New Shipping and Mailing Rates Provide Opportunities for Businesses to Save in 2017
January 19 2017 - 9:00AM
Business Wire
Big Discount for Metered Mail Gives
Businesses Greater Incentive to Leverage Automation Technology and
Presort Services
Pitney Bowes Inc. (NYSE:PBI), a global technology company that
provides innovative products and solutions to power commerce, today
noted that the recent rate increases by UPS® and FedEx® and the
upcoming January 22 rate increase by the U.S. Postal Service (USPS)
will prompt U.S. businesses to adopt new and innovative solutions
and services to optimize sending mail, flats and parcels and save
money. In addition to maximizing shipping and mailing savings,
businesses are seeking ways to better manage growing parcel
volumes, which are expected to rise by 20 percent by 2018 according
to the Pitney Bowes Parcel Shipping Index, and simplify the
complexity of managing multiple carriers with different rate
structures, service levels, and tracking and billing processes.
Here are a few key rate changes that could significantly impact
businesses:
- Parcel Shipping Rates Rise Across
the Board -- Parcel shipping rates continue to rise for all
three major U.S. carriers.
- UPS increased its U.S. Ground, Air and
Freight rates by an average of 4.9 percent late last year.
- FedEx raised its FedEx Express package
and freight standard list rates by an average of 3.9 percent for
U.S., U.S. export and U.S. import services and raised its FedEx
Ground and FedEx Home Delivery standard list rates by an average of
4.9 percent.
- USPS will institute an average rate
increase of 3.9 percent across their domestic shipping services
like Priority Mail Express®, Priority Mail® and Parcel Select, on
January 22, 2017.
- First-Class Mail Rates Increase; But
Greater Discounts Available -- While the postage rate for USPS
First-Class Mail® Letters (up to 1-ounce) will increase from $0.47
to $0.49, businesses using metered mail will enjoy a rate decrease
for First-Class Metered Mail from $0.465 to $0.46 today. Compared
to the new non-metered rate of $0.49, that $0.03 discount
represents significant savings for businesses of all sizes.In
addition, businesses that presort their mail will also save big.
The USPS’ new pricing rewards mailers that prepare their mail to
the finest level. By commingling mail, presort service providers
are able to reach greater density and qualify for the 5-Digit rate,
which helps businesses save more on postage. Additionally, mailers
that presort their First-Class volume will also be able to send up
to 3.5-ounce letters for the same price as a 1-ounce letter
(previously same price up to 2-ounce), allowing them to include
additional inserts or other pieces with no additional cost.* For
more details on these rate changes, visit Pitney Bowes Rate Change
Central at
http://www.pitneybowes.com/us/postal-information.html
“In this new borderless and connected world of commerce,
shipping and mailing remain critical channels for businesses to
compete for and serve clients remotely and connect with vendors and
suppliers,” said Mark Shearer, Executive Vice President and
President, Pitney Bowes Global SMB Solutions. “With rates rising
each year and a projected 20 percent increase in parcel shipping
volume by 20181, businesses are challenged to better manage their
sending operations, which includes everything an organization sends
out, from parcels and overnight envelopes to bills and statements.
Thankfully, there are new cloud-based multicarrier solutions
available to help even the smallest shippers maximize their
shipping budget to best meet their customer requirements and
deliver like the big guys. For mailers, leveraging metering
technology to process their mail is a no-brainer. Between the
metering discount and presorting options, businesses will be able
to lower their overall mailing cost and be able to do more with
each mail piece.”
Today, more than ever, shipping and mailing power global
commerce. New technology, tools and services are available to help
businesses simplify their sending operations by integrating
shipping and mailing, connecting physical sending with digital
systems and data, and delivering consolidated accounting and
reporting functions.
Here are three recommendations for optimizing your sending
operations in 2017:
- Simplify Sending. New
cloud-based sending solutions can help simplify the sending of
mail, flats and parcels, gain greater control and visibility into
the true cost of shipping and mailing within your organization, and
qualify for discounts. New sending technology can also enable your
organization to:
- Facilitate multi-carrier management,
enabling you to select the best carrier for each parcel based on a
simple view of service level, cost and value
- Initiate carrier pickup in real-time
from the desktop, tablet or mobile device
- Automatically reconcile all sending
charges to one account
- Improve the package receipt process, so
inbound tracking capability becomes as convenient as outbound
shipping
- Meter your Mail. Using a postage
meter saves 3 cents per piece for 1-2-3 ounce envelopes – up to 3.5
ounces, lowering the cost of your mail to 46 cents. This is on top
of the many other benefits of metered mail, including convenience,
accuracy, cost accounting, security, and payment options. The 3
cent discount also applies to mail sent using Pitney Bowes’ SendPro
online shipping and mailing solution, Permit Imprints and
Pre-Cancelled stamps.
- Presort your Mail & Parcels.
Presorting helps businesses qualify for significant postage
discounts. Partnering with a presort services provider enables
businesses to lower mailing and shipping costs, streamline
operations and simplify financial reporting.
Pitney Bowes is committed to helping businesses of all sizes
simplify their sending operations and thrive in the connected and
borderless world of commerce. For more information on the latest
rate changes and to learn how to simplify your sending operations,
visit www.pitneybowes.com.
About Pitney Bowes
Pitney Bowes (NYSE: PBI) is a global technology company powering
billions of transactions – physical and digital – in the connected
and borderless world of commerce. Clients around the world,
including 90 percent of the Fortune 500, rely on products,
solutions and services from Pitney Bowes in the areas of customer
information management, location intelligence, customer engagement,
shipping, mailing, and global ecommerce. And with the innovative
Pitney Bowes Commerce Cloud, clients can access the broad range of
Pitney Bowes solutions, analytics, and APIs to drive commerce. For
additional information visit Pitney Bowes, the Craftsmen of
Commerce, at www.pitneybowes.com.
1. 2016 Pitney Bowes Parcel Shipping Index
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version on businesswire.com: http://www.businesswire.com/news/home/20170119005685/en/
Pitney Bowes Inc.Dan Burris,
203-449-7635daniel.burris@pb.com
Pitney Bowes (NYSE:PBI)
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