In our latest blog, we spoke in great detail of the differences between US Global Mail and other so called “Mail Forwarding Companies.” The majority of these service providers simply outsource their work to the lowest bidder. It’s a technique well known among roofers and home improvement companies, which has proven time and time again that quality of work is hindered and does not do good for the customer. Putting profit over customers is a bad way to run any business anyway, not just a mail forwarding business.
Today, we will be covering extensively a particular mail forwarding company that fits perfectly that outsourcing profile; iPostal1
As a reminder, our aim is not to tarnish the reputation of iPostal1 or any mail forwarding company for that matter. Simply put, our purpose is to lay out all the common areas & differences in the services that two mail forwarding companies provide.
We will present the data, and from there using your own judgement and due diligence, you will be equipped to make a decision that’s right for you.
So happy reading and happy picking!
One main distinction between iPostal1 & US Global Mail are the number of available locations, for customers to get their mail sent to. At first glance, having several available locations looks like a good idea; “why wouldn’t I want to have my mail forwarded to a location of my choice? Flexibility is always good, right?”
If you can service that many locations though.
You see, what it really drills down to, is the fact that no mail forwarding company can operate 100 locations, simply because there is no mail forwarding company that is that large. So the only way for a company like iPostal1 to offer that many locations, is by outsourcing all that mail work to a local postal service with the lowest bid.
But then you might ask: “Doesn’t it matter what location my mail arrives to?”
All mail, whether iPostal1 or US Global Mail service it, is uploaded onto the cloud and you get to view it from there (virtual mailbox.) In other words, what location your mail is initially sent to does not matter one bit. And the only reason a company would offer several locations to begin with, is to give you this idea of “variety and options” (a marketing scheme.)
Think of cable companies & TV program providers; what is their pitch? “We will get you 500 channels, and you’ll know what’s happening to that one lost tribe in the Amazon forest 24/7!”
The reality is, no one ever watches through 500 channels, and it just sounds good in an advertisement, but that’s about it.
Well…it’s a similar marketing trick, but with mail forwarding. Sounds good, but is really not.
Now, to put things in perspective, we are not suggesting that if you work with iPostal1, you will have a negative experience. But what we are saying is, that iPostal1 will not be the company servicing you. It will be some unknown local postal service no one has ever heard of. To be frank; iPostal1 is simply a sales company. They do not actually do any of the mail forwarding themselves.
And it gets worse when you consider that they do not work necessarily with the same provider across all 50 states. Which means that if you see a positive review someone posted of Ipostal1, and that individual is located in Pennsylvania, you won’t necessarily get the same customer experience if you are located in California. Simply because those are not the same service providers filling & processing your mail.
And unfortunately…it only gets worse from here:
Mail Theft is a big issue in this country, with identity theft being one of the most frequent ways criminals get access to your personal data, social security number, credit card numbers etc.
When you outsource a mail forwarding service to another company, someone will have to take a monetary in order to be able to compete and not increase the service rates. There are one of 3 parties that will foot the bill:
- The sales company (iPostal1)
- The subcontractor (whoever does the actual mail forwarding)
- The customer
Guess who is the one that foots the bill and takes on a smaller profit margin?
That’s right…the subcontractor.
What does that mean?
- Workforce is underpaid and thus less talented people are recruited
- IT infrastructure and protection against data breaches and mail theft will be poorer
- Incentives for everyone involved are removed from the picture which leads to poorer customer service.
To be fair, there are cases in which having a multi location service can be a positive thing. For example, if you want to have an office in Manhattan because that is where you do business in and want a prestigious location, then that would be a case where you would potentially want to compromise with who’s handling your mail, in exchange for a prestigious location.
We spoke of the enormous consequences outsourcing your mail to other companies has. Someone may argue however that getting that prestigious New York location is a worthy advantage.
But what about pricing?
iPostal1 generally states that their mail forwarding services start at $9.99. However in the example of locations such as New York the plans range from $19.99 to $39.99! That is double what you see in a typical ad they post.
At US Global Mail, you know upfront the cost for the business plan and there are no hidden fees; the cost for business mail forwarding is a flat $25/mo. Not only is the pricing more favorable, but it also comes with five added advantages, above and beyond of the fact that the work is completed in-house:
- Unlimited Business Name Registrations
- Unlimited Personal Names
- Permanent US Street Address
- Unlimited Incoming Mail
- Free Check Deposit
At this point you may ask yourself, “how is it possible for a company like US Global Mail, that handles all of its work in-house and that offers all these free perks, to still be a cheaper alternative to iPostal1?”
The answer to that can be broken down to the following 2 reasons:
- When a company decides to outsource, no matter how low of a wage the subcontractor pays its workers, it still needs to meet certain legal standards. In other words, the margin to outsource versus the margin to complete the work in house is a lot smaller. Therefore, and in order to keep up with the costs of doing business, they need to increase the rate for each mail forwarding plan. Some could say they took the “idle” way out by pushing the envelope (literally!) off to another company.
- Economies at scale US Global Mail is a larger company that has been in business since the 90’s with over 80,000 happy customers under their belt. A company at that size, has the flexibility to offer lower rates and to be able to compete.
So with US Global Mail you get both outstanding in-house mail forwarding, and a price no one else can beat.
What else could you ask for?