Definition: The business of sending or transporting goods
Sending your mail or packages under the appropriate U.S. Postal
Service (USPS) classification can save your business hundreds--or
even thousands--of dollars each year, depending on how much and how
frequently you mail. The USPS divides mail into six
classifications:
- Express Mail
- Priority Mail
- First-Class Mail
- Periodicals
- Standard Mail (A)
- Standard Mail (B)
Express Mail offers next-day service 365 days a year. Priority
Mail can be used when the speed and expense of Express Mail aren't
necessary but preferential handling is still desired. Priority Mail
offers two-day delivery to most U.S. addresses. The maximum weight
for Priority Mail is 70 pounds.
Your local post office can supply you with Priority Mail labels,
stickers, envelopes and boxes at no extra charge. The 2-pound
flat-rate envelope is typically convenient to use. The rate of
postage is the same as that charged for a 2-pound piece of Priority
Mail, regardless of weight. A presort discount is available for
large mailings. Priority Mail can be insured, registered, certified
or sent c.o.d. for additional charges.
First-Class Mail is used for sending letters, postcards,
greeting cards, checks and money orders. If your first-class item
weighs more than 11 ounces, use Priority Mail. Additional services
such as certificates of mailing, certified, registered and c.o.d.
can also be purchased for First-Class Mail. All First-Class Mail
receives prompt handling and transportation.
The periodicals rate is available to publishers or registered
news agents approved for periodicals mailing privileges. Other
rates must be paid for magazines and newspapers mailed by the
general public.
Standard Mail (A) is used primarily by retailers, catalogers and
other advertisers to promote their products and services. This is
the type of mail you'd be using if, for example, you were sending
out a direct-mail piece to 1,000 potential customers. To qualify
for standard mail (A) rates, you buy a standard rate permit from
the post office. There is an annual fee for this (about $150), and
other fees may be charged depending on the degree to which you are
automating your mail. Standard Mail (A) is available in two
subclasses: regular (also called "bulk rate") and nonprofit.
Standard rate (B) is for parcels weighing 1 pound or more.
For a mailing to get Standard Mail (A) rates, you must be
mailing a minimum of 200 pieces or 50 pounds per mailing; the
pieces must each weigh less than 16 ounces. There are many
discounts available. Essentially, the more work you do in advance
in terms of sorting, bundling and labeling, the lower postal rate
you'll pay. At the minimum, nonautomated level, you'll need to
presort your mail by ZIP code, mark it with "Bulk Rate" and pack it
in trays. The more automated you get, the lower your per-piece
mailing cost gets. The post office has specific guidelines for
automation, including bar-coding, standards for address accuracy
and requirements for automation compatibility.
To find out more about mail classifications and how to prepare
your mail the least expensive way, visit the USPS website or go to one
of the USPS Postal Service Business Centers. These centers can
advise you on preparing and designing mailings, discounts for
presorting and saturation mailings, bar-coding, ZIP+4 strategies
and other ways to cut your mailing costs. Some also sponsor
educational seminars for business owners. The USPS will also bring
your mailing list up to its standards and add the ZIP+4 extension
to all complete addresses once at no cost. To find out where the
closest Business Center is, contact your local post office.
When it comes to shipping packages overnight, not everyone wants
to use the USPS. Fortunately, there are a variety of ways to send
overnight mail. The biggest players in the field, next to the USPS,
are DHL Worldwide Express, FedEx and UPS. Each will come right to
the doorsteps of even the smallest home based businesses.
When deciding on an express mail carrier, first think about the
services you need. Will you be sending one package per week or 15
per day? Domestically or internationally? Do you want delivery the
same day, the next day, or in two or three days? Will you be
shipping by air or ground?
When you are choosing an international courier, first ask the
company for a list of countries it delivers to. Also remember that
courier services overseas differ from domestic services in two
ways. First, your package may be turned over to a foreign delivery
service once it reaches the country to which it's being sent.
Second, customs regulations require documentation for clearance of
your export shipments.
Whether domestic or international, ask about a courier's hours
and days of service and if there are extra charges for deliveries
on Saturdays. Companies may allow you to set up daily pickup times
or may provide pickup on an as-needed basis. Typically, you get
volume discounts based on how much mail you send.
Most companies also offer a range of delivery times--for
example, "next business day, a.m." or "next business day, p.m."
Some may even offer same-day delivery for an extra fee. Other
services offered may include management reports and acknowledgement
cards.
Courier services are highly competitive and are eager to acquire
new business. As a business owner, you have clout with courier
services, so don't hesitate to ask questions and negotiate for
special rates and services. Once you know what your express mail
needs are likely to be, compare them against what the different
courier services offer.