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USPS Rate Hike 2025: What Marketers Need to Know and Plan For

by
Baesman
tags Retail Direct Mail

At Baesman, we keep a close eye on anything that affects your marketing performance and bottom line—including postage rates. The U.S. Postal Service (USPS) has proposed new mailing prices set to take effect July 13, 2025, and we’re here to break down what’s changing, why it matters, and how to plan ahead.

What’s Changing?

Pending approval by the Postal Regulatory Commission, the following increases are expected:

  • First-Class Forever Stamps: From $0.73 to $0.78

  • Metered 1 oz. Letters: From $0.69 to $0.74

  • Domestic Postcards: From $0.56 to $0.62

  • International Letters/Postcards: From $1.65 to $1.70

  • Additional Ounce for Letters: From $0.28 to $0.29

These proposed figures come directly from the USPS and reflect an overall average increase of 7.4%, which includes several pricing categories across mailing services. It’s important to note that this is a system-wide average—not every rate increases by the same percentage.

Why the Increase?

These proposed changes are part of the USPS’s broader “Delivering for America” plan, a 10-year strategy aimed at achieving financial sustainability. The extra revenue will help offset declining mail volumes, invest in infrastructure, and modernize operations.

What This Means for Marketers

If direct mail is part of your acquisition strategy or customer retention, this change could affect your campaign budgets and ROI. At Baesman, we recommend:

  • Auditing your current mail strategy to identify savings opportunities

  • Testing hybrid campaigns that mix physical and digital touches

  • Locking in production and postage rates early for summer campaigns, when possible

Tactics to Offset the Cost Increase

Postage hikes don’t have to derail your direct mail strategy. Here are proven ways to stay efficient without compromising performance:

1. Take Advantage of USPS Promotions
The USPS regularly offers discounts for marketers who incorporate elements like Informed Delivery, QR codes, or interactive technologies into their mail. These promotions can offset rising postage costs by 3–5% or more per campaign.

2. Refine Your Targeting
Reaching fewer, better-qualified recipients can actually improve ROI. Analyze customer segments, suppress unresponsive addresses, and focus your spend on your most valuable audiences.

3. Optimize Format and Weight
Slight adjustments in format or paper weight can significantly reduce postage. Consider letter-size formats, self-mailers, or lighter inserts that still carry strong messaging but cost less to mail.

4. Leverage Commingling and Co-Palletization
If you're mailing at scale, Baesman can help you reduce postage through mail commingling and co-palletization—strategies that consolidate volume to unlock lower rates.

5. Schedule Strategically
Lock in production and postage early when possible, especially ahead of known rate increases. Planning ahead gives you more control over timing and budget.

Planning Ahead

In addition to the proposed rate changes for 2025, USPS has announced its promotional calendar for 2026—also pending approval. If you’re beginning to map out next year’s strategy, now is the time to understand what incentives may be available.

Contact us for the latest updates and insights on how to maximize savings and impact through USPS promotions.

As always, Baesman is here to help you navigate these shifts. Whether it’s optimizing your segmentation, rethinking your creative, or finding ways to stretch your mail budget, we’ve got your back. Let's talk and start planning ahead! 

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FAQ: Will postage rates increase in 2025?
Yes. The USPS has proposed a 7.4% rate increase effective July 13, 2025. Learn what this means and how marketers can prepare.

by
Baesman
tags
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