What to Know About the USPS Postage Increase
Updated March 18, 2024
As USPS postage rates continue to climb over the years, businesses relying on direct mail are facing new challenges. But fear not! Darwill’s got your back. With our expertise in direct mail solutions, we're equipped to help businesses seamlessly navigate price increases. From mailing based on customer data to leveraging USPS promotions and incentives, we'll ensure your campaigns remain cost-effective without compromising results. We’ll tackle postage rate increases together and keep your direct mail campaigns soaring!
Navigate Postage with Darwill
On November 22, 2023, the Postal Regulatory Commission (PRC) approved the January increase in Market Dominant rates. The postage rate increase went into effect on January 21, 2024. The approved adjustments raise mailing services product prices by approximately 2%. View the PRC price adjustment order here.
As a business owner or marketer, here's what you need to know about the new USPS postage increase and how Darwill can help.
Why is there a rate increase?
Postage rate increases are occurring due to the postmaster general’s “Delivering for America” 10-year plan. This plan was created to offset the declining revenue the USPS is experiencing and to get them on the road to achieve financial sustainability and provide excellent service.
What USPS Products Are Affected?
Affected products include First-Class Mail (FCM), USPS Marketing Mail (MM), Periodicals, and Packaged Services. Price change increase percentage by class listed below:
- First-Class Mail +1.969%
- Marketing Mail +1.961%
- Periodicals +1.959%
- Packaged Services +1.960%
When Will the USPS Return to One Price Increase Per Year?
Due to periods of high inflation and struggling to cover costs, the USPS will continue with price increases twice a year. This strategy will be re-evaluated periodically but it is dependent on inflation and the financial health of the USPS.
How can Darwill help?
Darwill takes the time to discuss the effects of the postage change with our clients and to find solutions that will reduce costs elsewhere. While many clients may need to adjust their budgets to cover the additional postage amounts–there are other options to explore to mitigate excess cost.
- Mail smart. Use your data in the most effective way you can. Just because you have a contact list, doesn’t mean you should mail every name on it. Use data to find your most qualified leads.
- Personalize your creative material based on your data. Create templates and graphics based on what your customers are most likely to respond to.
- Focus on retention and customer mailings, we know this segment has your highest responders and greatest ROI.
- Utilize Darwill’s mailing logistics team to help you plan your mail and achieve maximum sufficiency.
- Leverage USPS promotions and incentives. See their 2024 promotions and registration deadlines.
For more on the postage rate increase, please visit USPS or PRC to learn more.
If you would like to discuss how to mitigate costs related to the postage rate increase, contact your Darwill Account Executive today.
