On Tuesday, November 13th, the PRC (Postal Regulatory Commission) approved parts of the proposed USPS® postage rate increase. This increase, that is scheduled to go into effect January 27, 2019, includes a rise in price for the cost of a stamp up to $0.55. Meter customers on the other hand will only have to pay $0.50 for postage on a regular First-Class letter, effectively saving 10 percent on each letter.
The PRC also approved price changes to the USPS “market dominant” services which include First-Class Mail®, Marketing Mail™, First-Class Package Service® and Certified Mail®, all jumping an average of 2.5% in 2019. Popular “competitive products,” such as Priority Mail® and Priority Mail Express®, compete against other carriers like UPS® and FedEx® and are able to increase more in an effort to achieve parity. Priority Mail will increase 5.9% and Priority Mail Express 3.9%.
For the full press release you can visit the PRC website. For a breakdown of the rate change please visit our blog to learn what services are affected and how your business can handle the change for the better!
Details on the 2018 Rate Change
On January 21, 2018, rate changes for both the Market Dominant and Competitive product price lists to the Postal Regulatory Commission (PRC) went into effect. Here are the details of the rate changes for some of the most popular mail classes.
Mailing Services: Product prices will increase an average of approximately 1.9%
The price of a First-Class Mail Forever stamp will increase one cent. Meter users still receive a 3 cent discount.
Shipping Services: Product prices will increase an average of approximately 3.9%
Are you a NeoShip user? You’re eligible for Commercial Base Pricing (CBP).
What is CBP? In the notice, USPS® states, “The Commercial Base price category offers lower prices to customers using authorized postage payment methods.” With regards to the January rate change for Priority Mail®, “The Commercial Base prices will increase 6.2 percent on average. Commercial Base prices will, on average, reflect a 9.4 percent discount off of Retail prices.”
Priority Mail Express®
The price for the Retail Flat Rate Envelope, a significant portion of all Priority Mail Express volume, is increasing to $24.70 from $23.75.
Are you a NeoShip user? You’re eligible for Commercial Base Pricing.
With regards to the January rate change for Priority Mail Express®, the USPS® states, “The Commercial Base prices will increase 3.7 percent on average. Commercial Base prices will be set at an average 11 .3 percent discount off of Retail prices.”
Get more details in the latest press release from the USPS®.
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Details on the September 3, 2017 USPS® Rate Change
The Postal Regulatory Commission (PRC) approved a reclassification request filed by the USPS®. As a result, a new retail price category will be added to the First Class Package Service mail class. This new retail rate category will be called First Class Package Service Retail and include pricing for parcels weighing up to 13 oz. Existing First Class Package Service commercial price categories will be unaffected and provide pricing for packages up to 16oz.
The following pricing structure went into effect on September 3, 2017.
Read more about the impact of this rate change and keep up with the story on our blog.
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USPS® Rate Change Effective January 22, 2017.
The United States Postal Service (USPS®) received approval from the Postal Regulatory Commission (PRC) to implement new rates for both their mailing and shipping products effective January 22, 2017. In the PRC's ruling, the USPS received the go ahead with the proposed rate changes for First-Class Mail®, Standard Mail, Periodical and Package Service products. The Special Service decision is still pending, but is expected to be approved before the effective date.
The Postal Service also received the approval for proposed price changes for some shipping products. These include price adjustments to Priority Mail Flat Rate Boxes and Priority Mail Flat Rate Envelopes. For more information on this story, visit our blog.
Be Prepared for the Next Rate Change
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Rate Guide Update
Note: We are currently updating our rate guide to reflect the upcoming rate changes. For now, you may download the existing guide, and we will email you the new guide as soon as it is ready.Download Now