Mailing Systems Technology July/August 2023

HOW WILL THE RECENT USPS

RATE CHANGE IMPACT YOU?

PAGE 26

10 THINGS DIGITAL MARKETERS NEED TO KNOW ABOUT MAIL. PAGE 16

THE QUEST FOR DATA SECURITY: 6 FACTORS TO TAKE INTO ACCOUNT.

PAGE 18

PREDICTIVE ANALYTICS COULD BE YOUR NEW MARKETING SUPERPOWER. PAGE 20

VOLUME 36, ISSUE 4

MAGAZINE STAFF

President

Chad Griepentrog

Publisher Ken Waddell

Editor Amanda Armendariz amanda.c@rbpub.com

Contributing Writers

Wes Friesen, Alexandria Gregory, Karen Kimerer, Ken Kucera, Merry Law, Adam Lewenberg, Andrea Molinares, Mike Porter, Leo Raymond, Mary Ann Rowan, Kathleen Siviter

Audience Development Manager Rachel Chapman rachel@rbpub.com

Advertising Ken Waddell 608.235.2212 ken.w@rbpub.com

Design Kelli Cooke

THINGS ARE HEATING UP

BY AMANDA ARMENDARIZ

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MAILING SYSTEMS TECHNOLOGY

(ISSN 1088-2677) [Volume 36 Issue 4] is published six times per year (January/February, March/April,

Now that we’ve celebrated the fourth of July (and, just a few days later, witnessed another rate increase by the USPS go into effect, which isn’t quite as exciting as the parades and fireworks!), we can officially say that summer is in full swing. And for those of us in the mailing industry, summer means we’re coming down from the excitement of one fantastic show (the National Postal Forum) while simultaneously gearing up for another great one, PRINTING United, this fall.

I know I often mention this in my editor’s note, but the power of networking and education at these shows cannot be overstated. The mailing industry is already a tough one to be in. We have changing consumer communication preferences that we need to adapt to in order to stay relevant, increasing postage costs, declining mail volumes, and (sometimes) higher-ups who don’t value the importance of mail, instead preferring to shift to a digital-only marketing

strategy. (And as most readers of this publication can tell you, that is certainly not a shift that should be made!) So gathering with fellow industry professionals is something that should be taken advantage of whenever possible. I know many of you attended NPF this past year (no wonder attendance was up compared to 2022!), and I hope to see many of you at PRINTING United, as well.

For the mailing industry to stay viable and, hopefully, thrive, we all need to work together to keep the mail stream healthy and our organizations informed on the benefits of mail. Trade shows like NPF and PRINTING United are a great way to do that, so I hope to see many of you this fall.

As always, thanks for reading Mailing Systems Technology.

LEADING WITH GRATITUDE!

BY WES FRIESEN

Research shows there is a staggering lack of gratitude in the work world. One recent study found that “people are less likely to express gratitude at work than anyplace else.” Retention of quality employees is still a huge problem in our organizations. Why do most employees leave? According to research by the U.S. Department of Labor (based on thirdparty exit interviews), the number-one reason people leave is they “don’t feel appreciated” by their manager for their contributions. One study found that frequent, genuine gratitude at work reduces employee turnover by up to 50%. There are additional benefits to consistently leading with gratitude, including:

Build Stronger Relationships. When we take the time to express appreciation and gratitude to our team members, we are creating a more personal connection with them and helping to meet a heartfelt need. Prominent psychologist William James summarized years of research by saying, “The deepest craving of human nature is the need to be appreciated.”

Improved Employee Engagement, Motivation, and Focus. Gratitude is a powerful motivator. When we express appreciation for our team members’ efforts and achievements, it can increase their sense of purpose and job satisfaction. It also creates a sense of belonging and camaraderie within the team and builds a positive and caring culture. As a result, team members are more likely to be engaged, committed, loyal — and focused on the positives. Extensive research by Robert Emmons has found that people who feel grateful and appreciated are more likely to focus on personal and organiza-

tional growth and less likely to spend time engaged in “destructive impulses such as envy, resentment, greed and bitterness.”

Increased Productivity and Performance. When employees feel appreciated and valued, they are more likely to put in extra effort and go the extra mile to achieve their goals. Author Bridgette Hyacinth speaks to this when she wrote, “When employees have a boss who truly cares and appreciates them, they are willing to go the extra mile.” And a survey by Glassdoor found that 81% of people say they’re motivated to work harder when their boss shows appreciation of their work (versus only 38% saying they work harder when their boss is demanding).

Enhanced Collaboration and Teamwork. Gratitude can break down barriers and foster a sense of community and collaboration. When we express appreciation for the contributions of our team members and business partners, it can create a sense of mutual respect and trust. It also encourages people to work together, share ideas, and support each other in achieving their goals.

Improved Health and Well-being. Gratitude has been shown to have a positive impact on mental and physical health of both the givers AND receivers of gratitude. I appreciate this quote from CEO Eric Schurenberg, “The best way to warm your heart is to warm the heart of somebody else.” Studies have shown that when we practice gratitude, we and the recipients are more likely to experience positive emotions, reduce stress and depression, sleep better, and improve overall well-being. When we cultivate a culture of gratitude, we can create a positive and supportive work environment

that promotes the health and happiness of our team members (and us!).

Improved Customer Satisfaction and Loyalty. Leading with gratitude has benefits for us and our team members. But the benefits of gratitude are not limited to the relationship between us and our team members. It can also extend to the relationship between our teams and our customers. One study found that grateful managers lead teams that have an average 20% higher customer satisfaction! We can directly express gratitude to our customers, which shows that we value them and are committed to providing excellent service. This, in turn, leads to higher customer satisfaction and loyalty.

How Can We Lead With Gratitude?

I love this classic quote from Maya Angelou, “I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.” Here are 10 practical ideas to help make people feel our gratitude towards them:

1. Tap into the power of “thank you”. Recent research by Harvard and Wharton Universities found that thanking people more than doubles their likelihood to want to help us again. The research shows that thanking people helps them feel more “socially valued” — more connected to other people around them and their community as a whole.

2. Verbally express gratitude. Expressing sincere gratitude verbally is powerful — it’s encouraging, motivating, and much appreciated. I like it when people express gratitude to me; how about you? In a recent survey, “I appreciate you” was voted the most emotionally intelligent phrase at work. We can express gratitude for a person’s hard work, creativity, and their accomplishments. One tip to make gratitude even more powerful is to be specific. “Thank you for your help” is good; even better is, “Thank you for the help you gave with XYZ task this morning. It turned out great and you shared great insights and really went above and beyond to help it turn out so well.”

3. Communicate gratitude in writing. In addition to verbal expressions of gratitude, we can thank people via email, texts, social media channels, and other digital means. Digital is good; that being said, there is something powerful about expressing gratitude to someone via a handwritten note. Several years ago, I invited our CEO, Peggy, to visit the

print and mail center and meet the team members and see firsthand the recent significant equipment and technology upgrades we had accomplished. The next day I received in intercompany mail a handwritten note from her expressing appreciation for the team and our accomplishments. A copy of that note was posted in our front desk area for years. The original? I have it framed and it is one of my cherished mementos from my career residing in my man room.

4. Dole out meaningful gifts and rewards. Gifts and rewards can be a welcome way to express gratitude. We can consider bonuses, promotions, or other financial incentives. Providing opportunities for growth and development via training, mentoring, or working on special projects can be a much appreciated way to show gratitude, especially with the Millennial and Generation Z employees. There are also a wide range of gifts that we could potentially provide: certificates of appreciation, gift cards, company swag, or other tokens of appreciation. We can also consider acts of service, such as getting ice cream on a hot day and dishing up to our teams (yum!).

5. Give time off and provide flexibility. Time off and flexibility are well received ways to express gratitude. For hourly employees, time off with pay (such as a half day off on a Friday afternoon) always seems to be a hit. And giving salaried employees extra paid “comp time” so they can take time off without using PTO is appreciated. When possible, expressing gratitude by offering flexible work schedules, as well as hybrid and work from home options, are not only appreciated but necessary to help us attract and retain the quality employees we need.

6. Codify gratitude into our platforms. The concept here is to make it easy to express gratitude on an ongoing basis. One idea is to have a standing item on team meeting agendas for appreciation (shoutouts). We may also consider peer-to-peer recognition programs in addition to management recognition programs. I found it helpful to keep a supply of gift cards and blank note cards for myself and other team leaders to have easy access to use and give out.

Leading with gratitude can have a very positive impact on team morale,

personal relationships, and overall performance. By taking the time to express our appreciation to our team members and other key business partners, we are creating a positive work environment that should lead to improved productivity and better outcomes. So let’s work at intentionally incorporating gratitude into our management practices — we’ll feel better and so will the others we work with! 

Wes Friesen (MBA, EMCM, CMDSM, MCOM, MDC, OSPC, CCE, CBF, CBA, ICP, CMA, CFM, CM, APP, PHR, CTP) is a proven leader and developer of high-performing teams and has extensive experience in both the corporate and non-profit worlds. He is also an award-winning university instructor and speaker, and is the President of Solomon Training and Development, which provides leadership, management and team building training. He serves as the Industry Co-Chair of the Greater Portland PCC. His book, Your Team Can Soar!, has 42 valuable lessons that will inspire you and give you practical pointers to help you — and your team — soar to new heights of performance. Wes can be contacted at wesmfriesen@gmail.com or at 971.806.0812.

IS IT REALLY THE “BUSINESS MODEL”?

BY LEO RAYMOND

In late April, the mainstream media gave Postmaster General Louis DeJoy another opportunity to promote his opinion of what’s wrong with the Postal Service and how his Plan would be its salvation. Unfortunately, the concurrent opportunity to challenge what DeJoy presented as fact was not taken, resulting in the successful delivery of his message to readers unequipped to evaluate it critically.

The April 27 interview by The Washington Post opened with an airing of DeJoy’s unsubstantiated claim that the USPS “has kept unhealthy businesses alive because of its low prices.” Those businesses, he added, have benefitted from “mailing and shipping costs that have been kept low at the expense of the Postal Service’s financial stability.” This, he opined, was part of a “false business model which is what we have done for 15 years.”

In the Q&A part of the interview, DeJoy had an open field to make his assertions uncontested. For example, asked if he felt the USPS was in a better condition now than two years ago, the PMG gave a predictable response:

“I think we’re 10,000 percent better than we were two years ago. For 15

years this place had been constructively destroyed with an operational strategy that was devoid of any logic.”

Replying to a question about inflation, DeJoy stated:

“... I think a bigger issue is the uncertainty of the market in terms of advertising. People try to attribute my price increases to reducing mail volume. I don’t buy that for a second. The overall advertising market is down 10, 11, 12 percent. What one would do to save money in an inflationary economy in a different industry is stop doing things. That’s not an option for me.”

On the matter of postage and costs, he commented:

“Whatever it costs, it will still be the cheapest in the industrialized world. It can go up to 90 cents, and it will still be the cheapest. And higher prices will be a contributing factor to why we will still have the United States Postal Service. For those who want to reach the American public and want to do it with a mail piece, we will be the best and only way to do it. That’s what the law requires me to do. It doesn’t say, ‘Go do all things at all costs’.”

Reiterating his dislike for commercial mail producers, DeJoy blamed them for his agency’s financial circumstances:

“Once we take care of the American public and we fulfill our mission, to everybody else, we’re a third-party service provider. The major mailing companies, they’re out to make a profit. I’m all for profit, but it shouldn’t be on the back of the US Postal Service in terms of our existence.”

The interviewer next stated that “Mailers often pass on the cost of rate increases to consumers,” such as bank fees rising to cover postage costs; in reply, DeJoy stated:

“The system that’s set up means we have to cover our cost. If we have kept alive things by a false business model — which is what we have done for 15 years, and we have abused the organization — well, that’s not something we’re supposed to be doing. That has to change. Yes, at some point, things come out of the marketplace. But is it the US Postal Service’s job to support and fund those things with its own resources? I think that’s a recipe for disaster. Price matters, and some things are going to get chased from the marketplace, but I think that’s just a matter of time. I’d rather get on with it now, because that time should have been seven, eight, nine years ago.”

For someone whose primary knowledge of the USPS in mid-2020 was as a former transportation contractor, DeJoy has become a font of strongly-held opinions that, to people with more postal background, reflect less independent study than an indoctrination by likeminded top advisors. That education has focused on four major elements: a “false business model”; a “defective” pricing system; an abusive commercial mailing industry; and an indifference to mail volume.

DeJoy’s missed a fundamental point: the US Postal Service is a public monopoly intended to provide a public service. It is not a business. While it’s true that Congress has consistently failed to rationalize the agency’s Universal Service Obligation with how it’s funded, DeJoy is connecting the dots wrong when he cloaks himself in service to the American public while blaming business mailers for not paying the costs.

Commercial mailers are not demanding a retail network of 31,000 post offices

nor that delivery of letters and flats be made six days a week — an element of the USO that DeJoy himself further embraced when agreeing to codification of six-day delivery in 2022’s Postal Service Reform Act.

Commercial mailers are not urging the expansion of a full-time career workforce when a flexible part-time workforce would be more suitable to declining mail volume, yet DeJoy’s policies are doing just that, hard-wiring significant cost while decrying how rates are too low to cover them.

As for ratesetting, his education about the system established by the 2006 reform law — intended to make the USPS control costs and allow rates to climb at a reasonable pace — omitted that it was torpedoed by the prefunding mandate.

DeJoy has become the spokesperson for the handful of top executives

who’ve long harbored the opinions he now dutifully echoes. That the assertions are self-contradictory or simply deflections of responsibility are not acknowledged.

The Postal Service has consistently and historically failed to control costs, period. In blaming others’ demands for service as the reason, the USPS has institutionally ignored its own role in driving up costs — ineffective management, operational inefficiency, and unmoderated labor agreements.

In turn, the agency has conflated the cost of operating under a Congressional mandate — the USO — with the cost attributable to processing and delivering commercial mail. Concurrently, the insufficiency of revenue to cover total USPS cost is blamed on commercial ratepayers, not on retail customers or Congress

— whose mandates are other-wise unfunded.

For his own purposes, DeJoy is demonizing the ratesetting process and commercial mailers as a way to avoid real corrective measures: making Congress align its USO expectations with its willingness to fund public service costs, and making the postal unions accountable for their role in operational inefficiency and ever-rising labor costs.

In formulating and implementing his Plan, Louis DeJoy predictably carried forward what he was taught: it’s not “our” failure to control costs, it’s “theirs” for not paying enough. 

Leo Raymond is Owner and Managing Director at Mailers Hub LLC. This content is based on information from the Mailers Hub enewsletter. He can be reached at lraymond@mailershub.com.

DESIGNING EYE-CATCHING DIRECT MAIL THAT ATTRACTS ATTENTION

BY KAREN KIMERER

Direct mail marketing continues to be effective in today's digital age due to its ability to stand apart from a vast array of online marketing messages. Its tangible format provides an excellent opportunity for businesses to make a long-lasting impression on their desired audience. To guarantee success, attention should be paid to the visual appeal of the direct mail piece, including carefully selected colors, smart design elements, and a touch of personalization. If these aspects are neglected, even the most thoughtfully crafted direct mail piece might be overlooked or mistaken for a generic spam marketing effort. Not paying attention to the aesthetics of direct mail can result in missed opportunities for customer engagement, reduced response rates, and wasted marketing dollars.

The strategic use of color and other design elements can dramatically improve the effectiveness of direct mail. This article explores how visually appealing and effective direct mail designs can maximize the effectiveness of your direct mail campaigns, increase engagement, and improve response rates.

Engagement with Direct Mail

In late 2022, Keypoint Intelligence released its Annual State of Transactional Communications study, which surveyed a total of 1,500 consumers in the United States. When asked how they decided which direct mail items to open and spend extra time reviewing, consumers most

commonly reported that it came from an interesting product or company. Other key factors included personalization and a visible offer on the outside (see Figure 1).

As consumers become more discerning, presenting direct mail in the best possible way can significantly impact its success. Therefore, it is vital to prioritize high-quality design to capture attention.

The goal of most direct mail marketing is to communicate and engage with a specific audience. A marketing campaign aims to generate leads or increase brand awareness. It’s also an effective tool for driving sales and converting leads. In addition, direct mail offers an opportunity to nurture relationships with loyal customers. Unfortunately, a poorly presented marketing piece can quickly derail any of these objectives.

The Right Color for the Right Message

In addition to establishing your visual identity, colors can evoke specific human emotions. The best color scheme will support the intent of the marketing piece and draw your audience in. For example, warm colors like red and orange create a sense of urgency, while cool colors like blue and green convey trust and dependability. It’s possible that you’ve already seen the Color Emotion Guide in Figure 2, which depicts how color associations can link to a brand's image. Additionally, it demonstrates the link between color and the messages that various brands are trying to convey.

Another best practice when it comes to color is using it to create a visual

hierarchy that guides a recipient’s attention to essential elements. For example, contrasting colors can highlight key information, such as calls to action or discounts. At the same time, the use of complementary colors can create visual harmony and make the content more visually appealing.

Color selection alone is not enough. To get the most out of a direct mail campaign, it’s important to pair the deliberate use of specific colors with other best practices, such as personalized and relevant messaging. While variable data is not the focus of this piece, Keypoint Intelligence’s research has consistently shown that personalized print with recipient-specific information and customization fosters a sense of familiarity and relevance.

Using Font as a Differentiator

Choosing the font for a project or design might seem like an afterthought, but the truth is that fonts are quite important to a message’s overall appeal. The primary function of fonts is to ensure that the text is legible and easy to read. Selecting the right font helps prevent eye strain and enables readers to consume the information effortlessly. Much like the psychology of color, the right font choice sets the tone and mood for a piece and can be instrumental in conveying a message and engaging with viewers. For example, a formal document may use serif fonts to convey professionalism and authority, while a playful invitation might rely on a whimsical, decorative font to reflect a fun theme. Choosing the right font aligns the visual elements with the intended tone and message, effectively communicating with the audience without using any words at all.

The layout of this article provides an example of how fonts can distinguish and highlight specific information within a direct mail piece. Employing different font styles, sizes, or weights can help differentiate headings, subheadings, body text, and other key elements. This aids in organizing and structuring information, making it easier for readers to find the most relevant content. However, getting your font choices wrong can make all of your hard work look amateurish.

Visuals Are Key to Direct Mail Marketing

The brain needs to transform words and messaging into meaning when it comes to direct mail copy. Over the years,

numerous studies have revealed that our brains process visual information far more efficiently than textual information. By combining text with visual elements, marketers can pack big ideas into small spaces. This is why effective direct mail marketing relies heavily on visual imagery.

Choosing the right visuals can capture your audience's interest and powerfully convey your message. When selecting imagery, it's important to consider your brand's personality and values. Incorporating visual elements into your mail piece can make it more appealing and easier to read, resulting in more impactful communications for your audience. Your visuals should align with your brand's identity and personality while reinforcing your overall message.

High-quality, original, and copyrightfree images should be a top consideration because they will enhance the professional look and feel of your direct mail pieces. On the other hand, low-quality or overused visuals can detract from your brand's credibility. When direct mail pieces stand out in a meaningful way, they can establish connections and increase the chances of a positive response from recipients.

The Bottom Line

The aesthetics of a direct mail piece can profoundly influence their overall effectiveness. A recipient's interest in a brand or product plays a crucial role in determining their level of engagement and readership. This means that direct mail must create, capture, and maintain

an audience’s interest. Marketers must deliver eye-catching direct mail that stands apart from the competition.

Designing a mail piece that grabs and keeps the recipient’s attention begins with careful consideration of every element involved. Every aspect of a direct mail campaign is vital to its success, from the choice of colors to the typography, layout, imagery, and overall design.

Karen Kimerer of Keypoint Intelligence has experienced the many challenges of expanding current market opportunities and securing new business. She has developed a systematic approach to these opportunities, addressing the unique requirements of becoming a leader in our changing industry. She is well-versed in 1:1 marketing, web-to-print, direct mail, book publishing, supply chain management, data segmentation, channel integration, and photo products.

Figure 2: The Logo Company’s Color Emotion Guide

Figure 1: Factors that Contribute to Reviewing

INTRO TO INTERNATIONAL MAIL

WHERE HAVE ALL THE PACKAGES GONE?

BY MERRY LAW

Two reports highlight the importance of this title question for the USPS and the global postal delivery network:

The Universal Postal Union (UPU), in its October, 2022, presentation, Trends and Drivers of International Postal Exchanges, reported a 77% decline in international small packages crossing borders within the postal network from 2020 to 2022. This is consistent with the decline in international small package volume decrease handled by the USPS. [Emphasis added.]

A May, 2023, USPS Office of Inspector General (OIG) report, The International Package Market — Trends And Opportunities For The Postal Service, stated, “Even in an uncertain global economy, international ecommerce is expected to continue to increase at rates of up to 20 percent annually until 2030.” [Emphasis added.]

As we all know, e-commerce volumes increased dramatically during the global pandemic as traditional retail stores were shuttered. Some of that uptick in volume has been lost as consumers returned to their traditional markets for goods — but not all of it has gone away. This applies both to our domestic marketplace and the global marketplace.

Consumers and businesses in different countries and regions do not act the same. E-commerce has not grown consistently around the world, both cross-border and domestically. Other than consumer preferences, government regulations and policies affect the growth — or lack of growth — in cross-border e-commerce. Customs duties and other taxes on imported goods make them more expensive. Complicated regulatory

requirements can inhibit companies from selling into other countries. Advanced Electronic Data (AED) requirements, to combat illicit goods and terrorism, present a challenge to postal operators in developing countries. Certainly, the more stringent rules for advance customs information in the EU have had air carriers, postal operators, mail service providers, and mailers scrambling to meet these requirements.

And still, an increase of up to 20% annually in international e-commerce is predicted. This does not mean that all of this will travel through the international postal network, nor does it mean every country will see a 20% increase in inbound and outbound e-commerce. As with the growth of e-commerce during the pandemic, the increase will not be evenly distributed worldwide. Some analysts contend that we are seeing a shift to regional, not global, cross-border.

So, if there are more packages being shipped globally, why is the USPS seeing a 77% decrease in international package volumes, about the same as in the worldwide postal network? Some of that is indeed volume lost to the USPS, particularly for outbound mail. Some of the decrease, however, is a shift of volume from mail imported via the postal network, i.e., from a postal operator in another country, to items imported via a commercial company and entered as domestic mail with the USPS.

In fact, the USPS has had a Global Direct Entry (GDE) for 10 years to allow vetted consolidators to enter items from other countries into the US mail stream for domestic delivery. The proportion of packages that had entered the US via the postal network that are now

arriving commercially and being mailed domestically is unclear, as is the effect on the USPS’s finances.

The equivalent to mail from other countries posted here as domestic mail for US delivery is happening to US outbound mail. It is shipped by a commercial company — a consolidator, an e-commerce platform, a private delivery company, etc. — to another country and entered into the postal system in that country. This mail volume and revenue is lost to the USPS. Alternatively, large e-commerce platforms are able to create regional warehouses closer to their more major international markets, which also removes goods from the international postal network.

Commercial customs clearance has required the information now included in postal AED for some time. In addition, commercial customs clearance allows duty and taxes to be paid by the sender or a broker on the sender’s behalf. This is known a DDP — Delivery Duty Paid. Traditionally, goods delivered by the international postal network have been DDU or Delivery Duty Unpaid, requiring the recipient to pay any duty and taxes. Although there are now some exceptions to this, many recipients are unaware of these fees and refuse to accept delivery. As more and more countries are levying duty and sales taxes on small packages, there are very real advantages to DDP solutions providing an advantage to commercial clearance. (The USPS is working on a DDP solution.)

As USPS postage prices have increased for international packages, the cost advantage enjoyed by the USPS has decreased or even disappeared. With the additional DDP advantage of commercial clearance, the USPS is no longer as competitive for international fulfillment of packages to other countries. A strong international postal network is important for consumers and small business sending to foreign destinations. The OIG’s The International Package Market — Trends and Opportunities For The Postal Service report makes it clear that the USPS faces many challenges in maintaining robust international package services for both inbound and outbound mail.

Merry Law is President of WorldVu LLC and the editor of Guide to Worldwide Postal-Code and Address Formats. She is a member of the UPU’s Addressing Work Group and of the U.S. International Postal and Delivery Services Federal Advisory Committee.

APPLICATION ARTICLE

Mastering the Art of Direct Mail: Leveraging Technology for Enhanced Efficiency

In today’s rapidly evolving business landscape, companies across industries are recognizing the importance of effective communication with their target audience. Direct mail remains a powerful marketing tool, providing a tangible touch that digital channels often struggle to replicate. According to Royal Mail MarketReach, advertising mail is engaged with 94% of the time. It’s more memorable too — 49% more than email marketing and 35% more than social media.

With that kind of response, it’s easy to see why the demand for direct mail is on the rise. And the increasing demand has made it crucial for printers to address any gaps or inefficiencies in their production processes. Whether you’re a direct mail or commercial printer, you’re familiar with the complexities and risks involved. Slow estimates, production issues, and missed deadlines can impact profitability and hinder growth.

Furthermore, outdated technology, inactive products, and reliance on a single person or small team pose risks to business continuity. To navigate these obstacles successfully, mailing companies need reliable and supported solutions that can accommodate growth and scalability.

Become a Trusted Partner in a Shifting Market

In a shifting market, direct mailers need to become trusted partners by providing substantial improvements in efficiency and profitability. Mailing projects are becoming more complex, with multiple versions, variable data permutations, and various mail drops required to capture recipients’ attention and achieve desired results.

To successfully manage these projects, businesses must rely on purpose-built solutions and processes specifically designed to address the most inefficient, error-prone, and profit-draining aspects of direct mail operations. By implementing such solutions, direct mailers can win more business, increase their capacity, reduce errors, and ultimately maximize profitability. These improvements apply not only to simple repeat jobs but also to complex projects involving multiple components and versions.

The Importance of Choosing the Right Solution

To alleviate the stress associated with direct mail operations, it

is essential that direct mailers adopt new solutions that enhance the efficiency and accuracy of their production workflows. These solutions with end-to-end workflows can revolutionize various aspects of the complex mailing process, including:

 Estimating and Proposal Generation

 Job Creation and Job Planning

 Production Work Orders and Job Tickets

 Job Milestone Management

 Scheduling and Capacity Planning

 Material Purchasing and Allocation

 Production and Shop Floor Monitoring

 Billing, Accounting, and Postage Management

Although the prospect of implementing workflow improvements may seem overwhelming initially, it doesn’t have to be an allor-nothing endeavor. You can start by addressing the highest priority challenges and gradually work down the list, gaining momentum and experiencing positive results along the way.

By embracing the right tools, direct mailers can streamline their operations, enhance productivity, and deliver exceptional results to their clients. With a focus on efficiency, accuracy, and profitability, you can thrive in the dynamic and evolving landscape of direct mail marketing.

Learn more about how eProductivity Software’s mailing workflow solutions are specifically designed to help mailing organizations improve the efficiency and profitability of all direct and transactional mail projects.

GUEST COLUMN

THE BENEFITS OF COMMINGLING YOUR MAIL

BY MARY ANN ROWAN

For in-plants as well as print services providers (PSPs), it can be challenging to navigate the complex world of mailing and postage. Fortunately, householding and commingling printed documents offers several benefits that can help streamline and optimize your mailing experience. One of the primary advantages of commingling mail is that it achieves low, if not the lowest, postage rates possible. This is because when mail is commingled, it is sorted by Zip Code, which allows for greater geographic concentration and optimal postage rates.

In addition to lower postage rates, commingling mail can also improve delivery service from the USPS. By sorting mail more efficiently, commingling can help reduce the amount of time it takes for mail to reach its intended recipients. This can be especially beneficial for companies that have strict deadlines to meet, or that rely on timely delivery to maintain customer satisfaction.

Another significant benefit of commingling mail is that it helps reduce costs for the USPS while improving its profitability. Commingled mail allows the USPS to process and deliver mail more

efficiently, which reduces operational costs. In turn, this can help ensure that the USPS remains a reliable and sustainable service for years to come.

using alerts and automated processing, companies can ensure that their mail is delivered on time and avoid penalties for missed deadlines.

Another area of improvement for digital commingling is the ability to use labor more efficiently. When there is unused production time available, the system can select a batch of work due in the future that can be mailed early. This helps to level out equipment utilization and production times, which can reduce costs for the company.

Householding with Smart Batching Further Automates Processes and Postal Savings

Finally, smart batching like work, for example one-to-two ounce First-Class US mail with a standard envelope and same due out date, together with householding can drive further automation and reduce your postal spend. By combining content addressed to the same location or person in one envelope, companies can save not only the cost of envelopes but also the cost of postage on multiple pieces. This can result in dramatic labor, paper, and postal savings for businesses of all sizes.

For example, by digitally commingling content across different types of documents, companies can achieve greater Zip Code saturation for greater postal discounts. This solution assembles various input files into a single output with consolidated indexing, which helps streamline the entire process and reduce costs. Whether your company is large, midsize, or small, digitally batching, householding, and/or commingling mail can help you achieve significant postage savings and improve your overall factory operations and processes. 

Areas of Improvement for Digital Commingling

For digital commingling, there are several areas of improvement to consider. One critical area is the ability to track and monitor orders, which can help eliminate missed service level agreements (SLAs) that can be costly for organizations. By

Mary Ann Rowan has been in the production printing and customer communications delivery industry for over 30 years. As Chief Experience Officer and a principal founder of Solimar Systems, Inc., her focus is on developing and executing Solimar Systems’ go-to-market and customer and partner engagement strategies.

Commingled mail allows the USPS to process and deliver mail more efficiently, which reduces operational costs. In turn, this can help ensure that the USPS remains a reliable and sustainable service for years to come.

4 SOFTWARE SOLUTIONS THAT WILL OPTIMIZE YOUR MAIL

Looking at the second half of the year and into 2024, there are some decisions you can be making now that will improve and enhance your mail production and delivery. Here are 4 companies that have the software that might be just what you need. Take time to review these options, go to their websites, and reach out with your questions. They’ll be happy to help.

Anchor Software, LLC is a leading provider of data quality, postal processing, document design, and VDP software. Anchor was established in 1998 to provide comprehensive software solutions for direct mailing and marketing organizations, financial and insurance companies, government agencies, utilities, and any organization that maintains and enhances its own or other companies’ lists. Anchor Software’s solutions help to improve the quality of data by incorporating its innovative and proprietary algorithms within the software to provide the most up-to-date address information and overall data-quality available. Our products include CASS™ certified address matching, NCOA changeof-address processing, and PAVE™ certified presort.

BCC Software offers a full suite of address quality services to ensure complete, correct, and current addresses for timely, predictable, and ultimate delivery of every mail piece. BCC Software is a non-exclusive direct licensee of USPS data providing both regulatory complaint services such ZIP+4 assignment using CASS Certified technology, 18 and 48-month NCOALink® change of address updating, DSF2® for saturation sequencing, and additional address quality services such as geocoding, apartment appending, deceased suppression, and proprietary move update for a five-year change of address correction. Our on-demand services are available through our software as well as secure file transfer.

ePS Mailing Solution is an advanced enterprise mailing system that streamlines and optimizes the mailing process with cutting-edge technology and user-friendly features. It effortlessly handles high-volume mailing tasks, reducing costs and increasing efficiency. Users can manage mailing lists, generate personalized documents, and automate the entire workflow, supporting various formats like letters, postcards, and envelopes. Integration with CRM systems and databases ensures accurate data synchronization. With advanced security measures, including encryption and data privacy controls, ePS Mailing Solution protects sensitive information. The intuitive interface and reporting capabilities make it an invaluable tool for businesses, enhancing productivity and delivering professional communications to clients. https://epssw.com/print/enterprise-mailing

Melissa delivers a full range of fresh and affordable solutions to help you acquire, manage, and retain more customers. We offer 100s of consumer, business, and specialty mailing lists; data enhancement and hygiene services including USPS NCOALink, Canada

a flexible line of mailing software — all

Generate new leads, clean up your marketing lists, and lower postage costs so you can be on your way to more efficient, cost-effective outreach efforts.

10 THINGS YOU WISH DIGITAL MARKETERS KNEW ABOUT MAIL

BY MIKE PORTER

Abatch of marketing people who are new to postal mail may be coming your way, now that direct mail has experienced a resurgence in popularity. That could present some challenges for seasoned mailing professionals used to working with customers who are more experienced. Some digital marketers have long ignored direct mail because it was “old-fashioned,” “not sexy,” and “too expensive.” As they venture into the postal mail pool for the first time, they probably don’t know what they don’t know. It may be up to veteran mail professionals to educate them. That’s you!

Here are some things new mailers who are used to digital communications should know about direct mail:

1. Direct mailers don’t waste money producing undeliverable, poorly targeted, or irrelevant mail. In digital channels, where production and distribution cost nearly nothing, spending time to clean up the data may seem unnecessary. But it’s vitally important

for direct mail. You should never spend money on paper, ink, production, and postage to create mail that has little to no chance of producing the desired result. This means it takes more time up front to clean and validate mailing files. Plan on a little extra time for your mailing partner to optimize your data.

2. Direct mail professionals take the time to proofread documents and double-check accuracy before pressing the “print” button to start a production job. Unrecognized mistakes in an email, social media post, or text message may be embarrassing, but fixing them is cheap. Not so with printed materials. Once they’re printed, your only method of correcting errors is re-running the job — an expensive proposition. Be sure to examine pre-production proof copies. You’ll be glad you did.

3. Direct mail can be tracked. Attribution is possible. Using methods such as Informed Visibility from the US Postal Service, each mail

piece in a job can be tracked individually as it travels throughout the delivery network. With methods such as QR codes and personal URLs, marketers can also determine which mail recipients responded to the call to action on the mail piece, so marketers can follow up. With direct mail you still get valuable metrics.

4. Colors in print can differ from colors on digital devices. Color choices affect cost.

The CMYK color gamut of a printing press may not include all the colors that can be produced on a computer monitor. Electing to print colors such as bright fluorescents can require custom inks at significantly higher cost. The paper on which the images are printed will also affect the color of the finished product. Ask your print partner for color advice.

5. Involve mailing professionals early. The USPS has specific requirements regarding mail piece design, but marketers don’t need to know all of them. Just ask mailing professionals to review designs and proposed materials before you finalize them. A minor adjustment in piece dimensions or address placement can make a big difference in the cost of a mailing. Talk to print/mail vendors early in the process. Don’t wait until it’s too late.

6. More data is available.

A name and address can be the key to accessing data that allows marketers to target and personalize their offers. Mail service providers can enhance mailing

Modern digital printing devices can personalize mail pieces in many ways. You can vary the text, offers, images, and nearly every other aspect of a direct mailer, much as you can with email.

lists by augmenting bare bones data files with information about age, income, home ownership, credit scores, and more. With additional information, marketers can filter unlikely prospects from the list and send compelling, relevant offers to those who remain. If your prospect list lacks postal addresses, mail service providers can arrange to have them appended.

7. Personalization enhances direct mail success.

Modern digital printing devices can personalize mail pieces in many ways. You can vary the text, offers, images, and nearly every other aspect of a direct mailer, much as you can with email. Personalization and segmentation strategies will improve the performance of a direct mail campaign. Don’t settle for a onesize-fits-all solution.

8. Make it multi-channel.

Linking direct mail to digital marketing channels is easy. One method, Informed Delivery, offers extra impressions and

interactivity for almost no additional investment. Ask your mailing professional how it works. The US Postal Service even offers rebates for mailers who run Informed Delivery campaigns. Multi-channel approaches yield better results.

9. Mail delivery takes time.

In the USA, the length of time it takes the US Postal Service to deliver mail varies according to the mail class and depending on where mail is deposited vs. the location of the recipients. Your mailing professional can track the mail campaign using data supplied by the USPS. If timing is critical, techniques such as drop-shipping can give mailers greater control over in-home dates. Give yourself enough time to account for production and delivery.

10. Direct mail works best with multiple touches.

A single mail piece may create a better response than an email, but mail works best when you mail repeatedly to the same list. This is particularly import-

ant when brand recognition is the goal. Experts suggest marketers will see better results if they plan for multiple mailings.

Print and mail operations may seem intimidating to marketers who have spent their careers worrying about keywords and clicks. Helping them understand what to expect and how to avoid mistakes is one way to increase the odds they will realize satisfactory results from direct mail campaigns. Share information with digital marketers, and they will see that mail isn’t as difficult as they thought. 

Mike Porter works with companies in the printing and mailing industries to help them raise awareness for their companies, improve their rankings on search results, inform potential customers about the value of their products and services, and keep prospects interested as they proceed through the buying process. Learn more about his services at www.pmccontentservices.com. Follow @PMCmike on Twitter, or send him a connection request on LinkedIn.

By Alexandria Gregory

THE QUEST FOR ABSOLUTE DATA SECURITY: 6 KEY CONSIDERATIONS

There is an adage that states all press is good press, but when it comes to data security, nothing could be further from the truth. For organizations that outsource their print and mail communications, being in the news is rarely, if ever, a positive — which is why it’s important to establish the proper systems for securing customers’ sensitive data.

Statistics around data breaches have grown even more alarming in recent years, particularly for ransomware attacks, where malicious software locks a device’s data and demands a ransom before restoring access. Today, the average ransomware demand clocks in at $247K, with the average ransomware payment closer to $952K. Only four percent of companies who pay the full amount are able to retrieve all of their lost data, and the cost of recovering from such an attack exceeds $1.8 million. These staggering figures, which are expected to continue climbing throughout 2023, demonstrate the increasing severity of such attacks, not to mention the devastating financial consequences of damaged brand reputation.

With data breaches, hacking incidents, and multi-million-dollar fines showing up in the news headlines continually, the old days of encryption keys just don’t cut it anymore. Today, the focus must be on leveraging technology in a way that keeps your files, your customers’ data, and you absolutely secure and able to sleep at night.

The word “compliance” often arises in conversations about data security, but the idea that regulatory compliance is synonymous with security is an unfortunate misconception. While regulations tend to include common elements, such as risk assessment, access control, and vendor management, many breaches often result from negligence from within the organization rather than an attempt by an outside party to gain access to protected data.

By following these six considerations, it’s possible to fill in the gaps of a compliance-only strategy while also anticipating changes to the cybersecurity landscape.

1

Adopt a prevention mindset. To transform your approach to data security and compliance, it’s critical to take a strategic, long-term view that’s laser-focused on prevention. One place to start is by seeking out a customer communications management (CCM) software solution that travels with the data to safeguard it against breaches at every step. No matter what solution you choose, it needs to be able to keep pace with the rapidly and constantly evolving trends in cybercrime.

2

Reference the CIS Critical Security Controls standards. As you’re assessing risks, take advantage of the established industry standards from the nonprofit Center for Internet Security (CIS). Formerly known as the SANS Critical Security Controls, the CIS Critical Security Controls (also called CIS Controls) are a set of 18 recommended actions designed to protect organizations and data from the most prevalent types of cyberattacks. Ranging from inventory of enterprise assets to access control management, security awareness, skills training, and web browser protections, this set of controls offers helpful guidance for mitigating risk in all areas of the enterprise.

Look for a CCM tool that’s built with data security in mind. Many companies that outsource their customer communications cobble together software products from multiple vendors, each serving a single purpose within the workflow. However, this patchwork approach to organizational workflow complicates integration, in addition to increasing the

3

likelihood of a breach. Instead of using multiple platforms, protecting the security of customer data means identifying and integrating a comprehensive CCM platform that’s designed to deliver the highest possible level of security while also offering compliance tracking, reporting, and enforcement.

Be aware of industry-specific regulations and expect continued updates to privacy laws. To meet the stringent requirements of vertical-specific regulations like HIPAA, PCI, FISMA, SSA16, and GDPR, data must be encrypted. Even if they manage to steal a piece of encrypted personal data, hackers won’t be able to access it without the privacy key. As consumers increasingly put pressure on legislators to protect them from the consequences of data breaches, including identity theft, privacy regulations are only expected to become increasingly numerous and strict. In 2022 alone, state legislatures introduced a combined total of nearly 200 consumer privacy bills. Additionally, five different states — California, Colorado, Connecticut, Utah, and Virginia — have already enacted comprehensive privacy laws.

Settle for nothing less than end-to-end encryption. To address industry-critical compliance issues, your software needs protection embedded into the data file, allowing it to travel through the workflow with constant encryption. In a typical multi-step workflow, data is unencrypted while at rest, with duplicate files commonly stored in multiple locations. Instant response and tracking are also unavailable in a typical multi-step workflow. All told, these common aspects widen the margin for human error significantly. On the other hand, a true closed-loop workflow protects data from receipt to output and keeps files encrypted through the full duration of their lifecycle. Additionally, closed-loop workflows track and send status notifications immediately, keep logs of all access, and allow data owners to set protective rules, such as those for expiration and shredding. Unlike a typical workflow, this type of intelligent protection technology provides the optimum security available, minimizing your risk of breaches and costly penalties.

Ensure disaster recovery and emergency preparedness. Unfortunately, ransomware and other cyberattacks are here to stay and the statistical likelihood that your organization will be affected is less a matter of “if” than “when.” In addition to taking steps to prevent a breach, it’s important to establish a disaster recovery plan that includes a chain of command, as well as contact information for team members, procedures for various levels of breach severity, and a plan that establishes who should be contacted and when. Most importantly, since your online system is the one most likely to be affected by ransomware, it’s critical to have an offline backup of information that isn’t accessible via a network. This will allow you to restore normal business operations after a ransomware attack.

When it comes to customers’ personal data, the words “compliance” and “security” are often heard in tandem. However, following industry-specific regulations for data security isn’t enough to prevent a breach. With greater awareness of the landscape of cyberattacks — plus, a comprehensive CCM software designed with security as a focus — it’s possible to anticipate these rapidly evolving security demands in a way that protects the reputation and future of your company. 

Alexandria Gregory is Vice President of Client Services at Transformations, Inc., developer of Uluro, a comprehensive customer communications management (CCM) software. Visit www.uluro.com or LinkedIn for more information.

MAKE PREDICTIVE ANALYTICS YOUR NEW MARKETING SUPERPOWER

BY ANDREA MOLINARES

Direct mail marketing remains one of the most effective ways to reach your target audience, capture their attention, and convert them into paying customers. Brands of all sizes that use direct mail as part of their integrated marketing campaigns indisputably get higher response rates and return on their investment.

While digital marketing has become more popular over the last decades, direct mail marketing hasn't lost effectiveness. Despite evolving consumer behavior, technological advancements, and economic factors affecting the performance of direct mail campaigns, the trend is clear: Direct mail allows brands to connect with their audience in a more personal and tangible way, which can leave a lasting impression.

As a result, print/mail service providers have increasingly turned to predictive analytics to forecast the success of their customers' campaigns, increase response rates, and maximize marketing dollars. But what exactly is predictive analytics?

According to Qualtrics, “Predictive analytics is the art of using historical and current data to make projections about what might happen in the future.”

Incorporating predictive analytics into your strategy mix can become your unique

marketing superpower and competitive advantage. If you are in the direct mail business and want to dip your toes into predictive analytics to increase response rates and campaign effectiveness, this is your sign to get started.

1. Better Understand Current and Future Consumer Behavior

There are several ways to use predictive analytics in direct mail marketing. One common approach is to use predictive modeling to identify the characteristics and behaviors of customers who are most likely to respond to a particular offer. This includes understanding consumers' clear purchasing patterns and preferences for certain products or services and demographic shifts. By doing so, you can target your customers’ mailings more effectively, leading to higher response rates and greater ROI.

Predictive analytics also help you forecast future consumer behavior based on historical and third-party data. For example, you can use predictive methods to estimate how many customers will purchase in the next quarter or which products will likely be in high demand during a particular season by analyzing former purchase data or enhancing your data with third-party data.

Spending more money to target wide audiences is no longer the right approach. Today, many corporations can measure and accurately predict the impact of their direct mail campaigns by simply analyzing and forecasting consumer behavior.

2. Optimize Integrated Multichannel Campaigns

Integrated marketing campaigns are a vital step in a successful go-to-market strategy. These unified campaigns allow your customers to thoughtfully create and track aligned visual and textual messages across channels. Likewise, combining online and offline channels is the best way to reach a specific target audience, drive response rates, and maximize the reach of your customers’ direct mail campaigns. Still, it’s not an easy task to accomplish.

This is where predictive analytics comes in! With the help of machine learning, AI, and active customer data, customer experience platforms analyze data from multiple sources, including social media, customer feedback, and previous campaigns, providing marketers with more accurate customer intelligence. In this way, predictive models can help you identify factors driving customer behavior and allow you to use advanced targeting techniques to

ensure the right audience will receive the right message at the right time.

3. Automate Personalization Methods

Personalization technology saw little improvement in the past decade due to a lack of proper data and the complexities of tracking customer journeys across different channels. However, advancements in predictive analytics and personalization technology in 2023 and beyond allow marketers to target consumers on a 1:1 basis with dynamic content. This is done through variable data printing to personalize individual postcards, self-mailers, and letters with relevant images and messages for each individual within a mailing campaign.

Personalizing communications has never been more important. Brands that understand consumer preferences and successfully communicate with their target audience will boast higher response rates, increased customer loyalty, and rapid growth in the coming years.

4. Sharpen Triggered Programs

Triggered direct mail is a cost-effective way to increase response rates in a highly targeted direct mail campaign. Plus, it connects your offline and online cam-

paigns. As a result, consumers delight in the personalization efforts and the seamless customer experience across channels. Utilizing predictive analytics algorithms helps identify high-intent prospects and retarget those most likely to convert.

Customer actions will then be recorded in a CRM and trigger an automated follow-up event, taking the buyer through a journey tailored to their preferences. Trigger mail incentives have proven successful and produce a stronger emotional reaction.

Among my favorite direct mail trigger campaigns is the startup, HelloFresh. The meal-kit provider's biggest challenge is customer retention. They leverage direct mail to appeal to consumers’ emotions and lure them back into the service with coupons, discounts, and samples using simple messaging: Come Back to HelloFresh - $160 When You Rejoin.

I’ve received multiple postcards retargeting me since I tried the meal delivery service in 2020, and even though I don’t rejoin every single time I get a mailing, they are the first brand that comes to mind in the meal-kit category. The craziest part? I have received over 500 emails from HelloFresh in the last three years,

from which I’ve only opened 14. I can’t tell you exactly how much direct mail I’ve received from them, but I can assure you I’ve opened them all.

It's important to understand that maximizing direct mail response rates and campaign effectiveness is an ongoing process. It’s all about testing and continued improvements over time. Predictive analytics is the marketing superpower that will allow you to differentiate your company from other print/mail service providers.

Understanding customer behavior, producing integrated multichannel campaigns, personalizing communications, and refining triggered programs with the support of predictive analysis will allow you to compete with the giants and keep your customers coming back for more.

Andrea Molinares is the Marketing Manager at Racami. She is responsible for developing and implementing marketing campaigns to build brand awareness, increase sales, and launch new products and services. She works closely with cross-functional teams, including product development, sales, and customer support, to ensure that Racami's solutions meet customers' needs and expectations. For more information about Racami, visit www.racami.com.

DATA QUALITY DENIAL

Is this a problem for your organization?

postal address validation program that provides real-time corrections via an API as employees or customers enter the data.

Another source of data quality problems are inconsistent data definitions across applications which lead to multiple data formats, each tuned to serve a specific purpose. Later projects to re-purpose data from one system to another can multiply the impact of bad data or prevent data from being loaded into some databases.

By Ken Kucera

Poor data quality is a problem many organizations face, but few will acknowledge. However, this head-inthe-sand attitude only allows data issues to grow and become increasingly complex as more data enters the organization from a rising number of sources. Ignoring data quality problems can lead to significant waste, errors, and re-work, which can eventually become impossible to ignore. Overcoming the denial stage is the first step in a journey towards improving data quality and reaching business goals.

Causes of Poor Data Quality

Many factors contribute to poor data quality, making it easy for company executives to overlook. Data entry errors caused by employees, customers, partners, or vendors can doom the data right from the beginning. Companies that do not adequately monitor data input or neglect to use tools to normalize or correct data as it enters the organization are likely to have downstream remediation issues. A good example of how to prevent bad data is a

Data decay is another common issue, such as with customer postal addresses, where about 15% of the US consumer population moves every year. Addresses may get corrected in extracted mailing files, but the new address data rarely makes it back to the source database. Uncorrected address information can also prevent attempts to merge files, which is a necessary step towards building consolidated customer views and personalized communications. Sales volumes, product purchases, and email addresses are just a few other examples of data that can also decay.

Poor Data Quality Symptoms

So, how do you know if you have a data quality problem? Here are common symptoms of data quality issues:

 Employees inventing home-grown workarounds to deal with data inconsistencies.

 Reports generated from different systems or divisions that do not match as they should.

 An army of staffers going over reports and charts and “fixing” them before passing them along to media, investors, or company executives.

 Having to reject requests for information or making purposely vague statements because you don’t trust the data.

Evaluate the Impact of Bad Data

Once an organization recognizes it has a data quality problem, it should determine the cost of operating with bad data. Data quality is not just about the wasteful practices of paying for

duplicate mail pieces, excess data storage, or confined to personalization errors. A piece of data might support many actions. Flaws that might be inconsequential in one case can severely impact outcomes in another. Unrecognized data quality issues can adversely affect business operations, such as staffing decisions, site location selection, money management strategies, and inventory administration.

Fixing Data Quality Problems

Once you have acknowledged the need to fix your data quality issues and have performed an assessment, it's time to develop a plan of action. Here are the steps to take:

1. Executive sponsorship: Secure executive buy-in and support to ensure the success of your data quality initiative. This involves budget approvals, setting goals, and aligning your data quality efforts with overall business objectives.

2. Define data governance policies: A data governance program is a framework that provides the structure, policies, and procedures to ensure organizations manage and use data effectively. This includes defining roles and responsibilities, establishing data management policies, and providing the tools and resources necessary to carry out those policies. A data governance program also helps make sure that data quality is a priority, and the company allocates the resources to improve the quality of their data.

3. Develop a data quality plan: Develop a comprehensive data quality plan that outlines the steps to be taken to improve data quality. Include the timeline for each step and the resources required. This plan should include data profiling, data cleansing, data standardization, data enrichment, and data governance.

4. Implement data quality tools: Install data quality tools that can automate data quality processes and provide data quality metrics and reporting. Tools that offer functions such as data profiling, data validation, and data reconciliation can help you identify and resolve data quality issues.

5. Data quality education and training: Supply data quality education and training to employees, including best practices for data entry and data management. This will help reduce data entry errors, improve data accuracy, and ensure data is properly maintained.

6. Continuous improvement: Establish a continuous improvement process that monitors and reports on data quality, provides ongoing training and support, and regularly assesses the effectiveness of your data quality efforts.

Denying the existence of a data quality problem creates a false sense of security. Organizations must acknowledge the issue and take steps to address data quality to make sure their data supports the organization’s mission and overall business objectives. Executive sponsorship, clear data governance policies, a comprehensive data quality plan, implementing data quality tools, and continuous improvement are key elements of successful data quality implementation. By investing in data quality, organizations can improve the accuracy of their data, reduce waste and errors, and make better data-driven decisions that drive business success. 

Ken Kucera is the managing principal of Firstlogic Solutions, delivering worldclass address and data quality software to data-driven companies across the USA. With 40 years of industry experience, Ken leads the team that innovates and delivers address correction, data cleansing, data enhancement, and data matching/consolidation software at Firstlogic. Reach Ken at firstlogic.com or follow him on LinkedIn.

DELIVERS ONCE AGAIN

By Kathleen Siviter

Those of us who attended the USPS’s premier industry conference — the National Postal Forum — this year, held May 21-25 in Charlotte, NC, know that, once again, the NPF delivered everything it is renowned for and more. As a long-time attendee of National Postal Forums — going back to when the USPS used to do two each year, one on the east coast and one on the west coast — I have seen the improvements and changes in the event over the past 20+ years, and the 2023 event did not disappoint!

Having experienced the work involved in putting together this kind of event (though our NAPM annual conference is a much smaller affair!), I know firsthand that a huge amount of effort is involved year-round. Hats off to the NPF and USPS staffs that worked together to bring a ton of value to NPF attendees. NAPM and its members are very involved in NPF, with many of our members exhibiting and attending sessions. Our association always exhibits in the Mailing Industry Pavilion, which is a regular feature of the

NPF for attendees to learn more about the industry associations to which many mailers and service providers belong. The NPF staff on site was exemplary in ensuring all our needs were met and everything went smoothly.

How Did the 2023 NPF Compare with Others? According to the NPF, the 2023 event drew 54% more industry attendees than the 2022 event, a clear sign of the value of the event and the interest from the mailing industry. Industry attendance was still slightly below pre-pandemic levels seen at the 2019 NPF — not a surprise given the ongoing challenges businesses continue to face with labor issues, rising costs, and supply chain disruptions — but attendance was significantly higher than the 2022 NPF.

USPS attendance was higher for this year’s show, and Postmaster General Louis DeJoy in his town hall meeting remarks noted that the USPS was combining the NPF event with internal management meetings rather than holding those meetings separately, and that likely would continue going forward. It was great for the mailing industry to have so many USPS managers there to learn about the industry’s concerns and add to the conversations about the future, and enabled many customers to meet with USPS managers who are key to their business success. And the USPS graciously ensured that industry attendees were seated first for the PMG’s town hall

meeting (something that may have been good to do for other sessions, as well, as some reported standing room only in popular sessions).

A PMG First! Kudos to the USPS and Postmaster General Louis DeJoy for conducting the first “town hall” meeting at the NPF where attendees could submit questions in advance or ask them on the spot. No topic was off limits, and the Postmaster General responded to all questions with the frankness and humor that he is becoming known for. He shared his perceptions on a long list of topics to a room packed with both USPS managers and mailing and shipping industry attendees. We hope the NPF and USPS keep this on the agenda for future events, and perhaps allow a bit more time as there were so many questions the PMG responded to, it went over time and cut into the next sessions.

Packed Exhibit Hall. There is no other conference where attendees can see firsthand as many different solutions exhibits, from a wide array of businesses in the mailing/shipping industry space, as the NPF includes. It was exciting to see all the new exhibitors at this year’s NPF that brought even more dimension to the types of solutions attendees can learn about in the exhibit hall. According to NPF, 28% of the exhibitors at the 2023 show were new exhibitors to the event, which drew 30% more exhibitors than the 2022 NPF and exceeded the pre-pandemic levels of the 2019 forum. Traffic was steady in the exhibit hall, and the NPF continued its practice of dedicated exhibit hall times as well as lunch and reception being served in the exhibit hall to help drive traffic.

Education Is the Bottom Line. There are many benefits to attending the NPF, including the opportunity to see the latest solutions in the exhibit hall, the networking opportunities, connecting with customers and USPS managers from around the country, and much more. But essential to a successful NPF are the educational sessions, and the 2023 NPF came through in a big way. USPS executives conducted numerous sessions on important topics such as the network redesign, new product offerings, integration of direct mail and digital solutions, the critical work the USPS did in delivering COVID test kits, Informed Delivery developments, pricing and product strategies, and more!

USPS and industry experts presented a long list of educational sessions on topics including general management and leadership, address quality, presort/ commingle benefits, optimizing USPS product offerings, Informed Delivery, international mail, return mail and parcels, printing and mail piece design, data security and management, shipping and mailing trends, logistics and transportation, customer solutions, supply chain management, USPS promotions, direct mail, Mailer Scorecards, Seamless Acceptance, and more. From broad policy and management topics to in the weeds discussions on MIDs and CRIDs, the National Postal Forum has it all.

meet, and provides the USPS managers the opportunity to attend industry-led sessions to learn more about their customers’ needs.

Many may not realize all the side meetings that go on during the NPF, whether they are run by mailing/shipping customers meeting with a variety of USPS managers around the country, or by mailing/ shipping associations like NAPM who hold meetings bringing together their members and key USPS managers. The fact that so many industry and USPS managers attend the NPF makes it the perfect opportunity to hold these kinds of gatherings.

Networking, Networking, Networking. One of the best things about the NPF is all the networking opportunities that are woven into the event, offering informal and relaxed discussions between mailing/ shipping industry attendees and USPS attendees. After all, we all support the same industry and want the USPS to succeed, so we have a lot in common! With a reception every night of the event sponsored by NPF or the PCC — not to mention the many receptions sponsored by attendee companies — there are plenty of opportunities to socialize and make new connections. The daily breakfast and lunch areas also provided networking opportunities, and kudos to the NPF for making the lunch events easier and more accessible to all attendees this year!

The USPS Awards and Recognition Luncheon with inspirational speakers and the closing event at the NASCAR Hall of Fame both made staying at the NPF until it ended a great decision.

With so many different topics and sessions, it is impossible for one attendee to go to all the ones they may be interested in, but the NPF makes all the session slides (except the USPS officer-led sessions) available promptly on its website for attendees to download.

NPF Brings USPS and Industry Together. One of the best things about the NPF is that it brings representatives from the USPS and the mailing/shipping industry together to work collaboratively. At the 2023 NPF, the USPS brought plant managers, marketing/sales teams, headquarters representatives, and more. The strong USPS attendance was appreciated by the industry attendees as it provides opportunities to network and

Save the Date for the 2024 National Postal Forum! Save the date now for the 2024 National Postal Forum, to be held June 2-5, 2024, in Indianapolis, IN. Check the NPF website for more information as it becomes available (https://npf.org/). Hope to see everyone there! 

Kathleen J. Siviter is Asst. Executive Director of the National Association of Presort Mailers (NAPM) as well President of Postal Consulting Services Inc. (PCSi), and she has over 30 years’ experience in the postal industry. She has worked for the U.S. Postal Service, Association for Postal Commerce (PostCom), and others, as well as providing consulting services to a diverse set of clients with interest in the postal industry. She has also worked with PostalVision 2020, an initiative designed to engage stakeholders in discussions about the future of the American postal system.

According to the NPF, the 2023 event drew 54% more industry attendees than the 2022 event, a clear sign of the value of the event and the interest from the mailing industry.

THE JULY 9, 2023 USPS RATE CHANGE: WHAT YOU NEED TO KNOW

USPS raised its rates on July 9, 2023 for the fourth time in 23 months with some of the largest increases in history and at significantly higher increases than inflation. We can expect these rate spikes to continue as the USPS has stated that two increases per year will be the new norm.

We have been creating comparison charts that go over the changes in rates to show how it will affect budgets in order to educate our clients. The reason

we do this is to provide a true comparison versus the overall average percentage increase that the Postal Service talks about. Based on the type of mail you send, the actual increase could be higher or lower. Also, when you look at the new rate charts provided by the USPS, they typically will not show the level of detail needed (such as previous and new rates, side by side, as seen in Figure 1) to see these differences.

Hopefully, this will help you budget by seeing the impact of the most common services in use today. At the bottom of this article, there is a link to an excel tool where you can plug in your mail volumes to see the impact to your organization. You can also visit https://postaladvocate.com/ratechange-tools/ to see a simple chart of all the rates in this article.

Figure 1

The prices of a stamped First-Class Mail single piece letter and metered letters are seeing a $.03 increase to $.66 and $63. A single piece flat is increasing from $1.26 to $1.35, but the additional ounce rate is staying the same at $.24. Postcards are seeing the largest increase at $.03, or a six percent change (see Figure 2).

Automation letters are going up six percent and Flats by seven to 21% (see Figure 3). The largest increases are at the highest sort levels, which will impact most large volume mailers dramatically. With any increase, it becomes more important to look for ways to reduce costs. These are the options available (see Figure 4):

 Use meters or online postage to save $.03 on letters.

 Consider presort services if you run over 500 pieces per day or have one-time mailings over 1,000 pieces.

 Automate your mailings in-house or through third-party mail services to have drastic postage savings.

 Presort and automation levels go up to 3.5 ounces for the same base rate.

 Flats and postcards can have the same automation rates as letters.

 Consider moving generic content mail from First-Class to Marketing Mail

Marketing Mail letter rates are increasing at approximately six to eight percent, while Flats are going up at seven to 10% (see Figure 5). The biggest change is occurring with heavy weight flats over four ounces. With these items, there is a per piece and per pound rate needed to

First-Class Mail Single Piece – 3% to 7% Increase

Figure

Figure 3

Figure 5

Figure 4

Marketing Mail (Formerly Called Standard Mail) – 6% to 45% Increase

First-Class Mail Commercial – 1% to 21% Increase

calculate the rate. As you can see from the chart in Figure 6, the per piece rate is going up 68-317% while the per pound rate is going down by 18-24%. The net of this is as follows:

 4-7 Ounce – 24-45% increase

 8-10 Ounce – 15-25% increase

 11-13 Ounce – 9-13% increase

 14-15.99 Ounce – 5-11% increase

The best way to save money is to move mail closer to its final location utilizing destination entry level discounts. The savings for letters are increasing to 17% whereas flats are holding at the DSCF level but increasing at the DNDC by three percent (see Figure 7). Again, heavy weight flats are taking a hit with the savings derived from Destination Entry Discounts being

reduced by over 74%! The USPS is sending a clear message that it is pushing people away from heavy weight flats.

USPS Competitive Services

The good news is Priority Mail and Priority Mail Express are not changing rates. We expect they will increase with the January 2024 rate increase, similar to what occurs with UPS and FedEx.

New Service – USPS Ground Advantage

The USPS has announced a new service that will replace the following three existing services:

 USPS First-Class Package Service (Same rates as current)

 USPS Parcel Select Ground Service

 USPS Retail Ground Service

These are the parameters:

 2 - 5 day delivery service throughout US

Additional Rate Change Items

 4 ounces to 70 pounds in weight – One standard service regardless of weight

 $100 of insurance included – can be expanded up to $5,000

 Customers can use USPS Ground Advantage Return service

 Up to 80% savings over Priority Mail –32% savings for items 10 pounds and less

 Retail and Commercial versions – 26% savings for Commercial 10 pounds and less

We think this service will be a huge win for the USPS and provide more options to clients. First-Class Package Service was one of its fastest growing because it had ounce rates vs. other services that were by the pound. We did not see typical clients utilizing the other ground services and clients would default to Priority Mail when items

were heavier. Now there will be another option that clients can use for significant savings that can be competitive against the private carriers.

The best way to reduce costs in this area is to convert your items from Retail to Commercial Base rates. You must process your items through an online postage solution that can generate a 4X6 shipping label with the address, barcode, and return address embedded. USPS.com only allows for Retail rates so you will need to look at third-party solutions that start at about $15 per month. These average savings for items less than 10 pounds (the most common for the USPS) is the following:

 Priority Mail - 19% Savings

 Priority Mail Express – 14% Savings

 Ground Advantage – 26% Savings

Conclusion

Increases of 20-55% in 23 months are unheard of and are impacting every organization. Mailers are going to need to look for savings strategies to help offset these changes. Our recommendation is to create visibility to all mailings and look for automation methods where applicable to reduce the cost and streamline production.

To budget for this increase, you need to look at the type of items you are sending, and the weight and zones that are most common, to truly estimate the impact. We have developed a Microsoft Excel-based budget calculator that you can download for free (https://postaladvocate.com/ratechange-tools/) that should help you better plan for this year (see an example to the left). Some of the most popular USPS classes are going up at the highest rates, but luckily there are ways to help mitigate this through automation and technology.

Adam Lewenberg, CMDSS, MDC, President/CEO of Postal Advocate Inc., runs the largest Mail Audit and Recovery firm in the United States and Canada. They manage the biggest shipping & mail equipment fleet in the world and their mission is to help organizations with multi-locations reduce mail and parcel related expenses, recover lost postage funds, and simplify visibility and oversight. Since 2011, they have helped their clients save an average of 56% and over $84 million on equipment, presort, avoidable fees, and lost postage. He can be reached at 617.372.6853 or adam. lewenberg@postaladvocate.com.

THINK ABOUT IT

Unrecognized mistakes in an email, social media post, or text message may be embarrassing, but fixing them is cheap. Not so with printed materials. Once they’re printed, your only method of correcting errors is re-running the job – an expensive proposition. Be sure to examine preproduction proof copies. You’ll be glad you did.

— MIKE PORTER

IN ADDITION TO LOWER POSTAGE RATES, COMMINGLING MAIL CAN ALSO IMPROVE DELIVERY SERVICE FROM THE USPS. BY SORTING MAIL MORE EFFICIENTLY, COMMINGLING CAN HELP REDUCE THE AMOUNT OF TIME IT TAKES FOR MAIL TO REACH ITS INTENDED RECIPIENTS. THIS CAN BE ESPECIALLY BENEFICIAL FOR COMPANIES THAT HAVE STRICT DEADLINES TO MEET, OR THAT RELY ON TIMELY DELIVERY TO MAINTAIN CUSTOMER SATISFACTION.

— MARY ANN ROWAN

Today, the average ransomware demand clocks in at $247K, with the average ransomware payment closer to $952K. Only four percent of companies who pay the full amount are able to retrieve all of their lost data, and the cost of recovering from such an attack exceeds $1.8 million. These staggering figures, which are expected to continue climbing throughout 2023, demonstrate the increasing severity of such attacks.

— ALEXANDRIA GREGORY

Predictive analytics also help you forecast future consumer behavior based on historical and third-party data. For example, you can use predictive methods to estimate how many customers will purchase in the next quarter or which products will likely be in high demand during a particular season by analyzing former purchase data or enhancing your data with third-party data.

— ANDREA MOLINARES

So, if there are more packages being shipped globally, why is the USPS seeing a 77% decrease in international package volumes, about the same as in the worldwide postal network? Some of that is indeed volume lost to the USPS, particularly for outbound mail. Some of the decrease, however, is a shift of volume from mail imported via the postal network.

— MERRY LAW

Denying the existence of a data quality problem creates a false sense of security. Organizations must acknowledge the issue and take steps to address data quality to make sure their data supports the organization’s mission and overall business objectives.

— KEN KUCERA