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The U.S. Postal Service's new marketing strategy may pay off for small business.

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This story appears in the January 1996 issue of Entrepreneur. Subscribe »

In the face of competition from e-mail, faxes and who-knows-what future form of mail, the U.S. Postal Service is looking for love in new places. One of its most ardent emerging courtships is with small business, particularly local retailers and service providers, be they franchisees or independent operators. The USPS wants to be seen as their low-cost marketing ally.

Toward that end, the USPS plans to test a new service called "neighborhood mail" early this year. It is also pursuing major postal rate concessions for saturation mailers as part of an effort that began last March to reclassify postal rates. The concessions would help those mailers that provide low-cost "shared" mail advertising such as "shoppers" and coupon packages.

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