US Postal Service Submits Filing for Price Increase to Go Into Effect January 2023
This article was originally published on Brand United. It can be viewed here.
Late on Friday, October 7, the Postal Service submitted a filing with the Postal Regulatory Commission proposing a price increase. This would be in effect on January 22, 2023. The PRC will review the filing to ensure that USPS calculations are accurate and the proposed prices comply with the statute. The PRC is expected to approve the request in November. Yes, postage increased in July, and now there will be another increase in January. We also expect another increase in July of 2023.
Here are some of the proposed rates:
- The stamp and Meter price differential will remain at 3 cents.
- Non-machinable surcharge for Letters will increase from 39 cents to 40 cents.
- The additional ounce rate will remain at 24 cents.
- 5-Digit Automation Letters price will increase by 3.5%.
- The overall increase for Flats is 6.2%.
Standard Marketing Mail:
- Letter overall increase is 3.2%
- The flat overall increase is 6.2%
- Creation of 5 new discounts for flats on SCF pallets
- EDDM retail increased by 1%
- CRRT overall increased by 6.2%
Don’t let the postage rate increases scare you away from this vital marketing channel. Direct mail has the highest ROI of all marketing channels when done correctly. On average, the postage rates increased by less than a penny per piece, so they will not drastically increase your overall direct mail budget. Still, it is essential to account for the additional postage funds. It’s time to get creative and send direct mail that is interesting as well as cost-effective. Are you ready to get started?
- As operating expenses continue to rise, these price adjustments provide the Postal Service with much-needed revenue to achieve the financial stability sought by its Delivering for America 10-year plan. The prices of the U.S. Postal Service remain among the most affordable in the world.The PRC will review the changes before they are scheduled to take effect. The complete Postal Service price filing, with prices for all products, can be found on the PRC website under the Daily Listings section at prc.gov/dockets/daily. The Mailing Services filing is Docket No. R2023-1. The price tables are also available on the Postal Service’s Postal Explorer website at pe.usps.com/PriceChange/Index.The Postal Service generally receives no tax dollars for operating expenses and relies on the sale of postage, products, and services to fund its operations.