USPS announces proposed postage rate increase for 2020

The U.S. Postal Service has proposed changes to the price of postage, which would go into effect on January 26, 2020 if approved. Overall, prices for marketing mail would increase a fairly modest 1.9 percent, which would be the lowest increase in three years. In most cases, the increases are a fraction of one cent.

Overall postage increases for marketing mail by category are as follows:

  • Letters: 2.0 percent
  • Flats: 3.9 percent
  • Carrier Route Letters, Flats, and Parcels: 1.1 percent
  • High Density/Saturation Letters: 1.4 percent
  • High Density/Saturation Flats and Parcels: 0.9 percent
  • Parcels: 3.9 percent
  • EDDM-Retail: 2.1 percent

Proposed changes to USPS Marketing Mail Commercial Original Prices are as follows:

Letters (5-Digit Auto Letters entered at Origin)

  • Current: $0.256
  • $0.259 (1.17 percent increase)

Flats (5-Digit Auto Flats entered at Origin)

  • Current: $0.405
  • Proposed: $0.418 (3.21 percent increase)

Proposed changes to USPS Marketing Mail Nonprofit Origin Prices are as follows:

Letters (5-Digit Auto Letters entered at Origin)

  • Current: $0.138
  • Proposed: $0.138 (no increase)

Flats (5-Digit Auto Flats entered at Origin)

  • Current: $0.231
  • Proposed: $0.240 (3.90 percent increase)

Pricing for periodicals mailed inside the country will increase 1.46 percent, while prices for periodicals mailed outside the country will increase 1.92 percent. Most larger-circulation publications will pay 1-4 percent more in postage, while postage for larger nonprofit publications will increase 0.8-1.8 percent. Smaller-circulation publications may see above-average increases due to less presorting, lighter-weight pieces, and a higher percentage of nonmachinable pieces.

Postage for First Class Mail letters, flats, international letters, and postcards will not increase in 2020, but domestic Priority Mail Retail Flat-Rate prices are expected to increase approximately 5-6 percent.

Proposed changes to First-Class Mail Commercial prices are as follows:

5-Digit Automation Letters

  • Current: $0.383
  • Proposed: $0.391 (2.1 percent increase)

5-Digit Automation Flats*

  • Current: $0.636
  • Proposed: $0.630 (0.9 percent DECREASE)

* Note: Flats are priced at 2 ounces.

Learn more about proposed USPS pricing here.

The USPS points out that its letter mail postage rates are among the lowest in the industrialized world and, unlike its competitors, surcharges aren’t added for fuel, residential delivery, regular Saturday delivery, or holiday season delivery. However, a price increase is a price increase.  You have to account for cost in your marketing.

Organizations looking to take advantage of the impact and high response rates of direct mail should partner with a print and direct mail marketing provider that knows how to format mailings and execute campaigns in a way that maximizes cost-efficiency.

We can help you optimize every component of your direct mail campaigns, from maintaining your mail list, to integrating direct mail with your digital marketing efforts, to tracking the results. Contact us to unleash the power of Digital Dog Direct.