Pitney Bowes

Pitney Bowes

March 01, 2013 10:47 ET

Royal Mail's Announcement Will Boost Morale for SMEs

Minor increases in postal costs are in stark contrast to last year

HATFIELD, UNITED KINGDOM--(Marketwire - March 1, 2013) - The rate change due to come in to effect on 2nd April 2013 will come as a welcome respite for British businesses struggling with the tough economic climate, meaning that many will not be forced to increase their postal budgets this year.

The Royal Mail's decision not to increase stamped mail charges for standard and large letters (for both first and second class mail) is contrary to last year's increases and will benefit many of Britain's SMEs, as well as consumers. Despite the minor increases in metered mail prices however, businesses can still access significant savings by moving from stamped to franked mail.

Colin Forrest, Head of Marketing for UK and ROI at Pitney Bowes said, "The 30 day notice period before the changes are implemented should give British businesses time to think about their options and consider the benefits of moving to metered mail - a considerably cheaper option.

"As well as keeping postage prices to a minimum, Pitney Bowes's franking machines are equipped with postal scales to ensure that the right price is applied every time. This safeguards against overpaying for post and ensures that businesses never run the risk of underpaying, which can be costly, particularly with surcharges increasing to £1 for every underpaid domestic item, plus the underpayment amount on each item."

In addition to significant and instant time and money savings, metered mail delivers other benefits such as better 'open rates', the ability to monitor postage spend through simple web-based reporting, a more professional image to customers and importantly access to a range of other bulk mailing discounts. One such service is Business Mail Advanced, which offers savings of up to 16.7% subject to meeting some simple qualification criteria.

Regardless of whether or not businesses are moving to metered mail, the size of each item will continue to have a heavy influence on the price. Folding A4 paper to make it eligible for standard letter postage, for example, will save businesses up to 30p per item.

Aware that the more subtle changes due to come in to effect on 2nd April may not be clear to those less confident with calculating the impacts that the changes will have, Pitney Bowes has published comprehensive advice online at www.pitneybowes.co.uk/ratechange.

Pitney Bowes offers product options suitable for all businesses - including small and micro businesses - looking to move to metered mail in order to cut postal costs.

Stamps Metered Mail
Pre-rate change Post-rate change Pre-rate change Post-rate change
1st Class Standard Letter (up to 100g) 60p 60p 44p 47p
2nd Class Standard Letter (up to 100g) 50p 50p 31p 33p
1st Class Large Letter (up to 100g) 90p 90p 66p 71p
2nd Class Large Letter (up to 100g) 69p 69p 53p 58p

About Pitney Bowes

Delivering more than 90 years of invention, Pitney Bowes provides software, hardware and services that integrate physical and digital communications channels. Long known for making its customers more productive, Pitney Bowes is increasingly helping other companies grow their business through advanced customer communications management. Pitney Bowes is a $5.3 billion company with 29,000 employees worldwide. Pitney Bowes: Every connection is a new opportunity™. www.pb.com

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