USPS® Price Change: Exigent Surcharge Rollback on April 10th

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
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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
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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
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Pricing Rollback Details
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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
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First-Class Mail (Retail)
Note:
All prices
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2015 final
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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
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First-Class Mail (Commercial)
Note: All prices final
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First-Class Mail (Commercial) Flats
Note: All prices final
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First-Class Mail International
April 9
Current price = $1.20
New price
= $1.15
Note: All prices final
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Standard Mail Letters – Commercial
Note: All prices final
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Standard Mail Letters - Nonprofit
Note: All prices final
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Library Mail
Media Mail
Please refer to additional pricing beyond 17lbs. at pe.usps.gov
Note:
All prices
final
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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
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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
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Where
find the Change
new pricing?
SpecialtoServices
Highlights 2
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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)
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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.
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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.
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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
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