Netflix and Blockbuster Online Wreaking Havoc On USPS

Posted by Andru Edwards Categories: Corporate News, Home Entertainment

This actually makes a lot of sense, but is something that we don’t often think about. Apparently, the way that Blockbuster Online, Netflix, and similar services send mail is a big problem for the USPS, despite the large amount of revenue these services generate for the postal service. The size of the mail envelopes do not conform to standards set long ago, which the machines used to process mail go by. As a result, rental DVD’s can either be forced into the machines, resulting in breakage, or separated and sorted by hand. Many solutions have been proposed, but none accepted at this point. Still, it is an interesting read.

The problem with CD/DVD mail is that the rules, designed to ensure that mail pieces claiming discounted rates can be processed on letter sorting machines, are useless in evaluating CD mail designs.  Most CD/DVD mailers that comply with letter processing regulations are not compatible with letter processing equipment.  CD/DVDs are not paper and present unique processing challenges.  The USPS processing plants have learned the differences between paper and plastic the hard way.  As marketing has pushed for more CD/DVD mail, postal operations have had to contend with more pieces that are incompatible with their equipment.  Currently, the two largest companies presenting this non-compatible automation mail are NetFlix and Block Buster; but they are not the only customers with mail piece design problems.  New guidelines must be developed to ensure that CD/DVD mail, claiming automated letter rates, is capable of being processed on USPS letter sorting machines.

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