First Class Mail Holds Steady

My quick analysis below shows that the Postal Regulatory Commission has held steady to their word of increasing postage rates in line with the Consumer Price IndexRates for 2009, implemented today show a 3% increase over 2008.

Interesting to note the rate of change vs. 2006 rates.  Due to the implementation of shape based postage in 2007, parcel rates have jumped 56%.

More than ever before, increasing postal rates mean companies should take a close look at their packaging choices.   Designing packaging to downgrade from parcels to flats saves money.  Starting today, a 4 ounce parcel costs $1.73.  Reconfigured as a flat the rate is $1.39, saving  $0.34.

Rate Comparison 2006 2007 2008 2009
First Class Mail
Parcel – 4 Ounces $ 1.11 $ 1.64 $ 1.68 $ 1.73
$ Increase from previous year na $ 0.53 $ 0.04 $ 0.05
% Increase from previous year na 48% 2% 3%
% Increase VS. 2006 Rate na 48% 51% 56%
Flat – 4 Ounces $ 1.11 $ 1.31 $ 1.34 $ 1.39
$ Increase from previous year na $ 0.20 $ 0.03 $ 0.05
% Increase from previous year na 18% 2% 4%
% Increase VS. 2006 Rate na 18% 21% 25%

The above table is an excerpt from a broad analysis of the rate increases.  For a full report, send me an email.

by Bob Makofsky bmakofsky@conformer.com


About Bob Makofsky

Bob runs operations and marketing and is Conformer’s resident postal expert. Bob has over a dozen years of entrepreneurial experience in the technology industry, in both marketing and business development roles ranging from negotiating $100 million-plus contracts nationally and abroad to developing marketing campaigns. He is regularly featured in print and packaging trade magazines on innovation. Bob is a competitive cyclist and longtime member of the Century Road Club Association in Central Park, competing in the Empire State Games (2007, 2008). Bob graduated from the University of Denver.
This entry was posted in Cost Savings and tagged , , , , , . Bookmark the permalink.

Leave a Reply

Your email address will not be published. Required fields are marked *