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USPS September 7th Changes Receive PRC Approval

by Janet Lockhart-Jones, Ed.D., MDC | August 18, 2014 | No Comments

New PriorityThe U.S. Postal Regulatory Commission has approved the United States Postal Service’s® proposed changes to the Domestic Mail Manual (DMM®). This means that effective September 7, 2014, mailers will see changes in Priority Mail® pricing, and depending on the service selected, commercial mailers may see substantial commercial price decreases. That’s good news for Priority Mail® commercial shippers!

The Priority Mail® price changes come at a time when the Intelligent Mail® package barcode has provided, and continues to afford, the Postal Service™ with significant operational efficiencies and on-time delivery capability. With enhanced tracking and system visibility, equivalent to that of its competitors, the Postal Service has become a major player in the shipping arena. Priority Mail® has long been perceived as a favorite shipping option for mailers and the USPS® wants to grow its use and popularity even more. The new Priority Mail® commercial rates are a step in the right direction.

More Details on the New Rates

Priority Mail Regional Rate shipping continues to be a great option for shipping for small, dense packages being shipped short distances that need to arrive in 1, 2, or 3 business days. Regional Rate Box C (max. weight 25 lbs.), Zones 1 – 5 are where the discounts are occurring and they are substantial; as much as 50%.

In addition to the specifics about the Commercial Base and Commercial Plus pricing requirements we laid out in a July post, the chart below shows the newly approved Commercial Base pricing. The prices highlighted in green are reflective of the September price reductions. Priority Mail Flat Rate prices (not shown here) for Commercial Base and Commercial Plus prices are not changing.

Priority_Mail_CBP_Sept 7th                                               Approved September 7th pricing – COMMERCIAL BASE

The below chart illustrates the new Retail rates. As always, commercial rates were and are still lower than retail rates. Let’s look more closely to see just how much lower. Let’s take a 6.5 lb. parcel shipping to Zone 5. As you can see, the commercial base rate from the chart above is $12.99. The retail price for this same shipment is $20.05 (see below chart).

Priority_Mail_Retail                                                     Approved September 7th pricing – RETAIL

How can mailers access these great new rates? Pitney Bowes clients using a postage meter, an online postage solution like pbSmartPostage™, or one of the more robust shipping solutions like SendSuite Live™, will benefit from the reduced rates, which are expected to remain in effect after the New Year and beyond. Why pay more when you don’t have to? Pitney Bowes has solutions to meet the shipping requirements of any size shipper.

Complete Priority Mail® pricing information can be found on Postal Explorer. Please see our full description of the September 2014 changes, and for more information, please subscribe to our “USPS News You Can Use” blog.

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The following are among the trademarks owned by the United States Postal Service: First-Class™, First-Class Mail®, IM™, IMb™, Intelligent Mail®, Intelligent Mail Package Barcode (IMpb™), Priority Mail Express™, PC Postage®, Post Office™, Postal Service™, Priority Mail®, Standard Mail®, United States Postal Service®, U.S. Mail®, U.S. Postal Service®, USPS®, USPS Electronic Postmark®. This is not a comprehensive list of all Postal Service trademarks.

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