With digital changing consumer demands, our new research looks at how the Post and Parcel digital model continues to evolve as it seeks to drive efficiency, digitize delivery and create new revenue. Learn more: https://accntu.re/2JE8ooI

1. Accenture Post and Parcel
Industry Research 2018
DISRUPTING THE
DISRUPTORS

2. Copyright © 2018 Accenture All rights reserved. |
ACCENTURE POST AND PARCEL RESEARCH
2006 2009 2010 2011 2012 2013 2014 2015 2016
THE UNFOLDING STORY IN 2018
2
A DECADE OF RESEARCH
2017

3. Copyright © 2018 Accenture All rights reserved. |
BE A DIGITAL ORGANIZATION
POST AND PARCEL DIGITAL MODEL
GROW PARCELS
DEFEND THE CORE
DRIVE
EFFICIENCY
Used to prove digital
impact to the board and
free up capital for other
investments
DIGITIZE
DELIVERY
Used to prove digital
capability publicly to
change brand
perception
CREATE NEW
REVENUE
Used to deliver growth
but requires capital,
board buy-in and a
digital brand image
3
DIVERSIFY SELECTIVELY

4. Copyright © 2017 Accenture All rights reserved. |Copyright © 2018 Accenture All rights reserved. |
RETAIL COMPETITION CHANGING
4
PRICE FREE FAST FREE + FAST
CUSTOMER
EXPERIENCE
WE ARE
HERE

5. Copyright © 2018 Accenture All rights reserved. |
DIGITAL TRANSFORMING RETAIL
To address these new demands, retailers are investing in new capabilities that will change the
landscape.
INVENTORY
PROXIMITY
ALTERNATE
DELIVERY
OPTIONS
CONSUMER
INTIMACY
BORDERLESS
PRODUCT
ACCESS
5

6. Copyright © 2018 Accenture All rights reserved. | 6
 Eliminates non-value add activity
in the network
 Learns and improves rapidly
adjusting to changing conditions
 Micro-hub orchestration creating
continuous delivery models
DRIVING EFFICIENCY
ARTIFICIAL
INTELLIGENCE
POWERED
OPTIMIZATION
INCREASED
INVENTORY
PROXIMITY
NEW DATA
SOURCES
(TRAFFIC, WEATHER,
LOCATION, ETC)
CROWD
SOURCED
LABOR
PREDICTED
DEMAND

7. Copyright © 2018 Accenture All rights reserved. | 7
DRIVING EFFICIENCY
LOGISTICS ECOSYSTEM PLATFORM
 CONTINUOUS: exploits retailer investment in
inventory proximity - packages are picked up and
delivered continuously, eliminating non-value-add
miles and time
 FLEXIBLE: uses a portfolio labor model of
employed staff, contract staff and gig economy to
provide variable capacity
 DYNAMIC: centralized technology continually
updates and optimizes driver’s routes based on
demand and available delivery capacity
 PREDICTIVE: delivery time and price
commitments are made based on highly accurate
predictive models
PICK UPS AND DELIVERIES ARE OPTIMIZED CONTINUOUSLY FOR LOW COST, SPEED AND CONTROL
CONTINUOUS DELIVERY
+ PICKUP AT BUSINESS
- DELIVERY TO CUSTOMER

8. Copyright © 2018 Accenture All rights reserved. |
BE A DIGITAL ORGANIZATION
POST AND PARCEL DIGITAL MODEL
GROW PARCELS
DEFEND THE CORE
DRIVE
EFFICIENCY
Used to prove digital
impact to the board and
free up capital for other
investments
DIGITIZE
DELIVERY
Used to prove digital
capability publicly to
change brand
perception
CREATE NEW
REVENUE
Used to deliver growth
but requires capital,
board buy-in and a
digital brand image
8
DIVERSIFY SELECTIVELY

9. Copyright © 2018 Accenture All rights reserved. | 9
DIGITAL CHANGING CONSUMER
DEMANDS
GREATER
CHOICE
MOBILE
SHOPPING
SKUs
EXPANSION
ANYTHING.
ANYWHERE.
ANYTIME.
DISTANCE
SHRINKING
MORE
PERSONALIZED
NEW DELIVERY
MODELS
SPEED
INCREASED
CONTROL
CHANGING MARKET DYNAMICS
ALWAYS
CONNECTED

10. Copyright © 2018 Accenture All rights reserved. |
USPS INFORMED DELIVERY PILOT
DIGITIZES MAIL
2X – 10X
response rate compared to direct mail alone
70%+
of emails were opened daily
90%+
of participants said they were likely to
continue using the service
80%+
of participants said they were satisfied or
very satisfied with the service
Current subscriber base is ~10 million as of May 2018. Source: https://pmgdirect.net/informed-delivery-
update/
Access a digital
scan of the exterior
of your mail
10

11. Copyright © 2018 Accenture All rights reserved. |
INFORMED DELIVERY AS A
NEW DIGITAL CHANNEL
Rate Rate
POSTMAN CONNECTION AND
DELIVERY DETAILS
OFFERS, IMAGES AND DIGITAL
FEEDBACK
PARCEL NOTIFICATION AND
CONTROL
DIGITAL WALLET
11

12. Copyright © 2018 Accenture All rights reserved. |
BE A DIGITAL ORGANIZATION
POST AND PARCEL DIGITAL MODEL
GROW PARCELS
DEFEND THE CORE
DRIVE
EFFICIENCY
Used to prove digital
impact to the board and
free up capital for other
investments
DIGITIZE
DELIVERY
Used to prove digital
capability publicly to
change brand
perception
CREATE NEW
REVENUE
Used to deliver growth
but requires capital,
board buy-in and a
digital brand image
12
DIVERSIFY SELECTIVELY

13. Copyright © 2018 Accenture All rights reserved. | 13
IDENTITY IMPORTANCE GROWING
19%
Fraud growth annually
since 20131
52%
Of merchants see
increased international
transactions as a major
contributor to fraud
increase1
71%
Of fraud is identity theft
making it the most
common type of fraud1
1Information Age, 2016

14. Copyright © 2018 Accenture All rights reserved. | 14
REARCHITECTING IDENTITY
TODAY TOMORROW
Identity is managed by the trust anchor
(i.e. government) of the ID (i.e. passport)
and is stored on their systems
Identity is controlled by the person, and trust
and transparency are enabled through the
blockchain
Copyright © 2018 Accenture. All rights reserved |

15. Copyright © 2018 Accenture All rights reserved. |
IDENTITY OPPORTUNITY FOR POSTS
TYING A HUMAN TO A HOME
A foundation of identity is the association of a person
to their home. This attestation is essential for taxation,
school enrollment, utilities and ecommerce. Posts are
the best organizations to validate this association.
1
Use the mailstream to tie a
human to a home
LEVEL CAPABILITY
15
2
Use the postman to confirm a
human to a home
3
Use the postman to in-person
proof and capture a biometric
of a human at a home

16. Copyright © 2018 Accenture All rights reserved. | 16
THANK YOU
Brody Buhler
Global Managing Director
Accenture Post and Parcel Industry
robert.b.buhler@accenture.com
Brody Buhler
@brodybuhler
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