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Possible Summer Sale - 2010

Donna-Hanbery-No-Caption-smBY DONNA HANBERY, SMC

On Thursday, February 18, 2010, Tom Foti, USPS Marketing Manager, announced a potential 2010 summer sale for eligible Standard mailers of letters and flats.

The sale is subject to the official filing of a notice with the PRC and will require the PRC to approve it. If approved, the sale would start July 1 through September 30.

Here are the basic Standard mail sale requirements that were announced:

  • The sale will be limited to Standard mailers that did more than 360,000 pieces of mail between July 1 and September 30, 2009.

  • The sale would pay Standard mailers that increased their volumes over “a baseline” defined as last summer’s mailings, plus 5%. The sale would pay a 30% rebate on the incremental volume over the baseline.

  • There will be a “keep you honest” adjustment that looks at 2010 volumes for June and October over 2009. The Postal Service will do a downward adjustment if it looks like a mailer shifted mail volume from June and October into the sale period.

  • According to Tom Foti, approximately 3,525 customers of Standard mail sent enough mail to qualify for the sale. This is approximately 67% of Standard mail volume.

  • Mail service providers are not eligible to participate.

  • If approved by the PRC, the Postal Service would set-up a program where invitations are mailed to eligible mailers and customers can register online for participation.

  • Rebates would be paid to customer accounts between December 2010 and January 2011.

This proposal is subject to PRC approval. The PRC could reject or modify the proposal.

It does not appear likely that the Postal Service will extend or continue the Saturation Mail Volume Incentive Program when the program ends in May 2010 for another 12 months. The Postal Service might consider a similar program or incentive in connection with future announcements of rate adjustments.

Donna E. Hanbery

Saturation Mailers Coalition

33 South Sixth Street, Suite 4040

Minneapolis, MN 55402

(612) 340-9350/direct dial

(612) 340-9446/fax

 

 

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