The United States Postal Service’s 2023 rate and service changes have been approved by the Postal Regulatory Commission (PRC), and the updates will take effect on January 22, 2023. We’re going to address all of the upcoming changes, so you’ll have time to adjust accordingly and prevent negative shipping experiences for your customers.

Important USPS 2023 rate and service changes

More detailed highlights of the upcoming changes are: 

• Priority Mail® commercial rates will see an increase of 3.6%, keeping them below the rate of inflation
• Priority Mail Express® will see an increase of 6.7%
• First-Class Package Service will see an increase of 7.8%
• Priority Mail service prices will see an increase of around 5.5%
• USPS First Class Package International rates will see an increase of 6.2%
• USPS Priority Mail International® will see an increase of 5.9%
• USPS Priority Mail Express International® will see an increase of 5.9%
• Zone 1, Zone 2, and Local have traditionally seen the same shipping rates. However, Local will now be combined with Zone 1, and Zones 1 and 2 will have individual rates 
• The pricing for Parcel Select Ground won’t see any rate increases
• Priority Mail Regional Rate Boxes® will no longer be available
• All Canadian Zones will be combined into one pricing zone for USPS Priority Mail International
• Commercial Base and Commercial Plus will be merged into one entity

Flat Rate Priority Mail changes

Flat Rate envelopes and boxes will be included in the 3.6% increase for Priority Mail services. USPS will continue offering Priority Mail Flat Rate envelopes and boxes through their website. Also, you’ll be able to order some of these supplies directly from your Stamps.com account. A comparison of the 2022 and 2023 rates can be found below. 

Local Zone changes

Previously, Local, Zone 1, and Zone 2 all had the same shipping rates. Moving forward, there will no longer be a Local Zone, and Zones 1 and 2 will have two different shipping rates. If your business ships to customers who live close by or in the same state, you’ll see the impact of this change. The changes will be more noticeable when you’re shipping to customers in Zone 2, which is a 51-150 mile radius. 

Regional Rate Boxes are being retired 

Regional Rate A & B Boxes, used for 15-20 pound shipments traveling a short distance, will be discontinued. If your business uses Regional Rate Boxes after January 23, 2023, USPS will accept your shipment, but the cost won’t be calculated in the same way Regional Rate Boxes were. For this reason, USPS recommends using these materials by January 22. Additionally, check the automation rules currently running on your Stamps.com Online account to ensure this service isn’t applied to any of your shipments. 

Priority Mail® Cubic will still be an option for shippers, as it has seen a rise in popularity, and sometimes even offers a lower rate than what was seen with Regional Rate Boxes. The biggest difference with Priority Mail Cubic is that supplies aren’t free. For merchants who want to explore alternatives beyond USPS Cubic, Parcel Select Ground offers shippers a great value, so it’s worth looking into as a substitute for smaller and heavier domestic shipments. Parcel Select Ground offers: 

• An estimated delivery window of 2-5 days 
• A service for shipments up to 20 pounds 
• Uses the Commerical rates with your Stamps.com account 

How will the 2023 changes impact international shipping?

The biggest change to international shipments will involve your Canadian packages. Similar to the US Zones, Canada was previously broken down into 8 different pricing groups. Now, all of Canada will fall under Pricing Group 1. Also, USPS will change Turkey to Turkiye, so don’t be alarmed if the spelling of the country is updated on your labels to reflect this update. 

How can Stamps.com help?

In our recent study, 30.3% of customers stated that delivery costs were the most important factor in deciding whether or not they’d purchase from a business; the second most important factor was the speed of delivery. Rising USPS costs could mean raising shipping costs for your customers. However, you can still enjoy the discounted shipping rates included with your Stamps.com account to help offset these costs. 

Start your free 30-day trial today on Stamps.com.

With Dimensional (DIM) Weight being applied for all UPS and FedEx Ground packages, USPS Priority Mail Regional Rate Boxes provide a cost effective option to ship products across the U.S.  The USPS provides three different types of Priority Mail Regional Rate Boxes:  Box A with a weight limit of 15 lbs., Box B with a weight limit of 20 lbs. and Box C with a weight limit of 25 lbs.

The Benefits of Regional Rate Boxes

There are many advantages to using USPS Priority Mail Regional Rate Boxes:

– No DIM Weight: DIM Weight does not apply to Regional Rate Boxes.  That means you need not worry about the dimensions of the Regional Rate box you choose.  As long as your item is below the weight limit for the Regional Rate Box you choose, you simply need to find the rate that applies to your shipping zone. 

Listed below is the 2015 USPS Commercial Base (online postage) pricing for Regional Rate Boxes.  An additional $0.75 fee applies if you purchase Regional Rate postage at the Post Office.

– Low Costs Nationwide: Regional Rate Boxes provide a cost effective alternative to using Regular Priority Mail or Priority Mail Flat Rate Boxes.  With dimensions almost similar to that of a Priority Mail Flat Rate Medium Box, Priority Mail Regional Rate Box A can save you up to $3.55 per package.  When shipping multiple packages every day, these savings can really add up!  See a cost savings example below – USPS Priority Mail Regional Rate Box A provides the lowest cost option to ship a 3 lb. package from Los Angeles to New York (Zone 8 shipment).

– No Cost To Purchase Regional Rate Boxes: The USPS provides Regional Rate Boxes for free and you do not need to pay anything extra to use any of these boxes for your shipments.  Pick up your free Regional Rate boxes at the Post Office or visit usps.com to order them online.

Shipping Regional Rate Boxes With Stamps.com

Stamps.com customers can easily print Priority Mail Regional Rate shipping labels.  Once the destination address is inputted, Stamps.com automatically determines the correct zone-based pricing for your package by instantly accessing the USPS database, preventing you from ever overpaying or underpaying the shipping fee.

You can even order your free Regional Rate Boxes from within Stamps.com.  Simply log in to your Stamps.com account, click on “Store” and click on “Free USPS Supplies.”  The USPS will send the free Priority Mail Regional Rate boxes right to your door!

Stamps.com is pleased to announce the launch of Version 8.9 — a free upgrade for Stamps.com customers! Here are some of the key new features included:

#1 Priority Mail Regional Rate Boxes
Stamps.com now has  the ability to print shipping labels for Priority Mail Regional Rate Box A and Box B. Priority Mail Regional Rate Boxes are a great way for package shippers to lower their costs.  While the name implies short distances, Regional Rate Boxes are actually a great bargain for shipping packages nationwide.

Pricing for Regional Rate Boxes is “zone-based”  – the actual shipping cost will depend on the distance the package is traveling from its origin to the delivery address.   The USPS has established eight total shipping zones throughout the U.S.

Stamps.com automatically determines the correct zone-based pricing for your package.   Once the delivery address is inputted and the Regional Rate Box option has been selected, the software will provide the appropriate Priority Mail postage cost  for Regional Rate Box A or Box B.

#2 APO/FPO Customs Form Support
Stamps.com now offers the ability to electronically complete and print U.S. Customs Forms when printing postage for all applicable military addresses (APO/FPO) and U.S. Territories.

This process is completely automated — once a military or U.S. Territory address has been inputted into the address field, Stamps.com will automatically detect the APO/FPO address and will provide a Customs Form to complete in the Stamps.com interface. Note: This form only supports Priority Mail at this time for APO/FPO addresses.  Also, the “Plain Paper (letter) – 2976A – 3 sheets per label” must be chosen as the Printed On source for the Customs Form to print correctly.

#3 Avery 5160 and Avery 5164 Labels Support
Stamps.com now supports the ability to print postage onto Avery 5160 and 5164 labels. These are the two most popular labels Avery sells and small businesses will now be able to easily print postage for envelopes.

Using the “Envelopes” tab in the navigation, Customers can now print postage on one label and delivery address on a separate Avery 5160 label using their regular ink jet or laser printer.

For the Avery 5164 label, customers will be able to print postage and delivery address on one single label using their regular ink-jet or laser printer.

#4 Customized Promo Message in Shipment Notification Emails
Stamps.com now gives customers the ability to customize a default promo message in your shipment notification emails.   The promo text can be used for up-selling or cross-selling your products and will be highlighted with a blue background in the footer of your shipment notification email.  Ideas for promo messages include back-to-school promotions, product closeouts or your company special events.

To update your promo message, go to “My Account” and click on “Ship Notification Email.”

Important! You must download Version 8.9 in order to use these great new features.   Download Version 8.9 today at http://www.stamps.com/download/ – it’s free for existing customers!