Posted by Brian Berg Google+
Mail Service Providers have no fear. The Simplified Addressing Process is here and we have 10 reasons why you shouldn’t worry. The Simplified Addressing Process that went into effect earlier this year was created in an attempt to help businesses grow, especially small businesses who currently don’t use the mail because they can’t afford it.
The new rules with this process essentially enable the small business to use mail delivery route information, instead of names and exact addresses, to reach their target customer groups in specific areas. The new process is expected to garner millions of dollars in new revenue for the U.S. Postal Service and help small businesses. However, what does this mean for the Mail Service Provider who provides saturation level mailing services to businesses using direct mail marketing? The impact is actually insignificant due to the restraints of the program.
Below you will find 10 important NO FEAR FACTS about the Simplified Addressing Process:
1. POSTCARDS with the size of 3 ½” x 5” to 4 ¼” x 6” DO NOT QUALIFY for the Simplified Addressing Process. Only Flats and Parcels qualify.
2. LETTERS with the size of 3 ½” x 5” to 6 1/8” x 11 ½” DO NOT QUALIFY for the Simplified Addressing Process. Only Flats and Parcels qualify.
3. The mailer must purchase an Indicia at a one-time cost of $185.00.
4. The mailer must purchase an annual Mailing Permit which would cost $185.00/year.
5. All their mail must be bundled in qualities of 50 and bagged or trayed.
6. Tags are required on all bags and trays.
7. Unless mail is entered into the mail stream at the local post office, each mail piece will have to include the City, State, and 5 digit zip code.
8. The process is cumbersome. New mailers will have to learn procedure, determine the routes that best represent their own geo-market, print and assemble their own qualified mail piece, bundle in quantities of 50, print their bag and tray tags, and deliver their mail to the appropriate post office.
9. The online site http://smp.usps.gov provides delivery route quantities but limits the mailer to 5 zip codes at a time.
10. Mailers must still saturate the route to qualify for the same postal rate as any Mail Service Provider will offer. So, where is the benefit to the business mailer? Given the costs involved with purchasing their own Indicia and Mail Permit, and learning and doing the necessary work to qualify and execute their own campaign, there doesn’t appear to be an advantage that might adversely affect direct mail business that would normally go to a Mail Service Provider. Conversely, it is likely that this program will encourage more small, first time mailers to appreciate the value in employing their local MSP. For more information on this program, visit http://www.usps.com/promotions/simplifiedaddressing.htm.