Friday, April 12, 2013

DM News on USPS; Cost as Important as Days of Delivery

Elimination of Saturday Delivery Shelved — Price Increase Looming?:
In case you haven’t heard, the U.S. Postal Board has delayed the elimination of Saturday mail delivery slated to being August 5.
This doesn’t mean that the transition won’t happen. It just won’t happen immediately. Apparently, the board still supports the long-term elimination of Saturday mail, but it appears to be claiming that the USPS didn’t have the authority to change its own schedule and that legislation first must be passed to give it this authority.
The fallout?
Mailers don’t need to worry about adjusting their mailing schedules through summer and fall.
The USPS has expressed that, if it is not allowed to cut these $2 billion in costs by a change in schedule, heft rate increases may take it place.
In an article in DM News, there was an interesting comment from the perspective of catalogers, who apparently are very much in support of five-day mail delivery:
Our members say they’ll take one-day delivery if it translates into lower cost. That’s how much of an overarching concern cost is. — Hamilton Davison, president of the American Catalog Mailers Association
What do you think? Is the delay a relief or a concern?