Postal Service has just stuck a deal with the online retailer giant Amazon to start delivering the company’s packages on Sunday.
This deal will add POD to both two companies. For Postal Service, they are the first delivery company who can provide Sunday delivery. Moreover being the first one in this new area makes it easier for them to be remembered by the public. On the other hand, Amazon also gets benefits from this cooperation. Before this deal has been struck, the deliver days for Amazon’s customers are only from Monday to Saturday, but now everyday becomes deliver day. It takes customers shorter time to get their packages, thus Amazon becomes more preferable for the customers when they need the goods urgently.
Another influence brought by the deal is that the revenue steams and the cost structure of Postal Service have also changed. The first-class contributed most of the revenue and cost in the past. Now, since they start providing Sunday delivery and charge more for this service, there is a great possibility that this service will play an important role in their future business model. With the adjustment of their business model, Postal Service will be able to get back to the right track to make profits again.