Are you ready for a 2014 USPS Rate Increase of up to 5.97%? Check out the Standard Register Fact Sheet for detailed info and see good news. Get started today.
3. FACTS
Two increases were proposed
1. Consumer Price Index (CPIU) based
2. Exigency based
CPIU
•
Key Takeaways
• CPIU increase was approved November
2013, to go live in 2014.
• Exigency based is pending approval.
Deadline 12/25/2013.
• Postal Regulatory Commission (PRC)
has been affected by the government
shutdown, and may end up only
approving the consumer price index
increase request.
• Combined increases = 5.97%.
Approved 11/2013
•
In effect 2014
EXIGENCY
1. Pending PRC
approval.
2. Deadline 12/25/2013
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
5. CONSUMER PRICE INDEX
An annual inflation-based increase that per each year. Overall Increase is 1.6%
across all classes of mail and mail services and fees. Both Domestic and
International rates will be affected.
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
7. EXIGENCY BASED + CPIU
This one-time additional increase is due to losses suffered by the USPS during the
recession, and from consumer movement to online billing and payment. The Exigency
increase asks for an additional 4.3% across all classes of mail and mail services and
fees, on top of CPIU. Both Domestic and International rates will be affected.
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
9. EXIGENCY BASED + CPIU
This is a one time “emergency”
request to cover USPS losses of
$6.65 billion in 2012 alone.
WHY?.
Raise funds to cover
expenses
•
It is expected to raise $1.78 billion
that can potentially carry the USPS
until Congress makes fundamental
changes to the postal business by
enacting proposed cost-saving and
efficiency measures.
•
Operational
inefficiencies
•
Customer moving to
online bill pay
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
10. 2014 USPS PROPOSED RATE INCREASE
WHAT TO DO NOW?
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
11. WHAT TO DO NOW?
Take a look at what you’re mailing today.
Consider:
• changing the size and shape of mail piece
• adding tracking to reduce follow-up
costs on returned payments
• rethinking how you use mail to
communicate with your customers
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
12. WHAT TO DO NOW?
In 2014, the USPS will offer several
promotional discounts.
• Qualifying mail gets a 2% discount off
postage
• Includes a 5 month promotion for 1st
Class statement and invoice mail that uses
dynamic full color marketing messaging.
By combining your marketing efforts with
statements and invoices into one mail
piece, customers can save on postage AND
production costs.
HOW?
Take advantage of the
5-month 2% discount.
Combine marketing
and operational
mailings.
Call Standard Register
for full color variable
high speed technology.
Save and still meet
deadlines.
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
13. WHAT TO DO NOW?
Intelligent Mail Barcode tracking on reply mail
helps reduces time between your customer
mails in payment and payment received.
This means fewer collection calls,
more cost savings.
We even offer USPS approved double
postcard rebate checks for lawsuits and
refund programs. Our customers have saved
thousands in postage and production costs.
BOTTOM
LINE
•
Use Barcodes
•
Reduce time between
mailing and payment
receipt
•
Save money with
double postcard
rebate checks
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
14. 2014 USPS PROPOSED RATE INCREASE
… THE GOOD NEWS
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
15. GOOD NEWS
BENEFITS
•
2nd ounce free is still
in effect
•
See success of 1st
class mail for
marketing
•
Be rewarded for
trying multiple
channels
•
Improve response
rates and tracking
The 2nd Ounce Free promotion
isn’t going away!
The Rate Increases will cover proposed
2014 USPS Promotions, that are aimed
at helping customers discover the
effectiveness of using 1st Class mail for
marketing, and to give customers an
incentive to try new cross channel
methods to improve customer response
rates and tracking—like adding QR codes
and Radio Frequency tags to mail.
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
16. GOOD NEWS
Customers mailing using
pre-cancelled or permit postage
on single piece mail will enjoy a
penny per piece discount
under the new rate structure.
WHY?
It’s cheaper for the USPS to
verify postage payment on
permit postage.
2014 USPS PROPOSED RATE INCREASE
FACT SHEET
17. GOOD NEWS
Residual mail within a
presorted mailing will have the
2nd ounce ride free under the
new rate structure.
Every mailing has a few pieces
that fall out of the presort
scheme, so this means some
added costs savings there.
2014 USPS PROPOSED RATE INCREASE
FACT SHEET