Flag

USPS News You Can Use

News You Can Use.

Next USPS price increase expected in July 2027.

USPS Price Increases.

The USPS cannot raise prices whenever desired. Its regulator, the Postal Regulatory Commission (PRC), now limits the Postal Service to one price increase per year. Rate increases are generally based on inflation and density rate authority.

Density Rate Authority.

In addition to the inflation cap, USPS has another primary tool to adjust prices called “density rate authority.” The USPS must deliver mail to every address in the country, six days a week, no matter how much mail volume exists. When the number of addresses keeps growing but the amount of mail is shrinking, the cost of delivering each individual piece goes up. Density rate authority lets USPS capture this cost increase. It is calculated once a year from audited financial numbers, usually filed each December.

Recent News.

The USPS wanted to raise rates again in January 2027, to accelerate revenue generation and align price changes more closely with calendar year fiscal cycles ending in December. It asked the PRC for permission to use early, estimated numbers (instead of waiting for final audited figures) to implement a rate increase that combined both the inflation cap and this extra density boost.

On August 21, the PRC denied the USPS’ request to calculate and apply early “density” rate authority for January 2027 because the USPS failed to show sufficient cause to use estimated data.

What’s Next.

The USPS can still raise rates in January 2027, but for now, it’s limited to the standard inflation-based increase, not the larger, density-boosted adjustment. So, if a January adjustment happens, expect it to be smaller than recent increases because it will be limited to the rate of inflation.

If that does not take place, expect the next increase to take place in July 2027 with “current” estimates as high as 6% to 7% (this a blended average for all Market Dominant Products such as Periodicals and Marketing Mail).

How We Can Help.

Our team is ready to help you with mailing strategies that optimize postage costs and response. Stay tuned for the release of our 2027 USPS Postal Promotions & Incentives Guide.

shutterstock_517841914

How Smart Marketers Drive Growth Before Peak Shopping Season

The second half of the year is when many brands make—or miss—their numbers.

From Back-to-School and Labor Day through Halloween, Thanksgiving, Christmas, and New Year’s, consumers are actively researching, comparing and planning purchases. The marketers that win aren’t the ones that show up first during Black Friday week, they’re the ones that influence buying decisions long before a purchase is made.

That’s where catalogs and direct mail create a competitive advantage.

Reach customers before Black Friday

An oversight that brands may make is treating catalogs as a holiday tactic rather than a second-half growth strategy.

Labor Day, Back-to-School, and Halloween campaigns provide valuable opportunities to influence customer behavior before peak shopping season begins. By the time Thanksgiving arrives, many consumers have already started researching products, building shopping lists, and narrowing their options.

A well-timed catalog helps brands stay visible during the planning phase, not just the purchasing phase.

Make digital work harder

The strongest seasonal campaigns are not built around a single channel. They connect multiple channels to create a consistent customer experience.

Catalogs help facilitate an integrated shopping experience by driving traffic online through QR codes, personalized URLs and promotional offers. When customers receive your catalog, they’re more likely to notice your email, engage with your digital advertising or visit your website.

Balance acquisition with reactivation

The second half of the year isn’t just about finding new customers, it’s also an opportunity to reconnect with existing ones or lapsed buyers.

Seasonal catalogs help re-engage inactive buyers, remind customers why they love your brand, and showcase new products, offers and categories. For many marketers, some of the most efficient growth opportunities come from customers who already know and trust them.

Drive discovery through storytelling

The best catalogs do more than showcase products, they create shopping experiences.

Unlike many digital ads that focus on a single offer, catalogs give brands space to tell a story, highlight seasonal trends and help consumers discover products they weren’t actively searching for. That’s especially valuable during gift-giving seasons, when shoppers are looking for ideas and inspiration as much as specific products.

The time to plan (and test) is now

Successful seasonal programs don’t happen at the last minute. The brands that consistently outperform their competitors use the second half of the year to test audiences, offers, creative approaches, and merchandising strategies.

Those insights not only drive results today, they create a stronger foundation for next year’s growth.

The bottom line

Catalogs and direct mail aren’t just seasonal marketing tactics, they’re growth tools. When used strategically, they can help brands reach customers earlier, strengthen omnichannel performance, and maximize results during the most important selling season of the year.

Let’s have a conversation about your marketing strategy for the remainder of 2026.

shutterstock_1301325586 (1)

Postage Increases Don’t Have to Mean Less Mail – They Demand Smarter Strategy

Postage increases continue to change the economics of direct mail, but more importantly, they are reshaping how direct mail is designed and executed. The latest changes, including increases to letter rates and the sunset of the Catalog Insights Promotion, are prompting marketers to take a closer look at format, structure, and overall program efficiency.

Rather than pulling back, the most forward-thinking brands are adapting. They are rethinking how to deliver the same level of impact such as brand storytelling, product visibility, and customer engagement within a more optimized cost structure. That shift is driving smarter decisions around format, design, and ultimately, the role that paper plays in the overall experience.

From Cost Pressure to Smarter Format Strategy

As postage economics evolve, many brands are reevaluating format choices. In some cases, that means reducing flat-sized catalogs. In others, it means re-engineering them. Think: transitioning into more efficient formats such as slim-jims, self-mailers, or compact booklet-style mailings that qualify for letter rates.

Brands can still rely on direct mail to tell stories, showcase products, and create tangible brand experiences. That doesn’t change. What does change is how those experiences are delivered in a more cost-effective way.

And this is where the paper conversation becomes critical.

Why Paper Strategy Matters More Than Ever

Many of today’s catalog-like letter formats still depend on coated freesheet to deliver the visual quality, color fidelity, and brand presence marketers expect. In a smaller format, the role of the paper becomes even more important because it must do more, in less space.

This creates a more nuanced demand dynamic:

  • – Traditional large-format catalog volume may face pressure
  • – Smaller, more targeted coated applications may grow
  • – Overall demand becomes more dependent on format mix and program design

In other words, postage increases don’t just reduce demand, they redistribute it.

Turning Pressure Into Opportunity

This is where a more strategic approach can make a measurable difference.

Postage should not be viewed as a fixed cost to absorb, but as a lever that informs how campaigns are built. From format and paper selection to targeting and frequency, the right decisions can offset increased costs while preserving, or even enhancing, performance.

At MH, we work with clients to navigate this intersection. Together, we:

  • – Evaluate where format shifts can drive efficiency without sacrificing impact
  • – Align paper selection with both brand goals and postal requirements
  • – Optimize programs to maximize ROI per piece in a rising cost environment

The goal is not to eliminate print or reduce presence, it’s to make every piece work harder.

The Bottom Line

Postage increases are not new, but the way brands respond to them is evolving.

The most successful marketers are not pulling back. They are becoming more intentional, rethinking formats, refining execution, and leveraging smarter paper strategies to maintain both efficiency and experience.

…Because direct mail remains one of the most powerful channels available, and with the right approach, it can continue to deliver, regardless of where postage goes next.

Dad and daughter 2021

Direct Mail Is Not Just Marketing, It’s Part of the Brand Experience

Over the years, direct mail has often been viewed as a promotional tool – a vehicle for discounts and short-term response. However, it is a far more powerful medium. Today, direct mail is not just a tactic; it is an extension of the brand experience itself AND it’s measurable. 

The brands that outperform in today’s crowded marketplace understand a simple truth: how a brand shows up matters. When executed strategically, physical mail creates a sensory, memorable interaction that digital channels often struggle to replicate. In fact, brands that create stronger physical experiences often see stronger engagement, higher repeat purchase behavior, and improved long-term customer value.

Unlike digital impressions that are easily skipped, deleted, or forgotten, direct mail commands attention. It lives in the recipient’s hands. It engages multiple senses. It invites interaction. And in doing so, it creates something far more valuable than a click, it creates a feeling

That feeling is where brand equity is built.

The strongest direct mail programs move beyond discounts. Every element – from format and materials; to timing and personalization – works together to reinforce perception and create a more meaningful interaction. 

This is where direct mail shifts from a simple tactic to a storytelling channel. A well-executed piece can show quality, build trust and create emotional connection before a purchase even happens, and reinforces consistency across the broader marketing ecosystem. Most importantly, by creating this synergy, response lift increases.

The most successful programs bring together four key elements:

  • Strategic targeting: Leveraging data to reach the right audience with relevance and precision (and analyzing campaign performance) to maximize growth
  • Experience-driven creative: Designing mail that reflects the brand’s voice, values, and positioning, not just the offer
  • Measurable performance: Integrating tracking, attribution, and testing to drive insight and ROI
  • Operational excellence: Ensuring seamless execution from inception and production through delivery, identifying efficiencies, and optimizations along the way

Physical mail arrives with intention. It feels curated. It signals effort. And that perception alone elevates the brand behind it. In a crowded digital environment, direct mail has become one of the few channels capable of driving both measurable performance and meaningful brand connection.

The brands that win are not just marketing to their customers, they are creating measurable moments that increase engagement. Arguably, there is nothing more important for a brand in today’s marketplace than customer loyalty, especially when considering Customer Acquisition Cost (CAC). 

Direct mail, when done right, is one of the most powerful ways to make that moment matter.

Group,Of,Paper,Plane,In,One,Direction,And,With,One

Seasonality Isn’t Just the Holidays, It’s Life Stages

For many brands, the holiday season is all-important. Retailers, consumer services, and gifting businesses often concentrate their marketing investments from October through December—and for good reason! Major annual holidays like Halloween, Valentine’s Day, Easter, Memorial Day, the Fourth of July, and Labor Day are undeniably important, shaped by each brand’s unique goals and audience.

However, true seasonality encompasses more than just these holidays. It includes life stages and real-world moments that influence consumer needs and behaviors throughout the year. These opportunities can be just as powerful (if not more so!) because they connect directly to meaningful transitions in people’s lives.

Examples of life stages:

Wedding Season (June-September): The peak time for weddings opens the door to targeted campaigns—not just for couples, but also for families, guests, and B2B brands attending and supporting these events.

New Movers (May-September): Moving season is a prime opportunity to reach households the moment they’re forming new routines and brand loyalties… and have changing priorities and needs! Leveraging new mover data from the USPS can help brands connect with potentially new customers early, beating your competitors to the door.

Back to School (BTS): This season gets earlier each year and often gets overshadowed by holiday planning. Campaigns tied to these moments can feel timely and relevant when executed thoughtfully and strategically.

National Moments & Global Events / Celebrations: Major events create shared attention and emotional connections like the Olympics. Campaigns tied to these moments will feel timely and relevant and most importantly, drive business. What’s coming up next? Let’s brainstorm together.

Local Events & Community Connections: Regional festivals, sports seasons, and community milestones offer opportunities for localized, personalized marketing that resonates deeply with specific audiences.

Tip: Utilize the USPS Personal Touch incentive? Not exactly sure what this means? Reach out & we’ll share more details!

Life stages are related to seasonality, and the importance of testing is applicable year-round. Consider testing a new seasonal campaign by experimenting with your creative approach or format, explore a new audience, integrate digital, try out different promotional offers, or launch a new program like loyalty. Even small tests can uncover valuable insights.

Expanding your perspective on seasonality can unlock new opportunities, deepen connection, and drive meaningful results. Sometimes, the most valuable “season” is simply the moment your customer is ready for something new.

shutterstock_231315673 copy

What’s The Right Direct Mail Format for My Individual Marketing Goals?

We often get asked, “Direct mail or email?” and recently heard this answer, “Yes.” 

Whether your marketing focus is Acquisition or Loyalty, Direct Mail will help move your strategy forward. Layer in Digital such as email, and your campaigns will thrive. Think of it like this: Direct Mail tells the story, draws someone in, and puts a product or service top-of-mind. Then that consumer receives a timely email with the exact link to products in the Direct Mail piece they were just flipping through. Boom, conversion. 

There are several components of a Direct Mail piece that make some more successful than others. From graphical treatments and copy / content, to the actual offer, we want to help you be smart with your marketing dollars.  

Possibly the most impactful starting point? Formats. Different formats solve for various things. Here are some insights into format testing. 

Acquisition: Optimal Formats for Attracting New Customers

Mini catalog: New customers must see more products. Mini catalogs inspire browsing, giving a “scrolling” effect that we’re all so familiar with today. Even better than scrolling, customers can flip pages and have more of an experience than digital devices allow. Additionally, mini catalogs are an opportunity to showcase product depth. 

Slim Jim: Don’t you love the name of this one? This is a slender, multi-page catalog or self-mailer measuring 5.5-6” x 10.5-11.5”. It is specifically designed to qualify for lower USPS letter-rate postage vs. higher flat / catalog rates. Think brochure. They are cost-effective, and present nicely with targeted promotions such as seasonal sales or new product lines. 

When your goal is to acquire new customers, the more pages in your marketing piece, the better! 

Loyalty: Optimal Formats for Driving a Second Purchase

Card: This could be anything from a compelling offer to a VIP mailer to facilitate retention and loyalty. Think in terms of seasonality and life stage moments, such as birthdays, anniversaries, season changes, holidays, and upcoming events (ex: the Olympics!). 

Postcard: An effective format for efficient conversion. You may use this to target towards next purchase. Insider Tip: Postcards are not generally effective for net new customers. This format is best for retargeting someone who is already familiar with your brand. 

Smaller Trifold: Re-engage with your customer using a cross-sell mailer. Think product-led second purchase. Maybe you showcase an entire “look” or outfit; a completed bedroom; dishes, flatware, and kitchen appliances – the possibilities are endless. Insider Tip: You likely have data on your customers that could help inform Creative on your next campaign. This seamlessly ties into customer journey, facilitating a unique, smooth and pleasant purchase experience. 

With each of these formats, featuring an offer that is compelling, competitive & unique is key! 

Today, Direct Mail open rates range from 80-90% and response rates are 5-9x higher than other marketing channels. Now, let’s talk about the Digital component. Adding in Digital not only boosts the consumer’s multi-channel experience, but the synchrony of Offline and Digital channels increases response rates by 63%. For example, Triggered Direct Mail or Bounce-Back Offers are both stronger when paired with Digital marketing, promoting a behavior-based conversion lift.

We recognize the goal is to “be smart,” but there are always ways to be smarter. We can help you sift through these ideas and determine next steps that make sense for your individual business. 

Source:
Postalytics

Screenshot

Why It’s Important to Test Different Direct Mail Formats Part II

Two weeks ago, we shared a couple of reasons why it is so important to test direct mail formats. Guess what? There are even more reasons! Continuing onwards… 

Reason #3: You can achieve different marketing goals.  

Recently, we discussed how various formats resonate with different consumers. It’s also important to be mindful of your marketing goals. Direct mail helps facilitate customer acquisition, retention, market research, and increases response rates. If your marketing goal is… 

Customer acquisition:

POSTCARDS are a cost-effective way to reach a vast audience quickly. They are attention grabbing due to their size and ideal for promotions and offers.  

PERSONALIZED LETTERS facilitate a more personal connection. You will not only connect with the customer, but these are an effective way to show / explain complex offers (products or services) in more detail.  

CATALOGS showcase a wide range of products and services while personalizing and targeting your audience. Essentially, catalogs hit what postcards and letters do, and more!  

Customer retention:

SPECIAL OFFERS make a difference. Whether you use a postcard or a letter, it is important to create exclusivity with special discounts, early access (sneak peek or VIP access), limited-time promotions, and milestone celebrations.  

NEWSLETTERS serve as consistent touch points; they will help you to stay top-of-mind with customers.  

PACKAGE INSERTS pique interest. Whether you include a ‘thank you’ from your CEO or Founder, or offer a small gift or discount, this will show your customer you value their business.  

EXCLUSIVE LOYALTY PROGRAM MAILERS highlight the benefits of your loyalty program and encourage participation (Guess what? We can help you with this! Reach out here).  

Market research:

SELF-MAILERS can help. Combine a brochure / leaflet format with mailing information.  

EVERY DOOR DIRECT MAIL (EDDM) is an efficient option that delivers mail to every address on the carrier route, without requiring individual addresses. (Plus, there is a reduction in postage!). 

PERSONALIZED LETTERS allow you to connect with customers via a unique letter, and drive to your website – facilitating a multi-channel connection – with an incentive to complete a customer satisfaction survey.    

Increased response rates:

LETTERS IN ENVELOPES drive interest. The curiosity or perceived importance of a letter in an envelope can lead to a higher engagement and response rate.  

POSTCARDS are useful for grabbing attention and are an excellent format to test out different creative and offers.  

Reason #4: You can make branding (or re-branding!) a priority. 

Direct mail can increase recognition and visibility of the brand to a specific audience.  

From tangibility to creative messaging and personalization, this is a powerful channel for branding. With direct mail, you can offer consistent messaging that reinforces brand identity and helps to establish trust with consumers.  

Reason #5: You can optimize your multi-channel approach.  

Direct mail can complement digital marketing efforts, creating a cohesive and seamless brand experience across platforms. For example, sending a direct mail piece can encourage recipients to visit a website or engage on social media. Up for going one step further? Change up your formats to test performance – whether it’s different physical formats or new digital platforms, testing is always recommended.  

In fact, testing different formats – for both digital and offline marketing – can lead to cost-savings, further reach, new customers and more.  

If you’re not sold on why direct mail is worth testing, reach out and let’s have a conversation! If you are sold, what are you going to send?  

Source: OpenAI. (2025). ChatGPT (March 7 version) [Large language model] http://chat.openai.com/ch