Saving Pennies Can Add Up p.

By: John Consoli

Publishers told the savings newspapers can save on each mailing
may appear small, but in the aggregate they can be enormous
MANY PUBLISHERS WERE lamenting the fact that they did not attend a 7 a.m. "early bird" workshop on postal- savings opportunities at last week's Newspaper Association of America annual convention in Boston.
With less than a dozen people in the audience, Robert Brinkmann, vice president/state, postal and regulatory affairs for NAA, told how Gannett newspapers saved more than $500,000 after realizing that they were not taking advantage of many of the postal discounts available. And the savings were for Gannett newspapers exclusive of USA Today, he said.
Brinkmann said the savings newspapers can save on each mailing may appear to be small, but in the aggregate they can be enormous.
He also told those in attendance not to expect help from most postal clerks and said newspapers should assume that, unless they are aware of the various discounts, they should not expect postal clerks to tell them about them. Many postal clerks may not even know about them, Brinkmann said.
Brinkmann said the results of a recent newspaper survey showed that 23% of newspapers using third-class mail are getting no discounts each time they send out a mailing. He said only 20.6% reported taking advantage of the sectional center facility discount, when 80% should have. He said there are 22 bulk-mail centers in the United States and many are within driving distance of a sizable number of newspapers, yet only 21.4% of newspapers take advantage of the discount offered if they drop their mailing at a bulk-mail center.
"It's important to know how to mail intelligently," Brinkmann said, and postal delivery, in many instances, can effectively supplement newspaper direct delivery.
Brinkmann also said that second-class mail rates, in some instances, can cost the same or even be cheaper than third-class rates. Newspapers, he said, should be aware of these and should take advantage of them when they can.
As far as first-class mail, used by newspapers for billing purposes and for its regular business mail, a shift to the 5-Digit Delivery Point Barcode rate can save a newspaper that sends out 5,000 first-class pieces a week $14,820 per year in mailing costs, plus more in float because of faster delivery.
The basic, non-presorted, first-ounce, first-class rate is 29?; ZIP code plus four is 27.6?; and Delivery Point Barcode is 27? per piece.
Using presorted, 5-Digit Delivery Point Barcode, a mail piece can be sent for just 23.3?.
Brinkmann said that newspapers desiring to mail using the 5-digit barcode must use a United Postal Service Coding Accuracy Support System certified software vendor.
He said banks and credit card companies, in particular, make use of 5-digit barcoding for a reason ? mail gets out faster and cheaper, and bills get paid faster.
Brinkmann said that NAA is planning to hire a postal consultant who can prepare postal forms that newspapers can use to assure that they will be aware of and be able to take the discounts they qualify for.