Canada Post

Direct Marketing and Transaction Mail price and service changes effective January 13, 2020, and other recent changes

Overview of Changes

This overview is a notice of changes and improvements affecting services you, or an authorized user of your Agreement with Canada Post, currently use. Please share this information with your colleagues who prepare your mailings or work directly with Canada Post.

Details on all changes affecting your Agreement can be found at canadapost.ca/notice.

The Direct Marketing and Transaction Mail 2020 Price Sheets are available.

On January 13, 2020, Canada Post will introduce service changes and price adjustments to the following Direct Marketing and Transaction Mail services:

Changes Neighbourhood Mail™ Postal Code Targeting Personalized Mail™ Publications Mail™ Incentive Lettermail™ Lettermail
Recently introduced
Customer generated labels
Making Postal Code Targeting easier to use
Effective January 1, 2020 Neighbourhood Mail™ Postal Code Targeting Personalized Mail™ Publications Mail™ Incentive Lettermail™ Lettermail
New flat rate pricing for Smartmail Marketing targeting attributes
Effective January 13, 2020 Neighbourhood Mail™ Postal Code Targeting Personalized Mail™ Publications Mail™ Incentive Lettermail™ Lettermail
Reducing price on Special Handling phantom items
Eliminating the fee for the Return to Sender option
Reduced pricing for Postage Meter usage
Aligning item level surcharges
Introducing a new maximum bundle weight
Importance of proper container fill
Introducing a new Publications Mail Annual Fee
New 2D barcoded Postal Indicia
Reminder Neighbourhood Mail™ Postal Code Targeting Personalized Mail™ Publications Mail™ Incentive Lettermail™ Lettermail
Enhancement to improve customer experience at time of mailing
Coming soon! Neighbourhood Mail™ Postal Code Targeting Personalized Mail™ Publications Mail™ Incentive Lettermail™ Lettermail
New, enhanced Express Order Entry tool

No service changes are planned for Business Reply MailTM and International Incentive Letter-post.

Recently introduced

NEIGHBOURHOOD MAIL

Customer generated labels for Neighbourhood Mail

Customers with unique processing requirements can now generate their own container labels instead of printing labels through the EST Desktop. To create labels that meet Canada Post specifications, customers can export data from Canada Post's EST Desktop 2.0 version (XML file). All customer generated labels are subject to review and approval by Canada Post. Physical labels must be submitted for testing and will be evaluated for barcode data content, print quality and overall label layout. Please contact Order Acceptance at cenauto@canadapost.ca to access label specifications and have your labels approved.

Step-by-step instructions on how to export an XML file from EST are posted online at canadapost.ca/cpnmguides under Quick Links.

POSTAL CODE TARGETING

Making Postal Code Targeting easier to use

Effective September 1, the following Postal Code Targeting (PCT) enhancements took effect to make the service easier to use, provide greater creative flexibility and improve time-to-market:

  • Align PCT card dimensions and thickness to Personalized Mail
  • Full colour can be used in front and rear quiet zones (dark colours should be tested)
  • If tested, full colour background can be used around 2D barcode
  • White area or quiet zone around the 2D barcode has been reduced from 10 mm to 8 mm
  • The 2D barcode may appear anywhere on the front of the item except the quiet zones
  • List of paper stock best suited for PCT is available in best practices guide
  • Testing PCT items prior to deposit is optional unless specified

Additional details can be found in the 2019 Postal Code Targeting Customer Guide at canadapost.ca/notice.

Effective January 1, 2020

POSTAL CODE TARGETING AND PERSONALIZED MAIL

New flat rate pricing for Smartmail Marketing targeting attributes

Reaching the right prospect with a Personalized Mail or Postal Code Targeting campaign just got easier. You can now create your audience using four simple price points and avoid the hassle of adding up the cost of various attributes.

  • Simple selections: four flat rate price points for easier management of your marketing budget
    • Standard Consumer Audience List $70/thousand
    • Premium Consumer Audience List $150/thousand
    • Business Audience List $100/thousand
    • Premium PCT Audience List $25/thousand
  • Enhanced value: you can bundle targeting attributes to maximize campaign effectiveness without worrying about cost

Effective January 13, 2020

PERSONALIZED MAIL

Reducing price on Special Handling phantom items

Canada Post will make the Personalized Mail Special Handling category even more convenient and accessible to customers with smaller mailings by reducing the phantom pricing applied when minimum volumes per deposit cannot be met. The current minimum deposit for Personalized Mail Special Handling is 1,000 items. Refer to the 2020 Personalized Mail price sheet for details.

Eliminating the fee for the Return to Sender option

To add value to Personalized Mail and reduce mail on hold, we are eliminating the fee for the Return to Sender (RPG - Return Postage Guaranteed) option. When Return to Sender is identified on the mail item but not declared on the Statement of Mailing (Order), it results in mail on hold due to insufficient payment for RPG. Eliminating the fee will result in an improved customer experience at the time of induction.

There is no change to the process for customers requiring this service. The correct indicia must still be applied, however no fee will be associated with its use.

Reduced pricing for postage meter usage

Standard Machineable Personalized Mail items up to 50 g will change by introducing separate Meter and Postal Indicia prices:

  • Postal Indicia prices will increase from $0.485 to $0.495
  • Meter prices will increase from $0.485 to $0.49

The new Postage Meter pricing will support small and mid-size businesses by increasing access to Personalized Mail.

When using meter as a method of payment for Standard Machineable Personalized Mail items up to 50 g, customers are not required to create an Order in our Electronic Shipping Tools (EST).

POSTAL CODE TARGETING, PERSONALIZED MAIL, PUBLICATIONS MAIL AND INCENTIVE LETTERMAIL

Aligning item level surcharges

Over the past year, customers and the mail industry have invested effort to improve the quality of mail deposited at Canada Post. As a result, we are removing the item level $0.10 surcharge fee, and will align all item level surcharges to $0.05 effective January 13, 2020. Canada Post sincerely thanks our customers and partners for their ongoing efforts to produce quality mailings, and we will continue to evaluate remaining item level surcharges in 2020.

We would like to remind all customers that missing paperwork is still a large contributor to mailing delays at deposit. Please ensure copies of the Order (Statement of Mailing) are with each deposit, and/or the Statement of Mailing number is printed on shipping unit labels.

NEIGHBOURHOOD MAIL

Introducing a new maximum bundle weight

To address health and safety concerns when processing Neighbourhood Mail bundles, we are introducing a maximum bundle weight of 4 kg or 8 lbs 13 oz. For example, using a typical flyer, this would translate to bundles of approximately 150 items.

Given the impact this change may have on your mail preparation process, we are giving our customers a transition period to adopt this change and the new requirement will be in effect June 30, 2020.

APPLICABLE TO ALL DIRECT MARKETING AND TRANSACTION MAIL SERVICES

Importance of proper container fill

To help ensure safe handling and protect items from damage, we remind you not overfill containers. We recommend 2 inches of space be left in a container to allow an operator to remove the mail. A simple way to test this is to tilt the Letterflatainer (LFT) on an angle so that the envelopes gravitate downwards, when about 2 inches remain, the container is at capacity.

PUBLICATIONS MAIL

Introducing a new Publications Mail Annual Fee

Customers have told us they value the undeliverable Publications Mail service (uPM) and want to continue using this feature. To help cover the cost of uPM, a $200 Publications Mail Annual Fee will be added in 2020 for all Publications Mail customers. The fee is non-refundable, payable once per year, per agreement, and billed on the contract anniversary date. No increase will be made to the per-item uPM Processing Fee or to applicable postage fees. For information on Publications Mail or the uPM service refer to the 2020 Commercial Mail Customer Guide at canadapost.ca/notice.

INCENTIVE LETTERMAIL AND LETTERMAIL

New 2D barcoded Postal Indicia

In 2016 Canada Post introduced a 2D barcode indicia for Personalized Mail to support mail processing. Effective January 13, 2020, the Domestic Lettermail indicia will be updated and include a static 2D barcode. The new indicia templates will be available at canadapost.ca/indicia and become mandatory by January, 2021. Customers are encouraged to deplete existing stock in 2020. These changes support future service improvements.

Customers should contact the Customer Service Network or their Canada Post representative if they have questions about indicia artwork.

LETTERMAIL

Meter pricing lower than Postal Indicia

Postage meter pricing will be lower than postal indicia pricing for Standard and Oversize Lettermail items across all weight levels. Refer to the 2020 Lettermail price sheet for details.

For example Standard Lettermail items weighing up to 30 g will change as follows:

  • Indicia (full commercial rate Lettermail) will increase from $0.87 to $0.90
  • Meter will increase from $0.87 to $0.89

The new Postage Meter pricing will support small and mid-size businesses making it easier and more cost effective to use Lettermail.

When using meter as a method of payment for Standard or Oversize Lettermail items, customers are not required to create an Order in our Electronic Shipping Tools (EST).

Reminder

APPLICABLE TO ALL DIRECT MARKETING AND TRANSACTION MAIL SERVICES

Enhancement to improve the customer experience at time of mailing

To help resolve the delays caused by missing copies of the Order (Statement of Mailing / SOM) when customers deposit their mailing, we remind customers that all labels for containers, monotainers and pallets should include the Order (SOM) number. This solution allows our employees to reprint the SOM and accept the mailing, provided the SOM has been transmitted by the customer. This applies to Postal Code Targeting, Personalized Mail, Neighbourhood Mail, Publications Mail and Incentive Lettermail.

Coming Soon!

NEIGHBOURHOOD MAIL

New, enhanced Express Order Entry tool

We are working on a new application to make Neighbourhood Mail easier and faster for customers with small mailings within a single delivery area to create orders for their campaigns. Watch, in the coming months, for the new Express Order Entry tool to make it easier to enter mailing data and navigate the tool.


Overview of Changes (OOC) posted October 28, 2019