EXCLUSIVE NEWS FLASH: Postal Rate Recommendation Could be Catastrophic for Catalogers

He calculated this increase “despite using all possible work-share discounts possible. Given that postage is by far our largest expense,” Beauchesne adds, “our CPM will increase significantly. As a result, I’m expecting some significant changes in our circulation strategy.”

Smaller catalogers, who don’t mail great enough quantities to gain carrier route rates, could get hammered even worse, Crofoot says. The USPS requested that the 3-digit sort automated rate, which is currently $0.275, be raised 19 percent to $0.328, but the PRC recommends that rate balloon to $0.392, a 43 percent jump.