Printers and mailhouses battling with Australia Post’s continuous bulk mail price hikes will take a sign of relief as the national mail carrier introduces a three per cent discount for promotional mail. The new Promo Post option will decrease the cost of mail batches of more than 4000 items sent on the regular delivery timetable from the PreSort price of 55.8c down to 54.1c for same state, and from 57.6c to 55.9c for interstate.
AusPost increased its bulk mail prices by seven per cent in March, on top of the 13 per cent increase it imposed on printers and mailers last year. Australia Post says the 4000 article threshold covers 80 per cent of volume lodged as promotional in PreSort. Senders will have the autonomy to assess which article is promotional, as long as they include two unsealed samples for inspection by the mail carrier. Bill Healey, PIAA chief executive, welcomed the news but he says there is a strong market for promotional mail and the discount should be bigger to help drive up volume. Healey says, “We would like to see Australia Post be more innovative and trial a more significant reduction to see if there is a shift from other mediums back to direct mail. “It could very well be that an increase in volume from making it more competitive would cover the cost of lower prices. “The question is whether this means Post really believes direct mail has a future, or if it is just lip service to the industry.”
Bill Healey, CEO of the PIAA
An Australia Post spokeswoman says the new service recognises that mail continues to be an effective form of communication for businesses to use to engage with their customers. The company says the introduction of the discounted rates follows an ‘extensive consultation’ process with the direct market industry to create new service that will offer businesses more choice. “We expect Promo Post to be used by existing promotional mail users and to encourage further new users to trial and experience the positive results that promotional mail can bring to their business,” the spokeswoman says. PIAA chief executive says the Coalition of Mail Service Stakeholders – which brings together industry groups – licensed post offices, and unions will continue to work with Australia Post on the issue. Healey says, “While I do not believe merely cutting the March increase in half shows a great deal of courage, it at least seems more willing to engage than in the past. “We need better communication between all stakeholders to build a cohesive strategy to manage the market realities of a shift away from print to digital.” The PIAA will run workshops on changes to mail and how it affects printers.
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