What Does the 2018 Postal Rate Increase Mean for Your Marketing?

Although it is still early on in 2018, the direct mail industry has already seen a significant increase in both postage and paper costs this year, which may have you asking, “What does that mean for my direct mail marketing?”

First, let’s start with the facts. On January 21, 2018, the United States Postal Service increased postage. The saturation letters class in which Valpak falls increased by 1.94%, which you can read more about here.

In addition to a postage increase, our industry has also seen a notable increase in paper costs, with companies experiencing an 8-10% increase in paper expense!

So what does that mean for your direct mail marketing with Valpak? Not much! As an advertiser in our our co-op envelope, you split the cost of these increases with the other advertisers in the pack. So unlike other forms of direct mail, these industry changes will have a proportionally small impact on your direct mail rate.

Want more good news? Direct mail continues to be a trusted and cost-effective form of advertising for small business owners. In fact, according the Direct Marketing Association (DMA), direct mail saw a 5.1% response rate in 2017, which is 10-30 times higher than that of digital advertising mediums!

On behalf of Valpak of N. Colorado & S. Wyoming, we thank you for your business and look forward to continuing to serve your advertising needs. If you have any further questions about how these increases affect your business, please contact your Valpak Marketing Advisor.