USPS® Price Change: Exigent Surcharge Rollback on April 10th, 2016 Presented by: Dr. Janet Lockhart-Jones Pitney Bowes Background – Why another rate change? 1. 2013 - Consumer Price Index-Urban (CPI-U) based increase received PRC approval - Average price increase of 1.69% 2. 2013 - Exigent or ‘emergency’ above-the-cap price increase approved by PRC– Average price increase of 4.3%. Both CPI + Exigent rates went into effect January 2014. 1.69% CPI + 4.30% Exigent = 5.99% overall average increase 3. PRC gave USPS a cap on Exigent Revenue recovery; limited to $4.634 billion, which the USPS states it will have recovered as of April 9th, 2016 4. Exigent surcharge removal planned for April 10th . Prices go down. *PRC = Postal Regulatory Commission JANUARY 2015 PBI Internal use only 2 Effective Date of Exigent Roll back is….. USPS – What’s affected? Mailing Services – Market Dominant Classes of Mail Affected – Market Dominant Standard Mail® First-Class Mail® Single-Piece Letters & Cards Presort Letters & Cards Flats Parcels Outbound Single-Piece International Periodicals Special Services Letters Flats Parcels High Density/Saturation Letters Every Door Direct Mail Retail Parcels Package Services Bound Printed Matter (BPM) Flats BPM Parcels Media, Library Mail Alaska Bypass JANUARY 2015 PBI Internal use only 5 What is NOT affected? Shipping Services Pricing Shipping Services Priority Mail Express™ Priority Mail® First-Class Package Service™ Parcel Select® Standard Post™ Extra Services Return Services Mailer Services Recipient Services No Change in April 2016 JANUARY 2015 PBI Internal use only 7 Pricing Rollback Details JANUARY 2015 PBI Internal use only 8 First-Class Meter Rate – Save ½ cent Still available for Retail FirstClass letters with postage affixed via: Postage Meter PC Postage Permit Imprint Pre-canceled stamps No piece minimums No preparation requirement No requirement to report those pieces on a postage statement JANUARY 2015 PBI Internal use only 9 First-Class Mail (Retail) Note: All prices JANUARY 2015 final PBI Internal use only 10 FC Package Service vs First-Class Mail Parcel Commercial Retail Tip: Over three ounces, use FirstClass Package Service if sending non-letter, nonpersonal merchandise-type matter. Maximum weight is 15.9999 ounces Lower pricing above 3 ounces IMpb solution required Contents may not meet standards of ‘letter’ mail Maximum weight is 13 ounces Contents can be any mailable matter JANUARY 2015 PBI Internal use only 11 First-Class Mail (Commercial) Note: All prices final JANUARY 2015 PBI Internal use only 12 First-Class Mail (Commercial) Flats Note: All prices final JANUARY 2015 PBI Internal use only 13 First-Class Mail International April 9 Current price = $1.20 New price = $1.15 Note: All prices final JANUARY 2015 PBI Internal use only 14 Standard Mail Letters – Commercial Note: All prices final JANUARY 2015 PBI Internal use only 15 Standard Mail Letters - Nonprofit Note: All prices final JANUARY 2015 PBI Internal use only 16 Library Mail Media Mail Please refer to additional pricing beyond 17lbs. at pe.usps.gov Note: All prices final JANUARY 2015 PBI Internal use only 17 Special Services Price Change - 1 New Price – April 9 Certificate of Mailing Basic or Duplicate Copy Firm Book Mailing Bulk: First 1,000 pcs Each Add’l 1,000 pcs Certified Mail Certified Mail Restricted Delivery Certified Mail Adult Signature Required Certified Mail Adult Signature Restricted $1.30 0.36 7.65 0.94 $3.30 8.25 8.25 8.25 Current Price CPI + Exigent Price $1.35 0.38 7.95 0.99 $3.45 8.60 8.60 8.60 Return Receipt Requested at time of mailing Electronic Green Card Merchandise $1.35 2.70 4.20 $1.40 2.80 4.40 Note: All prices final JANUARY 2015 PBI Internal use only 18 Special Services Price Change - 2 Special Services Change Highlights 2 USPS Tracking First Class Mail (Parcels Only) First Class Mail (Parcels Only) First Class Package Service Priority Mail USPS Retail Ground Standard Mail Parcels Package Services Parcel Select Electronic New price – April 9th $0.00 $0.00 $0.00 Current Price CPI + Exigent Price $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.35 $0.00 $0.36 $0.00 $0.00 $0.00 $0.00 CPI Price CPI + Exigent Price Electronic Retail $2.35 $2.90 $2.45 $3.00 Electronic Retail $7.30 $7.85 $7.60 $8.15 Retail Electronic Electronic Retail or Electronic Retail or Electronic Electronic Retail or Electronic Electronic Signature Confirmation Signature Confirmation Restricted Delivery Note: All prices final JANUARY 2015 PBI Internal use only 19 Where find the Change new pricing? SpecialtoServices Highlights 2 JANUARY 2015 PBI Internal use only 20 Other tads and tidbits USPS Customizes Package Delivery • • • • Allows consumers and businesses to fit package deliveries into the day. Instead of receiving a package in person, customers with www.usps.com accounts can ask their USPS® carriers to leave the package at a different domestic address on the same carrier route for free, or at an address outside the carrier route for the cost of postage. Package can be held for pickup at a Post Office™ or shipments upgraded to Priority Mail Express® or Priority Mail® Ask to leave a package at a specific location (front door, back door garage or porch) JANUARY 2015 PBI Internal use only 21 Other tads and tidbits - 2 USPS Package Intercept Perfect solution for shippers who find themselves suddenly needing to make a change to a shipment’s original delivery address. • • • • • Business Customer Gateway is the Control Center Upload a Package Intercept file and enter a USPS® Tracking number; Redirect the shipment to a new domestic address; Ask that it be returned to the sender; or Request that it be held at one of 32,000 Post Offices™ for pickup. JANUARY 2015 PBI Internal use only 22 Other tads and tidbits - 3 Running low on USPS® Expedited Shipping packaging? Companies may order Priority Mail or Priority Mail Express supplies via usps.com. Supplies will be delivered in five business days or less. JANUARY 2015 PBI Internal use only 23 Questions? Need more Info? 1. All April 2016 pricing data is available at pe.usps.com 2. For additional questions, please reach out to your Executive Account Manager 24
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