International Paper

In an all too familiar refrain for catalogers, paper prices rose again earlier this month — the third such increase since last summer. Catalogers using coated groundwood sheets have been dealing with an average increase of $9 per hundredweight (cwt) over the past six months. And there’s no end in sight. In fact, these increases are just the tip of the iceberg. The paper industry is fundamentally changing. Even with the latest price increases, the industry is barely at breakeven. The consolidation of paper companies and the closing of many paper mills have given the remaining corporations the economic muscle to raise prices

Ever since the U.S. Postal Service implemented the first of several blockbuster double-digit rate increases back in the late 1980s and early ’90s, many catalogers have been readying themselves for subsequent rate hikes with cost-cutting measures. The most prevalent one has been, and continues to be, a reduction in paper weight, as well as trim size. Many mailers have trimmed about as much as they can over the years from their books’ dimensions. And with a 9 percent increase in Standard mail postage looming for next spring, which comes on the heels of another postage increase earlier this year, testing out lighter paper grades

Paper prices are expected to increase this year. Couple that with the still-uncertain U.S. economy, and you have a period in which making a smart decision about paper is tougher than ever. It requires both a fundamental understanding of the paper market and a willingness to rely on a little help from your friends. Think Branding First No matter the type of catalog you have — or the products or services it touts — the first step to take before choosing a catalog paper is to consider your brand, says Kathy Johnston, creative/production services manager at catalog consultancy J. Schmid & Assoc.,