Basic HTML Version
www.binfo.co.uk
Advertorial
Recent news regarding the Royal
Mail’s rate changes, has caused much
uproar from customers sending low
volumes of mail, but the impact on
British SMEs (small and medium sized
enterprises) has been somewhat
overlooked. In light of the rate change
announcement a few weeks ago,
Pitney Bowes commissioned research
into how these changes have been
perceived amongst British SMEs and
the research confirmed what was
expected; that the changes are likely
to have highly detrimental effects on
Britain’s embattled SMEs.
The research highlighted that an
astonishing four in five (81%) of these
SMEs, which amounts to 3,645,000
businesses (based on there being
4,500,000 British SMEs, according to
statistics from the Department for
Business Innovation & Skills), believe
that the postal rate change will
negatively impact their business. Of
these, a worrying 7% are fearful that
their business may not survive this
added threat and on top of this, 69 per
cent of those SMEs asked felt that the
information available to them was ‘poor
and confusing’ and did not indicate that
the changes would be so significant.
First class stamps have rocketed
Phil Hutchison, Marketing Director, Pitney Bowes explains
81% of Britain’s SMEs
fear the impact of the
Postal Rate Change
by 30 per cent, forcing 45 per cent of
SMEs to rethink their communication
strategies, with many considering cutting
back on their print mail communications.
However, although email is a very
effective communication tool, it is
not always the answer. It is crucial
to integrate a number of online and
offline channels in order to achieve the
best results. Digital communications
undoubtedly have their place, but
traditional print campaigns are still critical
for most businesses and are likely to
remain so for many years to come.
There are several ways for businesses
to save money on postage, for instance
simply folding documents into letter
format will reduce postage costs for
first class from 90p to 60p and from
69p to 50p for second class. However,
the important thing is that SMEs don’t
entirely cut their physical mail plans in
a knee-jerk reaction. SMEs must remain
pro-active and, instead of compromising
on their communication strategy, they
need to find an alternative and workable
solution.
Pitney Bowes
DM50 Smart Meter
...traditional
print
campaigns
are still
critical
for most
businesses...
Postage cost
Per Year
Stamps @ £0.50
£625.00
Franking @ £0.31
£387.50
SAVING £237.50 = 38% SAVING
Sending 5, 2nd class letters per day
Metered mail can be an excellent
choice for those SMEs that are concerned
about their postal costs. Not only
does it cut costs dramatically and is
time-efficient, but it delivers a range of
benefits such as better open rates and an
enhanced professional image, as well as
enabling users to access a range of other
bulk mailing discounts.
Pitney Bowes offers a broad range
of franking machines; for example we
currently have a superb offer devised
specifically for small SMEs which
costs only £9.99 per month, clearly
demonstrating that investing in franked
mail need not be as expensive as many
fear. (It’s always worth calling to check
the latest offers as there are many to
choose from.)
The DM50 Smart Meter, which is
available on a five year lease, is able to
weigh mail, calculate the exact cost of
postage at the touch of a button and
crucially, it will be substantially cheaper
for post. Furthermore postage rates are
automatically updated on the machine
and it allows users to purchase the
required credit by telephone. It also
offers a great opportunity to promote
businesses by printing an appropriate
message on every piece of mail that is
sent. Using the DM50 franking machine
gives users an instant saving; 19p on
second class stamps and over 26 per cent
on the new first class postage rates. It
also ensures you use only the necessary
postage whilst making it easy to track
costs.
Pitney Bowes has published
comprehensive advice online at
www.ratechange.co.uk as well as offering
specific product options suitable for small
and micro businesses. Existing users of
meters are also able to view a Pitney
Bowes webinar to help them understand
the issues and which response is best
for their individual situation but as
communication specialists, Pitney Bowes
would urge SMEs not to panic. Cutting
physical communications to cope
with the increased costs could have a
more detrimental effect on SMEs than
imagined: the medium is still vital for
both customer retention and acquisition.
14
magazine