Tag: North America

Measurement and Analysis for Digital Signage

Measurement and Analysis for Digital Signage

The definition of an “impression” is changing- take a look behind the scenes of ad buying, audience measurement and data analysis to learn just what the numbers mean, and how to generate them.

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New GPS Device Tracks Letters in the USPS Mail

The new GPS Letter Logger (GLL-1000) by TrackingTheWorld uses a Texas Instruments microprocessor and a u-blox ANTARIS 4 GPS module to help the U.S. Postal Service (USPS) find out where and how long a piece of mail spends in one place.

The device fits in a standard Number 10 business envelope and is sturdy enough to go through USPS sorting machines without damage. It is only ¼” thick with a surface slightly smaller than the envelope and the weight of a few sheets of papere. Positioning data can be linked with Google Earth, allowing officials to identify delivery delays. The USPS is apparently still evaluating the results from a trial of the device in the Denver area last year.

The GLL-1000 uses an 1100mAh battery that can last from 20 hours to 2 weeks depending on how often the device is programmed to receive updates. The user can also select a mode that activates the tracking device only when it moves. Positioning date is stored on a standard micro-SD card for later downloading and analysis.

Engineers at TrackingTheWorld developed the Letter Logger for the USPS. The company designs custom GPS and OEM products and software and is based in Burlingame, California, USA.

The company website indicates that a commercial version will be released in February and that TrackingTheWorld is seeking wholesale distributors for the product.

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Logistics News: Are Reports of DHL’s Possible US Exit Premature?

Rumors that have been circulating for awhile that DHL might leave the U.S. parcel market were given a boost recently from a couple of stock industry analyst reports and an interview with the CFO of parent company Deutsche Post.

CFO John Allan said Deutsche Post intends to retain “a significant presence in the U.S.,” but that the company is exploring many options for the business, such as giving up a controlling stake in its U.S. express division (DHL Express US).

Allan is the former CEO of Exel Logistics, which Deutsche Post acquired in 2005.

There have been reports that Deutsche Post has been in discussions with FedEx for some type of transaction. A few transportation industry stock market analysts have been lauding the potential for such a combination.

For example, in a research note to clients, UBS analysts called the potential deal “win/win on paper,” thought it warned, “Antitrust could be a major stumbling block with such a proposal, therefore an agreement doesn’t signal a done deal.”

Allan told a German newspaper, however, that a total sale of DHL in the U.S. is “very, very unlikely.” Many believe if any sort of deal is done, it is more likely to be with FedEx than UPS, since DHL compete globally with UPS more so than FedEx.

DHL had big aspirations for its parcel and express business in the U.S. after it acquired Airborne Express in 2003. The company has made major investments in sales, marketing and infrastructure in an attempt to penetrate the U.S. market, the world’s largest. It had to spend heavily to upgrade its ground assets in the U.S., which were modest compared to those of FedEx and UPS.

Today, however, DHL’s share of the express and parcel market in the U.S. remains about 9 pct, according to most estimates. Deutsche Post recently reported that is writing down the value of its U.S. assets by USD 887 million, and that its U.S. package-delivery business has incurred annual losses of nearly USD 1 billion.

There have been some successes, however. For example, DHL recently announced an agreement with Walgreen’s, in which it will set up shipping locations for small businesses and consumers at more than 6,500 Walgreens locations by the end of this year, similar to what FexEx offers at its Kinko’s print stores chain.

The U.S. experience is an exception for Deutsche Post, which in general has enjoyed solid growth and profits in the rest of the world. DHL enjoys strong positions in Europe and Asia. However, its stock price has lagged the market. The Wall Street Journal reports that Allan, relatively new to the CFO spot, is taking a look at DHL Express US in part to “mend ties with investors who criticized the company for focusing too much on empire-building at the expense of profits.”

The researchers at investment firm Bear Sterns believe Deutsche Post may shed its domestic U.S. express and parcel business, while continuing to serve U.S. shippers for goods going to international markets. That could argue for a hybrid strategy in which it sells a controlling interest in the U.S. operation, but maintains a stake to help feed its international services.

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USPS achieves positive net income despite volume drop

The U.S. Postal Service ended the first quarter of fiscal 2008 with net income of USD 672 million on revenue of USD 20.4 billion, according to preliminary financial results released Jan. 30.

Total revenue for the quarter ending Dec. 31 was up 3.5 percent over the same period last year primarily due to the May price change. The price increase masked weak volume for the quarter. Total mail volume declined 3 percent; First-Class Mail was particularly affected, declining by 3.9 percent.

“The economic downturn was the main factor for the volume decline, as the hard-hit financial and housing sectors are heavy users of the mail,” said Postmaster General John Potter. “I’m proud our managers and employees adjusted quickly to these changing market conditions, making a positive quarterly net income possible. Not only did they help us tighten our belt, but they provided record levels of service.”

Total expenses were USD 19.7 billion, versus 22.7 billion for the same period last year. The USD 3.0 billion difference was due to the one-time expense of funding retiree health benefits required in quarter one 2007 by the Postal Accountability and Enhancement Act of 2006. Excluding the one-time cost, expenses remained constant, despite rising fuel and labor costs. This was accomplished while serving an additional 1.7 million new addresses versus the same period last year.

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Court of Appeal upholds GBP 9.62 million financial penalties imposed on Royal Mail

The Court of Appeal has upheld the GBP 9.62 million financial penalty Postcomm imposed on Royal Mail for failing to protect adequately the mail in its care, following an appeal of the penalty by Royal Mail. The judgment reinforces Postcomm’s position that the penalty is proportionate and reflects the loss suffered by customers.

In a unanimous judgment, the three judges confirmed that Postcomm had a broad discretion to determine the amount of the penalty and that, in reaching its determination, it had made the best assessment it could, given the evidence available to it.

Royal Mail did not dispute Postcomm’s finding that it breached its licence requirements to keep mail safe and secure, nor that this breach was serious; it appealed only against the level of the financial penalty.

On 24 August 2006, Postcomm imposed a financial penalty of GBP9.62 million on Royal Mail for breaching its licence by failing to properly protect the mail in its care. The penalty followed a review of Royal Mail’s mail integrity procedures, during which Postcomm found that some important features of Royal Mail’s procedures were not being applied across the business. Royal Mail previously challenged the penalty in the High Court but, following a hearing, the court ruled in favour of Postcomm. The Court of Appeal has now upheld the earlier decision of the High Court.

The most significant weakness found was the poor management of the recruitment and training process for non-contract (agency) staff. In addition, the framework and information systems that Royal Mail had put in place to prevent the loss, theft and damage to mail were not operated effectively. These weaknesses significantly reduced Royal Mail’s ability to protect its customers’ mail.

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