Tuesday, May 05, 2009

Buy Forever Stamps Now Increase May 11, 2009

Buy Forever Stamps Now Increase May 11, 2009

http://www.usps.com/prices/pricechanges.htm

Mailing Services Prices Effective Monday, May 11, 2009

On May 11 the price for a 1-ounce First-Class Mail stamp will increase from 42¢ to 44¢. Prices for other mailing services — Standard Mail, Periodicals, Package Services (including Parcel Post), and Extra Services — will also change. ...

Customers can use their Forever Stamps — regardless of when purchased — to mail 1-ounce letters after the price change, without the need for additional postage.

COMMENT

Next Monday the rate to mail a bill or other 1 ounce First Class Mail stamp increases 2 cents to 44 cents. You have until Monday May 11th to purchase Forever stamps at the current 42 cents each.

If you have 42 cent stamps that are not Forever stamps you will have to add a 2 cent supplemental stamp starting May 11.

Many of us like to send the more decorative commemorative stamps but they are not Forever stamps. If you have leftover commemorative stamps you will have to add a 2 cent stamp to get the postage up to 44 cents effective May 11, 2009.

It seems that the US Postal Service is raising prices for postage annually, which is different from their price increases in the past. It used to be that consumers had a few years between increases.

It is a different time today when most people have computers and use emails to communicate. Now many people pay their bills electronically avoiding the post office altogether. It seems fewer people are mailing greeting cards. More people are communicating by phone daily so the need to write letters is minimized. Fewer people are subscribing newspapers to be delivered by mail. The post office also has a lot of competition from delivery services especially United Parcel Service and Fedex. The postal service still has a lock on daily home delivery and bulk mail.

Maybe the Post Office needs a new business model to remain in business. Simply increasing rates further will cause customers to seek cheaper alternatives. Maybe the post office should seek to rollback their recent price increases.

The post office should name their current annual price increase policy as, "Price Increases Annually Forever". It seems they have established annual price increases as a second Forever program.