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BizReport : Research : January 27, 2012


USPS gives extra weight to commercial mailers

As the U.S. Postal Service raises its prices this week it has also introduced a new '2nd Ounce Free" price for pre-sorted commercial first-class mailers.

by Helen Leggatt

usps.gifThe U.S. Postal Service is giving commercial mailers the ability to send out first-class mailings of up to 2 ounces for the same price as a 1 ounce mailer.

Only mailers of presorted items such as invoices, statements and bills are eligible for the 2nd Ounce Free price. The new price is not time-limited and comes as 1 ounce prices rose last Sunday to 45 cents, 35 cents for automated mailings.

The extra weight allowance leaves room for mailers to insert additional marketing messages, reply cards or use higher quality paper stock and larger envelopes.

According to the U.S. Postal Service bills and statements delivered by mail are almost always opened and, on average, between 2 - 3 minutes is spent with each piece. "This makes transaction mail a highly effective medium for target marketing," said Gary Reblin, VP of domestic products.

Earlier this month the Postal Regulatory Commission granted the U.S. Postal Service permission to allow direct mailers with a Negotiated Service Agreement to pay mailing costs after despatch.

If it is to return to profitability the U.S. Postal Service must reduce operating costs by $20 billion by 2015. Ten percent of those savings will come about from changes to first-class mail delivery standards including the ending of next-day delivery.

Tags: direct mail, mailing costs, U.S., U.S. Postal Service, USPS










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