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Sunday, May 13, 2007

Postate Increase Tomorrow - Direct Mail Pricing Too?

Tomorrow, May 14, the price of a First Class stamp goes up a couple of pennies to 41 cents. View postal pricing.

Will your direct mail service provider increase their pricing? Well, you have to ask for yourself.
As you might expect, many direct mail companies increase their prices to offset postage hikes. But other companies absorb the difference and only raise their prices in a more systematic, annual fashion.

Don't wait for your direct mail provider to inform you about price increases. Be proactive. Call or email and ask them if they are raising prices to account for the increased postage cost. A couple of pennies may not seem like a big deal, but what if you typically conduct mailings of 5,000 pieces or more? The difference can really add up.

Here's some more info on the subject, direct from the source:

Last Chance to Mail at the 39-Cent Price

New Prices Take Effect May 14 - Tips Offered to Save Money

WASHINGTON, D.C. - New postage prices and fees go into effect on Monday, May 14, including an increase in the price of a First-Class Mail stamp to 41 cents. But not all prices are going up.

Starting May 14, the price to mail a two-ounce First-Class Mail letter (wedding invitations sometimes weigh two ounces) will drop from the current 63 cents to 58 cents. Under a new pricing strategy, as mailpieces become heavier, the prices do not increase as much.

The charts below list some of the more common new prices and fees.

Selected Prices Effective May 14
First-Class Letter (1 oz.) 41¢
First-Class Letter (2 oz.) 58¢ (down from 63¢)
Postcard 26¢
Priority Mail (1 lb.) $4.60
Priority Mail Flat-Rate Box $8.95
Express Mail (1/2 lb) $16.25
NEW Express Mail (1 lb) $19.50
Express Mail (2 lb) $21.40
Breast Cancer Research semipostal stamp 55¢

Extra Services and Fees Effective May 14
Certified Mail $2.65
Delivery Confirmation (Priority) 65¢
Delivery Confirmation (First-Class Mail parcels) 75¢
Return Receipt (Original Signature) $2.15
Return Receipt (Electronic) 85¢
Money Orders (up to $500) $1.05

Individual and business mailers can save money beginning May 14 by taking advantage of shaped-based pricing; a new pricing system that recognizes the different costs for handling letters, large envelopes and packages. Mailers will have the opportunity to obtain lower prices if they find ways to configure the mail into shapes that reduce handling costs for the Postal Service. For example, if the contents of a First Class Mail large envelope are folded and placed in a letter-sized envelope, customers can reduce postage by as much as 39 cents per piece. If the contents of a First-Class Mail package are reconfigured to fit into a large envelope, customers can save 33 cents per piece.

Customers also have the opportunity to save money on future mailings by buying Forever Stamps at the new 41-cent First-Class Mail letter price. The value on these stamps will always be the one-ounce letter price and can be used for any future one-ounce letter mailing without extra postage.

The Forever Stamp, other 41-cent stamps, and one- and two-cent stamps are available at post offices nationwide, online at www.usps.com, and available by telephone at 1-800-STAMP-24. The 41-cent stamps will also be available at Automated Postal Centers and ATMs nationwide beginning May 14.

In addition to the new domestic rates, changes will take effect May 14 for customers sending international mail. USPS has simplified its eight main international products into four: Global Express Guaranteed, Express Mail International, Priority Mail International and First-Class Mail International. New packaging will allow mailers to use the same Priority Mail and Express Mail packaging for shipping within the United States and to other countries.

Additional information on the new prices is available at www.usps.com/prices.

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