The US Postal Service is having it’s first ‘Sale’ that I have seen in my lifetime of 20 postal years. They are going to give you 30% off of your postage rates for every dollar you spent ‘above your average’.
The details are best to come directly from the US Postal Service so here is the quote from the Post Office customer Relations:
“The Postal Service will offer qualifying Standard Mail customers a 30 percent discount on eligible mailings this summer. This will provide those mailers with an incentive to prospect for new customers and reconnect with existing customers.
We think Direct Mail has tremendous value in growing your business. With Direct Mail accounting for 22 percent of the $250 billion spent nationwide on advertising each year, it’s big business. Direct mail is targeted and measurable to an extent other advertising media can’t match.
The summer sale is currently under review by the Postal Regulatory Commission. We plan to begin the discounted pricing July 1. The sale will run until September 30.
Obviously, this is a new initiative for us and we’re anxious to see how well it will work. Are any of you going to take advantage of the summer sale?”
– Steve Kearney, senior vice president, Customer Relations
The catch is, to be eligable you must mail over 1 million pieces of mail from October 1st 2007 through March 31st 2008. From those dates a ‘threshold’ is being established to compare your current summer mailings to.
You will pay your full postage rates through this season and then after October 31st the US Postal Service will determine your rebate and put that back on your permit by December 31st.
So there is a Sale, but only a handful of our direct mail customers will even apply for it as the discount is 30% of the postage spent above your average amount. Of course you still have to mail at least a million pieces in the 4 months as well.
I estimate that this will affect the ‘publishers clearinghouses’ and ‘Capital Ones’ of the world the most. I just wouldn’t be doing my duty if I didn’t tell you about it. If you would like us to help you calculate, monitor and apply for your savings with you we will.