2014 september

V I S I T U S A T W W W . S A P A T O D A Y . C O M

Southeastern Advertising Publishers Association (931) 223-5708 (888)450-8329 fax 1

SAPATodayAdvancing the free paper industry by providing resources for success and venues for sharing ideas.

Board of DirectorsThe leadership of SAPA is in good hands. The board of directors, director, and assistant are listed with contact information.

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Hunters & FarmersJohn Foust shows that there are needs for both types of ad sales reps, Hunters and Farmers.

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Conference ScheduleIf you haven’t started yet you might be too late. Make your reservations now for September 2014, Caribe Royale Hotel in sunny Orlando, Florida.

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Graphics Series Ellen Hanrahan shows us ways to use plug-ins to enhance our ads. She also says some pretty nice things about your executive director.

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Work PositivelyDr. Joey Faucette teaches us 5 ways we can be happy at work.

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Building the Image of Your CustomerBob Berting , Mr. Community Paper, shows us some unique ways to build the image of your customer through advertising. Page 4

by Joe Bonura

No matter how many people work in your organization, your customer may only come into contact with only one person -- the person who answers the phone. If that person is you, you are your company. If you say the wrong thing or treat that customer with disrespect, the customer will not only dislike you, but your entire organization. So how do you keep this from happening?

THE FIRST ENCOUNTERI recall arriving for a sales appointment where the receptionist greeted me coldly and told me to have a seat. While I was

waiting, another man entered the door and asked to see the president of the company. The receptionist harked, “He’s not seeing anyone today. He doesn’t see anyone without an appointment.”

The man grimaced and said, “I just moved my company to this part of town and I was thinking about using your company as my supplier.”

The woman’s face dropped, “Oh. Let me get the president for you.”

The man replied, “Don’t bother. After seeing how you do business, I’m not in-terested any more.”

THE MONTHLY NEWSLETTER FOR THE FREE PAPER INDUSTRY SEPTEMBER 2014

continued on page 2

On the phone, you may be guilty of as-suming why a person is calling. If you treat every person who calls your office -- suppliers and solicitors included -- like they are your best customers, you’ll never have this problem. Everyone is a poten-tial customer. Children grow up. People change jobs. Make every person’s contact with your company a positive one.

ANSWERING THE PHONEHow do you greet people when they phone your company? My biggest pet peeve is listening to receptionists who sound like they’re competing for the fast-est mouth in the west. Slow down so the caller understands your words and doesn’t feel rushed.

Greet the customer (i.e. Good morning!),

Servicing Your Customers by Phone



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say the name of your company, introduce yourself, and if appropriate ask, “How may I serve you?” When it’s absolutely necessary to put the customer on hold, ASK if you can put him on hold (i.e. Can you hold, please?) and WAIT for their an-swer before you press the button. Never say, “Hold, please.” without waiting for a response. Those two words are an oxy-moron -- saying please will not make up for the fact that you cut him off.

DIRECTING THE CALLSIf you’re going to answer the phone, you must be knowledgeable about your company. If you don’t know where to go when a question is asked, a sale could be lost over a confusing trail of voice mail transfers. When you don’t know the an-swer to your caller’s question, the proper response is, “I don’t know the answer to your question. However, if you’ll hold, I’ll check with Ron. He’ll know the answer.” This sends the message to the caller that you are in control of the situation. Never say, “I don’t know. I’m new here.” Even if you are new, the customer doesn’t want to know that. He just wants the answer.

Ask enough questions to establish the caller’s need. Listen carefully to his an-swers and take notes. If he has a problem and he doesn’t ask for a particular person, make sure you choose a person who will be able to help him. Your goal is to make sure the customer is transferred as little as possible. When you determine where to transfer the caller, give him the name before you transfer (i.e. Mr. Jackson, I’m going to transfer you to Jean Green. She’ll be able to answer your questions.)

WHEN THE PARTY’S NOT AROUND

P.O. Box 53790Fayetteville, NC 28305Cell: 910-391-3859ph: 910.222.6200fax: [email protected]

Bill BowmanPresident

"The Nation's Fun, Family Newspaper!"www.kidsvillenews.com/cumberland

continued from page 1 What happens when the caller asks for someone who is out or cannot come to the phone? Never say the party is unavail-able or busy. Unavailable implies you’re lying. Busy implies the party is too busy for customers. Instead, give the caller some control by offering him options. If Ron is in a meeting, say, “Ron is in a meet-ing that will last until 4:00. I can take a message, or perhaps I can help you. I’m his assistant.” If Ron is at lunch and it’s late in the afternoon, there’s no need to tell the caller everything. Just say, “Ron will be out of the office most of the af-ternoon. May I have him return your call when he returns?”

When taking messages, always ask the caller to spell his name -- even if it’s John Smith. He may spell it Jon Smythe. Re-quest the phone number and repeat it back. Then ask, “What is the best time for Joe to reach you?” This helps reduce phone tag.

IS VOICE MAIL GOOD FOR YOU?If your company employs four or more people, I would suggest having a recep-tionist plus a voice mail system. A larger company must have a human reception-ist. Many callers need initial direction to find where to go to solve their problem.

If you have under four employees and the luxury of a full-time receptionist would crunch your budget, use a voice mail system alone. Do not use an answering machine if at all possible. Answering ma-chines are not voice mail. Most answering machines have poor sound quality, are unprofessional and only take short mes-sages. Most phone companies today offer inexpensive, professional sounding voice mail systems that include several voice

mail boxes. Explore your options.

Staff Stuff

I called a major department store chain the other day to ask a simple service question. A voice mail message said all their operators were busy and the best time to call would be between 2:00 and 5:00 p.m. on Wednesday or Friday. In-stead of taking a message, the system clicked off. I still had a question and I had to wait till it was convenient for the department store to answer. Thank good-ness my problem was simple. Imagine what happens to customers who call in when they have a major appliance that malfunctions. They’re already frustrated when they call -- and then they get a mes-sage telling them to wait until Friday.

For a little more money, the department store could add a few more customer ser-vice reps and save their customers some trouble. If they lose 40 customers a year who each spend an average of $1,000 in their stores, they’ve lost $40,000. Not to mention the 11 friends they’ll tell about their bad experience. That’s 440 more people negatively touched by their cus-tomer service department. It would have been a lot less expensive to hire the extra help.

EVERY CONTACT COUNTSMake every contact with your customers a positive one. You’ve read this article and you could be a salesperson or a CEO or a receptionist for all I know. Every person in your organization IS your organiza-tion. Develop service over the phone that makes a positive and lasting impact.



Board MemberKathy CrumptonPiedmont Shopper

Danville VA434-822-1800

Past PresidentTony OnellionBargains PlusSlidell, LA

985-649-9515

PresidentCaroline

QuattlebaumSoutheast Sun

Enterprise, AL 334-393-2969

Past PresidentRussell

QuattlebaumSoutheast Sun

Enterprise, AL 334-393-2969

Board MemberGreg Ledford

Shelby Shopper & Info

Shelby, NC 704-484-1047

Vice PresidentWill ThomasExchange, Inc.

Fayetteville, TN 931-433-9737

SecretaryMike Marlow Rutherford WeeklyForest City, NC828-248-1408

TreasurerTodd Godbey

Livin’ Out Loud Magazine

Wilmington, NC 910-338-1205

Executive Director

Douglas FrySAPA Headquarters

Columbia, TN931-223-5708

Administrative Assistant

Vickie BeldenSAPA Headquarters

Columbia, TN931-223-5708

SAPA Leadership

By John Foust, Raleigh, NC

I was talking to Kirby about the make-up of the ad team he manages. “A big key is to match personalities with job tasks,” he said. “For years, I’ve heard that salespeople can be categorized as either hunters or farmers.”

they are providing customer service and working with clients to move them to the next marketing level.

“It’s important to have both types,” Kirby said. “In industries like real es-tate and automotive, it’s fine to have a lot more hunters than farmers, be-cause they’re always dealing with new prospects. But in the media business,

Hunters and Farmers

continued on page 4

These terms are self-explanatory. Hunters live for the thrill of the chase. Ask them to find new prospects, and they’ll be out the door in an instant. They love to attend networking events, find people who have just opened businesses in town, and make presen-tations to new prospects. On the other hand, farmers are at their best when

If you are interested in serving on the SAPA board please give our president, Caroline Quattlebaum, a call at 334-393-2969. Ser-vice in our industry is fulfilling, enjoyable and gives you sense of accomplishment. Besides that you give back to the industry that enjoy. SAPA works hard to keep you informed and up-to-date on the latest advances and trends in publishing.

We’d love to talk with you about how you can give back.



where you build long-term marketing partnerships, you need more balance. Hunters keep the sales pipeline filled and get new advertisers started in the right direction. And farmers strength-en existing relationships.”

In other words, hunters provide width and farmers provide depth. Hunters specialize in bringing in new advertis-ers. And farmers specialize in helping those advertisers develop, analyze and tweak their marketing campaigns.

One is not better than the other. They’re simply different.

By nature, hunters need the stimula-

tion of newness. New prospects. New contacts. Instant results. Get a contract today and start looking for the next one tomorrow.

Farmers take a longer view. Plant seeds and help them grow. What did they learn from the last marketing cam-paign? How can they build on that?

“Obviously, it’s not always practical to have one group for new business and one group for existing accounts,” Kirby explained. “That’s why the best managers become matchmakers with account assignments. In addition to making the right hires, they have to

figure out how to make the best use of the talent on their staffs. Along the way, it’s part of their job to help hunt-ers become better farmers and farmers become better hunters.”

Kirby’s comments are right on target. In general terms, many hunters need to work on providing better customer service – an area which does not pro-duce the instant gratification of a new contract. And many farmers need to cultivate prospecting skills which re-quire a higher level of assertiveness.

Kirby also had some observations about sales managers. “A lot of man-agers have risen through the ranks,” he said. “They became sales managers, because they did a good job as sales people. It’s human nature for manag-ers to want to surround themselves with people like them, but that can be a mistake. They have to be flexible enough to cultivate personalities that may be the opposite of theirs. They shouldn’t approach management like they approached selling. Now, their success depends on helping others perform at their best.”

Hunters and farmers. Effective ad de-partments have both. And effective managers know how to develop both.

(c) Copyright 2014 by John Foust. All rights reserved.

John Foust has conducted training programs for thousands of newspaper advertising professionals. Many ad de-partments are using his training videos to save time and get quick results from in-house training. Email for informa-tion: [email protected]

By Bob Berting, Berting Communications

Goal setting is a personal thing that is aimed at harnessing power and direct-ing it toward the things in life we want to achieve. Advertising salespeople need to have a consistent goal that in-corporates the development of a cre-ative attitude toward their customers and very specifically how to develop the customer’s image in the market-place.

LET’S START WITH AD DESIGNAlthough there is much to be said for instant recognition of ad design incor-porating a unique border, boxes, re-verses, spot color, etc, eventually the

content of the ad wins out. By that, we mean the headline of the ad will convey benefits and re-inforce the image of the customer. Many adver-tising experts have felt the headline is 80% of the ad’s effec-tiveness. Then well written copy will continue to hold the attention of the reader throughout the rest of the ad and also continue to build the image of the customer.

PHOTOGRAPHS, CARTOONS, AND CARICATURES

Consider the use of photographs continued on page 8

Building The ImageOf Your Customer

Display & Classified Ad Sales & BillingCirculation Direct Mail Payroll Accounting

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I welcome your input and suggestions. A former art teacher, I entered the free paper publishing business in the early 80s. I write for IFPA, Community Papers of Michigan, and am still learning. E-mail: [email protected] Ellen Hanrahan ©2014

THERE ARE A LOT OF ADD-ONS AND PLUG-INS FOR PHOTOSHOP AND SOME OF THEM ARE A LITTLE PRICEY! SO IMAGINE MY SURPRISE WHEN I CAME ACROSS A PLUG-IN THAT THE MIGHTY DEALS WEBSITE OFFERED FOR $5 CALLED…

Congratulations Douglas!

Photoshop Plug-in—Typo-Painter. You can take photos and turn them into truly unique works of art. Using this plug-in, you can generate a typographic painting of any image! BUT, there’s no magic but-ton. It is fairly easy to use, but so much depends on the photo. I decided to create a typographic trib-ute to Gary and Douglas and I’ll admit, these may not have been the best choice to start with. On the other hand, I was able to try a lot of variations in order to create this particular image. I used a photo

that I “borrowed” from the cover of an earlier TIP publication for Gary, and I used the photo published in the August TIP for Douglas.

Photoshop Plug-in: Typo-PainterFrom the website— “Artists can easily support the theory that a picture is worth a thousand words. Nowadays, Web designers can actually prove it! Using text to create images is a really unique and entertaining approach to creating graphics. The really neat thing is that you can do it yourself with minimal effort!” Well yes and no. While the plug-in is easy to use, creating the best possible ‘word photo’ requires a bit of patience, experimentation and tweaking. The results of my photo on the left came about after a fair amount of time working with the plug-in. The info regarding the plug-in also says it will “quickly become your abso-lute favorite plug-in in…! This plug-in lets you create a typographic painting from any image, using any text you’d like! What’s more, it can also save your file as a vector EPS for easy editing and resizing!” And again, yes and no. I only saved into EPS format to see how it could be done and didn’t really spend much time with the vector format. I can see how there may be more control over the type, but at this time I want something that works pretty fast, so I stayed in Photoshop to create the effects. There are a lot of typefaces to choose from, but the downside to that is picking one that works the best. I used the typeface Agenda and I chose all caps for my text.Photoshop IntegrationTypo-Painter works with Adobe Photoshop CS4 or higher (including Photoshop CC) and can be saved in an EPS file format for easy editing (not so sure about the “easy” part). Since your word-filled photo is saved in an EPS format, you can edit, scale, and customize the results using a vector tool software like Adobe Illustrator or CorelDraw. It works with any image, but I’m thinking that some images will work better than others and the same with the text. There is a default “Lorem Ipsum” phrase, but you can supply any text you’d like to be worked into your image, which is what I did. I have included the text below so you can see what and how the word-filled photo works. I recently checked and the Typo-Painter Photoshop Plug-in on the Mighty Deals site was still $5.00 (but by the time you read this it may be over, when it will be its regular price of $15.00*). It appears that I may have only scratched the surface on using this plug-in. At this point I wouldn’t recommend it for work in your papers—it requires a little too much work. Plus I also think that the output would be better on a coated paper. But that being said, I am glad I have it and I will continue to update you on my progress! I would also like to work with original photos. The two I worked with turned out, but there may be more control with an original and I would certainly like to work with a vector format.

Last month I promised to show you a Photoshop plug-in that I thought was pretty cool and promised examples. Well, since Gary Rudy, IFPA Executive Director, announced his retirement in June, I thought this would present an opportunity to show what this plug-in does. So I did an article, this same one (with a few changes for relevancy) using a photo of Gary Rudy to dem-onstrate the effects. Well, that certainly wouldn’t fly for SAPAtoday readers and as luck would have it, Douglas Fry was named as IFPA’s new Executive Director. Great, now I have two samples with this plug-in and I can give you a little more information about my process. Warning... a little trial and error! As I said last time, I was at the Mighty Deals website and they had a

Typo- Painter

The text in the word-filled photo…I HAVE KNOWN DOUGLAS FRY, EXECUTIVE DIRECTOR OF SAPA, FOR MANY YEARS. HE IS KIND, GENEROUS, HUMOROUS, DEDICATED, AND A GENTLEMAN. I AM SO VERY PLEASED THAT THESE QUALITIES WILL MAKE HIM AN IDEAL EXECUTIVE DI-RECTOR FOR IFPA. IT’S A PRIVILEGE TO WORK WITH HIM AT SAPA AND TO CON-TINUE TO WORK WITH HIM IN THE FUTURE. I WISH YOU ALL THE BEST IN YOUR NEW ENDEAVOR! I WILL FINISH WITH A QUOTE FROM MAYA ANGELOU, “I’VE LEARNED THAT PEOPLE WILL FORGET WHAT YOU SAID, PEOPLE WILL FORGET WHAT YOU DID, BUT PEOPLE WILL NEVER FORGET HOW YOU MADE THEM FEEL.”



Work Positive5 WAYS TO BE HAPPY AT WORK

Dr. Joey Faucette

Labor Day is here. We celebrate work by taking a day off. Seems like if we really were celebrating work we’d put in some extra hours, right?

Not so much. Surveys of American workers report more than half are dis-satisfied to very dissatisfied at work.

Want to join those who are happy at work?

Here are 5 ways to be happy at work today:

PERCEIVE THE POSITIVEBusiness is not the way it used to be, and probably never was. Find one positive aspect of your job and focus on it every morning. For instance, did your last payroll check clear and make your mortgage payment?

Some days it seems like Murphy’s Law rules. Discover one positive factor in play at work. Focus on it.

CONCEIVE THE POSITIVEEvery business has negative people—customers, teams, or bosses.

I call them Eeyore Vampires. Nothing ever works for them and they’ll suck you dry of every bit of time, energy, and attention you’ll give.

Avoid them. Like they have the plague…because they do. They will infect your morale, productivity, and

profitability with negativity if you let them.

Run from them to the positive people. Wash your mind with anti-negativity soap often.

BELIEVE THE POSITIVEEver find yourself so mired down in the minutia of the mundane that you neglect to look up and see in which direction your business is headed?

Imagination is the jet fuel of your rap-id growth of profits. Do you fill your business tank with this high-octane propellant?

Take a few minutes weekly to ask your-self, “Am I going where I want to go?” and “How do I get there from here?”

Engage your imagination to see your-self there.

ACHIEVE THE POSITIVEYour business has a GPS that will lead you to the pot of gold at the end of your rainbows.

You simply “recalculate” often.

Your customers help you recalculate as you listen to their problems you can solve.

Your team members recalculate you from their mistakes.

Failure is an experience, not a person.

Make a U-Turn when legal and drive your business to increase sales with greater productivity so you can leave

the office early to be with your family.

RECEIVE THE POSITIVEThe two most powerful words in any language that leverage more business are “Thank You.”

Be specific in thanking team members for positive behavior.

Be special in delivering gratitude to your community of customers.

Be old school and handwrite a thank you note. The pen is mightier than the sword…and the email or text message.

Want to be happy at work as you cel-ebrate Labor Day?

Employ these 5 ways to be happy to-day as you Work Positive in a negative world.

SUMMARYWant to be happy at work as you celebrate Labor Day? Employ these 5 Ways to Be Happy at Work from Dr. Joey Faucette, #1 Amazon best-selling author, coach, & speaker.

Dr. Joey Faucette is the #1 Amazon best-selling author of Work Positive in a Negative World (Entrepreneur Press), coach, and speaker who help business professionals increase sales with greater productivity so they get out of the office earlier and do what they love with those they love. Dis-cover more at www.ListentoLife.org/speaking.



(which represent reality), cartoons, and caricatures. A sophisticated piano and organ dealer once achieved a tre-mendous increase in sales due to an animal cartoon series. Each ad in the campaign had a large dominant, pro-vocative heading and a large cartoon animal illustration. After a few ads, the image of the business changed dramat-ically, and readers no longer thought of his showroom as a cold, stuffy, in-different place. Customers comment-ed on how clever his ads were and felt more at home shopping for high priced pianos and organs. Of course, the salespeople had to be aware of the advertising image they were projecting and conduct themselves accordingly.

MAKE THE ADVERTISING GEARED TO CONTEMPORARY LIFESTYLES In every campaign, there must be an effort to make the advertising as con-temporary as possible, tuning in to the lifestyles of young married couples who are establishing early buying hab-its. Many times, a store interior im-age does not tie in with the advertis-ing image. This is where counseling with the advertiser can be effective, whereby suggestions can be made to introduce colorful murals and creative point of sale pieces to give the store a more contemporary look. Maybe the walls need a new color also. This type of counseling is only possible if the customer perceives the salesperson as a trusted consultant who has his or her best interest at heart.

WHY SHOULD A CUSTOMER BE CONCERNED ABOUT THEIR

IMAGE?They should, because the flow of cus-tomer traffic depends on it. People form opinions about a business from observing their advertising, displays, merchandising practices, and location. They also consider pricing, quality, convenience, service, dependability, and selection. All of these factors add up to the image of the business.

MEDIA COMPETITION--ADVERTISING IS WAR

Don’t assume anything in regard to media competition. Your customer many times could be one of their hot prospects. You must know the advan-

Build Imagecontinued from page 4

Justin Gerena, President, Director of Salesp: 888.592.3212 x710e: [email protected]

JB Multimedia, Inc. P.O. Box 704 N. Bellmore, NY 11710 888.592.3212 phone/fax www.jbmultimedia.net

M a k i n g p u b l i c a t i o n s i n t e r a c t i v e.

tages and disadvantages of your media competition backwards and forwards. You must develop strategy and execu-tion that will enhance your relation-ship and build stronger bridges with your customers. Advertising is war. Victory in media warfare belongs to the creative advertising salesperson who can write good campaigns, de-velop more meaningful relationships, worry about customer image, and con-sistently study and be aware of com-peting media.

Bob Berting, newspaper marketing consul-tant, has published his new e-book for sales professionals in the newspaper industry entitled “Advanced Selling Skills For The Advertising Sales Pro”. This is a publication for beginning salespeople who can learn ad-vanced selling techniques and experienced salespeople who can sharpen their selling skills. Salespeople can learn more about this publication by using the link www.ad-salespro.com and see the table of contents as well as reading the complimentary first chapter. Payment of 24.95 to download the 34 page e-book.

Bob Berting is a professional speaker, newspaper sales trainer, and publisher marketing consultant who has con-ducted over 1500 live seminars and tele-seminars for newspaper sales staffs, their customers, and print media associations in the U.S. and Canada. His 40 year background includes 15 years in news-paper management, 5 years as university marketing instructor, and owner of a full service advertising agency for 20 years.

Bob can be contacted at [email protected] or 800-536-5408. He is located at 6330 Woburn Drive, Indianapolis, In 46250.



SAPA Annual Conference: Or lando , F lo r ida : SAPA ( S o u t h e a s t e r n A d v e r t i s i n g Publishers Association), IFPA (Independent Free Papers of America), and CPF (Community Papers of Flor ida), w i l l join together at the fabulous Caribe Royale in sunny Orlando, Florida on September 18 - 20, 2013. We

Conference Scheduleshave great speakers, activities, and networking opportunities that will make this a conference to remember. Top-notch speakers, excit ing activities, friendships, and time to network will be some of the things you will remember most about the conference. Call Douglas Fry at 931.223.5708 for more information.

N E W S P A P E R P R I N T I N G C O M P A N Y




A c c o u n t E xe c u t i ve

5 2 1 0 S O U T H LO I S AV E N U E / TA M PA , F LO R I DA 3 3 6 1 1( 8 1 3 ) 9 0 2 - 1 1 9 6 / C E L L ( 5 6 1 ) 2 3 9 - 2 4 9 5P ro d u c t i o n : ( 8 1 3 ) 8 3 9 - 0 0 3 5 / FA X : ( 8 1 3 ) 8 3 9 - 7 2 9 5E M A I L : d o u g s @ N P C p r i n t i n g . c o mw w w. N P C p r i n t i n g . c o m

Doug Schwenk

“Success is never final; failure is never fatal. It’s courage that counts.”

Winston Churchill

“I believe that you should gravitate to people who are doing

productive and positive things with their lives.”

Nadia Comaneci

“I have learned that if one advances confidently in the direction of his dream, and endeavors to live the life he has imagined, he will meet with a success unexpected in common hours.”

Henry David Thoreau



USPS UpdateMAILERS COMMENT ON USPS

ROLLBACK REPORTOn July 28, 2014, the mailers’ asso-ciations representing periodicals, non-profits, and most of the nation’s busi-ness mailers, filed Comments with the Postal Regulatory Commission (PRC) to comment on the Postal Service’s filing of a “plan” for rolling back the 4.3% exigency rate surcharge should the PRC order limiting the surcharge be upheld on appeal. A decision on the appeal is expected by the end of the year – and perhaps as early as October.

The mailers criticized the Postal Ser-vice filing for merely outlining vari-ous options and not filing a specific report or plan that gave mailers an opportunity to plan their businesses. The associations appealed to the Com-mission to resolve these issues sooner, rather than later, to prevent eleventh-hour brinkmanship from the Postal Service or last-minute legal filings that leave mailers without direction on the pricing and software needed for their businesses and products.

The industry argued that the require-ments for the removal of the surcharge were clear in some respects. The in-dustry stated that once the aggregate cap of $3.2 Billion in revenue was reached, the 4.3% surcharge must be rescinded in its entirety, with the same absolute amount of reduction for each rate cell being handled in an equal manner. The mailers argued that any efforts by the Postal Service to adjust rates within a class, so that some rate cells or elements of a class went up, while others went down, would not be lawful.

The mailers also made an appeal for predictability and urged the Postal Service, as well as the PRC, to endorse and pursue a plan where there is only one rate adjustment in 2015 rather than a CPI increase in January, with a rollback adjustment later in the year. The mailers wrote:

The Postal Service should be encour-aged to forego the regularly sched-uled January 2015 price increase and instead implement such non-exigent rate changes simultaneously with the rollback of the exigent increase. Com-bining these rate changes in a single simultaneous set of adjustments . . . would have the benefit of reducing the transaction costs to mailers and mail service providers of dealing with multiple rounds of rate changes, par-ticularly the cost of developing and implementing software updates to re-flect the new rates.

Last month, SMC made an appeal to the industry to support a single 2015 rate change and described the ben-efits of predictability for the USPS and mailers. The industry echoed these comments and noted that frequent price changes were disruptive to mail-ers, mail service providers, and their customers. The stability and predict-ability created by this approach would allow customers to better plan and grow their mail campaigns. The Com-ments asked the PRC to make sure that mailers were given at least 90-day notice of any rate adjustments to be able to plan.

Speaking to procedural issues, the mailers asked the Commission to re-quire the Postal Service to make any combined adjustment of an annual price increase with an exigency roll-

back as two separate PRC filings so that mailers could determine that each set of proposed changes was in com-pliance with the law and to see the data to ensure the Postal Service was not seeking to recover more than the $3.2 Billion cap set by the PRC exigent order.

PRINTING BUSINESS IMPROVES.In a July state-of-the-industry update (part of the AMSP/NAPL/NAQP re-port), it was noted that printing busi-ness conditions improved the greatest in the first quarter of 2014 since 2007. Most companies are reporting modest increase in sales, with gains over 2013 and predictions for the future being more optimistic. Approximately 25% of the businesses reporting expected businesses to improve in the next 6 months, with nearly 68% expecting business to remain stable and fewer reporting or fearing declines.

Overall sales were reported to be up 2.7% the greatest increase since 2010, but still 20% below pre-Great Reces-sion levels.

PRIORITY MAIL CHANGES FILED FOR SEPTEMBER 7, 2014.

In the competitive category of mail products – mostly Priority Mail – the Postal Service announced price chang-es in July that would include a modest increase for priority mail prices at post offices and other postal retail outlets but would offer business customers rate decreases based upon shipping volume. Lower prices were also pro-posed for parcels weighing between 7-16 pounds.

In announcing the proposed price change, Nagisa Manabe, Chief Market-

continued on page 10



ing and Sales Officer for the Postal Ser-vice, said: “With our affordable ship-ping options, we hope to attract new business customers and become their preferred delivery service.”

If the Postal Service proposed compet-itive parcel and priority mail prices are approved, they would go into effect on September 7.

There have been some challenges raised in the case. It will be interesting to see what, if anything, the PRC has to say about the Postal Service’s pro-posals to give volume discounts to its larger shipping customers.

REFORM IN AN ELECTION YEAR.Although discussions on postal reform among union leadership, industry, and the Postal Service continue, there

seems little likelihood the House bill will get a full hearing on the floor; and there is still a wide gap between what labor, the industry, and the Postal Ser-vice all seek, and the Senate bill. As of now, the “betting” seems to suggest that no meaningful legislation will be passed before this year’s elections. To quote one insider: “Democrats and Republicans on Capital Hill are united on one thing: the best strategy this election year is to punt on any big de-cisions. Congressional inaction is a time-honored tradition in the months before an election.”

For now, there is nothing new to re-port on the Congressional front and the potential for meaningful and need-ed postal reform.

continued from page 9

Contact Alan Spiegel at (301) 949-9766 or [email protected] for further information.

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E PINE ST

MAR

TIN

ST

82B

HARDING ST E

VINE ST

E JACKSON ST

SEM

OR

AN

BLV

DS

E GORE ST

E CENTRAL BLVD

CO

NW

AY

RD

CURRY FORD RD

SEM

OR

AN

BLV

D

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