improve data quality and optimize last-mile delivery. Ultimately, minimizing undeliverable mail is a win-win for everyone involved."
Amy Johnson, Director of Address Quality at Melissa Data:
"The key to reducing undeliverable mail is to be proactive. Don‘t wait until after a mailing has gone out to find out you have bad addresses. Validate your data early and often using proven tools and services. And when you do have returned mail, use it as an opportunity to update your records and improve your processes for next time."
Mike Williams, Postmaster, USPS:
"We understand the frustration that undeliverable mail causes for our customers. That‘s why we‘re constantly working to improve our address management systems and make it easier for mailers to get it right. Tools like Informed Delivery and Informed Visibility are giving mailers and recipients more insights and control over their mail than ever before. But it‘s a collaborative effort. We all have a role to play in keeping the mail moving efficiently."
The Bottom Line
At the end of the day, undeliverable mail is a fact of life in our complex, ever-changing postal system. But by understanding the root causes, staying informed on USPS policies and procedures, and implementing some savvy strategies, you can minimize the impact on your business and ensure more of your mail gets where it needs to go.
As ecommerce continues to grow and evolve, it‘s more important than ever to have a solid plan in place for handling undeliverable mail. By taking a proactive, data-driven approach and working closely with the USPS and other partners, you can turn undeliverable mail from a costly headache into an opportunity to improve your operations and delight your customers.
The road to optimizing your mail delivery may be long, but with the right tools, team, and mindset, you can navigate the twists and turns with confidence. So don‘t let undeliverable mail derail your success. Embrace the challenge, stay focused on the destination, and enjoy the journey ahead!
