Along with a new year comes new prices, and the U.S. Postal Service (USPS) is no exception. In October of last year, the Postal Regulatory Commission (PRC) announced that effective January 22, 2023, First-Class Mail prices will increase by 4.2% to offset the rise in inflation. Included in these price changes are Forever stamps, which will increase from 60 cents to 63 cents, 1-ounce metered mail which will increase to 60 cents, and domestic postcards which will now cost 48 cents to send.
These price increases are necessary for the USPS to obtain much-needed revenue to achieve their Delivering for America 10-year plan. However, even with these increases, USPS prices remain among the most affordable in the world. Unfortunately, the USPS isn’t the only one being forced to raise prices—operational costs are rising across the board.
The Effect of Rising Paper Costs
While everything today is mostly done online, the rising cost of paper has become a major concern. According to a market report, all grades of paper are rising in cost with wood pulp averaging $250 per ton — up 25% from previous years.
For those within the paper industry, it’s impossible to absorb these costs without passing them along to the consumer. This means that prices are significantly increasing, with some companies raising their prices by as much as 15%; for reference, the average increase is around 7-15% for paper products and around 10-20% for packaging materials.
So, what can be done about these rising postage and paper costs?
Utilizing Digital Self-Service to Offset Costs
Digitizing billing and payment processes can help organizations reduce — if not eliminate — printing and mail-related costs. In fact, InvoiceCloud’s solution is designed to drive electronic self-service adoption that has helped many organizations experience significant savings, particularly in print and mailing costs.
After switching to the frictionless user experience of InvoiceCloud’s digital engagement and payment solution, Truckee Meadows saved over $160k annually in print and mail costs.
Ready to start saving?
We can’t wait to chat with you about the cost savings your organization can see with InvoiceCloud’s digital billing and payment solution. Contact us today to schedule a demo and get a cost-savings analysis!
And, in the meantime, get a free copy of our ebook, The Value of Adoption, to learn more about the additional benefits of driving digital adoption.