Co-mailing vs. Co-binding Standard Mail Catalogs

In the past, co-palletized co-mailing of standard catalogs consisted of demographically binding multiple titles on the same binding line. The more pieces of Enhanced Carrier Route (ECR) mail in each mailing, the better the postage savings. But disadvantages exist in that the catalogs must be the exact same trim size and have the same inkjet location, and there is a limitation on the number of binding pockets. These restrictions keep co-mailing catalogers to a minimum.

With the advent of off-line co-mailers, however, co-mailing has become available to nearly any cataloger. Gone are some of the co-binding size and inkjet restrictions.

This past February, Arandell invested more than $1 million in a system (shown) from Simco (Southern Illinois Machinery Co.). Off-line co-mailing allows catalogers vast partnership opportunities based on in-home and mail dates. By co-palletizing different catalogs with the same in-home dates, we're able to improve carrier-route presort postage discounts for our customers by about 7¢ per piece. We estimate that one-third of the nearly 900 million catalogs we mail annually will co-mail off-line.

Each address file is CASS (Coding Accuracy Support System) certified against the USPS database. This file validates addresses, cities and ZIP codes, and appends the appropriate ZIP+4 and carrier route identification. Postage savings are achieved by combining 3/5 digit barcoded postage pieces into a bundle of 10 to qualify for the less-expensive Enhanced Carrier Route. ECRs consist of 10 or more pieces of mail in an individual carrier route. Co-mailing can help customers offset the last postage rate increase—and reduce the impact of the next.

The off-line co-mailers allow for a more sophisticated approach than the present co-binding operation. The catalogs are stitched or bound on the bindery line and then taken to the co-mailer, where they are merged into the same mail stream. The outside covers are then inkjetted and the address files for all participants are combined into a single mail file. Several safeguards ensure the correct catalog receives the proper address.

A downside of off-line co-mailing is that inkjetting can be applied only on outside covers. However, those catalogers who usually inkjet order forms have some options. They can choose to do limited inkjetting on the form during the binding process, but it can't be fully personalized. They can also choose to have the pieces that individually qualified for the ECR sort—and the pieces that did not qualify after the co-mailing presort—inkjetted during the binding process. These pieces can have inside and outside inkjetting. Some customers elect to perform address match backs on orders from co-mailings to match the correct key code.

Arandell customizes all postage estimates, statements and mail plans per customer. “In addition to postage savings, there are other important advantages to co-mailing,” says Susan Pinter, director of postal systems at Arandell (pictured with the author). Not only are the ECR pieces created, but there are also more five-digit pallets that will bypass the infamous U.S Postal Service (USPS) Automated Package Processing System (APPS) machines, more than 80 of which are now in operation. This means less USPS handling, less chance of catalog damage and better predictability of delivery, Pinter points out.

Co-mailing will be a part of our industry for the foreseeable future. The USPS has announced that if it decides to purchase the Flats Sequencing System (FSS) machines, ECR sort will be abolished. However, with the mail make-up requirements for the FSS and the Evolutionary Network Design (END), co-mailing will play a very significant part in the future of mailing. Very soon, there could come a time when almost all mailings will be part of a co-mailing.