USPS to Hike Rates January 18, 2009

[mandy]

Although the 2006 Postal Reform law restored a semblance of normalcy to annual postal rate increases, many catalogers are wondering what they can expect in terms of a rate hike in May 2009.

Dan G. Blair, chairman of the Postal Regulatory Commission, offers his educated prognostication: “It appears that the average increase for each class of mail will be approximately 5%. The actual rate cap will depend upon the behavior of the monthly CPI (Consumer Price Index) between now and December...

full article: http://multichannelmerchant.com/catalog/...icts-hike/

[mandy]

update:

Shipping Services January 18 Pricing Change

On January 18 prices for Express Mail, Priority Mail, Parcel Select, Parcel Return Service, Global Express Guaranteed, Express Mail International, Priority Mail International, and M-Bags change. As always, we do not impose fuel surcharges, hidden surcharges, or surcharges for residential or Saturday delivery.

The move to January price changes for shipping services is consistent with industry standards and provides a clear picture of the affordable services we offer. Highlights for domestic shipping services include new Commercial Plus pricing, with up-front discounts for high-volume Express Mail and Priority Mail users. On average, Commercial Plus prices for Express Mail are 14.5 percent less than retail prices; Priority Mail Commercial Plus prices average 7 percent less. We are also introducing a new, smaller Priority Mail flat-rate box. The new box is priced the same as the flat-rate envelope and provides a great option for customers sending smaller items that require sturdy packaging and the convenience of flat rate pricing.

Prices for Express Mail and Priority Mail are designed to maintain the Postal Service’s competitive position as the best shipping value in the market, especially for packages weighing less than 5 pounds. The new prices also make Parcel Select, our “last mile” ground product, an even better value for high-volume shippers. For international mailers, Global Express Guaranteed, Express Mail International and Priority Mail International are the best value in global shipping.

This pricing change is the first to separate shipping and mailing services. We will announce the price change for mailing services in February, including stamp prices, with new prices effective in May 2009.

full announcement: http://www.usps.com/prices/pricechanges.htm?from=prices&page=newshippingprices

New for 2009 is Commercial Plus pricing, an extraordinary value for high-volume Express Mail and Priority Mail users. New Commercial Plus prices for Express Mail are 14.5 percent less than retail on average, and for Priority Mail 7 percent less than retail on average.

“Commercial Plus is a tiered pricing option designed with larger shippers in mind,” said Gary Reblin, vice president, Expedited Shipping. “It’s a very competitive offering for commercial customers — lower prices that will reward them for shipping higher volumes with the Postal Service.”

Service/Average Price Change:
Express Mail 5.7%
Priority Mail 3.9%
Parcel Select 5.9%
Parcel Return Service 5.3%
International Shipping Services 8.5%

press release: http://www.usps.com/communications/newsr...08_119.htm

new pricing tables: http://pe.usps.com/PriceChange_Jan2009/P...ceList.pdf