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Postal codes are usually assigned to geographical areas, special codes are sometimes assigned to individual addresses or to institutions that receive large volumes of mail, such as government agencies and large commercial companies.
Most of the postal code systems are numeric, only a few are alphanumeric (i.e. use both letters and digits). Alphanumeric systems can, given the same number of digits, encode many more locations. For example: If we are given a 2 digit numeric code then we could code 10 x 10= 100 locations. In contrast to a 2 digit alphanumeric code which if we take to have 30 possibilities per digit would then have 30 x 30= 900 possibilities.