The U.S. Postal Service was authorized by its Board of Governors Monday to launch a two year experiment on Feb. 26 that would permit catalogs weighing up to 3.3 ounces to ride along with poly-bagged magazines for a dime per piece.
The authorization comes one week after a recommendation of its adoption by the Postal Rate Commission. The PRC recommended the experiment’s implementation after its unanimous endorsement by the catalog and magazine industries.
During the experiment, the USPS will shave between 5 cents and 20 cents off the base price of a 3.3 ounce catalog normally sent by Standard A (advertising) Mail.
The actual reduction amount depends on the machinability of the host mailing and the mailer’s level of sortation, such as 3- or 5-digit ZIP code or carrier route walk sequencing.
While the catalog would ride along with a poly-bagged magazine for a dime, the magazine’s publisher would still pay the regular Periodicals postage rate for the publication.
The experiment is expected to net the USPS $4.8 million on gross revenues of $10.2 million.
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