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In addition to the increase in the cost of postage for “Market Dominant Products” on July 9th, the USPS filed a case on May 10th with the Postal Regulatory Commission (PRC) to make changes to their “Competitive” Products.

The USPS will be combining their Retail Ground, First Class Package and Parcel Select Ground services into a single, streamlined ground shipping service. This service will be branded “USPS Ground Advantage”. There will be two rate structures, one for retail, and one for commercial.

The USPS is touting these improvements:

  • Standardize delivery to 2-5 days
  • Tracking included
  • $100 insurance included (up from $50)
  • Clearer weight and zone pricing

Also, the USPS has adjusted rates down for the introduction of this new “product”.

  • Overall, prices are 1.4% less than current pricing.
  • USPS Ground Advantage Retail will be 3.2% less than current pricing.
  • USPS Ground Advantage Commercial rates will be 0.7% less than current pricing.

The PRC has 30 days to review and comment or approve, so we are expecting final approval on June 10th or 12th.

The USPS Market Dominant rate case is still outstanding, but could be resolved as early as May 19th, or late as May 25th.

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