USPS Offers New 2nd Ounce Free for First-Class Mail Automation and Presort Letter Mailers
WASHINGTON — High-volume commercial mailers spoke, and the Postal Service listened. Effective this week, businesses mailing First-Class Mail automation, presort letters using “2nd Ounce Free” pricing can mail letters weighing up to 2 ounces at the 1-ounce postage rate.
First-Class Mail automation, presort letters are primarily generated by commercial mailers of bills and statements — or transaction mail. 2nd Ounce Free pricing will provide these customers with greater value from their transaction mailings by letting them include an additional ounce that can be used for operational or marketing purposes at no additional cost.
“With 2nd Ounce Free, companies have greater flexibility to offset mailing center costs by including additional promotional offers with bills, invoices and statements,” said Gary Reblin, vice president, Domestic Products. “2nd Ounce Free also provides business mailers with the option of using higher quality paper stock or larger envelopes to create greater impact.”
Bills and statements delivered via First-Class Mail are opened more than 95 percent of the time and, on average, the receiver spends two to three minutes with each piece1. “This makes transaction mail a highly effective medium for target marketing,” said Reblin.
An integral part of the overall commitment from the Postal Service to add value to the mail, 2nd Ounce Free is not a limited time promotion, but a new price for First-Class Mail presort, automation letters. 2nd Ounce Free does not apply to single-piece letters mailed by consumers.
“No registration is required, no annual minimum thresholds apply, and no payment rebates are needed, since 2nd Ounce Free pricing is offered upfront,” said Reblin.
2nd Ounce Free can be used to inform, educate and strengthen customer loyalty by providing additional information, such as announcements, disclosures and notifications. The extra ounce also can be used to conduct consumer research with surveys and reply cards.
By combining transaction mail with promotional mail, known in the industry as transpromo, companies can add more inserts and “onserts” — totaling up to 2 ounces — without incurring additional postage costs. (Onserts are advertisements or promotional offers usually printed at the bottom of bills or statements.)
“Transpromo is a highly targeted, measurable form of direct mail that helps companies increase revenue based on an ‘opt-in’ relationship,” said Reblin. “Customers also can use the free second ounce to sell advertising space to other marketers, which has the potential to lower the costs of mailing bills and statements.”
Transpromo is often combined with variable data printing (VDP), a form of on-demand printing that can be used to produce mail pieces that are personalized to an individual’s specific data. “VDP allows marketers to customize the messages on each mail piece, resulting in more personal and more effective communication,” said Reblin.
For more information about 2nd Ounce Free, visit usps.com/2nd-ounce-free.
The Postal Service receives no tax dollars for operating expenses and relies on the sale of postage, products and services to fund its operations.
Source: Trans Meets Promo…Is it More than Market Hype? InfoTrends, August 2008
Reminder: USPS Prices for Mailing and Shipping Go Up January 22
USPS announces updated prices for mailing and shipping services
On Jan. 22, prices for most USPS Mailing and Shipping Services changed. Mailing Services includes domestic and international First-Class Mail, Standard Mail, Periodicals, Package Services and Extra Services.
Highlights include a 1-cent increase to 45-cents in the price of a First-Class Mail stamp and a 3-cent increase to 32-cents in the price of a postcard. The additional ounce rate for single-piece letters remains unchanged at 20-cents. For PO Box customers, a new shorter time period, a 3-month pricing option, is available.
Click here for more information on Mailing Service price changes.
Prices for domestic and international Shipping Services also changed. Shipping Services include Express Mail, Priority Mail, First-Class Package Service, Parcel Select, Parcel Return Service, and other competitive products.
Priority Mail prices increased by an average of 3.1 percent and Express Mail prices increased by an average of 3.4 percent.
Click here for more information on Shipping Services price changes.
USPS Moving Forward With Exigent Pricing Relief Case
Filed under: postage rates, postal, postal news, press releases, usps
USPS Statement on Proceeding with Exigent Pricing Relief
As a result of the Postal Regulatory Commission’s (PRC) Oct. 31 order denying a motion by the Postal Service to “stay” its request for exigent price relief until Dec. 15, 2011, the Postal Service today informed the Commission that it will continue to proceed with the case. If legislation passes that promotes the Postal Service’s financial stability, the Postal Service will review its position any may choose to withdraw the case if warranted.
The Postal Act of 2006 capped price increases for Mailing Services products and services at the rate of inflation as measured by the Consumer Price Index (CPI). However, the law does allow for increases beyond the CPI cap due to exceptional or extraordinary circumstances. That was the case in July 2010 when the Postal Service filed for an increase above CPI, citing the exceptional circumstances of significant mail volume losses. The Postal Service financial crisis has worsened since then.
While legislation continues to be introduced to address critical Postal Service issues, the uncertainty over Congressional action leaves the Postal Service little choice but to proceed with the case for now.
The Postal Service announced new Mailing Services prices last month and will announce new Shipping Services prices later this month. The new pricing will be effective Jan. 22, 2012.
source: USPS
USPS OIG Poll: How Far Does Your 44 Cents Go?
From The USPS OIG:
When mailing a letter that weighs about one ounce, the U.S. Postal Service’s 44 cents is one of lowest First Class postage rates. Whether you are mailing a letter locally or sending a greeting card across country, it still only costs 44 cents now, but will increase to 45 cents in January. The graph below compares the U.S. Postal Service’s postage rate with other countries. As you can see, Norway charges the highest rate, which is nearly four times the cost U.S. rate.
Some might feel it is reasonable for the Postal Service to increase rates and charge a fee comparable to those in other countries. On the contrary, others might say the Postal Service’s rate must remain at an affordable level, especially for people with lower incomes. They might also say raising the rate to a level found elsewhere would drive customers away even faster.
What do you think about the current postage rate? Do you think 44 cents is reasonable?
If 44 cents is too low, how much do you think the Postal Service should charge?
USPS To Raise First Class Postage By a Penny Starting in January 2012
WASHINGTON — Beginning early next year, it will cost just a penny more to mail letters to any location in the United States, the first price change for First-Class Mail stamps (Forever stamps) in more than two and a half years. The new 45-cent price for Forever stamps is among price changes filed with the Postal Regulatory Commission today.
JANUARY 22, 2012 MAILING SERVICES PRICE CHANGE
BACKGROUND:
Prices for most Postal Service mailing services will change on January 22, 2012. Mailing services includes First-Class Mail, Standard Mail, Periodicals, Package Services and Extra Services. Prices for shipping services will also change on January 22. We will provide customers the new shipping services prices later this fall.
While actual percentage price increases for various products and services varies, the overall average price increase across all mailing services is capped by law at 2.1 percent, the rate of inflation as measured by the Consumer Price Index.
FIRST-CLASS MAIL HIGHLIGHTS:
- Letters (1 oz.) – 1-cent increase to 45 cents. This is the first increase in the price of a First-Class Mail stamp since May 2009.
- Single-piece letters additional ounce rate – unchanged at 20 cents.
- Postcards – 3-cent increase to 32 cents
- Letters to Canada or Mexico (1 oz.) – 5-cent increase to 85 cents
- Letters to other international destinations – 7-cent increase to $1.05
- The second ounce will be free for First-Class Mail Presort pieces weighing between one and two ounces.
ADDITIONAL PRICE ADJUSTMENT HIGHLIGHTS:
- The price increase for Standard Mail Letters is slightly below the overall average at less
than 1.9 percent - A new 3-month pricing option will be available to rent PO Boxes for people on the move and others that need a PO Box for a shorter time period.
- Delivery Confirmation will be free for several parcel products as the Postal Service continues to make tracking an integral component of parcels mailed at commercial rates.
ROLE OF THE POSTAL REGULATORY COMMISSION:
The new prices were filed with the Postal Regulatory Commission on Oct. 18, 2011. The Commission has 45 days to review the prices to verify they comply with the overall 2.1 percent price cap for each class of mail. The new prices will go into effect on Jan. 22, 2012.
Notice of USPS Rate Increase Filed With PRC
USPS To Offer Business Mailers Three-Percent Discount On First-Class and Standard Mail
The Postal Service filed a notice with the Postal Regulatory Commission to temporarily adjust the prices for its market-dominant products, First-Class Mail and Standard Mail. This adjustment will take effect at 12:01 AM on July 1, 2011, and expire at 11:59 PM on August 31, 2011. The change will provide commercial mailers an upfront three percent discount on the prices for First-Class Mail and Standard Mail letters and flats, which include a mobile barcode inside or on the mailpieces. Read more
USPS: Taxpayer Information for Tax Day-2011
Filed under: postage rates, postal, postal news, press releases
On April 17, 2011, the price for an additional ounce rises to 20 cents.
The Tax Day deadline for Federal Tax filing is April 18: Tax Day for federal Taxes this year is Monday, April 18. The deadline was moved from April 15 because of the observance of Emancipation Day, a Washington DC holiday. Federal Taxes must be postmarked by Monday, April 18 to qualify for timely filing.
Tax Day for Massachusetts State Taxes this year is Tuesday, April 19. The deadline was moved because of the observance of Patriot’s Day, a Massachusetts state holiday. Because the majority of Massachusetts Residents file electronically, there will be no extended hours for Post Offices or collection boxes in the Greater Boston Postal District. On Tax Night deadline nights, April 18 and April 19, the window operation at Fort Point Station at 25 Dorchester Ave.
National news stories have announced that the IRS will not mail out hard-copy tax forms for the first time this year. Tax payers will be able to pick them up at IRS offices and online. IRS locations can be found at: http://www.irs.gov
The IRS expects approximately 142 million Americans to file tax returns this year with an estimated 30 percent of them using the mail. Approximately 70 percent of Americans can expect a refund. Most Americans file their taxes well in advance, but the IRS says 25 percent wait until the last week to file or mail their return.
Tax Mailing tips:
• Apply proper postage and stamps, especially with extra forms/schedules. It costs 44 cents for the first ounce. Before April 17, add 17 cents for each additional ounce. On April 17, the price for additional ounce rises to 20 cents. One ounce is about four pages, but since paper weights vary, it’s always best to check or play it safe and add a stamp.
• If you use a larger envelope, First Class postage is 88 cents for the first ounce.
• Double check the last collection time before depositing a tax return in a blue collection box on April 18 to ensure that your return is postmarked before the deadline.
• If you use a non-IRS labeled envelope, make sure you print the proper IRS address.
• Print your return address in the upper-left-hand corner of your tax mail envelope.
• Customers with tax questions can contact the IRS at 1-800-829-1040; or www.irs.gov
source: USPS
Postal Service to Adjust Prices
Stamp Price Remains 44 cents; Impact to Retail Customers Minimal
WASHINGTON — The first U.S. Postal Service price change in two years will have minimal impact on retail customers who will continue to pay only 44 cents for a stamp.
The prices filed with the Postal Regulatory Commission today will become effective April 17.
Highlights of the pricing proposal include:
* First-Class letters (1 oz.) remain unchanged at 44 cents,
* First-Class letter additional ounces increase to 20 cents,
* Postcards will cost 29 cents,
* Letters to Canada or Mexico (1 oz.) increase to 80 cents, and
* Letters to other international destinations will remain unchanged at 98 cents.
“While changing prices is always a difficult decision, we have made every effort to keep the impact minimal for consumers and customers doing business with us at retail lobbies,” said Postmaster General Patrick R. Donahoe. “We will continue to balance our business needs against the needs of our customers.”
The overall average increase across all mailing services is capped by law at 1.7 percent – at or below the rate of inflation as measured by the Consumer Price Index – although actual percentage price increases for various products and services will vary.
Prices will change for other mailing services, including Standard Mail, Periodicals, Package Services and Extra Services. Larger volume business mailers will see price increases in a variety of categories. Detailed pricing information will be available later today online at www.usps.com/prices. Today’s announcement does not affect Express Mail and Priority Mail prices.
In July 2010, the Postal Service filed an exigent price proposal that was rejected by the Postal Regulatory Commission in September. The Postal Service filed an appeal of that decision with the United States Court of Appeals for the District of Columbia Circuit in November and awaits a decision.
Faced with decreased mail volume traced to the recession and increased use of the Internet, the Postal Service continues to face a daunting financial crisis. Increasing prices is one of a series of solutions the Postal Service proposed in March 2010 to address the crisis. Other actions outlined in the March plan included changes to delivery frequency, restructuring prepayments of future retiree health benefits, creating a more flexible workforce and expanding access to products and services to places more convenient to customers. In December, Donahoe began a reorganization of all administrative and managerial functions as part of his vision to operate “leaner, faster and smarter.”
The Postal Service receives no tax dollars for operating expenses, and relies on the sale of postage, products and services to fund its operations.
NAPUS: Suspension of Postmaster Convention Leave to Continue
Filed under: postage rates, postal news, Postmasters, usps
NAPUS President Bob Rapoza has received a response from Postal Service Vice President of Labor Relations, Doug Tulino, concerning our discussions on Postmasters’ convention leave for 2011. Mr Tulino said that Postmasters’ convention leave, as outlined in Section 519.62 of the Employee and Labor Relations Manual) (ELM) will continue to be suspended through FY2011.
Mr Tulino said that the convention leave cost the Postal Service more than $4 million dollars in 2008 and more than $12 million for the 3 preceding years. He also cited the $8.5 billion dollars loss the Postal Service faced in FY2010 as another reason to continue the suspension of the leave. He assured NAPUS that the Postal Service will continue to authorize Postmasters annual leave to attend conventions.
Charlie Moser
source: NAPUS
Postage Rates Could Rise 1.8% As USPS Wins Rate Ruling
According to Dead Tree Edition:
Postal rates for the majority of mail are likely to rise about 1.8% early next year because the Postal Regulatory Commission has sided mostly with the U.S. Postal Service in a dispute over price caps.
Determining exactly what will happen to First-Class, Standard, and Periodicals rates as a result of the PRC’s complex ruling, issued late Friday, is a bit difficult to discern. But one likely scenario is that the Postal Service will announce average increases this week of 1.8% for these “market-dominant” classes, with implementation as early as February.
The Postal Service would have the latitude to raise the price of a First-Class stamp one cent, to 45 cents (a 2.3% increase), by keeping other First-Class increases lower than the cap.
The PRC’s ruling has no apparent impact on the Postal Service’s request for “exigent” rate increases, which is still in front of an appeals court.
Order issued by Postal Regulatory Commission
http://prc.gov/Docs/71/71180/Order_No_606.pdf
Related links:
U.S. Postal Service Announces Shipping Prices for 2011
the U.S. Postal Service is set to extend its popularity with consumers and shippers in the new year when new prices take effect. Prices for Priority Mail, Express Mail and other Shipping Services will change Jan. 2, 2011. In addition to an overall price change of 3.5 percent for Priority Mail, new prices for Express Mail, Global Express Guaranteed, Express Mail International, Priority Mail International, Parcel Select and Parcel Return Service will be effective Jan. 2.
Postal Service Prices Last Mile Aggressively in 2011 |
USPS: Incentive Programs Included in PRC Filing