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USPS Wants Mail Growth Incentive Discounts For Mailers …

WASHINGTON, DC — The U.S. Postal Service filed notice with the Postal Regulatory Commission (PRC) requesting approval to make certain Mail Classification Schedule (MCS) changes to establish two Mail Growth Incentives – a First-Class Mail Growth Incentive and a Marketing Mail Growth Incentive.

If approved, the incentives will run from Jan. 1, 2024 through Dec. 31, 2024.

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The First-Class Mail and Marketing Mail Growth Incentives are being offered to mail owners to promote volume growth in 2024 and into the future.

From the filing:

The two incentives are substantially identical. A mailer is eligible for the First-Class Mail Growth Incentive when its combined volume of qualifying pieces in the incentive period, calendar year 2024, exceed the incentive threshold. Qualifying pieces are pieces mailed as —

• First-Class Mail Presort Letters;
• First-Class Mail Presort Cards; or
• First-Class Mail Presort Flats.

Similarly, a mailer is eligible for the Marketing Mail Growth Incentive when its combined volume of qualifying pieces in calendar year 2024 exceed the incentive threshold. Qualifying pieces are pieces mailed as —

• Marketing Mail Letters and High Density/Saturation Letters;
• Marketing Mail Flats and High Density/Saturation Flats & Parcels;
• Marketing Mail Carrier Route; or
• Marketing Mail Parcels.

Under both incentives, for every qualifying piece mailed in calendar year 2024 after the first million pieces, mailers receive a credit equal to 30 percent of the average per-piece price paid for mailing all qualifying pieces, unless the volume of qualifying pieces the mailer sent in the preceding fiscal year exceeded 1,000,000 pieces. In that case, credits accrue only after the mailer surpasses its fiscal year 2023 volume of qualifying pieces.

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These two incentives will drive mail owners to increase the volume of First-Class and Marketing mail entering the network while providing them lower overall postage costs on incremental growth — allowing mail owners to maximize total return on investment, by providing additional cost-savings and strengthening the value of mail. Information on the eligibility requirements to participate in the First-Class Mail and Marketing Mail Growth Incentives will be posted soon.

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