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MAILING SYSTEMS TECHNOLOGY
(ISSN 1088-2677) [Volume 38 Issue 1]
is published six times per year (January/February, March/April, May/June, July/August, September/October, November/December) by MadMen3, PO Box 259098
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NEW YEAR, NEW START
BY AMANDA ARMENDARIZ
January 1 always brings about a sense of renewal and new possibilities. Many people adopt personal resolutions such as vowing to exercise more, eat better, and drink less, while also striving to improve various aspects of their professional lives. As mailers, there are lots of aspects of our operations that we could look at as opportunities for improvement. Cutting postage costs, increasing usage of USPS postage discounts (who doesn’t want to save money on mailings they’d likely be sending anyway?), gaining greater customer engagement from our mail pieces… the list goes on. Within this issue, there is a plethora of ideas that can help you make sure your mailing operation starts out 2025 on the right foot.
Of course, a new year can also mean some uncertainty, especially when, as is the case this year, there is a new incoming presidential administration (it’s currently inauguration day as I write this). As recently as December, then-President-Elect Trump mentioned
that privatization of the USPS would once again be under consideration, despite this idea being unpopular with both parties the last time it was discussed. Obviously, if such a measure was implemented, this would have a significant impact on the entire US populace, many of who (especially in rural areas) depend on the USPS’s universal service obligation and could be disadvantaged if the system became a for-profit one. The fact that it is unpopular with Democrats and Republicans alike is reassuring, but it’s still something that causes uncertainty as we head into the new year and administration.
But no matter what happens in this year and the years ahead, we at Mailing Systems Technology will be here as your trusted industry resource. Thanks for staying connected with us.
AVOIDING THE DANGER OF DETACHMENT
BY WES FRIESEN
The esteemed Gallup organization has recently sounded the alarm on what it has labeled “The Great Detachment.” What Gallup and other researchers are finding is that employees across the country are feeling increasingly detached from their jobs (how sad!). People are seeking new job opportunities at the highest rate since 2015, while overall satisfaction with their employers has returned to a record low. But unlike the “Great Resignation,” many people feel trapped with their current employer due to a cooling job market and an economy marred by inflation.
Having team members that feel detachment brings multiple potential problems, including lower productivity, future talent loss, and lack of support for organizational goals and change initiatives. Let’s look at the five major causes of detachment and practical cures to correct and prevent.
1. Changed Team Member Expectations
The pandemic and the days that followed have caused many to reevaluate what they want from their career and employer. Employee surveys have been showing a higher importance placed on work-life balance, better compensation packages, and work flexibility. When there is a mismatch between what employees want and what employers offer, team members can feel undervalued and question their futures, leading to detachment.
2. Rapid Organizational Changes
Most organizations have gone through significant transformations post-2020. There was record high turnover and hiring during the Great Resignation. A recent employee survey found that 73% say their organization has experienced disruptive
change in the past year. A manager survey found that 55% report disruptions from restructuring of teams, 69% say there are additional responsibilities for employees, and 46% report budget cuts. The result? Managers are often faced with the challenges of stabilizing disrupted teams, onboarding new employees, while dealing with a tighter budget.
3. Hybrid and Remote Work Challenges
There are production-oriented and other jobs where in-person work is needed. But for many jobs, most of the required tasks can be completed remotely, which enables full remote or hybrid work potential. Often, people like the opportunity to do some work remotely, which can bring challenges such as communication, coordination, and emotional distancing. Fully remote workers are especially prone to feeling disconnected, as recent Gallup research found that these workers are consistently less connected to the organization’s mission, compared with hybrid workers.
4. Unclear Expectations
Gallup research has found the most important ingredient in a person’s performance and development at work is knowing what is expected of them. Without clear expectations, there is no agreed upon standard for success.
5. Feeling Uncommitted to the Organization’s Mission and Purpose
People want to know that their work matters and that what the organization does makes a difference in the world. The sense of employee connection to the mission and purpose of the organization has eroded during the Great Resignation and has recently dropped to a record low of only 30% (ouch!). Connection to mission and purpose is particularly low
among fully remote workers, younger employees, and front-line workers.
10 Cures for Detachment
1. Solicit feedback and act on it. It’s important for us in leadership roles to regularly gather feedback from our team members, then act on it. We can gather feedback via surveys (such as the Gallup 12), focus groups, open forums, regular 1:1 meetings, anonymous suggestion boxes, and other means. Then, to improve engagement, we need to act on feedback when it makes sense. A survey by TinyPulse found that 92% of employees feel more engaged when their ideas are taken into consideration. And Gallup research found that employees who feel their opinions count at work are 4.6 times more likely to feel empowered to do their best work!
2. Clarify expectations and priorities. As previously said, Gallup research has found the most important ingredient in a person’s performance and development at work is knowing what is expected of them. What we need is two-way conversations with our team members to clarify expectations and priorities. Expectations are better understood and received when they are: collaboratively set and prioritized with team members; aligned with what the team aims to achieve; regularly discussed; and take into consideration workload, wellbeing, and unexpected circumstances.
3. Connect individual work to an organization’s Mission and Purpose. As leaders and managers, we need to clarify and model the mission and values of the organization. And we need to help our team members see how they contribute to something bigger. Management guru Ken Blanchard encourages leaders to, “Connect the dots between individual roles and goals of the organization. When people see this connection, they get a lot of energy out of work. They feel the importance, dignity, and meaning of their job.”
4. Foster clear communication. Effective communication is foundational to having our teams and each team member feel engaged. Team members are more likely to feel engaged and motivated when they understand organization/team goals, values, and their role in the team’s success. HR expert Susan Heathfield points out a crucial part to clear and effective communication: “Communication is a two-way street. It’s essential that employees not only hear from leadership but also feel comfortable voicing their concerns, feedback, and ideas.”
5. Provide opportunities for growth and development. Team members want to feel that they are progressing in their career. A study by LinkedIn found that 94% of employees would stay longer at an organization if it invested in their career development. We can offer continuous learning opportunities in a wide range of opportunities, such as: internal and external training classes; webinars and seminars; cross-training and job rotations; mentorship programs; conferences; professional association involvement, and other ways to help people grow and develop.
6. Recognize and reward contributions. According to a study by Gallup, employees who receive regular recognition are more than five times more likely to be engaged in their work! Recognition can come in many forms — verbal praise, emails or texts, bonuses and other gifts, reward programs, or simple thank you notes.
7. Encourage work-life balance. When team members feel they have the flexibility to manage their professional and personal lives, they are less likely to experience burnout and feel engaged. Organizational psychologist Dr. Taryn Watson explains, “Companies that support
work-life balance are more likely to have employees who are loyal, productive, and committed.” In a survey by Butler, 32% of employees listed “not having a good work-life balance” as one of the top reasons for leaving a job. We can explore ways to help keep a healthy balance such as offering flexible work hours, remote work, additional paid time off, and reasonable expectations regarding work communications during non-work hours.
8. Give team members more autonomy. People naturally like autonomy, so we can look for opportunities to empower our team members to make decisions and contribute to how work is done (within parameters of course). Gallup research shows that 59% of employees who are allowed to make decisions at work are more likely to be engaged.
9. Cultivate a positive and inclusive culture. When team members feel respected, valued, and included they are more likely to be engaged and contribute to the success of the team. I appreciate this quote from author Pamela Stroka: “People want to know they matter, and they want to be treated as people. That’s the new talent contract.”
10. Make work itself less stressful and more enjoyable. One way to make
work less stressful is to ensure that our team members are adequately trained on the tasks they need to do. We can also ensure that we develop “bench strength” for every task our team does — we want to avoid the stress of something not getting done because a team member is unavailable for any reason. We can also build in “fun” activities into our work schedules — if you need ideas, just ask team members for their suggestions!
A final thought: the opposite of detachment is engagement. We can proactively and collaboratively work with our team members to create the conditions leading to engagement — then enjoy the benefits, including the lack of detachment!
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. 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.
THE FUTURE OF PRODUCTION INKJET: AI, HYPERPERSONALIZATION, AND SUSTAINABILITY
BY KAREN KIMERER
As we move toward the future, 2025 paves the way for a new era for production inkjet, revolutionizing the landscape of printed communications. Three key trends are poised to reshape the future: the rise of artificial intelligence (AI), the increasing emphasis on hyperpersonalization, and the urgent need for eco-friendly sustainable operations. While none of these topics are new to the industry, the advancements we are witnessing represent more than just incremental progress.
These changes mark a significant shift in possibilities, presenting endless opportunities for growth, creativity, and a competitive edge. If we look closer at these evolving trends, we can see how production inkjet is not just keeping up with change — it is driving it forward. The combination of cutting-edge technology and the enduring power of print is creating a perfect storm of potential. Welcome to 2025, where each printed piece tells a story of technological advancement!
Artificial Intelligence: Transforming Production Inkjet Workflows
AI has moved beyond being just a buzzword; it is now a significant force that is enhancing efficiency and driving advancements in production environments. Results from Keypoint Intelligence’s 2024 North American Production Software Outlook study demonstrate that all survey respondents use AI in some form in their print shops. The most common areas
of use include graphic design and fixing customer images. Second to that, AI is used to create marketing and customer communication content.
Earlier this year, Keypoint Intelligence published its 2024 State of AI Readiness survey results. This research aimed to assess current AI readiness and maturity levels and understand the extent to which organizations have adopted or are considering AI technology. The results shed light on the key drivers for AI adoption. Improving operational efficiency, enhancing the customer experience, and enabling rapid data analysis are the top three motivators for AI adoption. The data emphasizes a dual focus on optimizing internal processes and offering an exceptional customer experience.
Specific to production inkjet technology, AI continues to transform the printing
process through intelligent, data-driven machine learning that optimizes the print engine. A noteworthy example of this is the proactive detection of maintenance issues, which helps prevent production slowdowns. Further AI adoption is rapidly advancing tasks upstream in color management, automating complex tasks such as image enhancement, color profiling, and layout optimization. Streamlining these tasks improves the entire production process and is essential for PSPs that are aiming to deliver consistent, high-quality output over long runs.
Over the past five years, inkjet print quality and speed improvements have fundamentally transformed this valuable technology, offering capabilities that were previously unseen in the printing industry. Still, handling time-consuming tasks like data entry, file preparation, and proofreading are reported to be the top workflow challenges in production print. AI will continue to offer significant advancements and elevate the inkjet production print value proposition. Print service providers (PSPs) that leverage the benefits of inkjet technology coupled with the strength of AI can gain significant momentum and an uncontested competitive advantage.
Hyper-Personalization: The Power of Tailored Communications
After years of digital press manufacturers and software providers championing variable data with limited adoption, the market has finally caught up with the vision. Today’s consumers, bombarded by countless digital and physical messages, are more responsive to personalized content than ever before. Production inkjet technology, long poised for this moment, is now perfectly positioned to deliver hyper-personalized
Figure 1
print that captures attention in a crowded marketplace.
To be fair, the early days of personalization were hindered by limited processing power and expensive toner-based print devices, making it a problematic solution to scale. Recent advancements in data management, software, and inkjet technology have transformed this landscape, enabling marketers to deliver personalized content that resonates with audiences while staying within budget. This level of personalization drives higher response rates and a better return on investment, making it a critical strategy in modern marketing efforts. With its ability to handle dynamic data and produce unique, relevant pieces at scale, production inkjet technology is a gamechanger for transactional statements, direct mail, and marketing collateral.
In another study, Keypoint Intelligence focused on consumer preferences and behaviors regarding direct mail. The responses to this survey reinforce why brands need to incorporate personalization in their marketing efforts. While the majority of organizations employ a versioning approach to customer communications, a huge opportunity exists to take that approach up a notch if they want to grab the attention of more customers. As the data shows, about two-thirds of consumers report that they definitely or usually look at direct mail if it’s personalized to them and their interests.
As capabilities grow, personalized communications are no longer a luxury — they are a standard. Today’s production inkjet solutions are positioned
to transform how businesses connect with their audiences, making every piece of printed material more impactful.
Eco-Friendly and Sustainable Operations: Inkjet’s Role in a Greener Future
The third notable topic of focus is sustainability, and it’s a mandate as opposed to a trend. As businesses and consumers demand environmentally responsible practices, production inkjet technology is at the forefront of creating eco-friendly operations. Here are some key points:
1. Reduced Waste: Unlike traditional printing methods, inkjet technology minimizes waste by enabling on-demand production. There’s no need to overprint to achieve economies of scale; every piece produced has a purpose.
2. Water-Based Inks and Recyclable Substrates: Many production inkjet systems use water-based inks that are less harmful to the environment. When paired with recyclable and sustainably sourced substrates, these inks align with green initiatives without compromising quality.
3. Energy Efficiency: Modern inkjet systems are designed with energy efficiency in mind. By consuming less energy, they help reduce operational costs and lower the carbon footprint of print production.
4. Certifications and Compliance: Inkjet technology providers are increasingly focused on achieving environmental management certifications like FSC (Forest Stewardship Council) and ISO
14001. These certifications demonstrate a commitment to sustainability, giving PSPs a competitive edge in eco-conscious markets.
For operations professionals, adopting sustainable practices with production inkjet technology isn’t just about meeting regulatory requirements — it’s about positioning their organizations as leaders in responsible innovation.
The Convergence of AI, Personalization, and Sustainability
What makes production inkjet technology so exciting is its ability to seamlessly integrate three key trends: artificial intelligence (AI), hyper-personalization, and sustainability. Imagine a workflow where AI optimizes every aspect of production, enabling the delivery of highly personalized content while minimizing waste and environmental impact. This convergence is not theoretical; it’s already happening and is expected to accelerate significantly in 2025 and beyond.
While the potential of production inkjet is immense, it’s not without challenges. Investments in new technologies, staff training, and workflow integration require careful planning. At the same time, however, the opportunities far outweigh the obstacles. By embracing advancements like AI, hyperpersonalization, and sustainability, PSPs can differentiate themselves in a competitive marketplace, enhance customer loyalty by delivering innovative solutions, and drive profitability through increased efficiency and reduced waste.
The Bottom Line
For PSPs, sales professionals, and buyers alike, production inkjet technology is no longer a future consideration — it is now a reality. Rather than just evolving, this technology is truly transforming the industry’s landscape, enabling businesses to deliver exceptional value through AI-driven efficiency, hyperpersonalization, and sustainability. In 2025 and beyond, those who are bold enough to embrace these innovations and rethink the possibilities of print will be positioned for greater success.
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.
STILL TREATING THE SYMPTOMS
BY LEO RAYMOND
At the November meeting of the USPS Board of Governors, Postmaster General Louis DeJoy once again claimed only he can save the Postal Service. As reported by Government Executive, DeJoy asserted “his vision is the only one that can put the Postal Service on a sustainable path.”
Aside from his chronic hubris, and aside from whether his Plan is as unique as he claims, it’s arguable that he and the Plan continue to address the symptoms of the Postal Service’s malaise, but not its fundamental, foundational flaw. Cutting service, filling trucks, and raising the cost of mail may buy time, but won’t work for an institution whose core mission makes self-sufficiency no longer feasible.
Times Changed
There was a time, starting when the nation was formed and up to perhaps a generation ago, when the postal system could sustain itself. For most of its existence, it was acknowledged to be a public service of the US government, and Congressional appropriations (until the 1970s) and postage revenue were enough to support the cost of the retail network and delivering to every mailbox six days a week.
Then things changed. Hard copy messages started moving to electronic media, delivery points increased, and
the result — less mail to more places — upset the economic balance. The 2006 law that changed the ratesetting process tried to keep rates in check but simultaneously saddled the agency with a decade of absurd prefunding payments — a financial blow from which it may never fully recover, despite the 2022 law that eliminated the obligation.
Ironically, that law also codified both DeJoy’s vision for an “integrated network” (which he could have implemented without a statutory mandate) and the requirement for six-day delivery. In doing so, any chance of reducing the delivery obligation (not previously in law) was eliminated.
So, as the nation’s postal service approaches its 250th anniversary, its core mandate — the universal service obligation — remains the definition of both its elemental mission and its fatal flaw. Simply put, the economics of the USO no longer work and, until that problem is resolved, no plan or pricing strategy is going to right the Postal Service’s financial ship, nor will financial self-sustainability be possible.
The Postal Third Rail
When politicians start looking for ways to cut government costs, they always look at Social Security, but that program has always been avoided because it’s a “third rail” that would prove politically fatal if touched. In the case of the Postal
Service, though it’s never been given “third rail” status, the USO might as well be awarded the designation.
To unwind the USO, and relieve the USPS of the related costs, politicians would need to allow — or not obstruct — the closure of thousands of small post offices — the 70% or so of the entire retail network that loses money but is fervently protected for its symbolic value to small-town America. Politicians would also need to eliminate the six-day delivery requirement — and face the outrage of the carriers’ unions whose ranks would readily become onesixth redundant.
If eliminating the USO — fundamentally a public service mandate — is unpalatable to politicians (and it would be), the obvious alternative is to face the need to fund it. Ratepayers no longer generate sufficient volume of traditional mail to support it, and DeJoy’s expectation that his inroads into the package business will produce the necessary revenue bravely assumes his competitors will oblige.
Neither A nor B
The likely scenario is that Congress will do what it does best — ignore the problem. The principle of avoiding a “bailout” will be invoked as long as possible, no matter how obvious the Postal Service’s financial distress becomes. Meanwhile, DeJoy will continue to hold up his Plan as the only solution: cutting service, raising prices, and pushing packages until there’s no juice left to squeeze out of those grapes.
Eventually, DeJoy can declare success or ride off into the sunset claiming his Plan would have worked had the nonbelievers and other obstructionists not gotten in his way. Congress can point fingers and hold hearings but, ultimately, will remain valueless in providing meaningful relief. And the rest of us — ratepaying customers and commercial mail producers — will have to make do with whatever postal service is left. Absent courageous measures, the “broken business model” will endure; the USO will outlast us all.
Leo Raymond is Owner and Managing Director, Mailers Hub.
IS “SNAIL MAIL” STILL A THING?
BY NICK SPITZMAN
Sending old-fashioned physical “snail mail” seems outdated in our digital era. However, a recent survey of individuals and companies by Stamps.com showed that mail is surprisingly resilient and still plays a critical role in how both groups communicate in the US today.
Our research reveals that nearly twothirds (65%) of people in the US still send letters and packages at least once or twice a month. One reason mail is still incredibly relevant to individuals is because of the unique value it provides when compared to digital communications. For example, it shows the sender put in effort to send something, especially compared to the ease of sending a text or email. Senders also believe that physical mail may be more likely to be opened and read, compared to the risk of the recipient missing a digital message amidst too many others. It’s also still often seen as a more reliable way to send documents, checks, and other sensitive information, as it completely avoids the
risk of digital fraud. Lastly, physical mail signifies that the content being sent is “special.” For instance, mailing wedding
alternatives online via e-vites or social media. In sum: people still often rely on physical mail for moments that require more than a digital message, offering a sense of trust and importance that digital communication can’t always replicate. Businesses of all types still rely heavily on physical mail, with 36% of those surveyed mailing at least weekly. For industries such as law and healthcare, mail is central to their operations and critical to their success, given their need to send items such as signed documents and sensitive records.
Businesses of all types still rely heavily on physical mail, with 36% of those surveyed mailing at least weekly. For industries such as law and healthcare, mail is central to their operations and critical to their success, given their need to send items such as signed documents and sensitive records.
invitations, baby announcements, and holiday cards is still a tradition, despite there being easily accessible (and free!)
Our survey also reveals some of the most common pain points about mail for both businesses and consumers. Unsurprisingly, “high costs” tops the list for 43% of respondents. Another challenge is the time-consuming nature of mailing, with 30% of people noting the inconveniences associated with going to a drop-off location, waiting in line, and having to manage this overall process. Senders can mitigate these concerns by utilizing digital mailing solutions that offer discounts on postage and allow you to print postage from your office or home, saving money and also time. By leveraging digital technology alongside the enduring benefits of physical mail, businesses and consumers can maintain the reliability and emotional impact of mailing while taking advantage of the efficiency of digital.
Nick Spitzman is General Manager of Stamps.com.
SWITCHING GEARS TO ACCOMMODATE SMALLER MAILINGS
BY MIKE PORTER
For long-established print/mail service providers, shifting from traditional mass mailings to highly personalized, targeted campaigns can be a challenge. The focus must shift from leveraging the economies of mass production to delivering results based on precision and personalization.
Several aspects of a company’s production workflow may need some adjustments, including how you work with data. Without reliable data, personalized campaigns can miss the mark with the audience.
Understanding the Shift: Why Personalized Direct Mail Is the Future
Marketers have turned their focus towards personalized direct mail because it creates a more impactful connection with the audience. Unlike traditional mass mailings that often get lost in the shuffle, personalized pieces strike a chord with individual recipients. They speak directly to their interests and preferences, trans-
forming generic marketing approaches into a focused, consumer-driven strategy.
As engagement levels rise, businesses enjoy improved return on investment (ROI) from each personalized campaign, even though overall mail volumes may decrease. This form of targeted marketing builds brand loyalty and, ultimately, drives long-term customer relationships.
Technological advancements allow print/mail service providers to construct messages with variable data printing and other innovative techniques. When you shift your approach to personalization, direct mail transforms your clients’ marketing efforts into a more powerful line of attack, far removed from a typical mass advertising medium. When you consider personalization services part of your core offering, you stand out in a crowded and competitive market of print/mail service companies still operating under the legacy models for customer communications.
All the tools you need to deliver content that resonates on a personal level are
readily available. If you haven’t done so already, acquiring the tools, along with the knowledge of how to put them to work, should be on your “to-do” list for this year.
Adapting for Smaller Campaigns
Digital Printing
Mailers can prepare for supporting small-volume jobs by investing in digital printing technologies more suited for modest print runs compared to traditional offset printing. Digital printing allows for quick setup and minimal waste, making it ideal for producing personalized and varied content. This technology supports variable data printing, enabling each piece to be customized with unique text, images, and offers — crucial for targeted campaigns.
Operational Workflow
Streamlining workflow processes is essential for adapting to smaller print runs. A more agile production system can help manage frequent changeovers and diverse job requirements. This might involve adopting lean manufacturing principles to reduce setup times and improve overall efficiency. By optimizing the workflow, mailers can handle multiple small jobs with minimal downtime between projects. Taking half an hour to set up a job that will run all day isn’t a big deal, but doing 30-minute setups six or eight times a day will impact your productivity.
Data Management
Mailers should enhance their data management capabilities to better support personalized campaigns. This involves integrating data analytics tools that can process and segment customer data effectively. By leveraging data insights, mailers can create more targeted and relevant content, ensuring each mailing resonates with its intended audience.
Data Cleaning: Make sure the customer database is free from duplicates and outdated information to enforce accuracy and reliability. Use data clean-up tools to correct problems like duplicates, missing data elements, inconsistent data structures, capitalization, genderizing, and other errors that often pop up in client-supplied data.
Segmentation: Divide the customer data into segments based on attributes like demographics, purchase history, and behavior to enable targeted mes-
saging. Divide residential addresses from business addresses.
Address Validation: Use CASS software, NCOA, and other resources to verify and correct addresses to decrease undeliverable mail and improve delivery rates.
Enrichment: Add missing data points by using supplementary sources to create a more comprehensive customer profile. The nature of the enriched data will vary according to each project’s requirements. Common data augmentation tasks include adding phone numbers, email addresses, gender, credit scores, and income level.
Privacy Compliance: Implement strict data privacy measures to make sure all customer data handling complies with applicable regulations, such as GDPR or CCPA.
Trend Analysis: Apply analytics to identify patterns and predict customer behavior, informing future mailing strategies. This effort usually requires access to data that clients keep in their CRM
databases plus mailing and response data you may develop yourself. Watch for emerging AI tools you can deploy, reducing reliance on a skillset that may not exist in your company. This work can be a tremendous value-add and client retention opportunity.
Outsourcing
Build strong partnerships with creative agencies or freelancers to help you access the necessary imaginative and technical resources you need to produce personalized content for your clients. These partnerships can offer the flexibility to produce diverse and engaging materials with no need for a large in-house creative team. External experts can also bring fresh perspectives and innovative ideas to direct mail campaigns.
Training
Training staff to handle new technologies and processes is critical for a successful transition. Mailers should invest in comprehensive training programs that cover the latest printing technologies,
data management tools, and production techniques. By equipping their workforce with the necessary skills, mailers can ensure smooth operations and support high-quality standards in their personalized mail campaigns. Personal development programs also aid in employee recruitment and retention.
Managing the Higher Cost
On the financial front, print/mail service providers might struggle with justifying the increased per-piece costs associated with smaller mailings. Balancing quality with expenses poses a challenge. It’s crucial to keep a sharp eye on cost efficiency without sacrificing the appeal of your mail offerings.
You should be able to charge more for direct mail campaigns that feature hyper-personalization, segmentation, or integration with digital campaigns. There’s more work to be done on these jobs, and you’re adding value by boosting the conversion percentage. Customers cannot expect to pay the same price for a modern direct mail campaign as they do
for a 1980s-style mass mailing, but you may have to explain the value of the services you perform.
Implementing technology solutions can enhance personalization capabilities, allowing you to create customized content at scale. While this may require upfront investment in new equipment or software, the long-term benefits of increased efficiency and reduced waste can offset initial costs. Training staff to use these technologies can further streamline production processes or automate some steps, keeping labor costs in check.
To tackle the challenge of rising postage rates, mailers can explore options for postal discounts or incentives. Engage with USPS representatives to understand postage discounts, mailing classes, and stay up-to-date on delivery service performance. Research the USPS promotions that offer discounts for mailings completed within the promotional periods. Many promotions feature qualification requirements that you can easily meet.
The real measure of direct mail success is not the cost, it is the ROI. You may need to develop new metrics and tracking methods to compute a campaign’s performance. Be sure to set appointments with clients to review those results. These talks can sometimes uncover future opportunities for you.
Determining the ROI of your client’s direct mail campaigns can present some hurdles. You may not have access to all the client’s sales data to compute the actual ROI. And with many campaigns leveraging the power of multiple channels, deciding which channel was responsible for the sale can be nearly impossible. This is especially true for direct mail, which is often a critical element in sending customers to an online destination where the sale is ultimately consummated. You can, however, nail down the costs on your end as the print/mail service provider. If the direct mail campaign includes QR codes, personal URLs, or some other form of response tracking, you can also highlight the effect direct mail has on the mail recipient’s actions.
Where to Make Changes
Every operation is different. Everyone has a varied collection of hardware, software, and applications, so no single strategy or solution will work for everyone. Digi-
tal printing is an obvious strategy. Most companies have already installed digital presses in their operations. Here are some other areas to consider if you decide to embrace the trends and intend to support processing smaller, more frequent, highly personalized jobs for your clients.
Streamline Onboarding
You should analyze every step in the production process and look for opportunities to add automation and efficiency. This begins with the tasks you do to bring a new project into the workflow. Can you invest in software or on-demand services to comb through client data files, for instance, and tag data values so you can later use the data to compose personalized documents? Can you establish a common data format into which you can map all incoming data, standardizing the rest of the workflow?
On the financial front, print/mail service providers might struggle with justifying the increased per-piece costs associated with smaller mailings.
Shorten Setup Times
If every job requires you to change settings and fine-tune equipment, it may be time to look at upgrades. At PRINTING United last year, I spent some time watching a mail inserter that was clearly built to address the needs of customers running many jobs with varied formats throughout the day. The equipment automated changeovers, shortening the idle time between jobs to just a few minutes.
Other time-consuming inter-job tasks you may be able to trim are manual logging and record-keeping, material staging, and long waits for job setup approval by supervisors.
Optimize Throughput
Strategies like a white paper workflow can allow you to combine jobs and form larger units of work you can process through the print and finishing steps at higher speeds. Your operation will benefit from fewer interruptions and lower costs. Look for changes you can make that keep the machines running longer. Strategies like adapting all jobs to use a standard outbound envelope or altering content to turn flats into letter size mail can reduce the manual steps that eat up production time.
Automate
Some shops still rely on a series of unconnected processes to ingest data, validate it, do postal processing, achieve segmentation, and compose documents. How can you automate this workflow so that only errors or exceptions require manual intervention? Can you use production workflow software to connect these steps?
Time to Upgrade the Operation
Like it or not, the movement away from high-volume mass mailing jobs and towards personalized integrated approaches is happening. Some of those large jobs best suited for the document production equipment, software, and procedures in place at many facilities are going to eventually diminish. In their place will be a much more concentrated direct mail strategy that marketers are interested in pursuing.
It makes sense to recognize these changes and adapt to them now. Do the work to support the campaigns your clients want to run and help clients see how you can help them with personalized and targeted approaches.
Mike Porter at Print/Mail Consultants creates content that helps attract and retain customers for companies in the mailing and document industry and he assists companies as they integrate new technology. Learn more about his services at www.pmccontentservices.com. Follow @PMCmike on X, or send him a connection request on LinkedIn.
THINK ABOUT IT
While election mail is just .72% of the overall 2024 mail volume handled by the USPS from January 1 through November 15, the ecosystem of vote-by-mail arguably has the highest level of scrutiny from the general public and, especially, from Congress.
— CHRIS LIEN
The real measure of direct mail success is not the cost, it is the ROI. You may need to develop new metrics and tracking methods to compute a campaign’s performance. Be sure to set appointments with clients to review those results. These talks can sometimes uncover future opportunities for you.
— MIKE PORTER
BUSINESSES OF ALL TYPES STILL RELY HEAVILY ON PHYSICAL MAIL, WITH 36% OF THOSE SURVEYED MAILING AT LEAST WEEKLY. FOR INDUSTRIES SUCH AS LAW AND HEALTHCARE, MAIL IS CENTRAL TO THEIR OPERATIONS AND CRITICAL TO THEIR SUCCESS, GIVEN THEIR NEED TO SEND ITEMS SUCH AS SIGNED DOCUMENTS AND SENSITIVE RECORDS.
— NICK SPITZMAN
Have you noticed that some direct mail seems to be getting smaller? That flat, folded self-mailer, or envelope that you’ve been mailing for years may not be as affordable as it once was — or as effective. Think about how you can rework the size and complexity of your current campaign packages and elements. Many economical options exist for design, printing, processing, and postage.
— PAUL BOBNAK
According to a report by Gartner, 30% of enterprises will automate more than half of their network activities in 2026 efforts. This increasing reliance on automation is driven by ongoing supply chain disruptions and inflation. By automating tasks, businesses can reduce labor costs, minimize errors, and optimize resources.
— BETH BROWN
Informed Delivery is an amazing coordinating digital channel the Postal Service will give you for free. In fact, you basically get paid to use it — in the form of a postage discount.
— DAVE LEWIS
ELECTION MAIL CONTINUES TO GROW
By Chris Lien
Overall voter turnout for the 2024 general election was 63.7%, which, while not quite as high as the 2020 record turnout of 66.6%, is still an impressive number. For my home state of Minnesota, the turnout was even higher at 76.4%. And while these are fairly substantial numbers, equally impressive is that nearly 100 million of these votes were conducted using ballots delivered through the United States Postal Service.
According to the USPS 2024 Post-Election Analysis Report, 99.22 million ballots were processed, 99.88% were delivered within seven days, and 97.73% were delivered within three days. And these are just the ballot mail. When you also consider that the Postal Service delivered 3.37 billion pieces of political mail as well during 2024, it is no wonder that the USPS
appears pleased with its results for this election year.
While election mail is just .72% of the overall 2024 mail volume handled by the USPS from January 1 through November 15, the ecosystem of vote-by-mail arguably has the highest level of scrutiny from the general public and, especially, from Congress. As early as April of 2024, Congress was already calling on the Postmaster General to testify as to whether the USPS would be ready to handle on-time delivery of these important ballots. PMG DeJoy testified that the USPS would and further backed that up during a September CNN interview where he stated the USPS would take “heroic efforts” to deliver all mail-in ballots on time. He urged mailers to put their ballots in the mail at least one week before Election Day on November 5. And
that is perhaps the key to any successful vote-by-mail initiative; prepare early!
As early as January of 2024, the USPS and the mailing industry had been educating state and local election officials on the proper way to prepare ballots. This includes special Service Type Identifiers (STIDs) that are embedded into the Intelligent Mail barcode and visible markings on the envelope, as well as special tray tags that clearly indicate the contents are election mail. And while election mail absolutely receives special handling without increased postage amounts, which often frustrates many industry mailers, the process still needs to begin early.
Certain Factors Can Cause Delays, but They Can Be Mitigated
Poorly designed mail pieces are a primary reason why ballot delivery can be
delayed. Ballot tracking, which is becoming critical for elections, depends heavily on both a properly designed mail piece and an Intelligent Mail barcode that is uniquely serialized, reflects the proper sortation, a correct delivery point, proper mailer identifier, and has the correct service type identifier. These five pieces of information not only constitute the 31-byte IMb, but they are also a reflection of essential address quality and presorting steps prior to the finalization of the Intelligent Mail barcode.
Unique and serialized IMBs are a vital tool for election officials. They provide a means to monitor the delivery of official ballots while in transit both to the voter as well as on its return, helping to supplement their rigorous chain of custody practices around the mail ballot process. Just as important, it allows them to promptly respond to voter inquiries regarding the status of their ballots during transit. Together, the use of this technology helps improve voter confidence and provides better transparency of the process.
In Congress, the House passed the Vote by Mail Tracking Act on November 18, 2024. The bill was then sent to the Sen-
ate on November 19, where it was read twice and then referred to the Committee on Homeland Security and Governmental Affairs. Whether it continues into the next Congress and is ultimately signed by President Trump is yet to be known. However, it certainly speaks to the importance of properly preparing election mail-in ballots that are clearly identified and have a properly prepared IMb.
Looking Ahead to 2025 and Beyond
As the next elections approach, technology companies are further innovating to address emerging challenges in the voteby-mail ecosystem. This includes investing in advanced ballot preparation tools that adapt to state-specific requirements while ensuring compliance with evolving postal regulations. Advanced data analytics are also being leveraged to provide election officials with real-time insights into mail tracking and voter engagement. Finally, to prepare for the potential impact of the USPS’s Regional Transportation Optimization (RTO) initiative, mailers are already developing contingency solutions that mitigate delays, especially for rural mail addresses.
During COVID, we saw how important mail is to bind the nation and, in the case of election mail, to ensure our representative democracy continues to work fairly and transparently. As state and local election offices prepare for 2025 and beyond, it will be important for them to start early and educate their constituents on lead time for ensuring their mail-in ballots are counted. It will also be important for the mailing industry to remain engaged with the USPS as the Delivering For America plan transforms the postal delivery network. Together, these efforts will ensure that election mail continues to grow and thrive as a critical component of America’s constitutional republic.
Chris Lien is Executive Vice President of Postal Affairs for BCC Software, a BlueCrest company. He has been active in the mailing industry for 30 years and participates in numerous industry associations including the Postmaster General’s Mailers Technical Advisory Committee as a former industry chair. As EVP of Postal Affairs, he is focused on all aspects of the mail supply chain and provides a voice of advocacy on behalf of the thousands of BCC Software and BlueCrest customers. Chris also chairs the Board of Directors of the National Postal Forum.
UNDERSTANDING AUTOMATION: How Technology Transforms the Print and Mail Industry
Overcoming Legacy System Challenges
Despite the significant benefits automation offers, many companies are still held back by outdated technology. A report from Ricoh reveals that 52% of companies continue to rely on legacy systems, even though 45% of those surveyed acknowledge that these systems no longer align with their company’s current direction. This ongoing reliance on legacy technology presents a major barrier to adopting automation, ultimately hindering companies from fully realizing the potential advantages of modernizing their processes.
The Power of Data
By Beth Brown
Automation is a term we hear frequently, but what does it really mean in practical terms? In the print and mail industry, automation has changed the way businesses operate by saving time, reducing costs, and improving accuracy. This article will peel back the onion, breaking down how automation works in the print and mail process and how it helps businesses increase efficiency, reduce risk, and deliver communications faster than ever before.
According to a report by Gartner, 30% of enterprises will automate more than half of their network activities in 2026 efforts. This increasing reliance on automation is driven by ongoing supply chain disruptions and inflation. By automating tasks, businesses can reduce labor costs, minimize errors, and optimize resources.
For companies ready to embrace automation, data and software are the keys to success in print and mail services. It can come in various forms and complexities, often requiring detailed processing to create the final document. For example, a company may need to send thousands of personalized documents, each with unique information. Automation allows businesses to create these communications without needing manual involvement at every step. Before sophisticated platforms, campaigns had to be built entirely from scratch. This meant manually sending data to processors, waiting for it to be processed, providing variables to the design team, creating proofs, and holding for approvals before moving forward. Oh, the onion is getting strong — keep the tissues handy!
Automation streamlines the process by eliminating the need for manual data retrieval and processing. The data automatically works through to the templates to create the final product. Pre-established data rules and templates allow the process to run smoothly from start to finish. This can save up to three to four days compared to traditional methods. In business, time equals money!
Keeping Data Consistent and Flexible
While automation streamlines processes, it requires consistency in data formats and templates. Templates serve as a foundation, providing design elements that allow for varied looks while lim-
iting complexity. For example, templates might include variable images tailored to the recipient’s demographics and purchasing behavior. Gone are the days of pre-printing shells only to overprint variable elements.
This is where data rules are important. Data can range from a straightforward Excel or CSV file with multiple fields to a more intricate process, such as a crosswalk or parts library, pulling from multiple files with variable fields. Examples of data fields include purchase history, geographic location, health plan usage, chronic disease states, and account activity triggers that inform personalized images and copy.
Ensuring the data follows specific guidelines is essential for maintaining quality. However, automation still offers flexibility — whether it’s a change in template design or a new data field, updates can be made easily without disrupting the workflow. This makes it easier for businesses to adapt to changing needs while maintaining consistency in their output.
Automation also makes it easier to provide clear reporting, which is especially helpful in regulated industries like healthcare, insurance, or government. Clients can track their communications and stay informed throughout the process.
Quality Control and Data Security
Quality control is important in print and mail services, and technology helps ensure that each mail piece is accurate. Reliable businesses have barcodes that track each piece as it moves through the production process, making it easier to handle complex mailings with varying page counts or inserts. Camera technology also ensures that every sheet and package is accounted for, while also enabling the matching of multiple sheets and creating an auditable file to track all records intended for mailing. For projects with variable page counts, camera systems further enhance accuracy by verifying each page’s alignment and ensuring consistency throughout the process.
Automation also improves cost efficiency by allowing print-ready formats to be used, reducing the need for extra processes like co-mingling. This saves both time and money. Additionally, automation offers enhanced data security, with backup servers ensuring that systems run smoothly and that issues are addressed quickly, minimizing the chance of mistakes and protecting sensitive information.
Risk Reduction and Workflow Efficiency
Reducing human involvement is one of the biggest benefits of automation. Fewer manual touches mean fewer opportunities for errors, leading to greater accuracy. Data errors — such as missing instructions, overlooked processes, or output mistakes — are often impossible to catch once the printing and inserting stage begins. However, with automation, these errors are eliminated because everything is programmed to apply the same rules consistently across all files, making the entire process more efficient. If there’s a change in data format or a crosswalk component that hasn’t been programmed, it triggers an error, prompting a fix before any printing errors occur. This added layer of error-checking further ensures a smoother, more efficient workflow.
Case Study
An example of automation’s impact comes from a national health insurance provider that mails thousands of letters daily. These critical CMS-mandated communications, which must be delivered within a day, would be impossible without automated systems. In this case, data is pulled multiple times a day and flows directly to print without pause. The initial programming enables the processing of variable-page documents within a four-hour Service Level Agreement. Additionally, automated workflows ensure that all USPS-required documentation is electronically submitted. In this case, these systems solved a problem that traditional methods could never have addressed.
At Its Core
Automation goes beyond convenience; it is a powerful tool that boosts efficiency, reduces costs, and helps businesses save time. By streamlining data processing, document creation, and quality control, it enables companies to meet deadlines, improve accuracy, and stay competitive. As we get to the core of the onion, it’s clear that automation is transforming the print and mail industry, providing practical solutions that benefit both businesses and their clients.
Looking forward, the next wave of automation is likely to include the integration of more advanced AI. These technologies will enable businesses to automate decision-making processes and create hyper-personalized communications at scale, potentially revolutionizing customer engagement in the print and mail sector. Stay tuned!
Beth Brown, an account executive at United Direct Solutions, is a highly accomplished direct marketing strategist with a proven track record of delivering exceptional results for her clients through data-driven campaigns. With a deep passion for helping businesses thrive, Beth’s approach is centered on building long-term, trust-based relationships and treating each project with the utmost ownership and attention to detail. Her areas of expertise include strategic data acquisition, predictive analysis, and variable data printing, where she focuses on personalizing marketing materials to resonate with target audiences. Beth also specializes in comprehensive mailing fulfillment services, offering end-to-end solutions utilizing automation that ensure seamless execution for critical communications, from initial strategy to final delivery.
BY DAVE LEWIS
LINKING PHYSICAL MAIL WITH DIGITAL CHANNELS LEADS TO OPTIMAL PERFORMANCE
As a mail service provider, what is it your customers want from you? Advice-wise, I mean. When they send you a pre-production mockup to preview, they certainly want to know if they designed it to postal requirements. Is there room for an address? Can they have printing in the corner of the mail piece? Is the permit number right?
If the aspect ratio is a problem or it’s got the wrong ancillary endorsement, they will be grateful for your advice. You’re a valuable resource.
However, if you tell them you don’t like their offer, or that you think their call-to-action is weak, they are probably much less interested in your opinion. Believe me, I’ve been there.
“I’m no marketing expert,” I explained to my customer, Michelle, one time. “But most of our customers find it more effective to have the sales letter as the top insert.”
Michelle expressed her appreciation for my opinion. “You’re damn right you’re no marketing expert! We have tested letter placement for 10 years. Put the letter where I told you to put it. Do you need me to write that down?” I did not.
Even if customers may not cherish us punching up their sales copy, is there great advice we can offer them, other than interpretations of the Domestic Mail Manual, or explaining what envelope will fit in what other envelope? The mail service provider is the control center of the mail campaign process — there’s a lot we can offer.
A Link to Digital Channels
Mail pieces tend not to have “buy now” buttons on them. To respond to your offer, the consumer needs to do something.
Maybe they need to call an 800 number, or mail in an order, or go to a website. The perfect offer sent at the perfect time to the perfect prospect still risks ending up on the kitchen counter awaiting a later response that never happens. Making it easy and compelling to reply is essential. QR codes can be a powerful tool for boosting response. In most cases, a consumer has their smartphone nearby as they leaf through their mail. A quick scan of the QR code comes about as close as possible to putting that “buy now” button on the mail piece. There are ways to optimize the effectiveness and value of QR codes:
Create a compelling reason for a prospect to click on the QR code. “Click here to learn more” is not very compelling. “Scan this QR code for a chance to win” is better.
Make the QR code personal. With digital inkjet printing, it is a simple matter to print a unique QR code on each piece leading to its own unique web landing page. When a consumer clicks on the QR code, they can be identified as soon as they visit. The landing page can be personalized to them — even prepopulated so all the consumer needs to do is say “yes!”
Place the QR prominently on the mail piece. Yeah, it’s ugly, but you want your prospect to know it’s there.
Let the Postal Service Send a “Buy Now” Button for You
Informed Delivery is an amazing coordinating digital channel the Postal Service will give you for free. In fact, you basically get paid to use it — in the form of a postage discount. Every Informed Delivery ad carries a clickable ride-along ad that will take your prospects directly to a landing page. Give prospects a reason to
engage: “Click here to get your double savings code!” You can even personalize clicks from the ride-along, just as you can with a QR code.
Best of all, Informed Delivery ads are coordinated with the delivery of the mail to deliver an extra impression as well as an opportunity to respond.
Coordinate A Variety of Channels: Track and Trigger with Mail Tracking
The mail service provider can coordinate many of the channels in a multi-channel campaign. Direct mail is often the most expensive component of the campaign, and probably the least predictable in terms of timing. If different channels fall too far out of sync with one another, the campaign can lose the synergy associated with multi-channel offerings and just end up as separate efforts not supporting one another.
Mail tracking can be key to coordinating campaigns. Use the delivery day of the mail piece as a trigger event for your other channels: email, outbound telemarketing, and even local TV and radio. Mail tracking firms may allow you to create daily “trigger” files used to coordinate the other channels in the campaign.
Think About All of the Channels, All the Time
In a campaign with multiple channels, each channel should support the other channels. When you design the mail piece, be aware that the first view many will get of it is on their phone. Make sure the address side will be compelling when viewed at a tiny scale. Landing pages should carry similar branding so
prospects will recognize that different channels go together. If you can engage elements from one channel with another, you can build synergy and make almost a game of the campaign — “Enter the code found only on the back of your mailer here to be eligible for a free….”
Informed Delivery is an amazing coordinating digital channel the Postal Service will give you for free.
So, When You Want to Give Your Client Advice Other Than the DMM…
As the mail service provider, you should ask them about their other marketing efforts. Show them how they can connect them to physical mail with QR codes, Informed Delivery, coordinated emails, and more. Let them know they can personalize that QR code. Show them how you can help develop and execute the tactics of the campaign while they focus on strategy.
That is advice they can value and appreciate. Helping your customer proactively with tactical advice helps build great customer relationships. Every MSP has a copy of the DMM, but you have something more to offer.
Dave Lewis is President, SnailWorks.
BY PAUL BOBNAK
DIRECT MAIL TRENDS IN 2025
The mailing industry in 2025 stands at a crossroads. We’re all familiar with the challenges facing us, from chronic delivery issues, implementation of the Postmaster General’s Delivering for America strategic plan, and of course, continued postage rate increases.
On the other hand, there are even more reasons for optimism. As a $38.2 billion industry, direct mail is an effective marketing, branding, and fundraising channel. It provides more opportunities than ever before to help marketers and non-profits stand out from the glut of digital messaging that is so pervasive.
According to USPS, in Fiscal Year 2024, controllable losses were reduced by $434 million, while revenues increased both for FirstClass Mail (by 3.4%) and Marketing Mail (by 1.9%). And in study after study, marketers and printers alike agree — mostly — on how they’re adjusting the craft of direct mail to make it more affordable while, at the same time, producing mail that gets the attention of customers and moves them to respond.
For example:
In a 2024 Winterberry Group survey, 81% of brands plan to increase mail spending in 2025
A recent SeQuel Response report found that 72% of consumers engage with mail each week — up three percent from 2023
84% of marketers in Lob’s 2024 study said that direct mail delivers the best ROI
Considering all the ways that mail has been evolving recently, let’s look forward at how to incorporate the changes that will make your mail more powerful this year and beyond.
1. Optimize Your Data
Today, it’s no longer an option: you need to get the most out of your direct mail spend. That starts with data, your single greatest
asset. This has been true for decades, but given increased postage and printing costs, getting your data right is no longer just one more item on your to-do list; it’s at the top.
When you invest in solutions, you save money over both the long and short run of your direct mail campaigns. There are a number of ways to become more efficient in your processes and keep your costs under control.
To keep your costs from controlling you and produce data-driven messaging with your mail, use these tools — and use them often
— for these important tasks:
Dedupe your lists, end any internal silos, and run them through CASS (Coding Accuracy Support System) and NCOA (National Change of Address) before presort
Segment and target your audience(s) with AI-driven testing and modeling strategies that analyze and identify high-value cohorts
Dig into that audience data and predict which segments are most likely to respond to specific messages
Personalize messages, offers, headlines, and images on your mail pieces with variable data printing (VDP)
2. Review Your Mail Formats
Have you noticed that some direct mail seems to be getting smaller? That flat, folded self-mailer or the envelope that you’ve been mailing for years may not be as affordable as it once was — or as effective. Think about how you can re-work the size and complexity of your current campaign packages and elements. Many economical options exist for design, printing, processing, and postage. The savings resulting from reduced paper and postage costs may increase the ROI on your campaign.
Here are some examples:
Shrink your catalog trim size from full-size to slim-jim while maintaining page count
Transform a letter package or flat into a folded self-mailer
Replace a folded self-mailer with a jumbo postcard
3. Tune Up for Automation and Tracking
Digital campaigns run at the push of a button, so why can’t mail? When you shift from resource-heavy manual processes to automation tools, you save time and money. Your focus also shifts to achieve additional improvements in performance every step of the way.
Making changes to an existing template or uploading a new mailer to a completely automated CRM system doesn’t have to be complicated. With a laser-like focus on data, and the insights AI can give you, your automation can operate “always on.” At advanced levels, data can flow from point-of-capture events or triggers into your CDP or CRM for printing and entry into the mail system.
With USPS Seamless Acceptance, mail owners’ use of electronic documentation and Intelligent Mail barcodes (IMb) streamlines mail entry verification as well as makes postage discounts available. And Informed Visibility provides numerous benefits for mail tracking, such as delivery date notifications and better workflow planning.
4. Utilize USPS Incentives
For the first time in a few years, USPS did not file a request for a January increase in postage rates. This is a welcome step, as postage is the biggest component of mail campaign costs. With a rate hike still likely to be scheduled for July 2025, it’s a good time to consider using two programs to save additional money on postage this year.
Once again, USPS is offering companies incentives for mail campaigns that incorporate new and developing marketing and printing technologies. The goal is to help marketers and printers to create high-value mail that drives engagement and increases ROI.
For 2025, the five USPS promotions are:
Integrated Technology (3% Discount)
Tactile, Sensory and Interactive Engagement (4% Discount)
• Reply Mail IMbA (3% Discount for Static IMb, 6% for Serialized)
Continuous Contact (3% Discount)
First-Class Mail Advertising (3% Discount)
Campaigns may qualify for two add-on promotions (Informed Delivery and Sustainability), each with a one percent discount, but only when stacked with one of the five main promotions listed above.
The Mail Growth Incentives program covers both Marketing Mail and First-Class campaigns mailed in CY 2024. The goal is to drive higher sustained usage of mail by large mailers, as well as encourage higher volume by the rest. Mailers can earn credits of 30% on future volume when they exceed their 2024 volume baseline.
These trends demonstrate that direct mail is a vital entry point for marketers that is changing to meet today’s demands. It uses digital technologies to streamline processes, reach audiences with personal, relevant messages across channels, and provide a physical and authentic way to experience a brand.
Paul Bobnak is the Content Creator for Who’s Mailing What! He hosts the “Meet the Mailers” video podcast as well as writes for the site’s blog. He creates written and video content for mailing.com, Lob, and other companies. He also speaks about direct mail at marketing and printing industry events, webinars, and groups.
The Next Generation in High-volume Mail Production
Quadient announces the availability of its new DS-1200 G5iQ folder inserter. Engineered for high demand environments, from efficient paper loading to predictive intelligence, the DS-1200 G5iQ brings mail production centers up to the latest standards of productivity, intelligence and flexibility.
OPEX® Falcon+® RED™ Scanners Named High Volume Imaging Product of the Year
MOORESTOWN, NJ (December 4, 2024) OPEX® Corporation, a global leader in Next Generation Automation providing solutions for document, mail, and warehouse automation, has received an industry award for the company’s Falcon+® RED™ line of innovative scanners that consolidate manual prep steps into one streamlined onetouch process. Falcon+ RED was named the winner in the Imaging Product of the Year: High Volume category during the Document Manager magazine DM Awards held in London in November. DM Award product and company winners are voted for by readers of DM magazine and include industry peers and executives.
Kern Group Acquires Müller Apparatebau in Kranzberg
The Kern Group is pleased to announce the acquisition of Müller Apparatebau GmbH, based in Kranzberg near Munich. This merger aims to bring an unbeatable product portfolio to the market by combining the strengths of both companies. By combining the advanced technologies and extensive expertise of both companies, a product portfolio is created that is unparalleled in the industry. Kern contributes its expertise in highperformance inserting systems for high to very high production volumes, while Müller brings its leading solutions for medium to high production volumes.
BCC Software and MindFire, Inc. Join Forces to Transform Direct Mail Marketing with Innovative Omnichannel Solutions
Rochester, NY and Irvine, CADecember 10, 2024 - In a move set to revolutionize the direct mail industry, BCC Software, a BlueCrest company and leader in postal software solutions, and MindFire, Inc., a pioneer in omnichannel marketing automation, today announced a groundbreaking strategic partnership. This collaboration arrives at a pivotal moment as the USPS rolls out enhanced promotional offerings for 2025, featuring postal discounts of up to 6% for mailers who integrate digital components into their campaigns.
National Postal Forum Welcomes Karen McCormick as New Executive Director and Honors Outgoing Leaders
Gainesville, VA — The National Postal Forum (NPF), the premier educational venue for the mailing and shipping industry, is proud to announce Karen McCormick as its new Executive Director, effective January 1, 2025. McCormick will succeed Maureen Goodson, who stepped down on December 31, 2024, after an extraordinary career with NPF. Karen McCormick brings over 40 years of industry expertise and a passion for innovation to her new role. Having served as Government Relations Manager at the USPS Office of Inspector General, McCormick has been instrumental in fostering partnerships with key stakeholders. Her career includes leading the Smithsonian National Postal Museum’s “America’s Mailing Industry” exhibit and founding Fulfillment Express, a Boston-based mail service provider that served Fortune 1000 companies for over 25 years.
BETTER ADDRESS AND DATA QUALITY = BETTER MAIL
Mail is a great way to engage with your customers... but only if the mail piece reaches the intended recipient! Make sure your address and data quality are the best they can be, so that your mail piece performs at its best. Check out the solution providers below, and when you reach out, make sure you mention you saw them in Mailing Systems Technology.
Anchor Software provides software solutions for direct mailing and marketing organizations, financial and insurance companies, government agencies, utilities, and anyone that processes mailing lists. Anchor’s offerings include USPS-certified solutions for address hygiene, change-of-address, and presorting. Anchor also offers geocoding, identity resolution, document composition, and variable data printing. Anchor’s latest innovations include MaxCASS Plus, containing an upgraded engine that processes hundreds of millions of records per hour; AnchorConnect, which allows organizations to seamlessly access Anchor products and services on-premise, cloud, or hybrid; and AnchorGateway, which allows on-demand access to processes like Walk-Sequence and Apartment Append.
BCC Software delivers solutions that can’t be beat, helping you make your mailings accurate and complete. Validate, standardize, and enrich your address data, keeping it fresh with no UAA drama later. With Datavolve® and ZIPFOURce™ at your fingertips, Return to Sender agony becomes a problem you can fix. Backed by decades of expertise and tools that amaze, we streamline your processes in one hundred and one ways. From postal precision to operational delight, partnering with us keeps your mailings just right. Got a problem? Call us today — our team is standing by, ready to help you find the way.
Increase response rates and maximize ROI with clean, accurate mailing lists. Undeliverable mail not only wastes resources but also means missed opportunities to connect with your audience. By reducing undeliverable rates from 8% to 2%, marketers can improve campaign performance and boost engagement. Use advanced address hygiene tools to eliminate errors, ensure USPS compliance, and target the right recipients. Cleaner data means higher delivery rates, fewer wasted mail pieces, and more impactful responses. Don’t let outdated addresses hold your campaigns back — contact GrayHair today to enhance your address quality and drive better results!
For 40 years, Melissa has provided customer data lists, postal presort, data hygiene, and data enrichment solutions to optimize your mailings and mailing operations. We have just launched our newest product — a cloud-based customer management system (CMS) called the Melissa Alert Service. This one-of-a-kind list management platform provides a secure and scalable “vault” for your customers’ data while automatically notifying you of changes to the data including deduplication, change of address, address updates, property changes, deceased flagging, and events that matter to you. FTP and advanced API syncing is available. Pricing starts at just $95 per year for 10,000 records. Request a demo today.
The Increasing Environmental Burden of Electronic Communications
From Two Sides North America
Electronic communication is often presented as a “green” alternative to paper. Emails, cloud storage, or online bill payment and account management offer quick, cheap, and efficient options to paper-based communication and record-keeping, but the high environmental costs of the ever-expanding digital infrastructure are becoming harder to ignore, with its rising energy consumption and significant use of resources like rare-earth minerals and water. It’s essential to explore the overlooked environmental consequences of electronic communication and to understand the true sustainability of digital solutions versus paper-based alternatives.
The push for digital communications, data storage, and other trends have led to enormous server farms that run 24/7, consuming staggering amounts of electricity. For example, a report in The Times (UK) revealed that the water consumption required for ChatGPT is four times higher than previously estimated. Additionally, tech giants like Google and Amazon seek new energy sources, including nuclear, to power their data centers. These centers are
critical to electronic communication and data storage and now account for a significant portion of global electricity consumption. Over the past decade, North America and the global market have experienced significant growth in data center development, driven by the increasing demand for digital services and cloud computing.
Inventory Growth: In the first half of 2024, primary data center markets in North America saw a 10% increase in supply, adding 515 megawatts (MW) of capacity. Year-over-year, this represents a 24% growth, totaling an additional 1,100.5 MW.
Construction Surge: As of mid-2024, the data center supply under construction in North America’s top markets jumped by about 70% compared to a year ago, reaching a record 3,077.8 MW.
Colocation data centers can host multiple companies within one building, offering retail or wholesale space, or both. By the end of 2024, there will be 5,186 colocation data centers worldwide (1,803 in North America), and this number could increase to 7,640 by 2030.
Hyperscale data centers are large, remote facilities with greater cloud computing capacity than enterprise data centers. Cloud service providers Amazon Web Services (AWS), Microsoft Azure, Google Cloud Platform (GCP), IBM, Alibaba, and Oracle are investing billions of dollars in building data centers around the world. This will increase the number of hyperscale data centers from 523 in 2024 to 738 in 2030.
The rise of massive server farms to support digital communication and data storage promises efficiency and convenience. However, the environmental costs of this shift are significant. Server farms require vast amounts of energy and water for cooling, often drawing on non-renewable energy sources. Additionally, the growing demand for digital infrastructure necessitates resource-intensive manufacturing of servers and other hardware. While companies erroneously present a reduction in paper use as environmentally friendly, they fail to consider the full lifecycle impacts of the digital alternative.
The Growth of Devices
The growth in the number of consumer devices also presents environmental challenges. Every year, millions of smartphones, tablets, smart appliances, and laptops are manufactured and shipped world-
wide. These devices require rare earth metals, generate electronic waste, consume significant energy during production, and use large amounts of processing power. The increased reliance on mobile and digital communication across these devices compounds the overall environmental impact of the electronics industry.
With 62 billion kg of electronic waste generated worldwide in 2022, only 22.3% of this was officially documented as properly collected and recycled. Since 2010, the growth of e-waste generation has been outpacing the formal collection and recycling by almost a factor of 5. The US generates 7.2 million metric tons of electronic waste annually, or 21.2 kilograms (kg) per capita. Increasing levels of e-waste, improper and unsafe treatment, and disposal through incineration or in landfills pose significant challenges to the environment and human health. As a result of non-compliant e-waste management, 58 thousand kg of mercury and 45 million kg of plastics containing brominated flame retardants are released into the environment every year.
Paper: A More Sustainable Choice
Many businesses are quick to label paper as environmentally harmful, with concerns about deforestation and resource use. However, the paper industry has made great strides in sustainability, and it is the most recycled material in the US municipal waste stream (between 65% – 69%). Today, paper products are primarily sourced from responsibly managed forests. In North America, rigorous standards like FSC (Forest Stewardship Council) and SFI (Sustainable Forestry Initiative) ensure that paper production supports forest health and promotes biodiversity.
Research shows that switching from paper-based communication to digital does not eliminate environmental harm. The energy consumption, resource use, and waste generated by electronic communications are often overlooked in corporate sustainability policies.
Two Sides has demonstrated that the myth of electronic communication being “green” is primarily driven by marketing, not facts.
The Energy-Intensive Future of Electronic Communication
The push for digital communication and AI solutions continues to grow, as does the infrastructure needed to support them. Data centers, cryptocurrency mining farms, and AI-processing facilities require substantial investments in energy and water resources. While electronic communication is often marketed as a more sustainable alternative to paper, it’s clear that digital infrastructure is an energy- and resource-intensive industry.
In contrast, the paper industry’s reliance on renewable forests and increasing circularity point to a more sustainable future for physical communication methods. As we continue to explore the environmental costs of our choices, it’s crucial to acknowledge that the digital world comes with its own heavy carbon footprint.
For businesses striving to make environmentally responsible decisions, it’s important to evaluate the entire lifecycle of communication methods — both digital and paper-based. By embracing responsible paper use and supporting the circularity of paper products, we can help balance the environmental impact of communication in the modern world.
Two Sides North America is part of the non-profit Two Sides global network which includes more than 600 member companies across North America, South America, Europe, Australia and South Africa. Our member companies span the Graphic Communications and Paper-based Packaging value chain, including forestry, pulp, paper, paper-based packaging, chemicals and inks, pre-press, press, finishing, printing, publishing, envelopes and postal operations. Using a straightforward, balanced approach, Two Sides is telling the sustainability story of print, paper and paper-based packaging. Visit twosidesna.org for more information.
Business Continuity & Disaster Recovery
POSTAGE METER VS. ONLINE POSTAGE – THE BATTLE CONTINUES
By Adam Lewenberg
We have just gone through the largest USPS-required meter migration in the history of the Postal Service — over the last two years, over 60% of the meters in the US had to be replaced. Most of these meters were in the lower- and mid-volume segment where clients had to decide if they wanted a postage meter or online postage. Today, there are over twice as many online postage users as postage meters, with huge growth in the enterprise space, as organizations with multiple locations need to control expenses across their enterprises. On the other hand, there are instances where offices need the production capabilities of postage meters. In this article, we will explore advances in technology, where each solution shines, and what is the right fit for your organization.
Here are some other highlights that will be explored:
There are new postage savings available using both types of mailing solutions.
There is an increase in USPS Parcels and Priority Mail that is forcing clients to look for automation and cost reductions.
Large-volume mail is being centrally produced where possible vs. scattered at multiple locations, creating the need for production mailing solutions.
People need to generate convenience mail while working from home, while travelling, and in low-volume offices that do not always justify having postage meters. Many may be using higher-priced stamps or overnight services and could benefit from online solutions.
Web access to information has dominated new developments in the mailing solution market, allowing mailers to control the postage expenses across an enterprise.
There is a savings of $0.04 per letter for using a postage meter or online postage vs. going to the post office and buying a stamp. The significance is that this is a five percent savings, and mailing systems can pay for themselves if you are doing as little as 100 letters per month.
The big difference in rates comes when you want to do any electronic services for Certified, Parcel, or Priority Mail — costs
can be reduced by up to 41%. As you can see from Figure 1, online postage gives you Commercial/Electronic rates that are lower than those you can get through a postage meter or at the retail counter at the USPS. To combat this, all the mail equipment manufacturers have add-on optional subscription services that will give you the online postage tools to qualify for these rates. Some vendors will be able to offer you additional discounted USPS parcel rates that are lower than shown in the chart, with savings up to 70%, but it is all done through online platforms.
Cost Savings vs. Production
Online postage solutions are very reasonable and typically cost between $5-30 per month vs. postage meters, which range from $45 - $1500 per month based on the size and speed. The decision of which system is right for you has a lot to do with your mail volumes and production needs.
Online postage will print to sheets of stamps (most common), dedicated label printers, or directly onto the envelope. In most cases, the labels will need to be peeled off and applied to your envelopes manually. This is compared to postage meters, where the pieces are fed through the system at speeds of 18-310 per minute (based on system type). Many postage meters will also seal the envelope as they are being processed, and larger systems have automatic feeding and internal weighing to streamline production.
What we are finding with our clients is that those that are spending less than around $300 per month on letter mail must weigh the options with respect to which is best for them. Larger volumes will typically defer to postage meters with automatic feeding and sealing systems. If users are heavier on packages and Priority Mail, they will lean toward online postage or add it as a secondary service connected to their mailing system.
Ease of Use
Both types of systems are very easy to use. The bigger item we find is change management. If a location has multiple people that share a current postage meter and everyone walks up to run their own mail, they might find a meter easier than needing to log in to an online postage tool and send stamp sheets to their shared printer. If only one or a few people are responsible for the mail, this is less of an issue. Of the tens of thousands of users we have helped to convert to online postage, very few have had issues or complaints once they are used to the system.
However, there are a few more steps than just walking up to the meter and running it through the feeder.
Accounting and Visibility
This is where online postage shines because it tracks every piece of mail to the department, mail class, and user, and all information can be accessed in real time. Low-end postage meters will typically not be able to provide this level of detail, and higher end systems require additional accounting packages to come close to the same level of visibility.
Figure 1
Flexibility and Scalability
Because online postage is web-based, it is easy to expand to all the users in your office or at locations throughout the United States. Work from home or travelling users can share the same system. We work with clients that can have thousands of locations and users on one platform where everything can be controlled through a central dashboard. This is an easier way to distribute postage funds and control expenses. Postage meters do not have this level of flexibility and require management and infrastructure to maintain larger fleets.
New Technology Developments
Since we have highlighted the differences in systems, it is important to inform you about the latest technologies that will change the industry in the future. All the major developments drive the solutions to the web, as you will see below.
Postage Meter
Constant Connection – The newest postal regulations require network connections to the meter vendors that continually update in real-time. This allows for better accounting and visibility for your mailing spends.
Online Postage Integration – Many newer meter models will have options for online postage functionality that can be accessed through the user interface on the meter, from a computer connected to your mailing system, or through the web on your local device.
Additional Web Connected Applications – There is a large expansion in meter tools (apps) that can order supplies, place service calls, track packages, and enhance the client experience directly from the mailing system.
Online Postage Multi-Carrier – Many of the providers have tools to view, compare, and process packages from UPS, FedEx, and DHL, along with your current USPS rates. This allows your users to make the best decision on a package-by-package basis. It is key to note that these offerings have an API (Application Program Interface) direct to the carriers and can display your discounted rates.
Web-Based vs. Installed – The newest online postage tools are accessed through the cloud vs. needing to be downloaded and installed on your local computer.
Enterprise Functionality – The biggest growth area has been expanding the platform across a network. Connecting users at offices throughout the US on one consolidated platform makes it easy to control expenses. Inside this enterprise function, these are the newest trends:
• Single Sign-On (SSO): Instead of needing to manage the user login rights to the platform, this connects directly to your employee directory/ AD Group for automatic rights control. It is now easy to make sure only active staff have access to the tools, and there is no longer a need to manage passwords.
• Improved Reporting: There have been huge strides in the visibility tools available in the enterprise space of the market, and this will make it easy to manage spends.
We estimate there are over twice as many locations using online postage vs. postage meters and expect this trend to increase as mail volumes continue to drop and there is the need to better control expenses across multiple locations. At the same time, postage meters will continue to be needed in higher-volume/centralized locations. Consumers have never had better options and tools to process and control their mailing expenses, and it can all be done at lower costs and with significant postage discounts. Most organizations will need a blended approach as to which solution makes sense, and it will be determined by the specific location’s mail volume, class of mail processed, number of users, and reporting and visibility requirements.
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 mail equipment, postage, and mail-related services portfolio in the world. Their mission is to help organizations with multi-locations and mail streams reduce expenses, recover lost postage funds, and simplify visibility and oversight. Since 2011, they have helped their clients save an average of 74% and over $91 million on equipment, postage, shipping and outsourced mail service fees. He can be reached at 617.372.6853 or adam.lewenberg@postaladvocate.com.
