The Strategic Mailing Partnership (SMP), the industry body that represents the print and mail industries, has welcomed the new Government Sector Economy Incentive from Royal Mail which launched on 2 January 2024.
The Economy Incentive will allow customers in the government sector to make savings on their mail costs. Those that use the Royal Mail Testing and Innovation Incentive (TIS) will qualify for 5% in postage credits when using the Economy product for the first time, or when using Economy for new uses of mail. This means that customers will save approximately 15% on Business Mail and 16% on Advertising mail compared to the Standard mail tariff.
The Economy Incentive is designed for non-urgent mail, offering flexible delivery from large-scale to small-scale mailings. The use of Mailmark technology has allowed Royal Mail to make the pricing more affordable, with delivery between one and four working days after handover to Royal Mail.
Businesses can trial the Economy Incentive via the Test and Innovation Incentive, which supports businesses in testing new mailing applications or in changes to existing mail campaigns.
Lucy Swanston, chair of the SMP, said, ‘The new incentive will be hugely beneficial to SMP members and the print and mail industry working with the government sector, enabling them to offer a service to their customers with more versatility and innovation, alongside great savings.
‘At the SMP, we hope that the launch of this incentive will help businesses to become more cost-effective in their mailing strategies, helping them to make the case for mail with their own customers and clients. This will also support the wider print and mail industries in creating a more economically sustainable future.’
