On January 13, 2011, the Postal Service™ announced new prices and product features for the following domestic and international Mailing Services:
The new prices take effect April 17, 2011, almost 2 years after the Postal Service last raised prices for Mailing Services products. According to the Postal Accountability and Enhancement Act of 2006, Mailing Services prices can increase no more than the rate of inflation as measured by the Consumer Price Index (CPI).
Mailing Services prices will increase by an average of 1.741 percent across each class of mail. Because the price cap applies to each class of mail, rather than to each product within a class, some products within a mail class have an increase that is higher or lower than 1.741 percent.
Single-piece, 1-ounce First-Class Mail letters will remain $0.44, with additional ounces increased to $0.20. The price for mailing a First-Class Mail postcard will increase 1 cent to $0.29. New price categories also will be added for First-Class Mail commercial parcels. Qualifying customers can receive commercial base and commercial plus pricing for First-Class Mail parcels.
New mailing standards consisting of classification changes to support the price changes also will be implemented. Prices for other mailing services will also change, with business mailers seeing price increases in a variety of categories.
Appropriate changes to the Mailing Standards of the United States Postal Service, Domestic Mail Manual (DMM®) and Mailing Standards of the United States Postal Service, International Mail Manual (IMM®) will be updated April 17, 2011. These updates can be found on the Postal Explorer® website at http://pe.usps.com and in this issue of the Postal Bulletin on pages 8–12 and 13–14.
Q. When are Postal Service Mailing Services prices changing?
A. April 17, 2011. This includes new prices for First-Class Mail, Standard Mail, Periodicals, Package Services (Single-Piece Parcel Post®, Bound Printed Matter, and Media Mail/Library Mail), First-Class Mail International, and Special Services — a broad category including many products such as money orders and Return Receipt and services such as insurance and Collect on Delivery (COD).
Q. Are the First-Class Mail prices changing in April 2011?
A. Yes, but the single-piece, 1-ounce, First-Class Mail stamp will remain unchanged on April 17, 2011.
Q. What will be the new price for a First-Class Mail stamp for letters?
A. At this time, the price of a single-piece, 1-ounce, First-Class Mail stamp remains $0.44.
Q. Will the Forever® stamp still be available?
A. Yes. Forever stamps don’t have a denomination and are honored whenever they are used. The current price of the Forever stamp is $0.44. Beginning with the issuance of the Lunar New Year — Year of the Rabbit stamp on January 22, 2011, all new First-Class Mail commemorative stamps will be Forever stamps.
Q. Are Forever stamps available in coils?
A. Yes, Forever stamps coils were first issued on December 1, 2010.
Q. Can Forever stamps be used for international mail?
A. Customers can use Forever stamps for international mail, but since all international prices are higher than domestic prices, customers will need to attach additional postage. The value of the Forever stamp is the domestic First-Class Mail 1-ounce letter price in effect on the day of use.
Q. Where are the new Mailing Services prices listed?
A. The April 2011 new prices are available on Postal Explorer at http://pe.usps.com.
Q. How much are Postal Service prices changing?
A. Postal Service Mailing Services prices will increase by 1.741 percent, on average, across each class of mail.
Q. Didn’t the Postal Service just raise prices in January?
A. The January 2011 price change was for Shipping Services — Express Mail®, Priority Mail®, Parcel Select®, Parcel Return Service, Global Express Guaranteed® (GXG®), Express Mail International® (EMI), and Priority Mail International® (PMI). The prices for Mailing Services have not changed since May 2009.
Q. How did the Postal Service come up with 1.741 percent for the Mailing Services price change?
A. By law, Mailing Services prices can increase by no more than the rate of inflation as measured by the Consumer Price Index (CPI).
Q. Are Shipping Services prices also changing in April?
A. No, the price change for Shipping Services was implemented on January 2, 2011.
Q. Has the Postal Service considered cutting costs rather than raising prices?
A. The Postal Service is aggressive about cutting its costs responsibly. Like many other businesses, the Postal Service cannot fully make up for the increase in its expenses by cutting costs. Many costs are influenced by outside factors such as transportation and economic conditions. However, for each of the past several years, the Postal Service has taken more than a billion dollars in costs out of the postal system.
Q. Will there be an increase to the price for additional ounces?
A. Yes, the additional ounce price for single-piece First Class Mail letters increases by 3 cents to $0.20.
Q. Is the nonmachinable surcharge increasing?
A. No, the nonmachinable surcharge (typically paid by customers who mail square or rigid letter-size pieces) has not changed; it remains $0.20.
Q. Will the price for postcards increase?
A. Yes, the price for mailing a single piece First-Class Mail postcard is going up 1 cent, to $0.29. Stamped postcards will increase to $0.32.
Q. How are prices changing for First-Class Mail presort letters?
A. For First-Class Mail presort letters and cards, most prices increase on average between $0.005 and $0.008. There is no change to the additional ounce price, which remains at $0.125.
Q. How are the prices changing on lightweight single-piece First-Class Mail parcels?
A. All lightweight single-piece First-Class Mail parcels weighing up to 3 ounces will have the same price; for example, the retail price is $1.71.
Q. Are there any changes to First-Class Mail classifications?
A. Yes, price categories for First-Class Mail parcels have been renamed retail and commercial. This distinction aligns those parcels with the type of mailers and payment methods used, a distinction already in place for other package products such as Priority Mail items.
Q. Are there any innovations for mailers of First-Class Mail presort parcels?
A. Yes, mailers can qualify for commercial base prices and they can also qualify for commercial plus prices when they agree to a volume commitment with the Postal Service. Furthermore, for commercial plus First-Class Mail parcels, we are raising the weight limit from 13 ounces to just below 16 ounces.
Q. Who qualifies for commercial base prices?
A. Commercial base prices, which are lower than retail prices, are available for mailers who pay postage by permit imprint, information-based indicia (IBI) postage meter, or PC Postage®. Single-piece parcels that are the residual portion of a presorted parcel mailing may also qualify for commercial base prices.
Q. Who qualifies for commercial plus prices?
A. Commercial plus prices are available to new and existing First-Class Mail customers who establish a customer commitment agreement with the Postal Service, pay postage by using a permit imprint, meet specific mailing requirements, and exceed a minimum volume threshold.
Q. Are the First-Class Mail International prices changing?
A. Yes, this includes First-Class Mail International letters, flats, and packages. In addition, we will now have one price for 1-ounce letters and postcards to Canada and Mexico ($0.80) and one price for the rest of the world ($0.98).
Q. Are there any innovations in Standard Mail?
A. Yes, while not part of the Mailing Services price change, on January 2, 2011, we expanded Simplified Addressing, permitting the use of “Postal Customer” as the address for saturation mail flats and irregular parcels delivered to any domestic destination, now including city carrier routes and Post Office™ boxes served by city delivery units.
Q. Are there any terminology changes for Standard Mail prices?
A. There are just two minor changes — referring to prices for Standard Mail nonmachinable letters over 3.3 ounces as nonmachinable letter prices rather than nonautomation flats prices and referring to high density and saturation prices for nonautomation letters as nonautomation high density and nonautomation saturation letter prices.
Q. Are there any classification or price eligibility changes?
A. No, there are not.
Q. Are the Periodicals prices changing?
A. Yes, Periodicals prices will increase on average 1.7 percent.
Q. Is the Ride-Along price still available?
A. Yes, the price remains $0.165 for a Ride-Along item enclosed with or attached to a Within-County or Outside-County periodical.
Q. Will the fee for Repositionable Notes (RPNs) increase?
A. No, the fee remains $0.005 for each Within-County piece and $0.015 for each Outside-County piece bearing an RPN.
Q. Is there a savings for using the full-service Intelligent Mail® barcode option?
A. Yes, mailers may continue to subtract $0.001 for each barcoded or Carrier Route letter or flat that complies with the requirements for the full-service Intelligent Mail barcode option.
Q. Are there any classification changes to Package Services?
A. No, there are no classification changes to any of the Package Services categories (single-piece Parcel Post, Bound Printed Matter (BPM) flats, BPM parcels, and Media Mail/Library Mail).
Q. Are Package Services prices changing?
A. Yes, there is a 1.7 percent overall average increase.
Q. What are some of the Extra Services and Special Services fees?
A. Some of the Extra Services and Special Services fees include Certified Mail®, Collect on Delivery (COD), Delivery Confirmation™, Insurance, Registered Mail™, Return Receipt, and application and mailing permit fees such as Business Reply Mail fees, Bulk Parcel Return Service, and presort annual mailing fees.
Q. Are Delivery Confirmation prices changing?
A. No, Delivery Confirmation prices are remaining the same.
Q. Are Return Receipt fees changing?
A. The price for the basic hardcopy return receipt (showing to whom delivered, signature, date of delivery, and addressee’s address) requested at the time of mailing and received by mail is not changing. The price for a return receipt requested at the time of mailing and received electronically is increasing $0.05, and the price for a return receipt requested after mailing and received by fax, by mail, or electronically is increasing $0.10.
— Pricing Implementation,
Pricing, 3-10-11
