USPS Begins Co-Palletization Test

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The U.S. Postal Service is readying a test to let mailers of small-circulation periodicals achieve the work-sharing discounts enjoyed by large mailers.


The experiment was supposed to start yesterday but was delayed.


In the experiment, publishers, printers and consolidators can combine bundles/packages of different periodicals on the same pallet and drop ship them to an area distribution center or sectional center facility.


The proposed discount is 0.7 cents per piece on combined bundles sent to area distribution centers and 1 cent per piece on bundles sent to sectional center facilities.


A single publication is eligible for the test discounts if there is insufficient density to prepare minimum weight, 250-pound pallets. Bundles/packages of the publication would be combined with bundles/packages from other publications to meet the 250-pound minimum requirement.


The experiment will last two years. Reportedly, 40 magazine publishers have signed on to participate.


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