• Feel like going postal on the rates? Here's some help

    Confusion about the recent postal-rate changes seems widespread in the printing and publishing community, especially among professionals who aren't directly involved in mail production. The perplexity is understandable: Postal matters get downright murky when there's a rate case. And as the current one wraps up, perhaps it's a good time to process what's new.

    Three basic themes encompass the rate case passed March 21, 2007, by the Board of Governors of the U.S. Postal Service: shape now makes a difference, address and barcode quality matter, and efficiency is the key to the best prices and discounts. That's the gist.


    The Postal Service recognized that different mail shapes have different processing costs (flats being higher than letters, and parcels higher than flats), enable different levels of processing efficiency and thus deserve to be charged accordingly. More than anything, the USPS, by giving its proverbial stamp of approval on most price increases recommended by the Postal Regulatory Commission (PRC), is encouraging firms to prepare mail in a manner than enables the greatest efficiency possible. So methods such as "presorting," the sequencing of mail by the preparer, is being repriced, as are discounts for affixing a barcode and for entering mail downstream closer to where it's addressed. (Revised standards, rate charts and FAQ are at www.usps.com/ratecase.)

    The new pricing schedules, most of which went into effect mid-May 2007, affect some types of companies more than others. Magazine publishers face stiff rate increases (at an average of 11.7%), and it's worse for catalog publishers, some of whom could face 40% hikes. As firms began to scramble to figure out ways to best endure the impact of higher rates, the PRC delayed, until July 15, implementation of new prices for periodicals (magazines, newspapers and some newsletters), giving the publishing industry time to update computer software and adjust to the complexity of the new structure.

    Here are some ways companies such as periodical publishers and mailers can limit the pain of higher rates:

    * Help customers understand postage consequences, such as designing mail pieces whose size, weight or shape would lead to inefficient processing on USPS equipment. Also, consider how you can help clients increase the accuracy of their address lists to limit the volume of undeliverable mail.
    * Use efficient containers and bundles, and merge bundles from separate publications on the same pallet ("co-palletization"). Avoid using sacks and entering the mail stream at the printer location.
    * Bind different titles on binders and mail them together ("co-mailing").
    * Drop-ship mail closer to its final destination. New prices for editorial components of books are designed to give publishers access to lower destination entry rates.
    * Use paper that includes titanium dioxide, a chemical that can be added to lightweight papers to improve show-through resistance, fiber and stiffness. (The paper performs like a heavier sheet but at a lighter weight. The paper is more expensive, but overall cost is less because of reduced postage.) Most importantly, when the new rates take effect, consult with other companies dealing with the same postal issues. Network with them to share money- and time-saving ideas.

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  • We need to get out more

    During the opening session of the ad:tech New York show recently, ad:tech Chairman Drew Ianni warned nearly 13,000 attendees that the event would be a "tight squeeze" in the Hilton Hotel.

    "He wasn't kidding," attendee Rebecca Lieb posted later that morning on the ClickZ News Blog. "I'm at a session now at which over half the audience is forced to either stand or sprawl on the floor…Everywhere you go, you feel like you're trying to squeeze in the same room with all of them."

    Lieb was at the largest show in the history of ad:tech, a series of conferences that showcases trends in the interactive marketing industry. The shows, held annually in New York, San Francisco, Chicago, Miami, London, Paris, Hamburg, Shanghai, Singapore and Sydney, explore how marketing and technology intersect. They're lively, fun and fascinating.

    And practically void of printing pros!

    This shouldn't be the case. Marketers and media managers need creative, effective ways to attract specific audiences at a time when grabbing anyone's attention is harder than ever. They have a wide choice of new-media options—email, Web sites, blogs, podcasts—and many of them (especially younger ones) don't immediately think of ways to utilize print. They can leverage the power of audio and video without buying a single minute of satellite, online media or television airtime. To a significant extent, these are the same folks who will control how much marketing-based printing is produced in the future. And they're literally sprawling at events such as ad:tech.

    But we're not there.

    We're not on panels, discussing print's role in tomorrow's communications marketplace. We're not on the show floor, exhibiting digital print's ability to help marketers segment audiences and customize messages. We're not on sponsorship banners, investing in a memorable presence. And so, too often, we're not on the radar screens of designers, agencies, public relations firms, content creators and other new-media pros, all of whom tend to marginalize print's critical function. Read commentary: http://adtechblog.com.

    Print companies need be part of the discussion of how people can more effectively communicate in the digital world. We should be eager to put the glories of print on display, revealing how cross-media strategies should only include print, but often be driven by it. We should take notes at ad:tech sessions such as "The Anywhere Consumer," at which Yankee Group Research CEO Emily Green examined the type of client who expects all activities, preferences and information to be available wherever, whenever and on whatever screen (or gadget) is most convenient. (Check out www.ad-tech.com/ny.asp.)

    It's up to us to show how print can make other media more effective. To gain credibility, we should be using new media ourselves. Yes, our technical ability to put ink on paper is still vital. And yes, we ought to love the image of a press operator getting his hands dirty. But we also need to understand the nuances of the creative economy, where the most valuable currency is innovation.

    "In 1996, a common belief was that the Internet infrastructure would one day not be able to handle the load and would crash," noted Kevin Ryan, CEO of comparative shopping search engine Shopwiki.com and former CEO of DoubleClick, during his keynote at ad:tech New York. "In just 10 years, online ad revenue went from $270 million to more than $12 billion."

    But that doesn't augur the end of print. Today's converging-media marketplace is rife with opportunities for printing firms to bring eye-opening solutions to clients. Attending shows such as ad:tech, and learning more about the how printing, marketing and technology intersect, will boost your company's bottom line and help advance the role of print.

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