Last week, the PMG said that there won't be a First-Class stamp hike next year (or for any other "market dominant product"). The 44-cent stamp is here to say -- at least for another year.
Under the Postal Reform Act, our market dominant products generally can't exceed the increase in the Consumer Price Index (CPI), so we probably wouldn't be able to justifiy a hike anyway.
That's good news for companies who are still struggling. But is it good news for us, where revenue is in a freefall? Is it possible that this might encourage more companies to use our services? Some have even suggested a reduction in stamp prices to spur mailers.
Back in my day, it was a penny. In fact, it was a penny for a very long time. I have no idea who that Lincoln fella was, but a penny saved was a penny earned. Hey, let me write that one down.
What do you think? Drop a note here.
(Something else to consider-- our other products like Express Mail and Priority Mail are in a separate category and might see an increase in price in January.)
7 comments:
I always find it interesting that when we raise stamps one or two cents customers grumble like it's the end of the world. I can understand the concerns of large mailers, though they can and should do everything they can to qualify for discounts we offer. When customers at the window tell me they'll quit sending holiday cards when stamp prices go up I tell them my friends and relatives are worth the cost of a few cents to send them a card. But I do think not raising the price this year is a good idea and will convince more companies and the general public to use the mail more. We need to make sure it is announced loudly in the media for good public relations - otherwise many customers automatically assume rates "keep going up all the time."
I think this will come as good news to our customers. Of course, I still anticipate hearing the grumblings of the ones who constantly complain about the price of a stamp. Why can't they understand the real value of that 44 cents??
Everything else is going up so why not stamps? Actually, I'm glad they aren't going up because I still pay bills with a stamp and mail lots of cards. Will the rise in package costs be enough though?
I agree with Merk's comments wholeheartedly and would take the media aspect a step further. In 2008, the following information appeared in our Link - POSTAGE COSTS ARE A BARGAIN. When the price of a First-Class Mail stamp rose just 1 cent — a 2.4 percent increase — last May 12, it’s remained a bargain compared to most products. From May 2007 to 2008, white bread increased by 14.9 percent, milk climbed by 15.4 percent and gas rose by a whopping 20.3 percent. In addition, USPS offers a product, the Forever stamp, which allows customers to lock in today’s prices. The Postal Service also offers online discounts. Try finding those benefits at your local grocery store or gas station! I think that this type of comparison, particularly without us raising our core prices, would get the general public's attention. In addition, stress that we get no taxpayer money to operate and the opinon of the Postal Service may really skyrocket.
I too believe the 44 cent stamp is a good deal, and I tell people this all the time. If we do a better job with our package service we could generate more business. Many of our processing centers are operating very lean, and a lot of mail is going unprocessed. Therefore, not delivered in the most timely fashion.
I'm glad to see that the price of stamps is not increasing. Please, please, please do NOT increase the cost of priority mail this year. Our flat rate box campaign is proving so very successful in my level 16 office. I would hate to see an increase in that product do away with the good will we have engendered by being able to say "If it fits; it ships"
Praise the Lord stamps aren't going up! I only wish the same was true for priority and express mail. I know we need the money but there have to be other ways. Our priority campaign is doing so well right now why mess with it. I wish the people who decide on uping the rates had to wait on customers when they do, then they might understand where we are coming from. We should be looking at other avenues to provide a variety of services to our customers. Notary Service would be excellent, I get asked that in my rural 13 office constantly. We should sell state maps and other items that don't have our logo on it for gifts at Christmas and other special holidays. Not everyone wants to buy something with a logo stamped on it. How about adding a wifi access station. Just food for thought!
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