A New Commercial Era for the Postal Service

prt row of mailboxes

In his remarks at the USPS Board of Governors meeting on November 14, 2025, Postmaster General David Steiner reflected on his first 100 days in office. He noted that he has travelled extensively, visited more than 20 facilities, and met thousands of USPS employees. He said these visits reinforced his belief that the organization is at the dawn of a new commercial era and that the Service must leverage its vast reach, infrastructure and workforce to grow both service and revenue.

He emphasized that mail and packages remain relevant, and USPS must use its unique assets, its network spanning every U.S. address six or often seven days a week, to capture new opportunities.

Last Mile Focus as a Strategic Priority

Steiner highlighted the importance of the Postal Service’s last-mile network as a critical driver of future growth. He described the last mile, the final delivery from postal facilities to homes and businesses, as an underleveraged asset that can expand revenue, improve service and reinforce USPS’s role in connecting every address in the country.

Steiner noted that while USPS has invested heavily in processing and transportation infrastructure over the past several years, the first- and last-mile components of the delivery chain have not received the same level of strategic focus. He said, “Our middle mile logistics are stronger than ever, but the first mile from sender to facility and the last mile from facility to customer represent enormous, untapped opportunity.” By leveraging these assets, USPS can compete more effectively in package and parcel delivery markets while maintaining universal service.

As part of this focus, Steiner highlighted ongoing efforts to enhance last-mile operations through partnerships with retailers and other delivery networks. These partnerships aim to improve speed, reliability-, and flexibility, including options for same day and next-day delivery. He also emphasized that strengthening last mile capabilities will allow USPS to better serve underserved or rural areas, where delivery costs are high, but access is limited.

Operational Improvements and Growth

Steiner connected last-mile enhancements to broader operational improvements. By integrating last-mile capabilities with investments in package sorters, vehicles and regional distribution centers, USPS can reduce delivery times and improve reliability across all product lines. He stressed that maximizing the last mile is not just a commercial opportunity but a way to reinforce USPS’s value to every community it serves.

The Postmaster General’s remarks signal a shift in USPS strategy. Instead of concentrating solely on cost-cutting and facility consolidation, the Service intends to actively monetize and optimize the last-mile network. This aligns with Steiner’s broader vision of moving from stabilization to growth, ensuring that USPS remains competitive in an evolving logistics landscape.

Looking Ahead

For stakeholders, Steiner’s comments underscore that the next phase of USPS reform will prioritize customer-facing delivery performance and strategic partnerships. Readers should watch for announcements of new last-mile initiatives, collaborations with retailers, and technology investments designed to improve speed and efficiency.

In short, Steiner is positioning the last mile as a cornerstone of USPS’s future, a network that, if optimized, could strengthen service, support financial sustainability, and ensure the Postal Service remains relevant in a rapidly changing market.

Author

David Loss

David Loss

COO

David Loss is our Executive Vice President and Chief Operating Officer. He is responsible for all real estate-related activities, including acquisitions, property management and leasing. Previously, Mr. Loss worked at Knotel, a flexible office startup, where he oversaw property acquisitions globally as well as leasing activities in Midtown South, Manhattan. From 2016 to 2019, Mr. Loss was the head of acquisitions and asset management at Sun Equity Partners, a New York-based real estate owner, operator and developer. Prior to joining Sun, Mr. Loss was a Vice President at Latus Partners and at Winter Properties, responsible for due diligence, underwriting and financial modeling of new investments, as well as asset management. Mr. Loss earned a BS in finance and economics from the Stern School of Business at New York University.