How to Offset New USPS Postage Increases (July 2022)

USPS Postage Increases (July 2022)

On July 10t, 2022 US postage rates are set to increase which will be an even larger increase to the historic increase in August of 2021. However, it’s not all bad news as direct mail is still very effective in driving response. Businesses will need to get more creative to save on postage. Here is what the new rates will mean for direct mail delivery.

First Class Regular

• One ounce stamped letter size pieces will increase to $0.60 each
• One ounce metered letter size will increase to $0.57 each
• One ounce Flats size pieces remain the same at $1.20 each

First Class Presorted

• Mixed AADC letters will increase to $0.515 each
• Mixed AADC cards will increase to $0.372 each
• Mixed ADC Presorted flats will increase to $0.934 each

Standard Marketing Mail Presorted

• Mixed AADC Letters will increase to $0.349 each
• Mixed ADC Flats will increase to $0.854 each

Nonprofit Mail Presorted

• Mixed AADC Letters will increase to $0.207 each
• Mixed ADC Flats will increase to $0.648 each

Presorted first class mail and flats are growing more and more expensive. Flat rates have a better ROI than letter size mailers even at increased postage, therefore, it’s important to consider before you choose to no longer send flat size mail to help you save on overall costs.

On the bright side, the Postal Service is offering 6 promotional discounts to help you not only save but also stand out. Even as direct mail postage is rising you can still get great results. Here are three ways to help keep the costs down.

1) Clean your list and remove any bad addresses. You can use a move update service like NCOA to make sure you have current addresses, and suppress deceased people.

2) Design your mailers with postal regulations in mind so that you don’t get stuck paying extra postage.

3) Segment your list to select the right targets for your message. Sending the right offer to the right person is essential to increasing your response rates.

Don’t let the increase in postage rates deter you from using direct mail as an effective marketing outlet for your business. When done correctly, direct mail has the highest ROI of all marketing channels. On average the postage rates increased by less than a penny per piece. However, it’s still important to account for the additional postage funds as they are not going to drastically increase your overall direct mail budgets. To utilize direct mail for your marketing, connect with our team of experts to learn more and get started today!