Reducing Addressing and Mailing Costs with EZ-VDP SM

Transcription

1 EZ-VDP SM Applications Reducing Addressing and Mailing Costs with EZ-VDP SM Part of an informational series on EZ-VDP SM We make VDP easy! SM EZ-VDP and We make VDP easy! are service marks of Digital Formatting Services for its line of variable data printing (VDP) data and print file-related services

2 Reducing Addressing and Mailing Costs with EZ-VDP SM Overview This paper explains how trade printers, currently using lettershops for addressing and mailing, can use EZ-VDP SM brand services and their digital press to reduce mailing costs by 25 to 50%, or more, and add basic personalization to a print job at no additional cost. Additional advantages of in-house mailing with variable data printing (VDP) are also described, and an example of a VDP postcard addressed and personalized is shown. Addressing and Mailing Addressing and mailing is a way of life in the printing business. For many printers, addressing and mailing means paying tens of thousands of dollars each year to a lettershop. Printers without the capability to do address presorting and either variable data printing or high-speed inkjet addressing have no choice except to use a lettershop (or mail house) for jobs that require mailing. Address presorting can be done in-house with specialized software. However, even with specialized software, presorting addresses and compliance with USPS regulations can be challenging. Printers can outsource mail presorting but they must have a method to apply the addresses to the printed pieces. The "inkjetting" of addresses onto pre-printed pieces has been done for decades and is an option for addressing. Inkjetting requires a certain volume to justify the investment in equipment and adds additional time and cost to a print job. In contrast to the inkjetting process, a digital press can output postcards and self-mailers addressed and ready for mailing for the same click charge as non-addressed pieces. This requires the creation of variable data print files, however. Creating variable data print files requires a number of skill sets not typically found in print shops such as data management, programming and the use of variable fields in graphic design. Besides the issue of skill sets, VDP print file creation also requires investment in and mastery of multiple specialized software packages. All of this prevents most printers from using VDP. After considering the costs and complexities of mail presorting, inkjetting and variable data printing, many printers simply opt to pay to outsource the entire addressing-mailing process to a lettershop. There is a significantly less expensive alternative, however. phone (toll free) EZ-VDP@digitalformattingservices.com

3 Page 02 EZ-VDP SM Services EZ-VDP SM is a collection of VDP data and print file-related services provided by Digital Formatting Services (DFS). With EZ-VDP SM, printers can outsource the creation of VDP print files as well as address presorting and data management. The EZ-VDP SM brand services are simple and require no special software, skills or previous experience with variable data printing - Printers upload their imagery and mail list to DFS, DFS performs the required services (address presorting & NCOA, data cleansing or enhancement, VDP print file merging or any combination of these), and Printers then download the VDP print files to print on their own digital press. With EZ-VDP SM, printers can have presorted and pre-addressed VDP print files created for them. The only additional step to getting the print job in the mail is the separating of the printed pieces into mail trays and delivering to the post office. Since DFS provides all of the documentation required by the USPS this process only takes a few minutes per job. Reducing Mailing Costs with EZ-VDP SM $2,000 $1,500 Cost $1,000 Mailing Cost and Volume Lettershop Mailing Services vs EZ-VDP SM Average lettershop cost EZ-VDP SM cost Compared to average lettershop pricing, EZ- VDP SM services can significantly reduce mailing costs for many printers. Figure 1. shows the average price lettershops charge to presort, NCOA, CASS, address and mail various quantities of 4" x 6" postcards. Local lettershop pricing can vary by region and lettershop size, among other factors. $ Thousands of Pieces Figure 1. - Comparison of Lettershop Mailing Services Costs vs EZ-VDP SM to Presort, NCOA, CASS-Certify and Address Various Quantities of 4 x 6 Postcards Also shown in Figure 1. is the typical price for EZ-VDP SM services that permit printers to produce and mail the same quantities of presorted and addressed 4 x 6 postcards. Since the click charge would be the same whether the printed postcards are addressed or not, the printing costs would be the same whether a lettershop or EZ- VDP SM is utilized. phone (toll free) EZ-VDP@digitalformattingservices.com

4 Page 03 It is obvious from the figure that the cost of EZ-VDP SM is approximately half that of the average lettershop services, except at the smallest volumes. However, even for small volumes, some of the other advantages of EZ- VDP SM can be very valuable to printers. To put all of this into perspective, printers doing two 5,000 piece postcard mailing jobs per month could expect to save about $5,000 per year using EZ-VDP SM compared to using a lettershop. Comparing Costs There are some fundamental differences between using a lettershop and EZ-VDP SM. A few services included in the lettershops price have to be handled by printers themselves when using EZ-VDP SM, however most of them work in the favor of the printers. First - Printers need a mailing permit from the USPS. The cost for a mailing permit is a one-time fee of $185 plus an annual fee of $185 for each of the presorted mail class permits: Presorted Standard (formerly known as "bulk") and Presorted First Class. The Presorted Standard permit can also be used for non-presorted (or regular) First Class mailings. Many printers purchase the Presorted Standard permit first and only purchase the Presorted First Class permit, if necessary. Second - Printers need to separate the printed pieces and place them into mailing trays for delivery to the post office. When printed, and even after cutting, the printed pieces come out grouped by mail tray number. The separation process is analogous to separating a new deck of playing cards into suits. Printers thumb through the pieces, identify the point where the tray number printed on the pieces changes ( T1 to T2 for example) and then place all the like pieces in the proper mail tray. With very little practice, separating a 5,000 piece print job into mail trays usually takes less than ten minutes. Third - Printers need to obtain empty mail trays from and deliver filled mail trays to the post office. Most printers pick up empty mail trays for the next job when dropping off a job at the post office. Mailing Documentation When presorting is part of the EZ-VDP SM services ordered, DFS provides all of the necessary USPS documentation, including a file for printing the mail tray tags. Printers providing DFS with presorted mailing lists would obtain the necessary documentation elsewhere or complete it themselves. phone (toll free) EZ-VDP@digitalformattingservices.com

5 Page 04 Printers should also consider possible extra costs incurred with the use of lettershops that are not included in Figure 1. such as: Packing and/or delivery of printed materials to the lettershop, Premiums charged by lettershops for expedited service, Extra charges such as those for piece size or special setup, and Handling paperwork, postage reimbursement and payments. Other Advantages of Using EZ-VDP SM for Mailing Jobs Besides the substantial cost saving, there are a number of other advantages to using EZ-VDP SM for addressing and mailing in lieu of a lettershop - Faster and More Flexible Scheduling - In most cases, EZ-VDP SM print files are completed within a few hours or overnight, following approval of proofs. This can shorten, by two or three days or more, the time to get a job mailed. Alternatively, printers can use the extra time to optimize their work schedule. Advantages of EZ-VDP SM Reduced addressing & mailing costs Faster turnaround More flexible scheduling Increased loyalty Protection of customer identities Better print quality Free personalization More Customer Loyalty and Security - Rather than submitting mailing documentation containing the name of a lettershop to customers for postage reimbursement, printers using their own mailing permits and EZ-VDP SM are identified as the mailer. This tends to increase customer loyalty and confidence. Since lettershops are potential competitors, the disclosure of customers' names to lettershops is a constant source of anxiety for many printers. DFS only provides services and does not do any printing, so printers using EZ-VDP SM can have peace of mind when it comes to the identity of their customers. Print Quality - There is no question that addressing with inkjet printers rarely comes close to the quality of a digital press. Then, there are the matters of misalignment and "tire tracks". VDP addressing provides more flexibility in the application of the addresses, ensures correct alignment and eliminates numerous other issues. Furthermore, printers using EZ-VDP SM see exactly how the printed pieces look when mailed rather than counting on lettershops to do a quality job. phone (toll free) sales@digitalformattingservices.com

6 Page 05 Free Personalization - Printers have the option to add basic personalization (in addition to addressing) to their printed pieces, at no extra cost, with EZ-VDP SM. This gives printers the opportunity to add personalization to their customers direct mail campaigns to increase response rates and ROI, without worrying about the cost. The auto insurance postcard (Figure 2.) is an example of the type of personalization printers can provide with EZ-VDP SM while saving up to 50% on their addressing and mailing costs. Using VDP for addressing and mailing is a common starting point for printers not already doing variable data printing. EZ- VDP SM makes saving money on addressing and mailing simple, even for printers little or no VDP or mailing experience. Figure 2. -Sample of Mail-Ready Postcard Produced with EZ-VDP SM, Including Addressing and Personalization. A case study and more information on reducing addressing and mailing costs with EZ-VDP SM brand services are available at: Digital Formatting Services (DFS) is the leading supplier of variable data printing (VDP) file services for trade printers. By providing data cleansing and mail presorting services as well, DFS makes it easy for printers with no experience or specialized software to be in the VDP business. Printers upload their imagery and data to DFS who creates printer-ready VDP files to be downloaded and run on the printers' own digital equipment. DFS provides only VDP file-related services and does not sell software or do any printing. phone (toll free) sales@digitalformattingservices.com