USPS Rate-Change Tips for E-tailers
May 13th, 2008
USPS Rate-Change Tips for E-tailers
Today a new round of USPS rates go into effect, and while some rates are increasing, e-tailers can also take advantage of discounts if they use online postal management services such as Endicia, a company specializing in e-business shipping that does a stellar job of both educating clients on such issues as well as providing ways to cut shipping costs.
The new rates affect retail pricing, or the standard counter price for postage, and commercial pricing, or the discounted price available to online postage users, such as those using Endicia, which in some cases come with certain requirements.
For Mail Class, the following price changes are now in place: Standard mail, 3.5-percent increase; Media Mail, 4 percent; First-Class Mail Letters, 2 percent; First Class Flat, 3 percent; and First Class Parcel, 3.5 to 4 percent.
In the Shipping Class, Priority Mail goes up 5 percent, and the commercial change is 3.3 percent, while Express Mail is up 1.5 percent, but the commercial change is a 1.6 percent decrease, according to Endicia.
No Fuel Surcharge for USPS
While this may discouraging, Mike Colgate, of Endicia, said that one benefit of the USPS service is that there are no extra charges. “There are about 90 different surcharges you can get from private carriers, the top four being for fuel, rural addresses, incorrect addressing and residential status,” he said. “Private carriers can cost up to three times as much as the USPS with these added to the bill.”
First Class Mail International is now on a shape-based pricing format, with three segments: letter, flat and parcel. While some costs go up, Colgate said some will decrease. “This change puts pricing more in line with domestic first class,” he said, noting that, for instance, a 3-ounce letter to Canada now costs 11 cents less than before today’s rate changes.
Tags: new, postage, rates