USPS to Challenge UPS on Price, Not Just Service
April 13, 2008 – 11:44 pmThe US Post Office is promising to give UPS and other small parcel carriers a run for their money by - for the first time in history - offering price breaks to volume shippers. Up until this point, the USPS charged all customers the same price for identical mail pieces of a given class regardless of quantity mailed, basing all discounts on the degree to which the mail was prepared for delivery and automation by the shipper.
USPS began to update its pricing models a couple of years ago by rewarding customers who use online labels with discounts. The online labels reduce the cost of handling the items, since PostNet bar codes and other automation features are applied before the item is entered into the mail stream, instead of manually by a sort facility. Complete information on the new pricing can be found at: http://www.usps.com/prices.