Franking vs Stamps – The six benefits of switching
The increase in franking machine usage has increased by an estimated 30% by business users over the last 18 monthly, mainly due to the changes in pricing implemented by the Royal Mail. The Mailing Room have put together a simple six point benefits list to show why companies should consider making the switch.
1. Additional Postal Discounts from the Royal Mail
Over the last few years the Royal Mail has increased the discounts available to users of franking machines. This is due to the cost of processing mail has become significantly cheaper for franked post opposed to those that are stamped. Currently (as of 1/10/2013) the savings for a franking machine user are 17p (34%) on a 2nd class letter and 13p (22%) on a 1st class letter. It is likely that with forthcoming privatisation, that these discounts will increase to encourage further business users to switch to a franking machine
2. Presenting a professional image plus free advertising
Whilst sending a letter using a stamp will pay the cost of the delivery, the space on the front of the envelope could be used to advertise a business’ products or service. As well as this, by using a franking machine to print both an advert and return address this also portrays a professional image, as well a showing a consistent brand. Unlikely other advertising, the message on the front of the letter could be changed daily / seasonally depending on new launches etc.
3. Over Stamping
When using stamps to send a letter or parcel, often the amount used could be guess work unless you refer to the Royal Mail website or take these to a post office. The postal rates are expected to change more regularly over the coming years, and with this there is higher likelihood in putting the incorrect amount of stamps onto a postal item. With a franking machine, this is avoided by product selection, as this will direct users to the correct postage rates avoiding wasted money.
4. Under-Stamping
As with over stamping, by using the incorrect amount of stamps this could result in a fine or non-delivery of an item. What worse is the person receiving the item is responsible for a fine which could cause embarrassment if an item is sent to a customer. With a SMART franking machine it is straight forward to get the correct postage every time and avoids loss of customers or embarrassment.
5. Avoid expensive trips to the post office
For most businesses, finding out that they do not have enough stamps to send their post can be inconvenient and means an unplanned tripped to the post office. Also, having access to the all the services that the Royal Mail offer would benefit most companies. Having a franking machine avoids this issue and means that there is access to all postal services 24/7 even when the post office is closed. Gaining more postal credit is straightforward and simple means adding more funds to the machine via a phone line or LAN.
6. Accountability and VAT Ready
Many of the postal services available are now VAT liable, which means accounting and reclaiming these amounts are important for most businesses. As well as this for many companies, tracking postage across multiple departments allows cross charging and reporting back. This often can help with cost control and avoids the administrative task of issue and logging stamp issues.
Andrew Parmenter, Marketing Manager from The Mailing Room commented; “Any business user who is sending more than 6 letters per days should consider switching to a franking machine. Often there is a misunderstanding that cost of the franking machine would prohibit a business making this change. This is not the case and the additional benefits of accountability, additional advertising and avoidance of mailing fines, means that we estimate that 80% of the businesses in the UK would benefit from a franking machine.”
To find out more about benefits of franking and the services that The Mailing Room have to offer, please contact 0800 0192 033 or visit www.themailingroom.com