EcommerceBytes-NewsFlash, Number 2325 - July 07, 2010     1 of 5

USPS Publishes Proposed Rate Increases for 2011

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The U.S. Postal Service Governors recommended increasing the price of a First-Class stamp 2 cents to 46 cents and increasing the price of a postcard 2 cents to 30 cents. Customers will have to wait until October to learn how Priority and Express Mail rates may change next year.

USPS spokesperson Greg Frey explained that there are two different process for increasing rates, one for market dominant services, such as First Class mail, and another process for competitive services, such as Priority Mail and Express Mail. The proposed rates for competitive services will be announced in October to go into effect in January around the same time its competitors roll out their annual increases.

The Postal Regulatory Commission must approve the recommended price changes for market dominant services, which would go into effect January 2, 2011. The commission has 90 days to review and make a final ruling on the filing, and it can accept or reject all price requests. The proposed price changes, if approved, would raise about $2.3 billion for the first nine months of 2011. Proposed prices include:

  • First-Class Mail stamp would increase two cents to 46 cents and would add less than 13 cents a month to the average American household's budget.
  • Each additional ounce would cost 18 cents.
  • Postcard stamp would increase to 30 cents.
  • The first ounce of a large envelope (flat) would cost 92 cents.
  • Letters up to 1 ounce would cost 80 cents to $1.06, depending on the country and rate group, with a 1-ounce letter costing 80 cents to Canada and Mexico.

The board authorized the production of a pane of four evergreen tree branches as the newest image for Forever Stamps, which will be available to the public in October at the current rate of 44 cents.

The new proposed rates are available in a spreadsheet on the USPS website.

About the author:

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to

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