December 19, 2016 Article

Postal Rates Update for January 2017

red-mailboxes

The mail industry is always changing. Whether you are a direct marketer, retailer or non-profit planning for those changes is critical to your business success to be prepared for financial changes from outside sources. DS Graphics is here to assist your business with the changes the U.S. Postal Service has planned for the coming year. 

These proposed new rates will take effect on January 22, 2017. Let's take a look at what's changing.

Download our complete Postal Rates Sheet for 2017 »


At a glance:

Mail classBefore January 22After January 22
First-Class (retail) Stamped Letter (1 oz)
$0.47$0.49
First-Class (retail) Metered Mail Letter (1 oz)
$0.465$0.46
First-Class (retail) Flat$0.94$0.98
Postcard (retail)$0.34$0.34 (no change)
Additional Ounce Rate (retail)$0.21$0.21 (no change)
International$1.15$1.15 (no change)


Summary:

For those that use our presort mail services, please note that all of the USPS presort rates have also changed. Some rates will be decreased while other rates will increase. 

Marketing Mail

One major change is that the USPS will rebrand Standard Mail as Marketing Mail. Marketing Mail will be treated exactly the same as Standard Mail in regards to price structure and delivery turn times. Marketing Mail may still use the same Presort Standard permit imprint indicia and pre-cancelled stamps for the time being. 

Please note the USPS will require mailers to convert the indicia and stamps to Marketing Mail in the future. The USPS does not have a deadline for this transition, but the USPS will work with mailers to make the change. They realize some mailers have a large quantity of pre-printed stock with the Standard Mail brand and will impose a grace period to allow for this stock to be depleted to a degree. 

Weight Restrictions

This year the USPS has also changed some weight restrictions and sorting methods. Some of these changes will provide a benefit for some mailers, while the changes in sortation benefits will eliminate some additional discounts mailers have taken advantage of over the past few years. Some of the most notable changes for our partners are detailed below.

Automated presort letters will receive the 1 ounce presort rate now up to 3.5 ounces. This does not include folded self-mailers or booklets. Folded self-mailers and booklets have a weight limit of 3 ounces, but will still receive the 1 ounce rate up to 3 ounces. Mailers can now take advantage of this by including more marketing material or the use a higher quality, heavier stock when reaching out to their targeted community. This is for barcoded presort pieces that are first class or Marketing Mail (Standard).

Presorted Marketing Mail (Standard) Flats will receive a similar benefit. In the past Standard Flats would be charged the same rate up to 3.3 ounces. The USPS has extended that weight break now up to 4 ounces for Marketing Mail Flats. 

Sorting Discounts

Marketing Mail Flats have another major change. In the past, mailers received a significant discount for non-carrier route flats that were to be sorted at a facility with a FSS (Flat Sequencing System) system. That discount would be eliminated with the January changes. Although overall the postage for Marketing Mail (Standard) Flats will be going down, mailers will most likely see an increase in their postage costs because of the elimination of the discount.



Please contact DS Graphics with any concerns for the coming year. We will work with you and the USPS to get you the answers and results you’ll need to have a successful 2017.

To see a quick overview of the new USPS rates for presorted mail, please reference our 2017 Postal Rate Sheet.