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Unleash the Power of Direct Mail: Navigating the July 9 Postage Rate Increase

Attention, business owners and marketers! Brace yourselves for the upcoming second postage rate increase of 2023, set to take effect on July 9th. While this may cause some concern, it’s crucial to recognize that direct mail continues to reign supreme as the most effective marketing channel. In fact, 74% of marketers agree that direct mail outperforms digital channels in terms of ROI, response rates, and conversions. So, let’s delve into the details of the rate changes and explore the USPS programs that can help you save on postage for the rest of the year.

Navigating the July 9th Postage Rate Increase

Understanding the Postage Rate Changes

To stay ahead of the game, let’s first familiarize ourselves with the upcoming postage rate changes. Here’s a breakdown of the new rates:

First Class Regular:

  • 1 ounce stamped letter size pieces will increase to $0.66 each
  • 1 ounce metered letter size will increase to $0.63 each
  • 1 ounce flats size pieces will increase to $1.35 each

First Class Presorted:

  • Mixed AADC letters will increase to $0.561 each
  • Mixed AADC cards will increase to $0.388 each
  • Mixed ADC presorted flats will increase to $1.234 each

Standard Mail:

  • Mixed AADC letters will increase to $0.381 each
  • Mixed ADC flats will increase to $0.976 each

Nonprofit Mail:

  • Mixed AADC letters will increase to $0.226 each
  • Mixed ADC flats will increase to $0.751 each

While these changes may seem daunting, it’s essential to note that the overall impact on direct mail budgets will be relatively minimal. On average, the postage rates will increase by less than a penny per piece. Thus, it’s important to allocate additional funds for postage while leveraging the immense benefits of direct mail.

Special USPS Programs to Save on Postage

Don’t fret! The USPS offers several special programs that can help you mitigate the impact of the postage rate increase and maximize the results of your direct mail campaigns. Let’s take a closer look at these programs:

  1. Emerging Technology Promotion (May 1 – Nov 30th) Are you ready to harness the power of technology in your direct mail campaigns? The Emerging Technology Promotion rewards creativity and innovation. By incorporating augmented reality, basic voice assistants, or QR codes for mobile shopping, you can receive a 3% discount on postage. For those who embrace advanced voice assistants, video, NFC, mixed reality, or virtual reality, an enticing 4% discount awaits. This promotion runs from May 1st to November 30th, allowing you to captivate your audience with cutting-edge experiences.
  2. Reply Mail IMbA Promotion (July 1 – Dec 31st) Simplify your reply mail process while saving on postage with the Reply Mail IMbA Promotion. By utilizing a static barcode and enrolling in Intelligent Mail barcode (IMbA), you can enjoy a 3% discount. For those who opt for a serialized barcode and enroll in IMbA, an even more substantial 6% discount is available. This promotion, running from July 1st to December 31st, streamlines the reply mail process, making it faster and more convenient for both you and your customers.
  3. Informed Delivery Promotion (Aug 1 – Dec 31st) Integrating direct mail with digital marketing channels can significantly amplify your campaign’s impact. The Informed Delivery Promotion allows you to engage users through an integrated mail and digital marketing campaign, generating additional consumer impressions, interactions, and insights. By embracing this promotion, you can secure a 4% discount on postage. Take advantage of this opportunity from August 1st to December 31st and revolutionize your direct mail campaigns.
  4. Retargeting Promotion (Sept 1 – Nov 30th) Retargeting is a game-changer when it comes to direct mail. By matching a visitor’s IP address or app to their physical address, you can send personalized, targeted messages via First-Class Mail Postcards. This dynamically printed, timely approach guarantees relevant content reaches your customers’ homes. The Retargeting Promotion offers a compelling 5% discount on postage. From September 1st to November 30th, unlock the potential of retargeted direct mail and boost your response rates.

Embrace the Power of Direct Mail

Now that we’ve explored the postage rate changes and the USPS programs designed to save you money, it’s time to harness the power of direct mail. Despite the upcoming rate increase, direct mail continues to deliver unmatched ROI and impressive results when executed correctly. To ensure success, consider the following strategies:

Personalization: Tailor your direct mail pieces to resonate with each recipient. Incorporate their names, relevant details, or past interactions to create a personalized connection that drives engagement.

Compelling Design: Make your direct mail visually captivating. Utilize high-quality images, vibrant colors, and professional design elements to stand out amidst a sea of generic advertisements.

Targeted Messaging: Craft messages that address the specific needs and interests of your recipients. Segment your audience based on demographics, purchase history, or other relevant factors to ensure your message resonates.

Clear Call-to-Action: Include a persuasive call-to-action that directs recipients to take the desired action. Whether it’s visiting a website, attending an event, or redeeming a limited-time offer, a strong call-to-action drives conversions.

Track and Analyze: Implement tracking mechanisms to measure the performance of your direct mail campaigns. Unique URLs, promotional codes, or response tracking methods provide valuable insights for future optimization.

Help Your Business Thrive

As business owners and marketers, you have an incredible opportunity to thrive in the face of the postage rate increase. By partnering with a print and mail company well-versed in these changes, you can navigate the evolving landscape and make the most of your direct mail campaigns. Seek their expertise, take advantage of the USPS programs, and ensure your messages reach the right audience with impact.

Remember, the second postage rate increase of 2023 should not discourage you from utilizing direct mail. When executed effectively, direct mail remains the marketing channel with the highest ROI. So, get creative, embrace the power of direct mail, and take your marketing to new heights. The future is yours to seize!


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