Changes at the Post Office Affect Direct Mail

January 26, 2012 at 2:36 PM

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, pre-sort letters are primarily generated by commercial mailers of bills and statements or transaction mail.

This program does NOT apply to single-piece letters mailed by consumers.

Facts from the USPS:

  • Allows mailers to effectively reach and target customers
  • With 2nd Ounce Free, mailers can look at the envelope and paper quality without worrying about extra postage costs.
  • The post office calls this ability to integrate mail TransPromo. It is the combination of Transacting Business combined with Promoting Business. This means a statement or invoice can also include promotional material for the next purchase or transaction.

According to the Post Office, bills and statements delivered via First-Class Mail are opened more than 95 percent of the time, and on average, the receiver spends 2 to 3 minutes with each piece. “This makes transaction mail a highly effective medium for target marketing,” says Gary Reblin, vice president Domestic Products.

This comes on the heels of the January 22, change in regular First-Class Postage. Postal rates increased by 2.1 percent, on average, across each class of mail. Because the Postal Accountability and Enhancement Act of 2006, mailing services prices can increase no more than the rate of inflation based on the Consumer Price Index (CPI).

Single-piece, one-ounce First-Class letters increased to $.45 with additional ounces remaining at $.20. The prices for postcards went up as well to $.32 and single-piece large envelopes (flats) increased to $.90 maintaining a 2-to-1 ratio with single-piece letters.

This is the first change in the First-Class rate the Post Office has made since the May 11, 2009 increase from 42 cents to 44.

Tags: USPS