A Mailer's Take on the State of Catalog Mailings, Part 1

In its commentary on this last rate increase, however, the PRC made specific comments regarding the failure of the advertising flats classification to cover its attributable costs. This comment should serve as a warning to catalogers that we may not fare as well in future rate-setting decisions.

CS: Why is this?
AA: In its 2005 commentary, the old PRC published very similar language, leading to a massive cost increase for all catalogs in the 2006 rate case. As a result, catalog mailing costs went up dramatically in mid-2007. The stars are aligned for another large and broad increase for catalogers.